Berlin bank launches creative fund

A state-owned investment bank is targetting Berlin's burgeoning creative industry sector with a venture fund.

Investitionsbank Berlin, a German state-owned bank, has launched the country's first specialised venture capital fund for the creative industries.

This new offer has been designed by Berlin’s state-owned investment bank and is partly a bet on Berlin's reputation as one of Europe’s most attractive cities for creative industry.

The fund called “VC Fonds Kreativwirtschaft Berlin” aims to back start-ups in the whole field of PR agencies, publishing houses, software developer, fashion, music, TV, radio or the performing arts.

It has €30 million to deploy and is offering up to €1.5 million for first-time start-ups.

The senate's secretary of state for the economy, technology and women Almuth Nehring-Venus said in a statement that almost 90,000 employees in almost 23,000 [creative] businesses made a contribution of more than 20 percent to Berlin's gross domestic product. “If you add in peripheral workers and freelancers that number rises to 167,000 people that find work in a branch of the creative economy.”

Dieter Puchta, chairman of the board of the Investitionsbank Berlin, said the bank can now suppport creative businesses at every stage so “the creative seed in Berlin could grow and bear fruit”.