Whitepaper: Venture Capital in Germany

In this newly released Whitepaper, DTCP and OC&C identify four key areas that Germany as a society and economy should address to support the start-up and venture capital eco-system and to catch up with leading venture economies like the US or Israel. The paper focuses on how the largely industrial economy of Germany can defend and expand its future relevance in times of significant technologic innovation. Find the download link below.

Download: Whitepaper "Wagniskapital in Deutschland" (German)

Executive Summary:

  • With rapid technologic shifts, venture capital is a crucial lever to ensure future competitiveness of national economies currently leading in traditional industries
  • In Germany, below 0.1% of GDP is invested in venture capital, less than in other geographies in European countries like UK or France, and significantly less than in the US and Israel
  • Out of these ca. €1.7bn, only 1% find their way into German key industries such as automotive and engineering. With new venture-backed challengers competing with traditional German core industries, we recommend the following actions to ensure future economic viability:
  1. Improve regulatory framework for start-ups and investors
  2. Increase the supply of capital by attracting existing and new groups of
        investors
  3. Foster start-up- and VC culture with focus on education and support for
        existing and aspiring entrepreneurs
  4. Strengthen the country’s tech competency by channelling government
        grants to technology sectors, and by facilitating access to highly-skilled
        workforce