Trade; application for reinstatement

If you have been banned from practicing your trade, you can apply for reinstatement.

Description

The competent authority had prohibited you from practicing your trade due to unreliability. However, you now wish to resume your trade. After the expiry of one year, or even before in the case of special reasons, the competent authority may allow you to resume your trade on application.

The prerequisite is that you can prove to the competent authority that the reasons that led to the prohibition of your trade no longer exist. The competent authority must also be able to forecast that you will carry out your trade properly in the future on the basis of your behavior in the meantime.

As a rule, reinstatement can only take place after one year. This period is considered appropriate in order to demonstrate to the authority that the reasons for unreliability have ceased to exist through a change in lifestyle. For overriding reasons - for example, economic or structural policy reasons - the exercise of the trade may, in exceptional cases, be reinstated earlier. This applies, for example, in the event that the resumption of the trade creates additional jobs or enables creditors of your business to reduce debts by generating income again in your business to repay debts. The mere cessation of the circumstances justifying unreliability is not sufficient to shorten the one-year period.

Prerequisites

  • The reasons that had led to the prohibition no longer exist.
  • In the future, you will again be able to guarantee your reliability under commercial law.

Procedure

Submit the application for reinstatement of your trade activity and the required documents to the competent authority.

The competent authority will check whether you can be allowed to carry out your business activity again on the basis of your evidence and will make a prognosis decision regarding the future proper exercise of your business.

If the requirements are met, you will receive the official decision on the reinstatement.

Special notes

If you resume the activity after the reinstatement, you must at least file a trade report with the competent authority at the same time. The resumption is to be evaluated as a new start of the trade practice.

If you have previously had a permit revoked due to unreliability, which is legally required for practicing the trade, you must reapply for a permit before resuming your commercial activity that requires a permit. The same applies if a new permit requirement has been introduced in the meantime.

Deadlines

Application is possible at the earliest one year after prohibition (in exceptional cases even earlier).

Required documents

  • required documentation:

    • an informal written or electronic application for permission to carry on the trade you wish to resume, with further details
    • details of the place where you intend to carry on the trade
    • Proof of how you have supported yourself since the trade was banned and whether you have worked as an employee.
    • Application for a certificate of good conduct for submission to an authority
    • Application for an extract from the central business register for submission to an authority
    • Extract from the debtors' register and certificate from the insolvency court (available from the relevant local court)
    • Current certificates: of trade tax, tax offices and social insurance agencies
    • Special features in the case of payment arrears: If you had payment arrears at the time of the previous trade ban, then you must submit current certificates from the trade tax, tax offices and social insurance agencies. These certificates must contain information on
      • the amount of any outstanding arrears, separated into main and secondary claims
      • the period from which the main claim, if any, originates
      • repayment agreements concluded after the trade ban, their date of conclusion, regulations and compliance with them
      • the implementation of compulsory collection measures, their nature and success
    • Special features in the event of a change of residence: If you have moved after the trade ban at that time, then the certificates from the debtor file of the insolvency court, the tax office and the trade tax office are required both from the current authorities and from the authorities responsible at the time of the trade ban.

Status: 10.03.2022

Responsible for editing: Bayerisches Staatsministerium für Wirtschaft, Landesentwicklung und Energie

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