(percentage of startups) Source: Deutscher Startup Monitor 2014 business opportunities in germany
BUSINESS OPPORTUNITIES IN GERMANY: DOING BUSINESS IN GERMANY
Ready to Take Off!
Germany takes its startups very seriously. The government has set up grants like EXIST—which supports universities and research institutes—and has initiated private-public venture capital funds such as High-Tech Gründerfonds (HTGF). Founded in 2005, HTGF is a partnership between the Federal Ministry for Economic Affairs and Energy (BMWi), KfW Development Bank and private companies. Endowed with €560 million, HTGF is one of the largest and most active seed-stage investors in technology companies. In addition, the German government is working on incentivising business angels’ investments and launching a pre-market web platform that connects startups with investors.
Germany: A Good Home for Your Ideas
Germany is an extremely attractive location for setting up new businesses. It offers a vibrant atmosphere for startups, SMEs [small and medium-sized businesses] and motivated people who are keen to turn their ideas into reality. Startup founders in Germany are very optimistic: 50 per cent expect their business to grow, while 89 per cent feel that the business climate is good or very good. Germany’s startup scene is international, and increasingly, it is playing an important role in the job market. Around 10 per cent of founders and 22 per cent of startup employees come from abroad and value the great conditions in Germany. Berlin, Munich and Hamburg especially attract talented and driven people. There are plenty of coworking spaces, networking events, seminars as well as government support to enhance entrepreneurship, facilitate the founding process and find funding opportunities.
— Oliver Skopec, co-founder & CEO, Tupomoja Holding AG
Did You Know?
- Berlin and Munich rank among the top 10 European startup cities.
(European Digital City Index 2015)
- Eighty per cent of German entrepreneurs used their own savings to launch their startups.
- Berlin startups are 11% more likely to monetise directly than Silicon Valley startups.
(Startup Ecosystem Report 2012)
- By 2020, Berlin’s startups could potentially create as many as 100,000 new jobs.
(McKinsey & Company report 2013)