Top German cities for launching a start-up

Germany is a country that has much to offer to start-ups. Cities like Berlin or Munich are often included in the top EU cities for start-ups, however, investors will find attractive conditions for doing business in almost all German regions. Domestic and foreign start-ups in Germany receive an important amount of support and the start-up ecosystem is well-represented throughout the country, not only in its largest cities. Choosing where to base the company is an important step that has to do with the available work-force, the existence of start-up accelerators and communities as well as the foreign investor concentration in the region, in some cases. In this article, we present the start-up scene in some of the top German cities.

Opening a company in Berlin

Berlin has gained a reputation as the top German city for start-ups. It is an important economic hub and it also serves its purpose as a cultural hub as well. Foreign investors are well received here and many entrepreneurs, as well as talented workers and specialists, choose to be based here.

Investors in Germany need to decide where to base their company, as they will need to follow through with the requirements to register that business with the German Trade Register, which has regional offices. As far as the company type is concerned, the private limited liability company (GmbH) is one of the top choices for start-up founders. The GmbH is a popular type of company in other countries as well. The Swiss GmbH also offers the same principles of limited liability for the founders of the company (only up to the amount of their invested capital and the experts from can help you set it up).

Company formation in Munich

Munich is not far from Berlin in terms of attractiveness for foreign investors. It is the capital city of Bavaria and the second most populous city in Germany. Some may refer to Munich as the Bavarian start-up capital, as it has a high share of foreign start-up founders.

Berlin, Munich, Frankfurt, and Hamburg remain the top start-up hotspots in the country, with notable investor and foreign investor concentration in the first two of the listed cities.

Opening a company in Germany is an accessible process for investors. Choosing the right Germany city will depend on the nature of the business, the existence of business accelerators in that particular city as well as the degree of connectivity and openness towards foreign start-ups that the city has. Doing business in Germany is advantageous for many foreign investors, and for most companies, the chosen city will always provide notable business advantages.