That sounds pretty uncompetitive when compared to other EU countries such as Spain and the Netherlands, where it's 3000€ and 0.01€ respectively. In Ireland it's also 25.000€, but corporate taxes are much, much lower.
You also don't "pay" 25k, it's more like your GmbH has to have constant reserves of 25k used in case of an insolvency. Through this means:
1. It's not limited "cash", but can also include e.g. a bought office room, machinery or even resources (it just must always be equal or above 25k at any point in time eve if the company also has 50k dept) (through I'm not sure if it can be 100% non-cash, also only cash for a UG I think)
1.1. Which means it's much less big of a deal for a classical company, as e.g. office+car+machinery can easily be 25k+.
2. You get it back if the company is dissolved without insolvency.
Lastly you can start a GmbH with 12.500€ but then you are liable for the missing 12.5k in case of an insolvency.
It’s not even that. The GmbH can use that money to buy things or pay for services and entirely use them. There’s no guarantee that there’s any money at all in a GmbH - the only guarantee you have is that someone invested 25k at some point in the past.
Once you start generating money with it, you can transform it to a GmbH. The only thing you achieve by that is displaying that your business is at least backed by 25k€.
In addition to that, you could also just start your business as a GbR. Funding this can be done completely for free (without needing any lawyers, paying fees etc.). As a GbR you‘re personally liable as a founder but when starting small that usually isn‘t a problem.
Founding in Germany kind of sucks, but for many different reasons.
Especially given that the money (through not for a UG) can also be non "cash", but e.g. a office you brought or machinery.
No it isn’t. Too lazy to look it up but I’d be shocked if it was €100. I’m Irish.