A good three-quarters of startups in Germany will need fresh capital in the next two years. However, 86 percent of them have not yet secured financing. The good news: One in three startups considers successful financing very likely, and one in two considers it somewhat likely. Overall, 83 percent are confident that their search for capital will be successful. Just 14 percent anticipate problems.
"Many startups have ambitious growth goals and want to expand internationally – this is also reflected in the increasing need for capital. More startups are successful and have reached the growth phase, thus financing rounds are becoming larger,"
says Bitkom President Achim Berg.
“These financing rounds are important and must be successful so that we can retain and develop fast-growing startups with their innovative solutions and highly qualified jobs in Germany.”
“Germany still has some catching up to do in international comparison”
Last year, the coronavirus pandemic caused great skepticism regarding financing. In May last year, only 67 percent of Startups with financial needs believe in a successful capital search, up from 83 percent at the beginning of the year. This figure has now been reached again. Achim Berg says:
"During the first lockdown last year, there were massive concerns that startup financing would collapse on a large scale. Fortunately, this has not proven to be the case. A key task in the coming legislative period will be to further improve growth financing for startups; in this area, Germany still has some catching up to do compared to other countries."
