Could you introduce the BVMW and its role in representing German SMEs?
With 50 years of existence, the BVMW is the largest and most influential association representing SMEs in Germany. Through our alliance with 37 industry-specific organizations covering 94 sectors, we indirectly represent a total of 3.7 million companies.
This economic fabric carries massive weight: it accounts for the bulk of employment, tax revenue, and community engagement across the German regions. On a European scale, we have partnered with our Italian counterparts (Confapi), as well as Portuguese, Spanish, and other associations, to federate a club of 3.2 million companies generating a combined revenue of €790 billion.
What fundamentally sets the BVMW apart from other employers’ federations?
What fundamentally sets us apart is our capillary network. Every single one of Germany’s 638 electoral districts has a dedicated BVMW expert in direct contact with the local Member of Parliament. Whenever a legislative issue arises, this expert provides lawmakers with concrete insights, real-world examples, and grassroots recommendations.
In every Land (state), we have a colleague and a branch office. Our colleagues maintain strong relationships with local lawmakers. Whenever something isn’t working on the ground, we go straight to the local representative and explain what needs to be done. Politicians know exactly what the Mittelstand represents: without these companies, there are no tax revenues and no social benefits. This reality commands a level of attentive listening that large, institutional business federations don’t always secure as easily.
What role does the “Mittelstand” label play internationally?
The term Mittelstand extends far beyond Germany’s borders. It carries a highly positive connotation in political and economic circles worldwide.
IIt carries a highly positive connotation in political and economic circles worldwide. It is this exact label that opens doors to foreign governments and heads of state. Our annual event in Berlin, the Zukunftstag (Future Day), gathers 5,500 entrepreneurs alongside numerous foreign ministers and heads of state every year. In 2025, the Prime Ministers of Thailand and Malaysia were among the attendees.
The term Mittelstand inherently carries a lot of prestige and goodwill. It is the reason we have so much success in Parliament.
What is the BVMW’s greatest achievement in your opinion?
Our greatest achievement isn’t a single legislative victory or a membership drive, but rather a structural accomplishment on a European scale: building a joint network to represent SMEs.
By bringing the BVMW together with peer organizations: METI in France, Confapi in Italy, COTE in Portugal, Spanish associations, and other partners, we helped forge a unified bloc representing 3.2 million companies with a combined revenue of €790 billion.
In the past, everyone stayed in their own lane. But now, at the European level, we have formed a club of 3.2 million businesses generating €790 billion in revenue. That is truly substantial.
This partnership also includes Altios, representing mid-market growth companies. The goal is to pool our networks, multiply commercial bridges between European nations, and collectively amplify the voice of SMEs.
Is the BVMW’s international dimension limited to these networks?
Our annual event has become a genuine political platform where entrepreneurs, lawmakers, and heads of state from around the world intersect. This visibility gives us real diplomatic leverage and allows our members to forge connections that few other organizations could offer them. It truly is a premier platform for exchange.
What is the structural challenge you face daily?
We have to defend highly diffuse interests against the massive lobbying power of large industrial corporations. Siemens alone deploys 240 staff members in Brussels just to handle its own regulatory issues. We, on the other hand, deploy two people to represent hundreds of thousands of companies.
My goal is always to “ruffle the feathers of the big guys” a little and stand up for our SMEs. It is very noble and necessary work. But it is a bit like Sisyphus pushing his boulder. As Camus said, you have to imagine Sisyphus happy.
The turnover of political personnel every four years forces us to regularly start from scratch: explaining what the Mittelstand is, rebuilding trust, and forging new relationships. This never-ending work is the very prerequisite for long-term influence.
Has the recent economic climate weakened your membership base?
The recent economic climate, the war in Ukraine, skyrocketing energy costs, and erratic US trade policies, has weakened many SMEs, prompting them to question the utility of paying association dues. In 2024, we lost 264 members, a reality we acknowledge openly.
Companies are facing high costs. The first thing they try to do is cut non-essential expenses, and a membership fee is inevitably a cost.
Our response is to continuously demonstrate our tangible added value: access to decision-makers, international networks, regulatory intelligence, and high-level networking events. Voluntary membership is a constraint that forces us to achieve excellence.
How do you analyze the rise of Chinese players?
With every trip to China, the most recent being in 2024, we measure the widening gap in artificial intelligence, robotics, and autonomous driving.
For the past fifteen years, I have been astounded by their progress. That ship has sailed. Conservatively, we are two to three years behind in artificial intelligence; they blew past us a long time ago.
Chinese companies roll out 5-, 10-, or 15-year plans and stick to them. Their so-called “996” model (working from 9 AM to 9 PM, 6 days a week) illustrates a radically different culture of effort. The dumping of cheap products onto European markets intensifies a price war that our SMEs simply cannot absorb without strong institutional backing.
Is European bureaucracy a drag on SME competitiveness?
Between 2019 and 2024, a single European legislative term produced 406 delegated Acts. In Germany, the culture of “gold-plating” makes the situation even worse: we systematically add extra layers of compliance to European directives, while our Italian, Romanian, or Spanish competitors implement them much more flexibly.
A German entrepreneur complies with every single code and everything decided in Brussels. Meanwhile, the Italians, Romanians, and British generally view the excess more pragmatically and carry on as usual. Naturally, they gain a comparative advantage.
We are calling for a radical simplification of regulations in Brussels. It is the only way to restore the competitiveness of our SMEs.
What is your response to this dual pressure?
European SMEs and mid-caps must constantly reinvent themselves. Integrating artificial intelligence, robotics, and new production technologies is no longer optional; it is a condition for survival.
Our deepest conviction is that European solidarity is absolutely indispensable. Internal divisions are a luxury that Europe can no longer afford.
If we get bogged down in intra-European competition, we will lose. The French against the Italians, the Spanish against the British: those days are over. We must lean into everything that constitutes the strength of the Union.
How does the partnership between BVMW and Altios work in practice?
Our partnership with Altios is a two-way street. A French company looking to set up in Germany can leverage our network to identify the right local stakeholders. Conversely, a German SME wanting to expand into France, South America, or Asia can count on Altios’s expertise.
The commercial relationship is clear: we provide the deal flow, and Altios executes the services and captures the economic value, a model of pure complementarity with zero direct competition. If a company wants to invest in Germany, we give them contacts. And if a German company wants to set up in France or Asia, we make a great team.
Moving forward, we want to deepen our collaboration, particularly around joint trade missions to third markets like Asia and Latin America, where our networks naturally complement each other. We are discussing co-organizing Franco-German business delegations and shared working sessions.
We strongly emphasize the concept of sustainability: the partnership must be rooted in long-term, mutual interests for the ultimate benefit of European SMEs and mid-caps.
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