Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
dpa

HOME > dpa

Survey: Coronavirus crisis slows down plans for transfers of business ownership

December 22, 2020


Abstract : During the coronavirus crisis, more SMEs than usual have put their plans for handing over the business to the next generation on hold for the time being.

Survey: Coronavirus crisis slows down plans for transfers of business ownership. (picture alliance/dpa)

During the coronavirus crisis, more SMEs than usual have put their plans for handing over the business to the next generation on hold for the time being. This year, more than half (51 percent) of Germany's small and medium-sized enterprises are uncertain whether and when the company should be handed over to successors, according to a survey by the state development bank KfW. In previous years, the figure had been between 41 and 45 percent. It is mainly SMEs with a somewhat longer time horizon that are suspending their planning.

Among the 3.9 million SMEs in Germany, 33 percent (previous year: 37 percent) are currently aiming for a succession solution. Another 16 percent (18 percent) are heading for closure.

According to the KfW, a basic problem with company succession is exacerbated by the coronavirus crisis: there is a lack of young entrepreneurs due to the age structure in Germany and weak entrepreneurial spirit. According to the bank's data, the number of new businesses being founded through a takeover has been stagnating at around 70,000 per year for some time. Those who take the plunge into self-employment and take over a company have above-average financing needs. They feel the financial risks of starting a business particularly strongly, KfW explained.

Notice: No person, organization and/or company shall disseminate or broadcast the above article on Xinhua Silk Road website without prior permission by Xinhua Silk Road.

Scan the QR code and push it to your mobile phone

Keyword: German SMEs

Reading:

China remains strong magnet for foreign capital amid successful control of COVID-19 pandemic

China to improve government service, facilitate SME financing

Nord Stream 2 assembly to resume this month despite US sanctions

Aerospace industry hopes for more political support

China remains most attractive offshore supplier location: report

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial