After coronavirus pandemic due to the fact that the number of new startups has decreased, Germany has experienced significant growth in entrepreneurs launch of new business in 2021. In a number of federal states there is a significant growth of new businesses, although Berlin remains the starting capital of Germany.
In Germany, there is an increase in the number of startups
A study by the German information service of startups “startupdetector” showed that in 2021 a total of 3,348 startups were founded in Germany. This is an increase of 11 percent compared to 2020, when the number of new startups decreased significantly due to the coronavirus pandemic. “The numbers also seem to be stabilizing at a strong level of just over 800 startups per quarter,” the study said.
The development was highly praised by the German Association of Startups, and Managing Director Christoph J. Stressing said: “Startups are the economic power of the future.”
The number of companies that managed to secure foreign investment also increased last year; by 27 percent to 2,087. However, it still lags far behind other global business centers. “Despite the positive development of investment in recent years, we in Germany still lag far behind not only the United States but also countries such as Sweden and the United Kingdom in terms of investment per capita,” he said. Stressing.
Berlin remains the starting capital of Germany
Germany’s federal capital also remained its start-up capital, with 747 companies Berlin in 2021, it accounts for about 22 percent of all new startups in Germany. “Especially in Berlin, we see a mature launch ecosystem in many parts,” said Stressing, referring to the many founders, investors, highly skilled workers and universities and colleges found in the capital.
State of Saxony has become an unexpected leader among the eastern states in the number of new startups: in 2021, the state created 108 startups. Several federal states experienced an increase in the number of startups founded last year, including Baden-Württemberg (plus 21 percent), Lower Saxony (plus 30 percent), Saxony (plus 54 percent) and Saxony-Anhalt (plus 166 percent).
The study also found that the Starnberg district, in the south Bavaria, had the highest launch density in all of Germany. With 20.5 new startups per 100,000 people, Starnberg is even ahead of Berlin. “Companies from the Starnberg area are diverse: from the regional fresh food courier Regioluzzer, to Servail, whose robots are supposed to service the railways during operation, to The Exploration Company, whose founder Ellen Hubby wants to build a spaceship,” said the researchers. . “According to Wikipedia, in 2021 the district will have both the highest per capita income and the highest life expectancy in Germany. This may be due to the high average income in the region. “
More variety in German startups
Although startups in Germany are still mostly male-based, in 2021, for the first time, the share of startups with one woman exceeded 20 percent. The study also found that 14 percent of startups have doctors or professors in their teams; doctors and professors make up only 1.2 percent of the population. “The comparison shows that a high academic degree clearly contributes to the founding of a startup.”
Startups are mostly based in medication and the e-commerce sector. “However, the e-commerce boom of 2020, which is supposedly caused by the pandemic, seems to be slowly subsiding as the industry shows a slight decline,” the study explained. A significant number of startups have been established in the gaming and media and environmental technology sectors in 2021; startups aimed at combating the climate crisis grew by 144 percent.
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