All of these can be done as sole proprietor (Einzelunternehmer), too. Bank account: Just go to your bank and create business bank account. Leftover money: It'

All of these can be done as sole proprietor (Einzelunternehmer), too. Bank account: Just go to your bank and create business bank account. Leftover money: It's up to you how much you withdraw, although you must pay tax on all income minus expenses. Limited liability is not true (see Geschäftsführerhaftung). Insurance: Again, you can get insurance (IT-Betriebshaftpflicht) as a sole proprietor too. I think, if your project is merely ramen-profitable, don't bother about all the organizatorial overhead. Another downside of a UG/GmbH: More paperwork for taxes etc. (double bookkeeping).