{"id":54776,"date":"2019-11-13T11:32:56","date_gmt":"2019-11-13T10:32:56","guid":{"rendered":"https:\/\/cms.munich-startup.net\/?p=54776"},"modified":"2019-11-12T11:21:36","modified_gmt":"2019-11-12T10:21:36","slug":"startup-association-criticizes-coalition-decision","status":"publish","type":"post","link":"https:\/\/cms.munich-startup.net\/en\/54776\/startup-association-criticizes-coalition-decision\/","title":{"rendered":"Startup association criticizes coalition decision"},"content":{"rendered":"
\n

The governing coalition wants to support startups with a new KfW fund and higher tax allowances for employee share ownership. The German Startups Association draws mixed conclusions about the coalition's decision.<\/strong><\/p>\n\n\n\n

Last Sunday, the governing coalition met in Berlin and had the media attention on its side. Late in the afternoon, white smoke rose above the Chancellery: We have reached an agreement on employee share ownership and a venture capital fund for future technologies.<\/p>\n\n\n\n

Coalition decision also affects startups<\/h2>\n\n\n\n

Didn't notice? Don't worry, the settled dispute over the basic pension was indeed the focus of the coalition and the public. Two decisions by the governing parties that could directly affect startups received little attention. The last two points of the three-page resolution document state succinctly:<\/p>\n\n\n\n

„Employee share ownership <\/strong>contribute to employees' wealth creation. To increase their attractiveness, the tax-free maximum amount will be increased from the current \u20ac360 to \u20ac720." <\/p><\/blockquote>\n\n\n\n

as well as <\/p>\n\n\n\n

\u201cThe coalition committee agrees to propose a Investment fund for future technologies<\/strong> particularly in the areas of digitalization and climate technologies, with a volume of up to 10 billion euros.\u201d <\/p><\/blockquote>\n\n\n\n

Easier recruitment and more money for startups<\/h2>\n\n\n\n

Equity investments are a popular way for startups to attract and retain employees. Innovative young companies often cannot compete with the larger companies when it comes to salaries. Especially in Munich, with its seven DAX 30 companies<\/a>With eleven companies listed on the MDAX and countless medium-sized enterprises, competition for skilled workers is fierce. Startups can leverage their growth opportunities in the battle for the best minds by allowing their employees to participate in the company's success.<\/p>\n\n\n\n

A new KfW<\/a>The fund, through which the state development bank invests in innovative digital companies, is intended to pump urgently needed money into the German startup economy. To have a chance of competing with the startup ecosystems in California, London, and Tel Aviv\u2014not to mention the billions of state funding in China\u2014German startups need growth capital.<\/p>\n\n\n\n

\u201cThe grand coalition\u2019s proposal completely ignores the urgent needs of startups\u201d <\/h2>\n\n\n\n

The German Startups Association (Bundesverband Deutsche Startups) has mixed views on the coalition decision. The startup association generally welcomes the KfW investment fund, but states that "details, such as the investment period or the planned leverage and mobilization of private capital for venture capital investments within the framework of this investment fund, are crucial for a final assessment."<\/p>\n\n\n\n

Stricter is possible Florian N\u00f6ll<\/strong>, Chairman of the Association, with the agreement on employee share ownership: <\/p>\n\n\n\n

\u201cThe grand coalition\u2019s proposal to increase the tax allowance for employee share ownership, on the other hand, completely ignores the urgent needs of startups in this area.\u201d <\/p><\/blockquote>\n\n\n\n

According to the association, many problems such as the timing of taxation and the competitiveness of taxation in an international context would not be addressed by increasing the tax allowance.<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

The governing coalition wants to support startups with a new KfW fund and higher tax allowances for employee share ownership. The German Startups Association draws mixed conclusions from the coalition decision. Last Sunday, the governing coalition met in Berlin and garnered media attention. In the late afternoon, white smoke rose over...<\/p>","protected":false},"author":26,"featured_media":54782,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1,5635],"tags":[3782,1727,247],"acf":[],"yoast_head":"\nStartup-Verband kritisiert Koalitionsbeschluss - Munich Startup<\/title>\n<meta name=\"description\" content=\"Ein neuer KfW-Fonds und h\u00f6here Freibetr\u00e4ge von Mitarbeiterkapitalbeteiligungen: Der Startup-Verband zieht ein gemischtes Fazit zum Koalitionsbeschluss.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cms.munich-startup.net\/en\/54776\/startup-association-criticizes-coalition-decision\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" 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