The German Innovation Center just published a How-To Guide for transatlantic travel with your start-up. Here are a couple of first pointers:
1️⃣How to Germany
Self-defined as “important things to know and consider when starting a business in Germany,” this page defines types of companies, demystifies taxes and premiums, and gives tips for hiring, self-employment and more.2️⃣Federal Ministry of Economic Affairs and Energy
As close as you can get to “The OFFICIAL Guide to Starting a Business in Germany,” this page covers it all from “first steps” to a Q&A with experts to helpful checklists.3️⃣Make It in Germany
This government-sponsored site calls itself “the official website for qualified professionals.” Tabs help you explore visa and professional requirements, financing & funding, personal & company insurance and more.
Important for this context is the accompanying article on the difference in start-up scenes:
- In contrast to Germany, failure of a start-up in the US is not a stigma as long as entrepreneurs learn from their mistakes.
- Forming a start-up in the US is comparatively easy and tax laws are very founder-friendly, which is not true to the same extent in Germany. What is more, there are not as many investors and funding sources for pre-seed start-ups in Germany as there are in the US.
- German founders and investors are generally very risk-aware – even risk-averse in many cases – while a high degree of risk tolerance can be found in the venture capital and investor scene in the US. However, this higher risk tolerance and easier access to capital often encourages the premature formation of a start-up based for example on technologies that have not yet been fully developed. This results in many more failed start-ups and bankruptcies in the US than in Germany.
- Start-ups in the US profit from a particularly extensive support structure of investors, mentor and adviser networks, incubators and accelerators. In addition, American start-ups can take advantage of training programs for entrepreneurs at an early stage in the process. This multi-faceted support environment can certainly serve as a role model for Germany.