People here get judged if they start a business and fail. If you are successful then fine. If not, people don't give you credit. Personally I rate the person higher that tries several times, falls, gets up and starts over. Unfortunately that is not the case.
Nice example if you are from the USA. Over there it is more socially accepted to get married and divorced often than not at all. In Germany it is quite the opposite. You can't even make a failure in private how could you do that in business?
Many business here have roots and are decades old. That whole "Mittelschicht" is build on family owned business. That is actually a good thing and probably one of the reasons the economy in Germany is so efficient, but it doesn't give anyone the incentive to start something.
And don't forget Germany is all about bureaucracy. Lots of paperwork and money just to get a GmbH. And a GmbH is what you need to gain trust from other companies.
Sorry, there is so much to it. Hopefully there will be some change in attitude. It is already happening.