5/4/2009

Bavaria’s Economics Minister comments on current start-up figures

MUNICH  Bavaria is the Number One start-up state in Germany: While most of the other German states had to accept a shrinking SME base, the State of Bavaria could on balance boast over 1,800 new entrepreneurs last year. “That is an encouraging signal and a sure sign of the excellent framework conditions that Bavaria has to offer for young entrepreneurs and SMEs”, commented the Bavarian Minister of Economic Affairs, Martin Zeil, referring to the latest figures released by the Institute for Small Business Research (Institut für Mittelstandsforschung) in Bonn for start-up activities in 2008.

With an increase of 1,879 in new companies launched, Bavaria is the only non-city state in Germany to achieve a positive start-up balance. The State far outperforms the other large states of North-Rhine-Westphalia, Baden-Württemberg, Lower Saxony and Hesse. In absolute terms, however, the number of new businesses fell slightly in 2008 both for the whole of Germany and in the Free State. Last year, 59,501 people in Bavaria ventured to make the big step into self-employment. That was 2,988 fewer than in 2007. Economics Minister Zeil attributes this slight overall reduction in willingness to set up a new business to the relatively good economic situation still prevailing in 2008. Many potential founders of new firms had opted for permanent employment instead.

“Self-employment can open up new opportunities and perspectives especially in the light of the current economic crisis. Together with our partners in the Bavarian Start-Up Pact (Existenzgründerpakt Bayern) we will therefore continue to do all we can to support sustainable start-ups in 2009 as well”, Zeil underlined. The most important instruments are the start-up agencies as first contact addresses, low-interest loans under the SME loan program with 70 percent indemnity against liability and our business incubators. Comprehensive information on starting up a new business can be found in the new brochure “Start-Ups in Bavaria” and in the Internet under www.startup-in-bayern.de

Source: Invest in Bavaria

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