Germany is the home of the SME. While it is known for its industrial giants including BMW and Siemens, approximately 99% of all German companies are SMEs. This means that more than 3.6 million companies provide more than 60 percent of all jobs in Germany. On this basis, foreign businesses looking to enter the market can be assured that size is no barrier to success, as the German market is particularly supportive of SMEs.
Another compelling reason why it makes sense to enter this market is the fact that Germany has a Gross Domestic Product (GDP) of more than EUR 2.7 trillion, making it the largest economy in Europe and the fourth strongest economy in the world. This consistently strong economic performance offers substantial long-term growth potential for businesses from countries such as the UK and the US.
Furthermore, a foreign business that demonstrates the credentials and persistence to satisfy the testing requirements of the German market can often then use this success as a springboard to further expansion abroad, in markets such as Russia, Belarus, Ukraine and Turkey.
Finally, the law is on your side. With German law making no distinction between Germans and foreigners in the establishment of companies and with no restrictions on the repatriation of profits, nothing stands in the way of ambitious entrepreneurs with adequate capital to take a share of this lucrative market.