Continuation after death needs immediate management.
Report the death without delay. Check the spouse or descendant rule in Section 108(3) KFG and appoint a manager under Section 113 KFG if required.
unternehmensnachfolge-anwalt.at
Driving school in business succession: secure the permit and management
Mag. Bernhard Brandauer, Rechtsanwalt
Driving school succession in Austria: review the permit, management, operating approval, vehicles and teaching staff under the KFG 1967.
A driving school cannot be handed over like an ordinary business. Austrian motor vehicle law ties the driving-school permit to a natural person and requires specific qualifications. The operating approval, location, training vehicles, teaching staff and responsible management must fit together on the handover date.
Section 108 KFG 1967 regulates driver training in driving schools. After the owner's death, the permit and operating approval continue for a surviving spouse and first-degree descendants until they turn 30. The death must be reported without delay and responsible management must work in practice.
This article distinguishes a share deal, a transfer of the operating business and continuation after death. The topic on transfer of business in succession gives the general framework; the family-business transfer agreement guide and the documents guide help prepare the meeting.
Permit check
What should be clarified first in a driving-school succession?
A short assessment separates the transfer model, permit, management and operation.
Already know you want to get in touch? Go straight to the enquiry form.
Which transfer structure applies?
All paths at a glance
Overview of all answers.
Personal qualification and management must be reviewed separately.
Clarify whether the successor can hold the permit. If not, build a structure with a manager, written agreement and authority approval.
The handover cannot be planned without official decisions.
Collect the permit, operating approval, location decision, conditions, staff notifications and vehicle documents.
The practical handover is organised.
Compare premises, practice area, vehicles, staff, tariff and training contracts with the decisions before handover.
Open operating items can put approval at risk.
List each missing document, vehicle or teacher with a responsible person and date.
A location change needs its own review.
Distinguish a premises change from relocation. Relocation requires approval and is permitted only within the same federal province.
Distinguish a share deal, business transfer and death
In a share deal the GmbH generally remains the same legal entity. Shareholders or management change, but a permit held by a natural person does not automatically move to the buyer. A transfer of the operating business can have different consequences.
Section 108(3) KFG requires approval for establishing a driving school and relocating its site. The agreement must state whether shares, the business, management or continuation after death is involved.
The family business transfer article explains the wider employment and organisational framework. A driving school adds permits and personal qualifications.
Review the successor's personal requirements
Section 109 KFG allows a permit only for natural persons. Reliability, financial capacity, personal management, technical education, teaching authority, licences, driving practice and teaching experience must be checked.
The authority also considers whether the person can manage the school directly. Family relationship to the former owner does not replace the statutory assessment.
If the successor is not qualified, a simple appointment as managing director is not enough. A separate manager and permit structure is required.
Separate the manager from economic responsibility
Under Section 113 KFG the owner generally manages the school personally. A manager is needed in particular for absences longer than six weeks, a prohibition on personal management, additional sites or continuation after death.
The manager takes responsibility for motor-vehicle duties and related administrative penal responsibility. The owner remains responsible for economic matters. A written agreement must define duties, reporting and economic boundaries.
Family succession should not leave several people acting as de facto managers. The agreement, authority approval and daily work must identify the same responsible person.
Secure premises, practice area and vehicles
Section 110 KFG requires premises, a practice area, teachers, teaching materials and training vehicles. Section 112 KFG links the operating approval to these requirements and provides for inspection.
Changes to premises or the practice area require authority coordination. Vehicle changes must be notified with registration evidence. The school name and complete tariff must match the approval.
The legal question is not only economic value but whether the approved operation can continue as authorised. List every vehicle, registration, equipment and ownership or leasing position.
Transfer teachers and training contracts
Section 114 KFG requires notification of teachers and changes in teaching staff. A written training contract must be concluded with each trainee, so contracts belong in the handover.
Section 116 KFG distinguishes instructor authorities and requires training, examinations and regular further education. Review each authority, class and training status.
Also define who teaches theory, conducts practical lessons, supervises assistants and communicates with the authority. This keeps responsibility clear on the handover date.
Prepare the succession in six steps
First record the transfer structure. Second read the permit, operating approval, location decision and conditions. Third check Section 109 requirements or the need for a manager.
Fourth compare premises, practice area, vehicles, materials and staff. Fifth align training contracts, tariff, notifications and powers with the handover date. Sixth schedule a review after the transfer.
The initial consultation checklist can be extended with a driving-school section. Keep decisions, class list, staff and vehicle lists, training contracts and lease or ownership evidence ready.
Frequently asked questions about driving-school succession
Can a driving school simply be transferred to a child?
Not without a review. Sections 108 to 113 KFG distinguish the permit, personal qualifications, operating approval and management. The actual structure must fit the authority process.
What applies after the owner dies?
Section 108(3) KFG allows continuation for a surviving spouse and first-degree descendants until they turn 30. The death must be reported without delay and a manager may be required.
Does a new manager need authority approval?
Yes. Section 113(4) KFG requires approval by the district administrative authority and a written agreement.
Do training contracts have to be signed again?
A change of shareholders or management does not automatically create new contracts. Section 114(2) KFG nevertheless requires a written contract with every trainee; a legal-employer change needs a specific review.
Plan succession, keep control, avoid disputes.
Book an initial consultation. We clarify the legal framework, critical documents and next steps. Callback within one working day.
Contact us