Development bank: Corona crisis slows down founders

Frankfurt / Stuttgart / Munich / Nuremberg – Because of the corona pandemic, the number of business start-ups will decrease, according to experts.

“The Corona crisis brought high burdens for the self-employed and companies, and economic uncertainty has increased significantly. At the beginning of 2020, many start-up plans were put on hold, ”said the chief economist of the KfW development bank, Fritzi Köhler-Geib.

Some of the founding plans were made up for in the second half of the year and were ultimately implemented. “However, overall start-up activity was still weaker in 2020 than in the previous year.” KfW does not want to present exact figures for 2020 until the middle of the year.

In 2019, the number of business start-ups rose again for the first time in years, supported by the development of the economy and the labor market. KfW Bankengruppe, based in Frankfurt, is assuming an increase of around 58,000 to 605,000 start-ups in the “Gründungsmonitor 2020”. Corona-related restrictions in public life or lockdowns in entire industries made it difficult to acquire customers, explained a spokesman.

It is extremely difficult to found a company in such an environment. “This is an enormous challenge, especially for new companies that have not yet built up a customer base.”

On the other hand, the crisis created new needs and new business opportunities arose. “Digital business models in particular should benefit from this,” it says.


Leave a Reply

Your email address will not be published. Required fields are marked *