The much-anticipated yearly report from Startup Genome was released today and positions Frankfurt as a leader according to multiple categories. Among the indicators where Frankfurt ranked favourably, the early-stage funding per startup (21st), the sense of community (7th) and global connections happening locally (top 5 globally).
Frankfurt, Hessen, April 17, 2018 – Released at the Global Entrepreneurship Congress (GEC) in Istanbul, the Global Startup Ecosystem Report (GSER) 2018 features insights from over 10,000 founders across 45 cities, and shows what it takes to build a dynamic startup ecosystem. For the second time since 2017, Frankfurt is one of the top 45 cities for which detailed data was collected. The Frankfurt startup ecosystem has received special recognition worldwide for the creation of a FinTech cluster and is presented several times as a future hub of the new tech era.
“The Frankfurt region combines a solid (digital) infrastructure, the right kind of talent, globally acknowledged research & teaching and a decade-long experience of established companies. The Masterplan for the FinTech and Startup region Frankfurt Rhein-Main, developed by TechQuartier, defines specific measures to foster the creation of tomorrows ideas, businesses and innovation. Together with partners from the worlds of industry, science and politics, the State Government of Hessen fully supports the implementation of the Masterplan.“ Tarek Al-Wazir Hessian Minister of Economics, Energy, Transport and Regional Development.TechQuartier
According to the authors of the report, one of the keys to Frankfurt’s success is its clear focus on FinTech. “Frankfurt has the highest (together with another ecosystem) concentration of start-ups in a particular subsector in the almost 100 ecosystems worldwide,” the report states. In addition, more than 50% of local VC investments were invested in Fintech start-ups between 2012 and 2017.
“Frankfurt has a relatively high number of startups in the B2B sector. For the FinTech sector, this results in the proximity to regulators and banks for partnerships. The Frankfurt ecosystem offers the best conditions for starting and growing a FinTech business with access to experienced workforce and investors. We see FinTechs as partners to innovate our business and not as competitors” says Swen Moellmann, Head of Digital Strategy & Innovation at ING-DiBa.
This large concentration of financial expertise, banks and FinTech start-ups and the close cooperation between the start-ups leads to 7th place worldwide in the “sense of community” indicator.
“In the last two years, the start-up scene in Frankfurt and the Rhine-Main region has developed rapidly. A key factor here is the excellent interaction of the players in the Frankfurt financial centre. We will continue to do so and thus make even better use of the region’s potential,” says Thomas Groß, Deputy Chairman of the Board of Managing Directors of Helaba.
While the Global Startup Ecosystem Report gives an overview of how Frankfurt compares with other ecosystems worldwide, a more detailed study is also in progress. This will focus in particular on high-growth start-ups (or scale-ups) and compare Frankfurt with other leading ecosystems in Asia and North America. The results of this study will be presented at a press conference at TechQuartier on 12 June 2018.
Download the full report here: www.startupgenome.com/report2018
TechQuartier (TQ) is the central platform for the startup community in the Frankfurt Metropolitan Region, enriching the vibrant startup ecosystem with its unique community of more than 100 startups and 30 corporate partners and academic institutions. Offering over 3,200 square meters of flexible working space for startups, scale-ups, and the innovation teams of established companies, TQ offers an ideal environment for the development of new technologies, services and business models. TechQuartier has been designated by the Federal Ministry for Economic Affairs and Energy as Germany’s “FinTech-Hub.”
Startup Genome works to increase the success rate of startups and improve the performance of startup ecosystems globally. Fueled by the Voice of the Entrepreneur – the world’s largest primary research conducted with more than 10,000 startups annually – Startup Genome advises leaders of innovation ministries, agencies and organizations supporting startups. It brings data-driven, actionable insights, clarity and focus needed to produce more scale-ups, jobs and economic growth worldwide.