Because of its steadily growing and healthy economy, Germany is a fantastic option for those looking to expand their own business overseas.
2021-04-30
Expanding your business in any capacity is a challenge that takes knowledge, willing and time. Successful global expansion will provide you with a new economy to work within, a wealth of industry resources that may not be available to you in the UK, and other new profitable opportunities.
Germany’s economy is currently ranked as the 4th healthiest country in the world. The UK is currently ranked 1 place behind in 5th. Because of its steadily growing and healthy economy, Germany is a fantastic option for those looking to expand their own business overseas.
Whilst all the signs point towards Germany being a great place to expand your business, that doesn’t mean it’s a simple process. There is time, planning, and red tape to overcome before this dream becomes reality. That is why we created Centuro Connect to help streamline the entire global expansion process.
Explore Centuro Connect, a FREE platform tailored to businesses and industries of all types, with a bank of valuable information and guidance all on expanding your business to a choice of 100+ countries.
Below, we’ve detailed some of the key factors and reasons why setting up a company in Germany is a fantastic idea. All of the country-specific data and information used in this blog comes from the Centuro Connect platform, giving you an idea of just how in-depth this resource really is.
Life in Germany
Business aside, relocating yourself and/or your assets to another country can be a daunting prospect. It’s important to understand from the beginning whether or not Germany suits you personally, and not just your company.
There is considered to be a much more compartmentalised approach to life in Germany than we’re used to in the UK. There are stricter rules on hours worked, with the official limit being set at 40 hours a week – five days a week. In the UK the limit is 48 hours, but employees can opt to work more than that.
This ‘hours per week limit’ means more leisure time for those living in Germany, with a general attitude that distances socialising hours from working life.
Living in central Europe means that, naturally, you’re central to many other countries. Whilst very beneficial from a commercial point of view, this is also a personal benefit to many that would otherwise not experience this in the UK. There’s the option for plenty of traveling in your additional leisure time!
Germany is also considered a particularly metropolitan country. If you don’t quite have the dialect fine-tuned yet, know that over 70% of the population also speak an additional language as well as German!
Notable Benefits of Expanding to Germany
This is the part that is perhaps most crucial in determining the next steps for your business. You want to ensure that expanding makes financial sense first and foremost and that Germany is providing you with something different from the UK.
We’ve already touched upon the economic strength in Germany, but what else is there to know?
The 4 focus industries in the country are Automotive, Mechanical Engineering, Chemical, and Electrical.
The governmental support for SMEs is much higher than other countries in the EU. Benefits include;
- Low-interest business loans of up to 10 million euros
- Recruitment and training support
- Wage subsidies for entrepreneurs that register a German company.
Doing business in Germany requires less backing than many other locations. Only one director and one shareholder (from anywhere in the world) are required to set up a company in the country.
In terms of the marketability of your services or products, Germany has a population of 82 million people. This makes it the biggest market in all of Eastern Europe, with only Russia having a higher population on the continent. This continues to be one of the key drawing points for those looking to expand their company from the UK, where the market is a much lesser 68 million residents.
Germany also has a highly educated population, with 81% having a recognised professional qualification or entitled to register at university. With a highly educated population comes a highly educated workforce.
How to Get the International Expansion Ball Rolling
Creating a German startup is actually much simpler than many realise. Expanding internationally is a challenge, but when done correctly, it can be a streamlined process that enhances your business hugely.
Want to learn more about how to expand your business to Germany?
You can sign up for the FREE Centuro Connect platform today and start your global expansion journey to Germany. If you would like to learn more about expanding your business to Germany, or 100+ other countries the Centuro Connect platform has details on tax, immigration, market entry points, HR, marketing, and real estate – plus contactable reliable experts to help you ace your expansion. This means that no matter what stage of the expansion journey you’re at, support is there if you face a challenge.
There’s no risk, no hidden costs, and no endless documentation to fill out. Just a wealth of guidance and support, here to aid you and your business throughout your international business expansion.
