Women are again slightly more visible at the top of Germany’s medium‑sized companies, according to a KfW study. In 2025, out of the roughly 3.87 million small and medium‑sized enterprises (SMEs) in the country, about 16 percent-or 621,000 firms-were led by a woman. The previous year, the share had fallen to the lowest level since records began in 2003, at 14.3 percent, while the peak was reached in 2022 at 19.7 percent.
Despite this modest uptick at the highest level, the picture is different when all managerial positions across every hierarchical level are considered, from team and departmental heads to CEOs, board members and owners. Women filled 34.3 percent of these roles in 2025, down from 35.6 percent in 2024 and 40.0 percent in 2023.
“Women remain significantly underrepresented in leadership positions in the Mittelstand” said Dirk Schumacher, KfW’s chief economist. “The economic importance of women‑led Mittelstand firms cannot be underestimated, but it has been stagnating for many years and is not increasing overall”. Women‑led Mittelstand businesses employ about 3.3 million people in Germany-ten percent of the SME workforce-and generate €435 billion in total turnover, roughly eight percent of all SME revenue.
The bulk of women’s leadership is found in the service sector. Eighty‑eight percent of all companies headed by a woman come from this sector, with strong representation in hospitality, certain retail areas, tourism, and close‑contact services.
Most women run very small firms: 84 percent, or 514,000 of the women‑led enterprises, are microenterprises with fewer than five employees. Only about 6,000 women lead larger firms with at least 50 staff-just one percent of the women‑led Mittelstand group.
In 2025, a women‑led business employed on average 7.2 people, including the owner. Male‑led companies averaged ten employees, about 39 percent larger. Median revenue for male‑led firms was €288,000-23 percent higher than for women‑led firms.
