Taking over a craft business without a master craftsman's certificate: what works and what doesn't

In short: yes, you can take over a craft business without being a master craftsperson yourself. In a licence-free trade you don't need a master's certificate at all. In a licensed trade, it's not the owner but the person managing the work who has to meet the requirements (§ 7 HwO, in German).

Licensed or licence-free trade?

The German Crafts Code (Handwerksordnung) sorts trades into annexes. Annex A lists the licensed trades, such as electrical, plumbing and heating, roofing or motor vehicles. The master's requirement only applies here. Annex B1 trades and craft-like businesses need no master's certificate. At the end of 2025, around 641,000 of just over 1.03 million craft businesses were in licensed trades (ZDH, in German).

So the first step is a simple question to the local chamber of crafts (Handwerkskammer): which annex is the trade of the business you want to take over in?

Route 1: You hire a technical manager

A business is entered in the register of craftspeople if its technical manager meets the requirements, for example by holding a matching master's certificate (§ 7(1) HwO). So you can own and run the business and employ a master craftsperson as technical manager.

Important: this person has to actually work in the business. They must be permanently employed, present on working days and able to instruct and supervise the work. A master who only appears on paper is not enough (Federal portal, in German).

Often this is the best solution anyway: there is already a master in the team who knows the business inside out. You bring leadership, sales and the numbers. Sometimes the previous owner stays on as an employed technical manager for a transition period. Whether that works in your case is something to clarify with the chamber.

Route 2: Licence for experienced journeymen

Journeymen with long experience in the trade, including several years in a senior position, can apply for a practising licence (§ 7b HwO). It doesn't apply to some safety-critical trades. For career changers it is rarely an option, but for successors from the existing team it often is.

Route 3: Exemption

On application, the chamber can grant an exemption if you can prove master-level knowledge (§ 8 HwO). Possible grounds include an equivalent qualification such as an industrial master's exam, or being further along in your career (HWK Kassel, in German). It is a case-by-case decision.

What doesn't work

• Running a licensed trade without a qualified technical manager.
• Registering a master in name only who doesn't work in the business.
• Assuming the old business's registration automatically carries over to you. When the owner changes, the chamber checks again.

What this means for your takeover

Settle the question of technical management early, ideally before the letter of intent. It affects your costs, because a master needs a fair salary, and it affects financing, because the bank wants to know who leads the work. How financing can be structured is covered in Financing a business succession. More on the crafts sector overall is on our page Succession in the crafts.

This article is an overview, not legal advice. Your chamber of crafts gives the binding answer.

Glossary terms: External succession, Letter of intent, Guarantee bank, Seller consulting agreement.