Less than a quarter of startups have the stereotypical foosball table, according to the German Startup Monitor (DSM) report released Tuesday. For many, the foosball table, a staple in the startup scene, has come to symbolize the perks and drawbacks of working for a fledgling company.
But the annual report, compiled by the professional service company KPMG and The German Startup Association, provides insight that extends far beyond clichés about startup culture.
The 2016 report found that Berlin startups are especially international when compared to other major German cities.
The number of startup employees in Berlin that are not German citizens jumped from 33 per cent in 2015 to 42 per cent, the report said. The rise in international employees was observed across all of Germany, with Munich coming in second place with 36 per cent of startup employees being non-natives.
No conclusions were drawn as to whether the rise in international employees is related to the increased number of refugees that came to Germany last year.
Berlin held the lead when it comes to the country’s five startup hotspots, which included Rhine-Ruhr, Stuttgart, Munich and Hamburg, but the percentage of startups headquartered in the city dropped significantly from 31 per cent in 2015 to 17 per cent.
The report went on to say that female founders are still extremely underrepresented in Germany’s startups. They comprise only 13.9 per cent of founders, up only 1.1 percent over the last three years.
And with startups having an average of 14 employees, including the founders, it makes sense that flat organizational structures, meaning there are few or no levels of middle management, are dominating. Ninety-five per cent of Germany’s startups “do not have more than three hierarchy levels.”
Fair enough, especially since ties are a thing of the past; 94 per cent of Germany’s startups permit sweaters and hoodies in the workplace.