Berlin’s start-up scene – what you need to know
The start-up scene in Berlin is still emerging, but it’s quickly rising through the ranks. The past seven years have seen Berlin rise from 15th to 7th on the Global Startup Ecosystem Ranking. With the city expanding and becoming bigger seemingly every day, is now the right time to be looking into Berlin as a potential expansion destination for your business?
According to a report by McKinsey & Company, if the growth in Berlin continues at its expected rate, it’s estimated that as many as 40,000 new jobs will be created within the city by start-ups over the next three to four years. That kind of potential is not going unnoticed. The low living costs means it is starting to become an attractive city for some of the top tech talents around the world looking to make a name for themselves with a technology startup.
Growing talent pool
The talented workers heading to Berlin are contributing to the rising population of the city, meaning startups looking to get their business going in Berlin have plenty of talent to choose from when it comes to hiring. There is, however, a downside which comes from those heading to the city lacking a basic understanding of what it takes to run a successful business. A number of companies looking to Berlin for their subsidiary company have struggled when it comes to finding professional talent who can actually run the business.
It’s predicted, however, that over time those problems are likely to be teased out. Berlin’s start-up scene is still growing up, and with the city currently being ranked as providing start-ups with the second highest experience across Europe, there are already signs that the scene is becoming more professional. In fact, Berlin boasts a 20% higher percentage of employees who already have experience working within a start-up environment.
Whilst it’s certainly true that the start-up scene in Berlin has experienced some growing pains, that is to be expected of a city that has undergone such rapid expansion. With the city benefiting from a huge boost in investments, Berlin looks set to go from strength to strength over the coming years.
If you need any help with your company expansion plans, whether you want to open a UK office or look somewhere further afield, our extensive support services can help. Talk to Goodwille today about your business plans.