2020 was a successful year for start-ups looking for money. According to the current edition of EY's annual "Start-up Barometer", the number of financing rounds by European start-ups rose to just under 6,700, with the financing volume reaching CHF 39 billion. According to EY, the financing volume in the second half of 2020 reached the highest value ever for a half-year, at around CHF 22.7 billion.
Based on EY's evaluation method, Switzerland scored fourth place in the European ranking in terms of both the number of financing and the investment volume, behind the UK, Germany and France. In terms of invested volume, Switzerland has thus moved up one place.
Zurich's performance is also remarkable. With regard to the number of financing rounds, EY sees Zurich in fourth place in Europe behind the megacities London, Paris and Berlin. This means an improvement of one rank compared to the previous year.
At the European level, the UK, in particular, propelled the European start-up market last year: Despite the Brexit finally being completed at the end of 2020, the number of financing rounds rose to 2,113, according to EY, and the financing volume amounted to around CHF 14.9 billion. Thus, the UK has further extended its lead over the rest of Europe.
As numerous investors continue to look for investment opportunities and spot potential in new and young companies, start-up expert Sascha Stahl from EY Switzerland also expects a strong start-up financing year in 2021. Stahl says: "Numerous young companies have convincing stories to tell, which are often about social megatrends - for example, digitalisation, climate and environmental protection or health." He added that Switzerland could also continue to come up with innovative founders in these areas.
(Press release / Stefan Kyora)