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Global Expansion Resources | Germany

Germany Foreign Employer Services

Expand into Germany with a trusted German foreign employment partner

Germany Foreign Employer Services

Expand into new markets with the leading Germany Foreign Employer partner

Foreign Employer (FE)

allow businesses to hire employees in Germany without the hassle of creating a local legal entity, and is particularly well-suited to companies that need long-term employment solutions but want to avoid the limitations of Employer of Record (EOR) models in Germany. Often, it’s a more flexible and cost-effective option for small teams or specialist hires.

Key advantages include:

  • Direct employment in Germany: You remain the legal employer and issue German employment contracts – in full compliance with German labour law.
  • No 18-month restriction: Unlike EOR labour leasing, Foreign Employer services allow long-term employment.
  • Payroll and compliance support: Leap29 manages payroll, social security, tax obligations, compliance and more.
  • Small-team focus: Ideal for testing the waters of the German market or hiring for specialist roles.

With Leap29, expanding into Germany is straightforward and low-risk, allowing you to focus on your business rather than the admin.

Want to expand into France?

Contact us today to see how Leap29 can be the trusted partner that supports your global expansion.

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What’s included:

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HR software

Bespoke employee management software included in our PEO service.

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Global compliance

We have expert teams across the world to ensure global compliance.

Transparent EOR Pricing

Transparent pricing

Avoid hidden costs and account for our fee with our transparent pricing.

Germany Expansion Advice

How can Germany Foreign Employer services support business expansion into Germany?

Foreign Employer services simplify recruitment in Germany while giving you full legal control over your employees. It’s an especially useful hiring model for businesses planning to employ staff for longer than 18 months, which is a limitation posed by the German EOR model.

Leap29’s Germany Foreign Employer service ensures compliance with German labour law, while handling payroll, social security registrations and statutory contributions on your behalf. By skipping the hassle of setting up a local entity, businesses can enter the German market much faster and with far less commitment.

What is a Foreign Employer Service?

A Foreign Employer service allows your company to hire staff in countries where you aren’t legally established, in this case, Germany, while remaining the legal employer. Employees are hired directly by you under German employment contracts, while your Foreign Employer provider supports payroll processing, social security, tax compliance and employment law requirements.

In Germany, this model is often referred to as registering as an Ausländischer Arbeitgeber. It provides a recognised legal framework to employ German workers without opening a subsidiary or branch. This approach works particularly well for businesses hiring a small number of employees or seeking long-term employment without committing to full incorporation.

How does a Foreign Employer Service differ from an EOR in Germany?

In Germany, the Employer of Record model operates under labour leasing (Arbeitnehmerüberlassung), a highly regulated practice which requires a mandatory license from the Federal Employment Agency (Bundesagentur für Arbeit). Operating without such a license can incur severe penalties, including fines of up to €500,000.

Labour leasing is also subject to a strict 18-month limit per employee. Once this period ends, the employee must either be released or hired through a local legal entity. This makes EOR unsuitable for long-term employment in Germany.

Foreign Employer services operate outside this restriction since you employ workers directly and remain the legal employer throughout. Leap29 supports payroll and compliance, but control stays with you. For companies planning stable, long-term teams in Germany, the Foreign Employer model is often the more practical solution.

Why do I need a Foreign Employer in Germany?

Hiring in Germany without a Foreign Employer structure is often extremely complex and restrictive, not to mention very time-consuming. FE registration is none of these. It allows you to employ German staff legally, issue compliant contracts and manage payroll without setting up a local entity or relying on labour leasing.

It’s an ideal model for businesses that wish to test the German market, hire specialist talent or build long-term teams without setting up a legal entity in Germany.

Why choose Leap29 as your Foreign Employer Service provider in Germany?

Leap29 provides practical, expert support for Foreign Employer registration and payroll in Germany. With over 25 years of experience supporting international expansion, we understand German labour law and compliance requirements in detail.

We manage payroll, statutory contributions and ongoing compliance, ensuring your German employees are hired correctly and paid accurately. Our pricing is transparent and our setup process is simple.

Hiring one specialist employee? A small team? No matter – Leap29 offers a Foreign Employer service in Germany that supports long-term growth without unnecessary complexity.

If you would like to discuss your expansion plans, speak to our experts today on +44 (0) 20 8129 6860  or email expansion@leap29.com.

Don’t take our word for it!

