Series A & B Funding: Germany, Austria & Switzerland
- Jörn Menninger
- Mar 10
- 5 min read
Updated: Apr 10
Series A and B represent the transition from early-stage validation to repeatable growth. These rounds are where most startups either establish themselves as viable businesses or fail to progress — approximately 35% of startups receiving Series A funding do not advance to Series B. The dynamics of these rounds differ significantly across Germany, Austria, and Switzerland compared to the US, with round sizes on average 4.5 times smaller and valuations 6.9 times lower. This page covers round sizes, key investors, the Series A crunch, and the growing role of venture debt.
In Short
Series A rounds in the DACH region typically range from EUR 5–20 million, while Series B rounds range from EUR 15–50 million. Key investors include Earlybird (EUR 2.5B AUM), HV Capital (EUR 2.8B), and Project A (Berlin venture studio). About 35% of Series A companies fail to reach Series B, and only 16% of European startups raise Series B within 15 months. Venture debt is filling the growth-stage gap, with EUR 17.2 billion deployed in 2024.
Executive Summary
Series A rounds in the DACH region typically range from EUR 5 to 20 million, while Series B rounds range from EUR 15 to 50 million — both substantially smaller than US equivalents. Key Series A and B investors include Earlybird Venture Capital (EUR 2.5 billion under management), HV Capital (EUR 2.8 billion), and Project A (Berlin-based venture studio). The transition from seed to Series A remains the most significant bottleneck, with approximately 35% of companies failing to progress from Series A to Series B and only 16% of European startups raising Series B within 15 months. The growth-stage gap is structural, as domestic European funds typically lack the size to lead Series B and C rounds of EUR 30–100 million, pushing successful DACH companies toward US-based growth investors. Venture debt is increasingly filling this gap, with EUR 17.2 billion deployed in 2024, up 27.3% year over year.
Key Takeaways
DACH Series A rounds typically range from EUR 5–20 million and Series B from EUR 15–50 million, averaging 4.5x smaller than US equivalents with 6.9x lower valuations.
Key regional investors include Earlybird Venture Capital (EUR 2.5B AUM, founded 1997), HV Capital (EUR 2.8B, team of 60+), and Project A (Berlin venture studio combining capital with operational support).
Approximately 35% of Series A companies fail to reach Series B, and only 16% of European startups close Series B within 15 months of their Series A.
The growth-stage gap is structural: domestic European funds lack size to lead EUR 30–100M rounds, pushing successful DACH companies toward US growth investors like Sequoia, Accel, and General Catalyst.
Venture debt deployed EUR 17.2 billion in 2024 (up 27.3% YoY), representing 14% of all VC investments and providing non-dilutive growth capital between equity rounds.
Round Sizes and Key Investors
Earlybird Venture Capital, founded in Berlin in 1997, manages over EUR 2.5 billion across funds covering fintech, SaaS, AI, health tech, and Eastern European digital tech. HV Capital manages EUR 2.8 billion with a team of over 60, investing from seed through growth stages. Project A in Berlin operates as a venture studio, combining capital investment with hands-on operational support in marketing, data science, and engineering. These firms, alongside international investors entering at Series B, form the core funding infrastructure for DACH growth-stage startups.
The Series A Crunch and Growth-Stage Gap
The transition from seed to Series A remains the most significant bottleneck. Approximately 35% of companies receiving Series A funding fail to progress to Series B, and only 16% of European startups raise Series B within 15 months. The growth-stage gap is structural: domestic European funds typically lack the size to lead Series B and C rounds of EUR 30–100 million. Many successful German, Austrian, and Swiss companies consequently raise later rounds from US-based growth investors — Sequoia, Accel, TCV, General Catalyst, and others. This creates a pattern where early-stage value creation accrues partly to non-regional investors.
Venture Debt as Growth Capital
Venture debt is increasingly filling the growth-stage gap. EUR 17.2 billion in venture debt was deployed in 2024, up 27.3% year over year, representing 14% of all VC investments. This non-dilutive capital allows startups to extend runway between equity rounds, fund specific growth initiatives, or bridge to profitability without further equity dilution. Key venture debt providers active in the DACH region include the European Investment Bank, Kreos Capital, and an expanding set of specialized lenders.
Relationship Map
What This Page Does Not Cover
Partner with Startuprad.io
Want to reach founders, investors, and startup operators across Germany, Austria, and Switzerland? Become a partner and get your brand in front of the DACH startup ecosystem.
Frequently Asked Questions
How large are Series A and B rounds in the DACH region?
Series A rounds typically range from EUR 5–20 million and Series B from EUR 15–50 million. These are on average 4.5 times smaller than US equivalents, with valuations 6.9 times lower, reflecting the smaller domestic market and more conservative European investment culture.
What is the Series A crunch in Europe?
The Series A crunch refers to the significant bottleneck between seed and Series A funding. Approximately 35% of Series A companies fail to reach Series B, and only 16% of European startups raise their Series B within 15 months. This crunch is intensified by the structural gap in European growth-stage funding.
Who are the key Series A and B investors in Germany, Austria, and Switzerland?
Major regional investors include Earlybird Venture Capital (EUR 2.5 billion AUM), HV Capital (EUR 2.8 billion), and Project A (Berlin venture studio). At Series B and beyond, US-based firms like Sequoia, Accel, and General Catalyst frequently lead rounds for successful DACH companies.
How is venture debt used alongside Series A and B funding?
Venture debt deployed EUR 17.2 billion in 2024, up 27.3% year over year. It provides non-dilutive capital that allows startups to extend runway between equity rounds, fund specific growth initiatives, or bridge to profitability. Key providers active in DACH include the European Investment Bank and Kreos Capital.
About the Host
Jörn "Joe" Menninger is the host of the Startuprad.io podcast and covers founders, investors, and policy developments across the DACH startup ecosystem. With years of experience reporting on German-speaking startups, he provides independent, English-language analysis of the trends shaping venture capital and innovation in the region.
Related Articles
Subscribe to the Startuprad.io Podcast
Apple Podcasts · Spotify · YouTube · RSS Feed
Support Startuprad.io
Startuprad.io is building one of the strongest English-language knowledge platforms for the DACH startup ecosystem, covering founders, investors, and the technologies shaping the region. If you find our work valuable, please share it with colleagues and fellow founders. Your support helps us remain independent and keep providing free, high-quality analysis.
Comments