According to a study carried out by business consulting company Ernst & Young, investment in German start-ups rose by 36 percent year-on-year, reaching 6.2 billion euros in 2019. The number of financing rounds was also up 13 percent to 704. 13 rounds were worth 100 million euros or more.
Berlin remains hands down Germany’s start-up capital, taking in 3.7 billion euros or 60 percent of the capital raised. Second in importance was Bavaria with its capital Munich.
The figures are all the more impressive for bucking the global trend, which saw venture capital declining in 2019 by 17 percent to 224 billion dollars.
1.6 billion euros of the German money went to mobility companies. Digital health firms were also popular with investors.
“This was the third year in a row that start-up investments increased, which shows that German entrepreneurs continue to be able to build up innovative and successful businesses,” says Germany Trade & Invest (GTAI) start-up expert Oliver Wilken. “The marked increase in the mobility industry, a traditional German strength, is particularly welcome.”