To foster innovation, startup, and technology development in Riga, the Riga Investment and Tourism Agency (RITA) introduced a new investment support program, the "Startup Houses Support Program." This program is designed to promote the operations of startup hubs in Riga, with the capital planning to invest EUR 450,000 over the next three years.
A total of three applications were submitted to the competition. The highest score (120 points) was awarded to the foundation "TechHub Riga," which plans to become the leading innovation and entrepreneurship center in Latvia over the next three years, providing startups with the necessary support, knowledge resources, networking, and collaboration opportunities.
The developer of the startup centre was selected based on several criteria, including previous experience with startups, references, choice of premises, proposed strategy and implementation plan, and the number of startups attracted to date. A contract with the chosen developer will be signed for 36 months (3 years or three periods), providing EUR 150,000 in co-financing for implementing the proposed plan in each period, of which EUR 75,000 is available in the 2024 budget. It is intended that developer of the startup centre will support at least ten startups in the first year and at least 15 startups each in the second and third years.
Fredis Bikovs, RITA Director, explains: "Startups will receive this co-financing in various non-monetary ways, depending on the vision offered by the selected developer of the startup centre. This can include co-financing for a place in such a house, mentor support, events that facilitate opportunities to meet and network with experienced startup founders and investors, as well as other ways that promote faster growth, competitiveness, and the ability to attract further investments for development.
By realizing their proposed vision, developer of the startup centre will play a pivotal role in creating a hub where new, upcoming, and already successful startup founders and employees can meet, share valuable experiences and information. This hub will not only be a local gathering place but also a welcoming space for newly arrived representatives of the startup sector in Riga, offering support from like-minded entrepreneurs.”
Over the first 12 months, a significant portion of the funding will be invested in establishing or improving the centre. In the second and third periods, most of the funding will be directed towards supporting startups, with each receiving up to EUR 10,000 worth of direct support. The program's funding is co-financing, with the developer covering the remaining expenses according to the proposed plan from other income sources.
Inese Andersone, Chair of the City Development Committee, notes: "Developing the startup environment is one of Riga's priorities. With this new co-financing program, I believe we will promote the birth of even more companies in Riga."
Program REGULATIONS
Report and Request FORM
The binding regulations of the Riga City Council from July 3, 2024, No. RD-24-291-sn "On the Business Support Program of the Riga State City Municipality 'Startup House Support Program'" are available here.
For more information:
Mārtiņš Pakalniņš
Email: martins.pakalnins@riga.lv