Leap29 played a critical role in helping us navigate a challenging situation during our acquisition by Gilde Buy Out Partners. They were instrumental in onboarding over 60 employees from Columbus onto our team, with a flexible benefits package that addressed their individual requirements. Leap29 also assisted us in managing the growth of our workforce in India. Thanks to Leap29's support, we were able to increase our headcount in India by over 50% within 12 months and establish our own operation in the country. We are grateful for their partnership and look forward to working with them again in the future."
Luciano Cunha - CEO
To Increase
Leap29 played a critical role in helping us navigate a challenging situation during our acquisition by Gilde Buy Out Partners. They were instrumental in onboarding over 60 employees from Columbus onto our team, with a flexible benefits package that addressed their individual requirements. Leap29 also assisted us in managing the growth of our workforce in India. Thanks to Leap29's support, we were able to increase our headcount in India by over 50% within 12 months and establish our own operation in the country. We are grateful for their partnership and look forward to working with them again in the future."
Luciano Cunha - CEO
To Increase
For the last few years, we have worked very closely with Simon and the team at Leap29 on a number of different projects in multiple countries across the globe. Leap29 have been a fantastic partner for us and are always willing to think with us to find the best solution. The communication with the team at Leap29 has always been excellent and Simon, in particular, is great to work with! They come highly recommended from us!
Peter Yerardi - Global VP HR
Data.ai 
For the last few years, we have worked very closely with Simon and the team at Leap29 on a number of different projects in multiple countries across the globe. Leap29 have been a fantastic partner for us and are always willing to think with us to find the best solution. The communication with the team at Leap29 has always been excellent and Simon, in particular, is great to work with! They come highly recommended from us!
Peter Yerardi - Global VP HR
Data.ai 
The assistance of Leap29 allowed our company to build a successful team in India without the hassle of establishing our own entity. They provided excellent support from the onboarding process to setting up medical insurance and ensuring all taxation issues were managed in a compliant manner. We were particularly impressed with their responsiveness to any bespoke requests and that the administration of salary payments and benefits were extremely sufficient and always on time. Their professionalism and commitment to regulatory compliance was exceptional, and we could not have done it without their support.
Steen Hybschmann
CEO | Sprint 365
The assistance of Leap29 allowed our company to build a successful team in India without the hassle of establishing our own entity. They provided excellent support from the onboarding process to setting up medical insurance and ensuring all taxation issues were managed in a compliant manner. We were particularly impressed with their responsiveness to any bespoke requests and that the administration of salary payments and benefits were extremely sufficient and always on time. Their professionalism and commitment to regulatory compliance was exceptional, and we could not have done it without their support.
Steen Hybschmann
CEO | Sprint 365

Talk to an expert today

Already have your own entities? Just starting out?
Whatever stage you’re at in your global expansion journey, we can help.

Want to find out more about our Germany Foreign Employer Services?

Contact us today to see how Leap29 can be the trusted EOR partner that supports your global expansion.

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Local expertise, global reach

Employ people compliantly in 180+ countries – with or without your own foreign entities. We can help you set up and manage foreign entities – or act as an Employer of Record. We can also help with multi-country payroll and all your HR management. Wherever, whenever and however you want to employ people, we can help.

180+

We make expansion in France simple

Employing people compliantly across international borders can be challenging but we make it simple, bringing down barriers and making light work of the complexities. We offer the full range of compliant global expansion solutions so that wherever, whenever and however you want to employ people, we can support you.

EOR Services
Payroll Solutions
Global Mobility
Entity Services
PEO Solutions
Support & Advisory
HR Support
Contractor Payroll
Pricing

EOR Services

Employ people compliantly in 180+ countries – without setting up new entities. We’ll shoulder responsibility as Employer of Record (EOR), making sure all your international employment is fully compliant.

We can also take care of your global HR from multi-country payroll to onboarding and offboarding.

Payroll Solutions

Getting global payroll right is one of the hardest challenges for any business expanding into new countries. We can shoulder this burden, freeing up valuable in-house resource to focus on growing your business.

Consider us an extension of your HR team, ready to answer all your questions large and small.

Global Mobility

Mobilise your people across borders with ease. Relocating to work abroad can feel daunting. But with Leap29 at your side, your employees can feel safe and supported.

We’ll guide your employees through the complexities of working in another country, helping them settle in fast.

Entity Services

Follow the opportunities to grow your business – wherever they take you.
We lighten the load of establishing and managing foreign entities and can help you solve all your entity challenges from running compliant, accurate multi-country payroll to local accounting and financial reporting.

PEO Solutions

Employ international talent wherever and whenever you need it – and enjoy the peace of mind of knowing you’re fully compliant. Our Professional Employer Organisation (PEO) services allow you to focus on growing your business while we handle compliance, multi-country payroll and your global HR.

Support & Advisory

The help you need to make your global growth effortless – trusted guidance and advice on your expansion challenges large and small.

HR Support

When you’re employing people in lots of different countries, answering just a simple query can take a disproportionate amount of time for your in-house HR team. Our HR Support service reduces this burden, saving you time and money and giving you the confidence of knowing your employees are well looked after, whatever their location.

Contractor Payroll

Enjoy compliant contractor payroll that meets all local requirements for tax, social security and employment legislation. We understand the importance of compliant contractor payroll to the success of your business and will pay your contractors on time, every time.

Start hiring today – and onboard within hours.

Pricing

Budget confidently with transparent, competitive fees and no hidden costs.

Want us to shoulder employer liability and take care of your global HR through our EOR solution? No problem. Just want global payroll? You can have that too. Pick the solutions that your individual business needs.