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Startup capital Berlin

Berlin is Germany’s hotspot for founders and also capital for tech-investments. Entrepreneurs – and also potential entrepreneurs – find exactly the right environment here to implement and scale their business.

With around 40,000 business registrations per year and more than 500 startup companies per year, Berlin is undisputedly Germany's founder capital and is expanding its nationwide lead. With its approximately 9,500 existing startups, the capital is particularly attractive to potential entrepreneurs in the creative and technology industries.

(Sources: KFW-Startup-Report 2019, Deutscher Startup Monitor 2019)

18.1%Software as a Service49.3%Berlin startupsactive in the top 4 sectors8.2%Online marketplaces9.2%Finance/Financial Technology13.8%IT/Software development (Sources: Berlin Startup Monitor 2018, Google for Entrepreneurs und Bundesverband Deutsche Startups e.V.)

The starting conditions are advantageous: Berlin attracts young, highly qualified people from all over the world. The high life quality at comparably low living costs, the vital scene life and international environment are the reasons for young entrepreneurs to implement their business ideas here.

Numerous national and international studies regard Berlin as a leading global location for business startups with the world's best growth potential.

Why Berlin?

„As an international, fast-growing Internet company, we believe that Berlin has precisely what we at Babbel are looking for: talented professionals from all over the world, a striving, startup community with excellent contacts along with a creative, future-orientated tech scene. Together with other companies, we have also benefited from Berlin’s global attraction as a charismatic metropolis because the city has triggered considerable attention among the international press and investors.“

Markus Witte, CEO and co-founder of Babbel
Markus Witte, CEO and co-founder of Babbel

What does Berlin offer entrepreneurs?

Berlin is the German leader in investments in startups: in 2018, venture capitalists invested around 2.6 billion euros in Berlin. Promising and well-established startups have emerged in recent years, such as Soundcloud, Mister Spex, Zalando, Helpling, Delivery Hero, Home24 and HelloFresh. 

(Source: EY Startup Barometer 2019)


The state of Berlin initiated the Berlin Startup Unit together with partners from business, science and the startup scene. Seven initiatives are working together for the advancement of the startup capital Berlin.

national averageBerlinMunichHamburgRhine-Ruhr metropolitan regionKarlsruhe/StuttgartHanover/Oldenburg10.927.211.19.28.687.9Average number of employees in startupsInternationality(Sources: Berlin Startup Monitor 2018, Google for Entrepreneurs und Bundesverband Deutsche Startups e.V.)almost50%of employees in Berlin startupscome from abroad