Entrepreneurs and organizations implementing business/commercial processes can access grant support to digitalize processes and/or develop and apply artificial intelligence (AI) solutions, to enhance competitiveness and productivity.

Support is given in the form of a grant:

• Up to 10 000 EUR, 50% support for new digital solutions (acquisition, development, implementation)
• Up to 200 000 EUR, 50% support for artificial intelligence solutions (development & implementation)
• Up to 10 000 EUR, 50% support forDigital maturity assessment, digital road-map

Eligible applicants

• Companies in Latvia - micro, small, medium, and large companies, depending on capitalisation status (small mid-caps and mid-caps)

• Associations & Foundations (non-profits) that engage in economic activity; in some cases, associations that represent or unite at least three commercial entities

Eligible costs:

• Acquisition, development, prototyping, installation, customization of ready-made digital or AI solutions, hardware, sensors, equipment, software, and information technology infrastructure. 

• License or subscription costs, certification. 

• Consulting costs related to specific equipment, software/solutions, including for AI solutions, or for adaptation, integration, maintenance. 

• For AI solutions specifically: data acquisition, collection, processing; robotization; infrastructure for AI systems; upkeep / maintenance.

Supported processes:

1. Administrative processes — finance & accounting; document management; project management; administration; system compatibility; cooperation tools.

2. Personnel / HR processes — human resources management; time tracking and work delegation; evaluation, motivation, staff involvement. 

3. Sales & marketing — customer acquisition; sales / transaction management automation; CRM; e-commerce; digital marketing; solutions for retail. 

4. Resource management — ERP systems; warehouse management; effective use of energy and other resources. 

5. Data management — data security; data storage; communications infrastructure. 

6. Transport & logistics — Internet of Things; smart mobility; perception systems; traffic monitoring. 

7. Production & quality control — process automation; quality control systems; data synchronization; analytics. 

8. Operational management — business analytics; big data; decision-making tools; data automation & synchronization.

9. Strategic management & innovation — development of digitalization and AI strategy; innovation processes. 

10. Other ICT-related improvements — security, technology updates, processes related to information & communication technologies. 

This initiative is aimed at supporting small and medium-sized enterprises so that they can operate more successfully in international markets. Entrepreneurs are offered the opportunity to participate in trade missions, international exhibitions, and business visits abroad, which help them establish direct contacts with potential partners. Participation in visits by government officials is also important, as it opens up access to strategically important markets. The aim is to increase the competitiveness of Latvian companies and promote stable export growth.

• Participation in national stands.
• Participation in trade missions.
• Participation in visits by high-level state officials abroad.
• Support for organizing international sports events and exhibitions.
• Support for export activities that strengthen and enhance the export capability of products and services. Program supports activieties un to 40 000 EUR with 60% support intensity:

  • Participation in international exhibitions abroad and in Latvia with an individual stand or joint stand, participation in international conferences abroad with a stand or presentation, and participation in international matchmaking events abroad, either in person or online.

  • Participation in international digital industry platforms (support is not provided for participation in social networks or e-commerce platforms).

  • Trademark development, including trademark strategy preparation and registration.

  • Advertising campaign related to the launch of a product in an export market.

  • Development of marketing visual materials (brochures, banners, or video clips) up to the design layout stage.

  • Participation in international foreign industry organizations or associations.

  • Target market research.

  • Telemarketing services for finding foreign cooperation partners.

  • Engagement of a relevant foreign industry expert for the development and implementation of an export market strategy, as well as engagement of a foreign sales agent for market repositioning.

  • Assessment of factory and product compliance (certification).

  • Support for organizing international conferences in Latvia in the RIS3 field. The conference must have at least 50 participants, and at least 50% of them must be from abroad.

A capital company with a high growth potential the basic activity of which is related to the development, production or improvement of scalable business models and innovative products under the Law on Aid for the Activities of Start-up Companies may qualify for the following aid:

• An aid programme for the fixed payment

The start-up company has the right to apply for a fixed payment for the employee from the amount of the two minimum monthly wages set by the Cabinet of Ministers, applying the mandatory contribution rate.

• Aid Programme for Attracting Highly Qualified Employees

A start-up company has the right to apply for an aid programme for attracting highly qualified employees. The Cabinet shall issue regulations regarding aid programme for attracting highly qualified employees by determining the procedures for granting the aid to start-up companies.

Support of up to 45% (up to 300 000 EUR) of eligible costs is limited to activities in the smart specialization or RIS3 areas, which include:

• biomedicine, medical technology, pharmaceuticals;
• information and communication technologies;
• photonics, smart materials, technologies, and engineering systems;
• knowledge-intensive economy;
• smart energy and mobility.

For more information - here.

• Personal income tax relief

An employee of the start-up company is exempt from the personal income tax if regarding him or her a fixed payment has been made for the income subject to a payroll tax obtained in the start-up company.

Acceptance of applications is open while funding is available.

Business Incubation Aid is available under the Innovative Business Development Programme for Small and Medium-sized Enterprises (SMEs) in the EU Structural Funds programming period 2021–2027.

These are various financial and non-financial aid measures targeted at young businesses to strengthen the viability of innovative, technological, creative and exportable Latvian businesses, increase growth potential and promote exports of goods and services produced in Latvia.

Admission to the Business Incubation Aid Programme takes place 2 times a year. 

Investment and Development Agency of Latvia (LIAA) offers Latvian merchants the opportunity to develop new products and technologies in cooperation with research organizations. As a result, the innovations introduced by Latvian entrepreneurs will increase the share of innovative merchants in the economy.

The innovation voucher programme foresees four types of vouchers – introductory, classic, design voucher and attracting highly qualified staff – and supports the following supported activities:

• feasibility studies;
• industrial research;
• experimental development;
• development of industrial design of the product;
• strengthening industrial property rights;
• certification and testing services for a new product or technology;
• attraction of highly qualified employees;
• designer service.

Voucher support is intended for small (micro), small and medium-sized enterprises. A voucher is like a letter of guarantee to the service provider regarding the payment of the development part of a particular product.

LIAA will start accepting applications for the innovation voucher support programme on 8 May, which, in cooperation with research organisations, will allow the development of new products and technologies, providing support for the development of up to 25,000 euros for the development of a product or technology.

The aid is co-financed by the European Regional Development Fund.

EEN provides free services:

• Help with international partner search:
  • Organizing business missions and contact exchanges;
  • Business Cooperation Database – an opportunity to search for current business/ technology/ research cooperation offers, as well as to place your offer in the database. The database is available here;
  • Selection of contacts of potential cooperation partners.
• Prepares information about target market;
• Provides advice on legislative and business aspects (goods and services requirements, standardization issues, CE labelling, posting of workers abroad, etc.);
• Provides advice on access to finance (Horizon 2020, Erasmus, Creative Europe, Interreg, etc.);

EEN also helps to search partners for participation in international programs.
Learn more: Go to the webpage