German Entrepreneurs Younger Than Ever, Average Age Drops
The average age of new entrepreneurs in Germany fell to a record low of 34.4 years in 2024. The overall number of business start-ups saw a slight increase compared to the previous year.
Entrepreneurs starting businesses in Germany are younger than ever, with the average age recorded at 34.4 years in 2024, according to KfW Research. Individuals aged 18 to 29 represented 39 percent of all new founders, the highest proportion observed since data collection began.
This trend towards younger entrepreneurs is largely attributed to a decline in founders from older age groups, particularly those aged 40-49, who constituted 16 percent in 2024. Founders aged 50-65 made up 12 percent, marking the lowest figure for this demographic.
Despite the increasing youthfulness of founders, the total number of business start-ups rose by 3 percent to 585,000 in 2024. This growth was primarily driven by an increase in part-time businesses, while full-time start-ups saw a minor decrease.
While the overall number of start-ups increased, KfW Research notes that entrepreneurial activity in Germany has weakened significantly since the turn of the millennium. The report highlights that factors like economic conditions and educational focus on entrepreneurship play a role in an individual's decision to start a business.