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Business destination Germany

Germany is known for both its innovative small and medium-sized enterprises (SMEs) as well as for its successful global players. Germany’s central location within the European Union with easy access to all other 26 member states makes it an ideal location for international businesses who want to tap into this very large marketplace.

In addition to the distinctive business landscape and the associated opportunities for cooperation, Germany offers a highly interesting market for all forms of market entry. For example, hundreds of thousands family-owned businesses in Germany including many true world market leaders in their respective fields of play are looking for succession and may well serve as a partner and suitable entry point to the largest economy in Europe. Also the striving start-up scene in Germany, esp. in Berlin, Munich, Frankfurt and Düsseldorf, offers chances for investments. Our Deal Advisory teams are standing by to help you with your business expansion into Europe.

Every business step has its very own challenges and requires a bespoke formulation of targets and strategies. We offer tailored solutions and solid industry expertise through our AuditTaxDeal AdvisoryFinancial Services, as well as Consulting professionals. Last but not least, comprehensive legal* advice in nearly all areas of business law is being provided by KPMG Law Rechtsanwaltsgesellschaft mbH.

If you would like to stay updated on current topics as well as latest developments regarding Germany as a business location you may want to subscribe to our Business in Germany newsletter or choose from one or more newsletters covering a whole range of topics around regulatory as well as transformational change which are impacting international business today.

As an investor in Germany, you need to fully understand local market dynamics as well as the competitive environment you operate in. Regardless of what you are trying to achieve, with us at your side you’ll have the right support to reach your goals. Our International Business experts at KPMG in Germany offer you expedient knowledge from the set-up resp. the take-over of an entity until the divestment resp. closure of the operations. The country specialists have spent many years working abroad and know the pitfalls and hurdles which need to be overcome from the perspective of the international investor. We welcome you to contact us directly about your questions and needs so that we can work together to find solutions.

 

* Legal services are provided by KPMG Law Rechtsanwaltsgesellschaft mbH

Key Facts Germany

For your market entry to Germany we recommend informing about general economic environment and KPI´s of the German economy – the Economic Key Facts Germany. Germany is a perfect place for foreign investment because it is considered as one of the most international economies globally. Around 50% of annual GDP are being exported to other countries making Germany one of the top three trading nations worldwide. In addition, most Germans live in small and medium-sized cities. Global niche market providers, so-called hidden champions, are often located there as well. Germany is home to by far the largest number of hidden champions in the world, which are a main pillar of the well-known German Mittelstand and Germany's innovative power.

Greenfield Investments

Germany offers a stable political system and the opportunity of long-term planning, which is particularly advantageous for long-term-oriented greenfield investments. Establishing, structuring, and financing a new business case in a foreign market environment is challenging and fraught with risk; yet it also offers opportunities for future business success. Whether corporate form, market entry strategy or the understanding and complying with the specific set of rules and regulations in Germany: decisions are made in the run-up to the future success of your foreign business. In an unfamiliar market environment, we advise you thoroughly and stand by your side at every step along the way – based on our knowledge of your specific cultural background and interacting with you in your mother tongue.

Growth Markets

Are you searching for an innovative and supportive growth model? Germany offers the ideal basis for this with top-class universities, highly trained professionals and numerous opportunities for research and development cooperation. In addition, Germany itself offers a large market in both the business-to-consumer and business-to-business sectors. In addition to the national market participants, the German market also enjoys a good reputation internationally and is in great demand. Moreover, at the center of the EU, Germany is a perfect starting point for further growth expansions in the EU. We provide an overview of the important sectors and present further interesting topics for you.

Inbound Deals

The German population is in decline due to demographic change, which is leading to an increase in company successions at various family-owned businesses. Furthermore, the German start-up scene is flourishing, and venture capital investment has reached an all-time high. On top German business landscape is highly diverse and offers interesting targets and investments for all buyer purposes. Nevertheless, company acquisition processes are very complex and subject to numerous regulatory hurdles, which can hardly be overcome without external advice. Be on the safe side and get in contact with our M&A-specialists.

Initial Public Offering

There are over 7.600 public limited companies in Germany. Besides the opportunities an IPO offers, the path to the stock exchange is not always easy. Complex legal requirements, internal corporate restructuring, and complicated ownership structures, to name just a few challenges. Our capital markets specialists will be glad to advise you on all matters relating to IPOs as well as in the area of restructuring.