BERLIN (dpa-AFX) – Rising interest rates and risk-averse financiers continue to cause problems for German start-ups. In a survey by the digital association Bitkom, around eight out of ten start-ups stated that investors had become significantly more cautious due to the weak economy. As a result, a good 70 percent will have capital requirements in the next 24 months – on average it is about 2.3 million euros, the association announced on Monday in Berlin. That is a drop of almost a third compared to the previous year with 3.3 million euros
According to the survey of 203 tech companies, only 17 percent of start-ups with capital requirements have secured financing for the next two years, more than three quarters (79 percent) are still looking. 14 percent of them consider it unlikely that they could raise the money they need.