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Germany sees spike in new startups in first half of 2023

The number of startups founded in Germany rose significantly in the first six months of the year - with two new cities emerging as entrepreneurial hubs.

Published: 11 July 2023 13:17 CEST

A start-up founder attends an online meeting. Photo: picture alliance/dpa/dpa-tmn | Catherine Waibel

Around 1,300 new startups have been set-up in Germany in the first half of 2023, according to a new report, with Berlin, Hamburg and Munich holding their positions as the three top locations for entrepreneurs.

The data released by the German Startup Association (DSV) shows a 16 percent uptick in the number of new companies being founded nationally this year.

In particular, new startup registrations jumped by 40 percent in Berlin, with 262 new startups entering the market, and by a similar percentage in Hamburg, where 90 startups were launched over the six-month period.

Munich, meanwhile, saw 95 new startups founded from January to June, representing an increase of two percent.

However, the Bavarian capital continues to punch above its weight in the business community compared to its relatively small size. In the twelve months between July 2022 and June 2023, there were 12.6 new startups founded per 100,000 – more than Berlin’s 12.3 per 100,000 people.

Somewhat more surprisingly, the university towns of Karlsruhe, Darmstadt and Heidelberg all appeared in the top 5 destinations for startups per capita.

According to the DSV, this is largely because of the symbiosis between research facilities and entrepreneurship, which shows the potential to create startup hubs outside of cities like Berlin and Munich.

“In order to make better use of our strength in research, we need to make the topic of entrepreneurship more prominent in universities and lower legal and bureaucratic hurdles for setting up companies,” said DSV CEO Christian Miele. If this succeeds, “we will see many more startups at German universities”.

Post-pandemic recovery

The sharp increase in the number of companies launched at the start of the year could be a sign that Germany’s startup scene is recovering after the tough pandemic years.

“After the slump in startups in 2022, this is an important signal for the economic and innovative strength of our country,” said Miele.

In particular, businesses in the tourism sector are once again taking off after years of travel restrictions and uncertainty. In a climate of renewed optimism, startups in this sector soared by 111 percent.

Other clear winners in 2023 include the mobility sector (+ 30 percent), grocery companies (+ 28 percent) and startups in the software industry (+ 23 percent).

On the other side of the coin, the number of new blockchain and crypto companies slipped by 63 percent, with environmental tech startups and agriculture businesses dropping by 18 and 13 percent respectively.

Responding to the data, Miele welcomed the spike in startups but warned that the trend was not “self-sustaining”.

He called on the government to quickly implement the policies in its Startup Strategy, which include easier access to both public financing and venture capital and measures for supporting startup founders with migration backgrounds.

“If we make Germany the world market leader for startups, it can give our limping economy a real boost,” Miele added.

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The best-paid jobs you can get without a university degree in Germany

One of the reasons so many people decide to move to Germany is to take advantage of the healthy jobs market and decent salaries. In 2024, the average worker in the Bundesrepublik was taking home €51,900 per year before tax, and in many sectors the average is even higher.

But if you don’t have a university degree or professional qualification, you may feel like you’re limited to jobs at the bottom of the ladder and doomed to take a lower salary than you’re worth.

But there are plenty of fields with high earning potential that have relatively low barriers to entry. Which is good news for many, considering that the number of school drop-outs is rising in Germany.

Here are some of the best-paid jobs you can find in Germany that don’t require endless years of studying or training.

Real estate agent

If you think you can sell anything to anyone and love the idea of closing big deals, becoming a real estate agent – or realtor in American English – could be the way to go.

This varied job involves advising and supporting your clients in their search for a dream property, hosting viewings, creating advertising materials and contracts and ensuring all the relevant transactions go through. It’s ideal for anyone with good attention to detail and warm, sociable personality.

A miniature house with new house keys.

A miniature house with new house keys. Photo by Tierra Mallorca on Unsplash

There’s no special training or qualification required to become a real estate agent, but in Germany you do need to apply for a licence known as a Maklererlaubnis to start practising.

Once you get going, you can earn between three and seven percent commission on the sale price of each property you sell. Of course, you final salary will depend on your success rate and the property market in your area, but Stufyflix puts the average at around €3,930 per month.

U-Bahn or tram driver

Though you may not notice them most days, public transport drivers keep life moving in German cities – and they tend to be pretty well remunerated as well.

