5 reasons why family offices should invest in Europe's tech scene now

Family offices have long been skeptical of German and European startups, but they are currently experiencing a boom. Here are five reasons why now is the time to invest.

"Move over, San Francisco" – this is the title of a recent LinkedIn post by Seb Johnson, an analyst in the European tech ecosystem . He writes: "European Tech has had an absolutely INSANE summer..." Johnson hits the nail on the head: German and European startups are currently raising billions and writing the next unicorn stories. Parloa , Quantum Systems , and Helsing are no longer exceptions, but rather expressions of a new normal. We are seeing a fundamental shift – and family offices that get involved now have the best chance of achieving returns and impact.

Here are the five reasons why I am convinced: Now is the time for family offices to seriously consider Europe's tech scene in their portfolios.

Germany is currently experiencing a comeback in the VC market. In the second quarter of 2025, German startups raised approximately €2.4 billion – around 45 percent more than in the first quarter. In the first half of 2025, a total of almost €4 billion was raised. Particularly noteworthy: More than half of the capital flowed into so-called scale-up rounds, i.e., financing of startups that have already successfully established themselves in the market. This is a clear signal that the scene no longer consists solely of young founding teams in their garages, but increasingly of resilient business models striving for international growth.

For family offices, this means they are no longer operating in uncertain territory, but are finding themselves in a more mature and secure environment. The balance between risk and potential return has shifted in favor of investors.

By the end of Q2 2025, Germany had 32 unicorns – more than ever before. These include companies like Parloa in the field of artificial intelligence and Quantum Systems, which is making international headlines with its dual-use technologies. A company like Helsing is also setting new standards in the security sector, having raised hundreds of millions of dollars in funding within a very short period of time. These examples demonstrate that it is possible to build a globally competitive tech company in Germany.

Such stories are important for family offices because they build trust. They prove that capital here isn't wasted in a fragmented market, but is creating genuine success stories. The German ecosystem is capable of creating companies with global clout—and it's precisely in this environment that family offices can invest today.

What's particularly exciting is that the European tech scene isn't just focusing on traditional software topics, but is also exploring new fields. Artificial intelligence now accounts for over half of the investment volume in Germany. Greentech, healthcare technologies, and defense and dual-use technologies are also attracting strong interest. These sectors are not only growth areas, they also have social relevance. They provide answers to questions like climate change, energy security, and healthcare – topics that often touch on a value level for entrepreneurial families.

Family offices investing here can therefore benefit in two ways: from attractive return opportunities and from the opportunity to deploy capital in a way that delivers long-term impact. This makes these investments particularly attractive for a generation that thinks not only economically but also socially.

Many family offices face the same challenge when it comes to tech investments: They don't lack the capital, but often the access, know-how, and confidence to make informed decisions. The market is confusing, valuations are complex, and technologies are evolving rapidly. Those without deep roots in the industry risk missing key trends or investing in overvalued companies.

This is precisely where venture builders can play a crucial role. They bridge the gap between capital and innovation: They identify promising startups, evaluate business models, test scalability, and support founding teams in the early stages. Venture builders are valuable partners for family offices because they open up access to the ecosystem, provide networks, and make risks easier to assess. Instead of relying solely on public pitches or secondhand information, family offices can use venture builders to make targeted investments where real potential lies.

Family offices differ from traditional venture capital funds in one special way: They can think more long-term. They don't have rigid terms, don't have to force an exit after five to seven years, but can offer patience. This strength is ideally suited to what many European tech startups need – reliable capital that can sustain them even through difficult times.

In combination with venture builders, this creates a model that could be unique in Europe: capital that doesn't just seek returns, but actually builds companies. Venture builders provide the know-how, infrastructure, and market access, while family offices provide the funds and long-term perspective. Together, they create an environment in which startups are not just quickly hyped up but also developed sustainably. This is a tremendous advantage for the tech scene in Europe – and an opportunity for family offices to become part of a development that is equally economically and socially relevant.

Europe has proven in recent years that it can not only keep pace, but also set its own standards. German startups like Parloa, Quantum Systems, and Helsing demonstrate that innovation and scaling are possible here, too. The rising investment figures demonstrate that the market is maturing. Now it's up to family offices to capitalize on this momentum. Those who rely on smart partnerships with venture builders and combine capital with entrepreneurial insight can lay the foundation today for the tech success stories of tomorrow.