Why UK businesses should seek German expansion

John E. Kaye
- Published
- Foreign Direct Investment, Home

Are you a UK business leader thinking of expansion? Then think of Germany, and unlock the immeasurable commercial opportunities on offer, says Thim Werner of BDG Consulting GmbH
The world has transformed considerably over the last decade, with businesses globally leveraging these changes to build solid revenue. UK business that want to expand into mainland Europe face tremendous challenges. But they should persist, as many business development experts see huge opportunities in establishing a strong foothold in the European market. In this article, I will outline the combination of factors that make Germany an appealing destination for UK businesses.
Brexit is Done
One factor that makes Germany an attractive market for UK businesses is the completion of Brexit. And, after years of uncertainty, we can finally say that Brexit is behind us, that the dust has settled. This provides clarity on practical matters such as VAT, taxes, and export documentation, enabling businesses to navigate the UK-Germany market with confidence and clarity. Chaotic times are often catalyst for renewal, and building agility. Furthermore, the convergence of disruptive events, such as the Covid-19 pandemic, which accelerated large-scale digital transformation – have had a profound impact on the German market. Traditionally known for its cautious decision-making, German companies have become more open-minded, actively seeking new and innovative partnerships with companies ready to expand into the German market. These chaotic times have indeed been a catalyst for agility and opportunity.
English proficiency
The linguistic landscape in Germany has significantly changed. Gone are the days when language barriers hindered business communication. Some 20 years ago many Germans only spoke basic English. Today, English proficiency in Germany has become widespread, with adult’s learning the language becoming a phenomenon. This eliminates the need for extensive translations, making it easier for UK businesses to engage with their German counterparts. Seamless communication facilitates business negotiations and establishes strong connections with local partners, suppliers, and customers.
SMEs are key
Germany’s remarkable number of small- and medium-sized enterprises (SMEs) compared to other European countries offers immense potential for UK businesses to establish partnerships. According to the official German statistics agency, there are approximately 3.2 million German SMEs, the collaboration opportunities abound enormously. Unlike France, where approximately 2.8 million out of 2.9 million SMEs are micro-sized and only employ up to nine people, Germany presents opportunities for UK businesses to collaborate with sizeable companies in various sectors, including mechanical, medical, chemical, and electrical industries.
Business Development Germany (BDG) are here to help you. With our expertise and knowledge of the German market, we can assist you in successfully expanding your UK business to Germany. Contact us today to discuss your expansion plans and how BDG can support your growth journey. Remember, growth waits for no one.

About the author
Thim Werner is Managing Director of BDG Consulting GmbH.

Further information
www.businessdevelopmentgermany.com
[email protected]
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