Poland has been drawing attention of many young enterprises. With Brexit on the doorstep, international companies and global-thinking startups have been looking to secure their position in the European Union, without the necessity of relying on the UK. While the trend is especially visible among big worldwide players, smaller ones are also investigating whether Central Europe should be the place to be right now. Poland is, naturally, one of the countries to watch whenever the thought of going international crosses your mind.
In 2016, Poland had the highest share of non-EU startup founders. Additionally, the percentage share of Polish startups earning more than EUR 50,000/12 months has risen from 26% to 46.1% in the last 12 months. 7.7% of them earn more than EUR 500,000. What makes investors so attracted to Poland and the promises it holds for startups?
First of all, Poland offers tax incentives for foreign investors, including startup owners. There are cases of total tax exemptions, but usually it is just a partial tax break, which comes in handy especially for those startups conducting some R&D activities within the first two years of their operations.
Another thing is the existence of special economic zones, where entrepreneurs are guaranteed to receive numerous incentives. In order to affiliate with a particular economic zone, startup owners need to apply for a special government permit. As of May 2017, there are 14 of special economic zones, and their main goal is to facilitate the economic growth of particular Polish regions, as well as create new job opportunities. This objectives make it easier to get the government permit than you would expect.
Special economic zones are often accompanied by some additional institutions, such as incubators or accelerators. A good example could be the Łódź Special Economic Zone where Startup Spark operates as an accelerator, aiming to bring together big companies and young enterprises.
Startups in Poland are still being characterised by their innovation and drive for brand new, non-present on the market solutions. If you feel you match these criteria and are looking for a new outlet for your business creativity, Poland should be your go-to place to check out and act!