Generally, you’ll be responsible for working shifts driving trams or U-Bahns around the city, helping people get from A to B and responding appropriately in the case of an emergency.

A big advantage of moving into this profession is that you generally only need around B1 or B2 German: it’s more important to hold a driving licence and show a willingness to learn.

Another great thing to note is that these jobs are heavily unionised. Many tram and bus drivers will tell you that it’s no easy job, but at least you’ve got a union fighting to improve your pay and conditions.

For people looking to change careers, the good news is that the initial training only lasts around six months, and you’ll earn a liveable salary between €2,100 and €2,800 during this period.

After that, salaries depend on location but tend to average around €40,000 per year, with bonuses for working nights, weekends and public holidays.

Software developer

With average salaries around €5,800 per month, the IT sector is one of the most lucrative fields in the German job market.

The best part is, you don’t need a degree in computer science to get a job as a programmer in today’s market. In fact, many start-ups are happy to offer jobs – with generous starting salaries – to self-taught programmers or people who have graduated three-month bootcamps.

If you’re currently unemployed, many of these fast-track courses are paid for by the job centre, so you can learn to be a software developer completely for free. Otherwise, there are plenty of online courses you can take on websites like Udemy or books you can buy to learn languages like C+, Python and Ruby at next to no expense whatsoever.

Carpenter

Though carpenters do generally need one or two years of training, the great thing about this type of hands-on field is that you can enter as an apprentice and get paid to work while you train.

There are several different types of carpentry, from building shelving units for industrial buildings to erecting the bare bones of a residential property.

A carpenter sands down a block of wood in Cologne. Photo: picture alliance/dpa | Federico Gambarini

Asking friends and colleagues to recommend a trustworthy builder is a good option. (Photo by Nasim ISAMOV / AFP)

If you’re good with your hands, love being physical active and overcoming technical challenges, carpentry could be a great career for you – and the money’s nothing to sniff at either.

Once qualified, the average carpenter in Germany earns around €43,700 per year, but this can rise to as much as €52,000. And with Germany battling a severe shortages of skilled carpenters, salaries are bound to keep rising in the coming years.

Administrative assistant

If you’re someone who likes to stay organised and presentable, then moving into a career as an administrative assistant could be the ideal move for you.

Though the specifics of the job depend on the company, most administrative assistants spend their days making sure everything in the office ticks over as it should, answering the phone, distributing memos, organising appointments, preparing reports and carrying out other important administrative tasks. In Germany, of course, you may also need to be proficient in the use of a fax machine.

Though there’s no formal qualifications or training required to become an admin assistant, you’ll need to show you have the qualities and skills required, including good organisation, excellent communication skills, the ability to multitask and strong attention to detail.

According to jobs portal WorkerHero, administrative assistants earn an average of €41,730 per year in Germany, but if you end up as a personal assistant to a high-powered corporate executive, the pay can go much higher.

Bank clerk

If you’ve got a good head for numbers and enjoy offering advice and assistance, transitioning into banking could be a sensible – and lucrative – career move.

Generally, you’ll need to do a traineeship with a bank to break into this field, but no degree is required – and once in there are good chances for progression.

Interestingly, the banking sector is one area of the economy where skilled workers are desperately needed, so get your foot in the door now and you’ll be in a great position to negotiate salaries later.

A sign for Postbank, one of the major banks in Germany.

A sign for Postbank, one of the major banks in Germany. Photo: picture alliance/dpa | Marijan Murat

According to job search portal Indeed, the average bank clerk in Germany earns a very respectable €45,500 per year, but that can go up depending on the bank you work for and your specialisms.

If you work your way up the ladder, the pay goes up incredibly quickly, with some bank managers earning as much as €75,000 per year.

Events planner

Though events planning is no easy ride, it can be a huge buzz for people who thrive under pressure and enjoy the satisfaction of pulling off a dream wedding or a major corporate event.

People with impeccable organisation skills, a sociable attitude and naturally elegant taste will find themselves well-suited to this career, and the best part is that no formal qualifications are needed – though taking a short course could help you learn the ropes faster.

Once you’re underway and working with clients, the sky’s the limit to how much you can earn: some of the best paid wedding and events planners earn as much as €100,000 per year.

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