News from 2026-05-19 / KfW Research
KfW Entrepreneurship Monitor 2026
Entrepreneurial activity in Germany: Part time self-employment is growing; young adults are shaping entrepreneurial landscape
The number of business starters grew significantly in 2025. In recent years there has been a noticeable shift to part-time entrepreneurship.
The percentage of hybrid entrepreneurship – where the founder remains employed while running their business – remains high. The entrepreneurial landscape continued to become younger in 2025, with the average age falling again. Young entrepreneurs often start their business while studying. The multi-annual trend to increasing prevalence of digital offerings continues. Many entrepreneurs view their business as a start-up. Bureaucracy is a burden for many entrepreneurs. They spend many hours a week complying with statutory and regulatory requirements. Entrepreneurial activity in 2026 can be expected to continue on a similar level as in 2025 – with moderate upside potential but also with downside risks.
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