The ideas are there, the enthusiasm too – but the fuel is running low. That’s how one could describe the sentiment among Latvia’s start-ups after participating in the “Ideju Kauss” (Idea Cup) innovative idea competition, organized by the Investment and Development Agency of Latvia (LIAA). A survey of this year’s participants revealed that the biggest challenges on the path to success are the lack of funding and knowledge. Most new entrepreneurs prefer state support programs, such as LIAA business incubators, or rely on their own capital, while loans and financial institution services are used only as a last resort.
Latvian start-ups certainly don’t lack great ideas. However, as the “Ideju Kauss” participants point out, the hardest part is turning those ideas into successful companies. Due to limited funding and know-how, “Ideju Kauss” serves as a crucial platform that helps entrepreneurs combine both resources. This is confirmed by last year’s winner, Toms Lazdovskis from the company Echo Monk, who emphasized that “the main benefits were not only the cash prize but also the valuable advice from experts.”
“We are delighted that almost all participants of this year’s ‘Ideju Kauss’ found LIAA’s support programs helpful in implementing their business ideas,” said LIAA Director Ieva Jēgere. She noted that many entrepreneurs already use or plan to use the offered services, while nearly 75% of respondents intend to reinvest their first major profits back into business development. “This clearly shows that young entrepreneurs think long-term. We are truly proud to be a reliable and trusted launching point for them,” Jēgere added.
New entrepreneurs most often mention that financial knowledge has helped them the most - learning how to manage money, plan budgets, and find additional resources for business growth. These topics have become the most sought-after in webinars and mentoring sessions. Alongside knowledge gaps, participants also recognize practical challenges, especially lack of time, which often becomes an obstacle to implementing new ideas and attracting funding.
Without state support programs - including LIAA’s “Ideju Kauss” - the road to a stable business would be much more difficult. The most valuable elements of support are funding, mentoring and training opportunities, and collaboration with investors and fellow entrepreneurs. This kind of support provides a strong foundation for turning ideas into reality.
Most participants are driven by the desire for self-realization and financial independence. They also value the opportunity to create something meaningful for society, gain knowledge, and learn from like-minded people. Participation in “Ideju Kauss” offers the chance to compete for prize money, test and refine business ideas, develop skills, meet potential partners or investors, and gain new knowledge through training opportunities.
About the Competition
“Ideju Kauss” is implemented as part of LIAA’s project “Development of Innovative Entrepreneurship for Small and Medium-Sized Enterprises (SMEs)”, co-financed by the European Regional Development Fund and the European Union.
About LIAA
The Investment and Development Agency of Latvia (LIAA) promotes the competitiveness of Latvian entrepreneurs, export growth, and investment attraction. It also develops the tourism sector and implements the country’s branding policy. LIAA acts as a state partner in business development - from idea to international markets. With an extensive network of foreign representations and regional business centers across Latvia, LIAA helps companies grow and positions Latvia as a safe, innovative, and open country in the global economy.
The opinions expressed are solely those of the author(s) and do not necessarily reflect the views of the European Union or the European Commission. Neither the European Union nor the European Commission is responsible for them.
