Startups in Frankfurt, Germany: 2027 guide

Startups in Frankfurt: the short answer

Startups in Frankfurt grow next to the money: the European Central Bank has its main building on Sonnemannstrasse (ECB), and banks, insurers and asset managers are the first customers for fintech, regtech and data startups. Frankfurt ranks #97 of 1,000 cities in our startup city ranking (StartupBlink 2024 ecosystem scores). Founders plug into TechQuartier, the Futury startup factory and Goethe University’s Unibator, and Hesse adds a founder stipend of up to €2,500 a month. The trade tax multiplier of 460% puts the combined tax on company profit at about 31.9%, while neighboring Eschborn charges 330%.

Is Frankfurt a good place to start a startup in 2027?

Frankfurt suits B2B founders in fintech, insurtech, regtech, payments, digital assets and data infrastructure, plus teams that sell to large corporates in the Rhine-Main region. TechQuartier runs a dedicated TQ Accelerator: Digital Finance for fintechs that want to build in Germany, and its Tech & Data Lab gives startups a finance sandbox to test products with partners (TechQuartier). Futury links founders with more than 130 industrial partners and aims to build 1,000 new startups by 2030 (Futury).

It suits you less if you build a consumer app on a small budget and want the lowest local tax. Frankfurt’s trade tax multiplier is the highest of all municipalities in the IHK Frankfurt table, where Eschborn is the lowest (IHK Frankfurt). Founders who care about every point of tax compare locations across the city border before they register.

What does the Frankfurt startup ecosystem look like?

• TechQuartier: the startup hub at Platz der Einheit 2 that connects startups, corporates, investors and public bodies in fintech, impact and tech, with coworking and programs such as HESSEN10 for the ten most promising startups in Hesse, Hessen Fundraising Readiness and the Impact Growth Alliance for agri and food founders.
• Futury: one of Germany’s ten officially recognized Startup Factories, run with the Rhine-Main universities and the Frankfurt School of Finance & Management. Its INNOVATE, CREATE and SCALE tracks take founders from research idea to investment, and its matching program pairs technical founders with business co-founders.
• Goethe University Frankfurt: the Goethe-Unibator incubates startups and spin-offs from students and researchers with one-on-one advice and support programs, and INNOVECTIS handles patents, licensing and access to money for development projects.
• Wirtschaftsförderung Frankfurt: the city’s economic development agency gives founders free, personal and confidential support from idea to market launch. It also hands out the Frankfurter Gründerpreis, awarded since 2001, with nine young companies in the 2026 final on 10 November.

Where do founders in Frankfurt find funding?

• Hessen Ideen Stipendium: up to €2,500 a month for six months plus an accelerator with expert workshops and coaching, for students, alumni and staff of Hessian universities with an early-stage, knowledge-based idea.
• EXIST Gründungsstipendium: the federal stipend for founders from universities pays €1,000 to €3,000 a month for 12 months, plus up to €30,000 for materials for teams and €5,000 for coaching.
• BMH Beteiligungs-Managementgesellschaft Hessen: the state’s fund manager runs Hessen Kapital, the Technologiefonds Hessen IV for tech startups (launched 2023) and the HessenFonds Beteiligungen, which invests up to €10 million per company. BMH manages €450 million, holds 220+ stakes and invested €32.0 million in 2025.
• High-Tech Gründerfonds (HTGF): more than 800 investments, with first pre-seed and seed tickets of €800,000 or more.

How do you register a company in Germany?

Most founders pick the GmbH: €25,000 share capital, at least €12,500 paid in before registration (Existenzgründungsportal). The UG (haftungsbeschränkt) starts at €1, paid in full, and keeps 25% of yearly profit in a reserve until it reaches €25,000 (Existenzgründungsportal). A notary certifies the articles and files them with the Handelsregister (commercial register), and since 1 August 2022 this can run by video, also from abroad.

What taxes does a startup pay in Germany in 2026?

• Corporate income tax (Körperschaftsteuer): 15% (§ 23 KStG) plus a 5.5% solidarity surcharge on that tax (§ 4 SolZG), so 15.825%.
• Trade tax in Frankfurt (Gewerbesteuer): trade profit times 3.5% (§ 11 GewStG) times Frankfurt’s multiplier (Hebesatz) of 460% in 2025 and 2026 (IHK Frankfurt). That makes 16.1% of trade profit, with no allowance for companies, and a combined rate of about 31.9%. In Eschborn, at 330%, the combined rate is about 27.4%. Destatis reports a 410% national average for 2025 (Destatis).
• Legislated cut: corporate tax stays at 15% in 2027, then falls one point a year to 14% in 2028 and 10% from 2032 (§ 23 KStG, Bundesfinanzministerium). With Frankfurt’s current multiplier, 2028 profit would carry about 30.9%.
• VAT (Umsatzsteuer): 19%, reduced 7% (§ 12 UStG).
• Research allowance (Forschungszulage): 25% of eligible R&D costs, 35% for SMEs (§ 4 FZulG). From 2026 the cost base is capped at €12 million a year, and new projects add a 20% flat overhead charge (BSFZ).

Which visa can a foreign founder use to move to Frankfurt?

EU citizens need no permit. Non-EU founders apply for the residence permit for self-employment under § 21 AufenthG: the business must serve an economic interest or regional need, promise positive economic effects and have secured financing, through equity or a loan commitment. Applicants over 45 need adequate pension provision. The permit lasts up to 3 years, and a settlement permit can follow once the business is sustainable. Graduates of German universities, researchers and EU Blue Card holders qualify on easier terms when the business relates to their studies or research, which helps Blue Card holders who first came to Frankfurt for a job.

