Heilbronn: start-up mecca with charisma

Things are looking up: After years of crisis in the start-up scene, the number of new companies will rise again for the first time in 2024. Miriam Wohlfarth, one of the first fintech founders in Germany and 42HN board member, and Oliver Hanisch, managing director of the Heilbronn start-up hub Campus Founders, discuss what is needed now for a real upturn. A conversation about the German culture of error, Silicon Valley as a mindset and Heilbronn as a role model for the necessary change.

Where does the German tech scene stand in international comparison?

Oliver Hanisch (OH): That depends: It is often said that we are lagging far behind Asia and the USA. When it comes to research in the tech sector, however, we in Germany are still at the top! When it comes to patent applications, for example, we are doing very well in international comparison. Our problem, however, is that we are not bringing this wealth of ideas to the streets. We have this great spirit of science, but when it comes to entrepreneurship - to doing things - we in Germany often shy away.

Miriam Wohlfarth (MW): Exactly! Entrepreneurship has an enormously negative connotation in Germany. These are people who are greedy and want to enrich themselves at the expense of others, that's more or less the tone. You only have to turn on the crime scene on a Sunday evening, the cultural asset in Germany par excellence: in how many episodes are entrepreneurs the bad guys? Added to this is a great sense of security: stay in a company for as long as possible, don't take any major risks, that has been the mantra in Germany for the last few decades. But we have actually proven that we can tackle things - see the years of the economic miracle. Basically, they were all start-ups back then: people really dared to do something and ultimately achieved things that were hardly imaginable.

So cultural change is the key word?

OH: Definitely. Especially when it comes to founding a company or working with start-ups, a lot of fears arise. You don't start with the perfect solution, but develop it during the process. There is no guarantee that everything will work out in the end. Another deeper problem is our culture of error in Germany. Failure is quickly dismissed as a "failure", whereas elsewhere it is seen as a learning experience. At Campus Founders, we therefore work with young people from a very early stage and slowly introduce them to entrepreneurial thinking and action. For example, we go to universities and support students' projects. We encourage them to take their ideas a step further. And if they dare, we support them throughout the entire process: We offer a large platform for networking, mentoring programs, but also start-up grants, market access and contacts with established companies.

MW: It's really unusual that you take such a holistic approach! I usually have to apply with a finished pitch and don't even get the chance to play through my project with someone first. We lose a lot of good ideas in the process. And also the network that you offer. When I founded my first start-up, I could only have dreamed of it. Heilbronn is a really inspiring place for that.

In what way?

MW: I was recently in Heilbronn for the first time and I have to say: The atmosphere in the city really impressed me. Among other things, I was a guest at Heilbronn Slush’D, the city’s start-up festival, and had many great conversations. In Germany, we sometimes fall into a kind of end-of-the-world mood. There is no sign of that in Heilbronn! This is a city that is currently completely reinventing itself and shaping its own future. And at an enormous speed.

OH: This special spirit of the city even brought me back from Silicon Valley. During my time in the USA, I received many offers from Germany, but it was Heilbronn that really convinced me. The city certainly wouldn’t have been the first thing that came to mind before! If you want to make a difference here, you will find open doors and a great deal of trust, including from the Schwarz Foundation. In this sense, Heilbronn is a prime example of the contribution that private sector actors can make. We are not dependent on time-limited election periods and funding programs, but can really build long-term projects. Added to this is the excellent ecosystem with the many medium-sized companies in the region and the first-class universities that are based here.

Should Heilbronn become the new Silicon Valley?

MW: I wouldn't praise Silicon Valley to the skies. In Heilbronn, the Artificial Intelligence Innovation Park is currently growing into a new center with international appeal. My vision is rather that many more hubs will be created in Germany based on the Heilbronn model, but which will serve other future topics.

OH: That's right, in Heilbronn we don't have the ambition to emulate the USA. There are some things we don't even want here... But: Silicon Valley is not just a place, it's a mindset. And we could learn a thing or two from that!

How does Campus Founders work with 42 Heilbronn?

OH: In one of our joint formats, CTO To Go, we specifically target tech talent. We know from experience that well-positioned founding teams have a variety of skills. Often, however, the teams only have business knowledge, while lacking expertise in the tech field. If those who ultimately build the product help shape the process from the beginning - then completely different solutions emerge! That's why we have to inspire young people from technical disciplines to start a business and show them this exciting career path. And 42 students are the ideal candidates here. We have already supported some of them in founding a start-up.

MW: I can only confirm that. At 42, the focus is on independent and collaborative learning. This teaches the ability to get involved with other ideas, to work together on a problem and sometimes to take completely different paths - in other words, key qualifications for starting a business. In conventional courses, on the other hand, the focus is stoically on getting through the curriculum. Nothing really new is created there.

What advice would you give to 42 students who want to start a start-up?

MW: Be brave and don't be afraid of failure! In my experience: Putting your own idea into practice is one of the best experiences in life. The learning curve is really incredible - and even if it goes wrong, it makes you a great candidate for other jobs.

OH: Just like my favorite Nike slogan: “Just do it!”