Referreport
The start-ups in Germany need money. Almost three quarters want to raise external capital – but they are increasingly less likely to rate access to capital and financing positively.
The start-ups in Germany need money. In a survey presented by the “Federal Association of German Startups” in Munich, 74.1 percent said that they wanted to raise capital in the next twelve months. That is 4.6 percentage points more than a year ago. In addition, the capital requirement is also higher. While last year around 41 of the companies with capital requirements of less than half a million had enough capital, now it is only around 30 percent. The “Handelsblatt” had previously reported on the start-up monitor.
At the same time, however, only just under 30 percent of the companies surveyed rated access to capital and investments in Germany as good. That is 3 percentage points less than a year ago and 7 fewer than two years ago. Overall, the start-ups are looking positively towards the future: almost 80 percent expect their business situation to improve by the end of next year.
Overall, the ecosystem for start-ups in Germany is rated positively by 61 percent – a good three percentage points more than a year ago. The proximity to universities was particularly often mentioned as an advantage.
Many would set up their business abroad next time
Nearly 84 percent of the more than 1,800 respondents whose responses were included in the study said they would start a business again. However, 26.9 percent of them would no longer set up their business in Germany, but abroad. That is almost 10 percentage points more than a year ago.
On average, the Start-up Monitor found a decline in employment from 18.9 to 16.7 people per company. This is surprising because only a good 14 percent of companies say they have had to lay off employees in the last few months, while almost 57 percent have hired new employees. The association explains this by saying that, on the one hand, there have recently been major layoffs in larger companies, which have had a significant impact, and on the other hand, the population of companies may have shifted compared to previous surveys. Overall, caution should be exercised when interpreting this number.
Source: German