Start-ups are the new buzzword in business. The way of doing business has evolved throughout the years and start-ups seem to be the latest addition to that. Innovation is at the heart of all start-ups.
Usually, young entrepreneurs or groups of entrepreneurs introduce a new product or service in the form of a start-up.
Start-ups are typically small team operations and the funding usually comes from the entrepreneurs themselves or their friends and family.
The substantial task for any start-up is to provide the validity of their idea and attract investors. Start-ups have a high failure rate but if it works, the success is beyond imagination.
There are a lot of countries that support start-ups. Start-ups are essential to support new businesses and let the best ideas move forward. We will take a look at the countries that have the most start-ups and that are deemed to have a start-up-friendly culture.
1. United States of America
The United States of America is a highly capitalistic country. It should come as no surprise that the U.S.A has the highest number of startups. The culture of the U.S.A is start-up friendly with Silicon Valley being the most popular area for tech start-ups.
The United States of America is estimated to have 68,893 start-ups. It has also been voted as the most start-up-friendly country in the world. The entrepreneurial infrastructure and the technical workforce of the U.S.A help them to excel from the rest of the world.
It’s not just the number of start-ups that is impressive about the United States of America. The United States of America has astounding success when it comes to start-ups. 64.7% of the Unicorns are from the United States of America.
Unicorn is a term that refers to a start-up that is valued at a minimum of one billion dollars. And that’s what makes the USA great. They don’t just have the highest number of startups; they have the highest number of successful startups.
Because this ranking is based on the number of startups, India takes the second position on our list. It is by no means the second-best country for start-ups but India wins the number game. India has 11,162 startups which makes it the country with the second-highest number of startups.
India is ranked 5th in terms of having the most startup-friendly culture. 4.1% of the unicorns are from India. India surely has a great culture for startups. It is without a doubt the best place for Startups in South Asia. It is miles ahead of its neighboring countries such as Pakistan, Bangladesh, Nepal when it comes to startups.
3. United Kingdom
The United Kingdom takes the 3rd position in our list with an estimated 5,878 startups. 2.5% share of unicorns are from the United Kingdom. It is also voted to have the 2nd best startup culture in the world right after the United States of America. The entrepreneurial structure in the UK is great for promoting startups.
Canada has an estimate of 3,057 startups. It is the country with the fourth-highest number of startups. Canada is also ranked 3rd in the list of countries with the most startup-friendly culture. 1.6% of the unicorns are from Canada. Canada has the eighth-highest number of unicorns.
Germany is one of the largest economies in Europe. They are ranked 5th on our list with 2,229 startups. 2.0% of the total unicorns are from Germany. Germany also has one of the friendliest startup cultures in the world.
There isn’t much hierarchy in German startups. Germans are quick to adopt the latest technologies and give a lot of freedom to the workers. The workers are allowed to choose their own hours as long as they are present in the core work hours.
Australia has the sixth-highest number of startups. Australia has around 2,013 startups. 0.9% of the total number of unicorns are from Australia. The work culture of Australia is conducive to startups. Cities like Sydney, Melbourne, and Perth are the best for startups in Australia.
France takes the seventh spot on our list with 1,541 startups. 0.2% of the total number of unicorns are from France. France also has the 12th rank on the list of most startup-friendly countries in the world.
The ecosystem of France offers both established businesses and startups great opportunities. French people are straightforward and inquisitive. The work culture in France is generally more conservative and not as relaxed as in Germany.
Spain has around 1,375 startups. It is the country with the 8th highest number of startups. Spain has the 20th position in the ranking of most startup-friendly countries in the world. Though the culture of Spain is startup-friendly, they are yet to achieve noteworthy success in startups. The number of unicorns from Spain is less than 0.1%.
Brazil has the 9th highest number of startups in the world. There are 1,162 startups in Brazil. Brazil has a ranking of 42 on the list of most startup-friendly countries in the world. 0.1% of the total number of unicorns are from Brazil.
There are a lot of infrastructural issues in Brazil that hamper the growth of startups. With time, the startup scene in Brazil is expected to improve a lot more in the future.
Singapore has 1,034 startups. Singapore has the 10th highest number of startups and it is also the 13th most startup-friendly country in the world. 2.2% of the unicorns in the world are from Singapore. Singapore is the 5th most successful country when only the success of the startups is taken into account.
Some countries have a great startup culture but haven’t made it to the list. The first honorary mention would be China. China has only 608 startups. Startups in China have strict rules and are kept under tight scrutiny by the Government.
That is why the number of startups is low in China. However, the success rate of startups in China is very high. 13.8% of the total unicorns are from China.
The other two countries that deserve to be mentioned are Sweden and Israel. Sweden has a very successful startup culture with 2.1% of the unicorns being from Sweden. Israel is a little country but 0.9% of the unicorns are from Israel.
Israel also has the highest number of startups per capita. It is evolving to be the hub of technology and startups.
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