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Difference between ag and gmbh

Anonymous

∙ 16y ago

Updated: 11/6/2022

An AG is a Corporation and is ideal for large companies. It can olnly interact without the outside world through agents and permits a minimal possible risk to the investor. The AG was invented by the Catholic Church (Vatican) in 1549 in order to prevent loss in taxes and was the creation of attractive investment opportunities. A GmbH is a Limited Liability Company, which dominates about 70% of the businesses in Germany. The founding of a GmbH was to make it easier for businesses and is based on a contract. It was first used in the United States in 1981 and is highly attractive for many countries. The concept is extremely attractive for medium-sized businesses and has elements of partnerships + corporations.

Wiki User

∙ 16y ago

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