We have warned, now it is also written in numbers: A frightening number of startup entrepreneurs want to move away from the Canton of Zurich. Why is the strongest region of Switzerland so reckless with its future growth?
The best startups of Switzerland are forced to leave the Canton of Zurich or even Switzerland. We wrote about some possible plans of Staff Finder CEO Viktor Calabrò in the past. This is not only because of the high tax bills but also because of the difficult search for investors for startups based in Zurich. Frustration is spreading in the Zurich startup scene – and now we also have this frustration in numbers.
An overwhelming number of 85 % of entrepreneurs who participated in a study of venturelab are thinking to leave Zurich due to this tax issues. That is a huge number and an alarm signal for the future prosperity of Zurich. Even 37 % want to leave Switzerland and just 15 % could imagine staying. With the new tax practice of Canton Zurich risked losing almost half of the top startups to non-residents. This is particularly explosive in view of the enormous public investment, which flows into the research and promotion of these spin-offs.
In addition, fighting affected by the startup control startups with a much more difficult financing environment: So my 20% of surveyed startups that business angel financing is almost impossible due to the new tax practice in the canton of Zurich. And 70% believe that fundraising for them will be much more difficult than it already is.
The study shows also that more than 1000 jobs could be lost within these thoughts of entrepreneurs to leave the Canton. Some politicians and us – the Swiss Startup Association – take this problem seriously. Because we some of the startups starts to seriously leave the sinking ship, others will follow. We want to encourage the Zurich authority again, to deal not so negligent with the future agents of Zurich´s economy.