For a startup to be successful, it should meet many factors and criteria. Especially, the location of the startup plays a major role in its progress. While there are local governments that offer merits to attract startups, the founders’ perception of the hub decides the opportunities for them to grow.
Startup Heatmap Europe is a benchmark report on founders in Europe. Like the previous years, this year too, the report has asked founders in Europe where they would like to set up their startup. And, considering a series of factors including access to capital, cost of setting up the business, availability of talent, proximity to target market, high-quality ecosystem, etc., here are the founders’ most favourite startup hubs in Europe.
#1 London – 37%
London is one of the exceptional European cities for startup development. It is a leading tech startup hub for both local and global companies and investors. The city has world-class universities and a diverse pool of international talent. Also, there is immense support from the government to make it a rapidly growing startup ecosystem in both Europe and the world. A recent report revealed the top employer brands in London that people wish to work for including BBC, Monzo, and others.
#2 Berlin – 34%
Berlin, the German capital has garnered the second position in this ranking of startup hubs in Europe. While the Berlin startup ecosystem, which is vibrant and creative with attractive funding rounds and a diverse pool of talent has a strong presence of local companies, there are companies that are relocating to the city due to the potential of growth in the city. In fact, there are many potential tech unicorns in Berlin due to attraction they get from investors.
#3 Barcelona – 18%
Barcelona is one of the most dynamic startup ecosystems in Southern Europe. It is considered one of the key regions in the continent to gain funds from the international investors. It is one of the fastest-growing tech startup hubs across the globe due to several reasons including infrastructure, quality of living, tech conferences such as MWC, local and international talent, international accelerators and incubators, and proven success model. It is home to numerous fast-growing startups including World Mastery, Woffu, Quipu, etc.
#4 Paris – 15%
Paris, the French capital is a leader when it comes to tech startups. The city is home to several hundreds of tech startups and also aims to create the world’s largest startup incubator. A few years back, the government took efforts to make Paris a better destination for startups and these efforts have turned fruitful. As a result, there are many rapidly growing startups in Paris such as Spendesk, Metron, PayFit, Meero, and others.
#5 Amsterdam – 12%
Amsterdam, the Dutch capital thriving tech startup hub with an impressive digital infrastructure. There is growing interest in the city of canals, making it a prominent choice among international professionals and investors. Amsterdam city is home to an open and creative tech scene with many innovative companies including Dott, Mollie, Etergo, BUX, etc. Notably, Amsterdam is one of the few cities in the world to have high internet speed and exceptional standard and quality of living.
#6 Lisbon – 10%
Of late, Portugal’s tech ecosystem has flourished drastically. The private equity investments have increased considerably over the recent years. The country’s capital Lisbon is also becoming a major attraction for the tech conferences such as Web Summit, which will happen for 10 years as it completed a trial of three years. It is believed that the education system in Portugal producing high and qualified professionals fuels the tech scene in Lisbon. Companies like Yoochai, JungleAI, Linkilaw, etc. have set up their businesses here.
#7 Munich – 8%
Germany is one of the developing startup ecosystems in Europe. The Deutschland is home to several innovative tech startups founded by talented and ambitious entrepreneurs who want to disrupt the market with their concepts. The German city of Munich is a hotbed of really innovative and successful tech startups including Cluno, FlixBus, and more.
#8 Milan – 7%
The Italian capital of innovation, Milan, is one of the largest tech hubs not only in the country buy also in Europe. It has attracted tech giants including Google, IBM, Cisco, Gartner, Deloitte, etc. open their offices here. Milan is one of the best places to get the attention of investors, clients and fellow founders. There are prestigious universities and abundance of capital, making this city a promising one for tech startups.
#9 Tallinn – 7%
Tallinn, the capital of Estonia has emerged as one of the most advanced digital societies in Europe. Being the birthplace of Skype, Tallinn is called e-Estonia due to its vibrant tech ecosystem. The city is home to numerous incubators, accelerators, and co-working spaces. It is the home of the Estonian startup community Lift99 and the Business and Innovation Centre of Tallinn University of Technology.
#10 Stockhokm – 6%
Stockholm is one of the leading tech cities in the world. With leading tech brand names like Skype, Spotify, and others, the city has been receiving considerable attention lately. Moreover, Stockholm is home to around 120 health tech firms with some truly exciting health tech developments.
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