Applications for the Latvian Investment and Development Agency (LIAA) Business Incubation Support Program will continue to be accepted until March 31. Entrepreneurs across Latvia have one more week to apply for support that helps develop products and services, strengthen export capabilities, and accelerate business growth. Admissions for this program take place twice a year, but the current spring intake runs from March 9 to 31.
Business incubation support is intended for micro, small, and medium-sized enterprises registered in Latvia that are no more than five years old and that develop innovative, technological, export-oriented, or creative industry products and services. Companies with export and/or innovation potential may also apply to the program, including those developing dual-use goods, services, or technologies.
“This is the moment to put ideas into action—it is critically important for Latvia’s economy right now that new, ambitious companies enter the market and begin exporting as quickly as possible. The LIAA incubation program provides real, practical support that can be decisive in the early stages of development, so I urge you not to delay and to take advantage of this opportunity now. “Every new company with export potential means greater added value for our economy and a stronger position for Latvia internationally,” emphasizes Minister of Economics Viktors Valainis.
The program offers companies both non-financial and financial support. Non-financial support includes consultations on issues critical to business development, training and seminars on business modeling, marketing, product development management, human resources management, financial planning, and capital raising, as well as consultations with experts and mentors, networking and knowledge-sharing events, participation in promotional activities, and access to coworking spaces.
Financial support, on the other hand, is provided in the form of grants with a 70% support intensity to promote business development, product development, and export capacity. Companies can receive up to €10,000 for services, up to €8,000 for the purchase of equipment and machinery, and up to €5,000 for raw materials and supplies. Funding can be used for various business development purposes, such as services, equipment, tools, and materials needed for product development, testing, or manufacturing.
“The LIAA Business Incubation Program is one of the most important tools we use to help new companies turn their ideas into viable and export-ready businesses. Our goal is not only to provide funding, but also to offer knowledge, mentorship, and contacts that enable companies to grow much faster and more confidently. “We encourage entrepreneurs to take advantage of this opportunity—especially in regions where there is often greater potential for faster growth and closer collaboration with the local business community,” emphasizes LIAA Director Ieva Jāgere.
Innovative businesses also have access to support for covering employee compensation costs of up to 10,000 EUR, as well as for specific services related to prototyping, testing, and technology development, with a 70% support intensity of up to 20,000 EUR per grant.
In total, a company can receive financial support for three years. In the first year of the contract, support for an export-oriented, creative industry, or traditional business can reach up to 25,000 EUR, while for innovative businesses, including developers of dual-use goods, services, or technologies, as well as innovative businesses in the creative industries, it can reach up to 55,000 EUR. In the second and third years, it is possible to apply for additional support, subject to an assessment of need and available funding.
A participant in the LIAA Ventspils branch’s business incubation program, the limited liability company “Bitlake Technologies,” views the business incubation program as significant support for the company’s faster and more targeted growth. The company specializes in the development of digital microchip components, or IP cores, particularly FPGA technologies used in image processing and computer vision solutions for the space industry. Simply put, the modules developed by the company enable fast and efficient real-time image processing, for example, allowing a satellite not only to capture an image but also to analyze it immediately, without transmitting large amounts of data to Earth. “The business incubation program has given us the opportunity to develop the company much more rapidly and purposefully than would be possible with our own resources alone. Financial support is particularly significant, as it helps us develop new products, plan resources more effectively, and move forward with greater confidence. From my own experience, I can say that such support is valuable both for new entrepreneurs and for those who wish to develop innovative and competitive business ideas,” says Jānis Šate, founder and chairman of the board of “Bitlake Technologies.”
Applications for the LIAA incubation program are processed according to administrative-territorial divisions, or on a regional basis; therefore, entrepreneurs are encouraged to assess in advance which regional office is most suitable for them. The LIAA particularly encourages applicants to look beyond their immediate surroundings and consider applying in regions outside the major urban centers, as competition is often lower there, while the chances of receiving support are very real. At the same time, the Riga and Pieriga offices are currently seeing relatively high activity. LIAA regional offices are located in Jūrmala, Tukums, Valmiera, Cēsis, Smiltene, Madona, Gulbene, Alūksne, Sigulda, Liepāja, Saldus, Ventspils, Kuldīga, Talsi, Jelgava, Bauska, Ogre, Jēkabpils, Rēzekne, and Daugavpils. Entrepreneurs in the creative industries can also apply at their nearest regional office, while innovative entrepreneurs from Riga can apply at the Technology Office. Before preparing a financial support application, the LIAA recommends scheduling a consultation at the relevant office.
Last year, 156 businesses from across Latvia joined the Business Incubation Program—73 innovative and 83 export-oriented companies. Among them were 35 representatives of the creative industries and 12 businesses offering dual-use goods or services. A total of 82 businesses operated in the priority areas of the Smart Specialization Strategy (RIS3): information and communication technologies (32), photonics and smart materials, technologies, and engineering systems (30), knowledge-intensive bioeconomy (13), biomedicine, medical technologies, and pharmaceuticals (6), and smart energy and mobility (1).
You can learn more about the program’s terms and apply for participation on the platform https://liaa.business.gov.lv. Application forms will be available throughout the entire application period.
Business incubation support is available under the Innovative Entrepreneurship Development Program for Small and Medium-Sized Enterprises (SMEs), co-financed by the European Regional Development Fund and the Latvian state budget.
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