This is the 872nd most frequent German word.
gmbh
"GmbH" stands for "Gesellschaft mit beschränkter Haftung," meaning "limited liability company" in English.
In this sentence, 'GmbH' stands for 'Gesellschaft mit beschränkter Haftung', referring to the business entity type.
Die Siemens AG ist eine bekannte GmbH in Deutschland.
Siemens AG is a well-known GmbH in Germany.
Here, 'GmbH' is used to refer to the type of company that the friend intends to establish.
Ein Freund von mir möchte eine GmbH gründen.
A friend of mine wants to establish a GmbH.
In this usage, 'GmbH' is explained as the legal aspect of limited liability within such companies.