BERLIN (Reuters) -One in four tech startups in Germany is considering leaving the country due to concerns that an economic slowdown in Europe’s largest economy was weighing on prospects for securing venture capital, a study released on Tuesday showed. Some 26% of participants in a study by digital business association Bitkom said they were thinking […]
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One in four German startups could leave over lack of capital, poll finds
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BERLIN (Reuters) -One in four tech startups in Germany is considering leaving the country due to concerns that an economic slowdown in Europe’s largest economy was weighing on prospects for securing venture capital, a study released on Tuesday showed.
Some 26% of participants in a study by digital business association Bitkom said they were thinking about leaving, and only 23% were of the opinion that there was sufficient venture capital in Germany.
The vast majority of the 152 tech startups surveyed, 81%, said investors were showing more restraint due to the economic situation.
Nonetheless, Bitkom said 79% of companies were either confident or very confident that they would achieve their financing goals, with startups requiring an average of 2.5 million euros ($2.92 million) annually in fresh venture capital.
($1 = 0.8548 euros)
(Writing by Rachel MoreEditing by Madeline Chambers)