Pros and cons for founders in Frankfurt

Pros

• Banks, insurers, the ECB and their suppliers make Frankfurt the obvious base for fintech and regtech sales.
• TechQuartier and Futury give founders programs, corporate partners and investor access in one region.
• Hessen Ideen and EXIST pay founders’ living costs in the first months.

Cons

• The 460% multiplier is the highest in the IHK Frankfurt table and puts the profit tax at about 31.9%.
• Eschborn next door charges 330%, so the city itself is the pricier place to register.
• Most programs and partners target B2B and finance, with less for consumer startups.

What does Frankfurt offer women founders?

jumpp Frauenbetriebe e.V., based at Hamburger Allee 96 in Frankfurt, advises women who want to start a business, checks plans for the Gründungszuschuss start-up grant and helps with funding applications. It also runs the Hesse-wide Koordinierungsstelle Frauen & Wirtschaft, the Inspire Camp für Fempreneurs, the jumpp Inspire Award and the Unternehmerinnenforum RheinMain network, and its 25th Hessischer Unternehmerinnentag drew a record of about 700 registrations. For founders from universities, EXIST Women supports women with a first startup idea for up to 10 months, and deep tech founders can apply for Women TechEU, which pays €75,000 in non-dilutive funding plus mentoring to 160 women-led startups.

FAQ about startups in Frankfurt

Is Frankfurt a good city for fintech startups?

Yes. The ECB, banks and insurers are local customers, and TechQuartier runs a fintech accelerator and a finance sandbox for testing products with partners.

What is the trade tax rate in Frankfurt?

The multiplier is 460%, so trade tax is 16.1% of trade profit. With corporate tax and solidarity surcharge, a company pays about 31.9% in 2026 and 2027.

Is there a founder stipend in Frankfurt?

Yes. University founders in Hesse can get the Hessen Ideen Stipendium (up to €2,500 a month for six months) or the federal EXIST Gründungsstipendium (up to €3,000 a month for 12 months).

Can a non-EU founder start a company in Frankfurt?

Yes, with a residence permit for self-employment under § 21 AufenthG, valid up to 3 years. EU Blue Card holders and German graduates qualify on easier terms.

Sources (checked October 2026)

• ECB: address
• IHK Frankfurt: trade tax multipliers 2026 and 2025
• TechQuartier
• Futury
• Goethe University Frankfurt: founding
• Wirtschaftsförderung Frankfurt
• Hessen Ideen
• BMH Hessen
• High-Tech Gründerfonds
• EXIST Gründungsstipendium and EXIST Women
• jumpp Frauenbetriebe e.V.
• EIC: Women TechEU
• Existenzgründungsportal: GmbH and UG
• § 23 KStG, § 4 SolZG, § 11 GewStG, § 12 UStG, § 4 FZulG, § 21 AufenthG
• Destatis: trade tax 2025
• Bundesfinanzministerium: Wachstumsbooster
• BSFZ: research allowance from 2026

MeanCEO Index for Frankfurt 🚀

Frankfurt is Germany’s banking capital and a growing startup city with a strong fintech scene. Here is how it scores for female entrepreneurs on the ten factors of the MeanCEO Index.

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1. Weather ☀️

• Score: 5/10
  • Frankfurt has moderate weather with a fair share of sunny days and chilly winters. Rain falls evenly through the year, manageable without being a selling point.

2. Location 🏖️

• Score: 3/10
  • Frankfurt sits on the River Main, far from the coast. There is no easy beach access for swimming, which keeps this score low.

3. Women Friendly 👩‍💼

• Score: 7/10
  • Germany backs gender equality, and Frankfurt follows suit, with jumpp and other networks supporting women in business. Some barriers remain, and there is room to do better.

4. Foreigners Friendly 🌍

• Score: 6/10
  • The city is open to foreigners, women included, thanks to its international population. Building close friendships takes time in the first months, and the expat and startup communities help.

5. English as a Business Language 📚

• Score: 8/10
  • English is widely used in the startup scene and in international companies, which makes communication easy for foreign founders.

6. Delicious Cuisine 🍷

• Score: 6/10
  • Hessian food is hearty, with several local specialties, and onions turn up in many dishes. Wine regions along the Rhine add flavor and variety.

7. Ease of Getting Married and Starting a Family 💍

• Score: 5/10
  • The dating scene is competitive. A diverse social life offers chances to meet people, and traditional values in some circles make long-term plans more complex for women.

8. Medicine 🏥

• Score: 6/10
  • Healthcare in Frankfurt is good, and health insurance is mandatory in Germany. Waiting times for specialists differ, and private insurance costs more.

9. Ease of Transportation & Traveling 🚍

• Score: 9/10
  • Frankfurt’s rail and bus network makes getting around easy, and Frankfurt Airport connects the city with the world. Moving around costs founders little time.

10. Startup Mindset 💡

• Score: 7/10
  • Frankfurt supports new companies, though the finance culture is more risk-averse than in Berlin. Failure still carries some stigma in conservative circles.

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MeanCEO Index Score: 62/100 🌟

Frankfurt gives female entrepreneurs a balanced, growing environment. Weather, location and some cultural barriers hold the score back, while a strong startup community, access to corporate customers and excellent transport give real advantages. With solid infrastructure and growing support for women-led companies, Frankfurt keeps building its place as a startup city.

Happy entrepreneurship! 🚀