Krišs Pujats: Why Does Latvia Have Half the Startups of Lithuania?
Latvia has 569 startups, nearly half of Lithuania's 1100 and 2.3 times fewer than Estonia's 1324. The main issue is that too many ideas never make it to the operational stage.
According to a report by the Latvian Startup Association Startin.LV, Latvia hosts 569 startups, compared to 1100 in Lithuania and 1324 in Estonia. This disparity highlights a key weakness: there is no shortage of ideas, but few turn into active businesses.
Krišs Pujats, co-founder of “Gravity Team,” points out that the main challenge is moving from concept to actual operations. Turning an idea into a company requires time, money, and risk-taking. Latvia lacks the ability to work under uncertainty for extended periods, which is crucial in the early stages of a startup.
Local success stories are vital because they make the goal seem more achievable. People are more likely to act when they see concrete examples from their own environment. Latvia needs more such stories across various industries to illustrate the journey from idea to execution.
Practical experience is essential – lectures and presentations do not build habits that come from real work with a team, customers, and mistakes. The “StartSchool” program is a good example, combining hackathon, education, and incubator elements, allowing ideas to be tested with minimal financial risk.
In the early stages, simple regulations and a manageable tax burden are important. Overly complex requirements force founders to spend time on paperwork instead of on their product and customers.
Waiting for perfect conditions rarely leads to action. Founders must decide to start despite obstacles. Latvia needs more attempts so that ideas reach the market and produce testable results. An entrepreneurial culture is built through regular practice, and it must be fostered to turn interest into actual work.
