Federal government presents start-up strategy

With a ten-point plan, politicians want to improve the financing of start-ups in Germany.

The plan is now official: from a "vague draft" of the start-up strategy in June (Startbase reported) has now become a ten-point plan which, among other things, aims to "strengthen the financing of start-ups, [...] ignite the entrepreneurial spirit, [...] and place start-ups at the center". According to Finance Minister Christian Lindner, there is no lack of private capital, but rather a lack of the right framework conditions. To this end, he intends to present a Future Financing Act shortly, which is intended to improve financing options.

The financing of start-ups is one of the most important measures. In future, venture capital investments by insurance companies and pension funds, for example, are to be permitted. The German government wants to emulate countries such as the United States, Great Britain and Scandinavia. There, considerable sums from pension funds have already been flowing into the financing of start-ups by funds for years. Regulatory requirements, however, continue to hinder this flow of money in Germany.

The so-called "Deep Tech and Climate Fund", a fund for companies in sectors such as artificial intelligence and climate technology, will channel more investment. The coalition is also preparing funding initiatives for ethical companies and start-ups. A total of 30 billion euros is to be mobilized for start-ups by 2030, with further initiatives to follow. Less bureaucracy and easier IPOs are also planned. All measures are to be implemented by fall 2025.