Best cities to start a business in Germany

Germany is ranked as one of the most business-friendly countries globally. It has a diverse population, and the country’s laws are flexible. Specifically, the law requires doesn’t require one to have academic qualifications to start a business. German welcomes talent from all around the world, leading to a pool of highly skilled talents in the local labour market, creating many business opportunities. The country also lies at the heart of Europe. With a vast collection of talent, it buzzes with entrepreneurship, a growing economy and numerous opportunities for those ready to explore the market and set up businesses. While starting a business in Germany, you should cushion yourself from any financial loss by having business insurance. You can use to identify reputable insurance brands for your business. You can also try out German insurances for business. This article will discuss the best cities to set up a business in Germany.


Berlin is both the capital city and a renowned city to set up a startup in Germany. It’s home to Germany’s first-ever unicorn startup N26 and the active global capital firm Rocket internet that looks into turning the dreams of talented entrepreneurs into reality. With a 3.5 million population, the city has a good reputation for innovation and attracts new talents from across the world to the startups and established companies it offers.
Berlin provides a high quality of life, a low cost of living and many investment and networking opportunities. In addition, the city is flooded with numerous investors who are looking for businesses to fund. They come with decent fixed interest rates and even offers incentives such as suspension of repayments for the first two years. The country also provides a variety of benefits, especially to tech-related companies.


Munich is the third-most populous city in Germany after Berlin and Hamburg. According to statistics, Munich’s population is expected to surpass 2 million by the year 2030.
Many large corporations have set up their headquarters in Munich. The city has many opportunities for partnerships for businesses, especially in the automotive industry and serves as an opportunity to those looking for mobility, networking, renewable energy and power supply.
The only challenge that one may face while seeking to establish their business in Munich is an extremely high cost of living; therefore, a higher investment amount would be needed for a business to gain traction.


Hamburg specializes in gaming, technology, commerce and service. It happens to be Europe’s leader in browser-based games and has tech giant’s companies like Google and other well-established businesses, including Airbus. In 2016, Hamburg was recognized as one of the cities with the most entrepreneurs globally. The high presence of entrepreneurs in the city can be attributed to the city’s high investment in creating business opportunities. Most businesses in Hamburg are in their growth phase and looking for investors.


Cologne has more than one million people, and just like Berlin, it is known for its culture and businesses. The city has good connections globally since its centrally located in Germany. It leads in fields of media and communication and has a vibrant startup culture centred around fashion, technology and sports-related areas. In Cologne, business opportunities are spread out, meaning you’ll be forced to go out and meet people. The city will also require you to become more active and network more.


Frankfurt happens to be Europe’s training ground for businesses in the financial industry. It is also well equipped to serve businesses in the automotive and engineering sectors. Some of the banks you will find in Frankfurt include European Central Bank, Deutsche Bank and German Federal bank. Frankfurt also has a serene environment that is uniquely charmed to make you want to work here.


With about 85,000 companies, Dusseldorf is both a global and national centre of science and business. It specifically has industries in the areas of industrial technology, innovation and health services. Companies in the fashion sector also thrive highly in Dusseldorf. With lots of resources, Dusseldorf is a perfect city to establish your business in.

In conclusion, German offers some of the greatest opportunities in Europe, especially to starting and expanding businesses. Germany makes it easy to start up a business even to foreigners owing to its simple visa system. If you are looking for the best city to startup and set up your business, Germany offers cities with a good business environment. This article helps the reader know the best German cities you can open a business.