Germany Sees 11% Increase in Start-Up Foundings in 2024

Despite economic challenges, start-up activity rebounds with software, AI, and education driving growth.

Germany recorded 2,766 start-up founding in 2024, an 11% increase from 2023, marking the second-highest year since 2021.
Bavaria led the nation with 538 new start-ups, followed by Berlin (498) and North Rhine-Westphalia (494), though Heidelberg topped the per-capita rankings.
The software sector saw the most growth, with 618 new companies, reflecting a boom in artificial intelligence and digital innovation.
Economic difficulties, including inflation and higher interest rates, led to increased insolvencies, particularly in eCommerce and food sectors.
University cities like Heidelberg, Aachen, and Darmstadt emerged as key hubs for start-up activity, highlighting the importance of research-driven ecosystems.