The coronavirus pandemic has put particular pressure on young companies without venture capital funding. Their number fell by 36.6 percent last year, from 60,600 to 38,400. Startups financed through external equity capital, on the other hand, were hit much less hard by the crisis: The number of these Startups in the narrower sense fell by 8.5 percent to 8,600 last year. The chief economist of KfW Fritzi Köhler-Geib says:
"Although the Corona crisis left its mark on startups in 2020, we expect that after this exceptional year, the startup scene will develop as rapidly as in previous years."
KfW study finds low proportion of female founders
Women are the KfW figures According to the study, women are significantly underrepresented in the startup ecosystem. On average, between 2016 and 2020, female startup founders accounted for only 20 percent. The proportion of women among all new business founders, however, is almost twice as high at 38 percent.
"Women's entrepreneurship is still influenced by gender stereotypes. These ultimately lead to the low proportion of female startup founders,"
says Köhler-Geib.
"The German startup ecosystem and the VC industry would benefit from becoming more female. Germany cannot afford to waste its innovation potential. Gender stereotypes that discourage women from founding startups are a hindrance. It is important that highly qualified startup teams emerge regardless of gender and background and find the best possible conditions for financing, growth, and success. This requires overcoming gender stereotypes and strengthening role models as multipliers."
