5 ms·

That's the American viewpoint, right of the strongest, sue if they wronged you. European systems typically have a different philosophy where the counterparties

by t0mas88 4mo ago

That's the American viewpoint, right of the strongest, sue if they wronged you. European systems typically have a different philosophy where the counterparties are more protected. It's expressed in stronger consumer protection laws, but also these German things where you can't start a GmbH/LLC with zero capital and wish the counterparties good luck suing you if you never pay them.

nradov 4mo ago
You're missing the point. Strong or weak has nothing to do with it. If you want to be protected then don't do business with undercapitalized counterparties. Everyone can make their own decision on acceptable level of financial risk. It's stupid for governments to dictate this.
- margalabargala 4mo ago
  How do you know if your counterpart is undercapitalized, though?
  - nradov 4mo ago
    You're welcome to ask them for whatever evidence you like before agreeing to do business.
  - tpm 4mo ago
    Look up the business registry, debt registry etc., it should be all there, at least it is in our country.
- FLHerne 4mo ago
  So the OP can create a UG with €1 capitalization. They can be cheerfully undercapitalized and counterparties, seeing that it's an undercapitalized UG rather than a GmbH, can make their own decision on financial risk. > And the cheap door has a price of its own: to some clients, “UG” reads as “not serious,” and they would rather deal with a GmbH. ...turns out the OP doesn't like that.