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1. Access to information

2. Access to capital

Access to information

In Latvia, policy on start-up funding for young entrepreneurs places significant emphasis on access to information. Rather than relying on a single youth-specific funding scheme, Latvia provides information on start-up support through a broader national business support system coordinated mainly by the Investment and Development Agency of Latvia (LIAA), the national business platform Business.gov.lv, and the state development finance institution ALTUM. These institutions provide information on available funding instruments, incubators, accelerators, consultations, and application procedures in one ecosystem intended to make support easier to find and navigate.

A central element of this approach is Business.gov.lv, which serves as the national platform for entrepreneurs and brings together information on public services and support options for starting and growing a business. Through this platform, young entrepreneurs can identify funding opportunities, follow support programmes, and access practical guidance on how to apply for public support. In policy terms, this means that access to information is treated as an enabling condition for access to finance.

Latvia also supports information access through LIAA’s incubation system. LIAA’s business incubators provide not only premises and networking opportunities, but also consultations, mentoring, and training for early-stage entrepreneurs and companies that have been registered for no longer than three years. This is particularly relevant for young entrepreneurs, because the policy focus is not limited to financial aid alone, but also includes helping potential founders understand what support exists, how to prepare for funding, and how to develop a viable business idea.

In parallel, ALTUM strengthens access to finance by operating state support instruments such as loans, guarantees, and investments through venture capital funds. From a policy perspective, this complements the information and advisory role of LIAA: entrepreneurs first need clear and accessible information about support options, and then they need practical financial instruments they can use. As a result, Latvia’s approach to start-up funding for young entrepreneurs can be described as an integrated model in which information access, advisory support, incubation, and public financing instruments are closely linked.

Access to capital

On 29 September 2016, Business Start-Up Support Draft Law developed by the Ministry of Economics was approved; the aim of the law is to promote the development of fast growing technology enterprises or start-up enterprises in Latvia, thus facilitating the development of innovative business activity and research in the private sector, as well as the commercialisation of research.

The law provides for the definition of a business start-up and its features, business start-up support programmes, the procedures for application to the said support programmes, conditions for defining and attracting qualified risk capital investors, the procedures for supervision of business start-up support programmes, as well as the obligations of a business start-up.

It is envisaged that business start-ups have access to several support programmes:

• a fixed payment – final payment of the state social insurance monthly contribution that is made by employer on behalf of employee in the special budget of the state social insurance;
• a support programme for attraction of highly qualified employees – where employee does not agree that a fixed payment is made for them;
• in addition to certain provisions, a corporate income tax relief and personal income tax relief are planned.