Germany sees surge in 2025 firm startups driven by job‑security fears

The Deutsche Industrie‑ und Handelskammer (DIHK) reported that the number of new firm registrations in Germany rose by more than 20,000 in 2025, reaching roughly 171,000. This increase follows a period of higher activity between 2010 and 2020, when annual registrations averaged about 100,000.

According to the DIHK report, 36 % of prospective founders cited a lack of alternative employment opportunities as their main motivation, the highest share in eleven years. DIHK President Peter Adrian warned that, while entrepreneurial interest is growing, it does not signal a broad business boom and reflects a largely stagnant economy. Survey data from around 350 IHK advisors and about 200,000 contacts with aspiring entrepreneurs also highlighted that 73 % of founders want simpler regulations and 61 % seek a more straightforward tax system. Many view starting a company as an escape strategy rather than a pursuit of new market opportunities.