One of the most searched-for yet least understood topics among Latvian entrepreneurs is EU funding. "There must be grants available somewhere, but where exactly?" "Can I get money to grow my business?" "Why did my neighbor get funding but I didn't?" In 2026, Latvia is running more than ten different support programmes — from startup grants to loans with capital rebates for green projects. The problem is not a lack of money, but that information is scattered across multiple ministry, agency, and fund websites. In this guide, we have gathered the most important programmes in one place — with concrete figures, eligibility criteria, and application deadlines.
Why EU Funding is Available to Latvian Businesses
As an EU Member State, Latvia participates in the EU Structural Funds and investment programmes. For the 2021–2027 planning period, Latvia has access to over €4.6 billion in EU funds, a significant portion of which is earmarked specifically for business development, innovation, digitalization, and export promotion. EU funding is available to all types of companies of any size and sector — the self-employed, start-ups, microenterprises, and small and medium-sized enterprises.
It is important to understand that EU funding does not reach entrepreneurs automatically — it is distributed through national support programmes managed by LIAA (the Investment and Development Agency of Latvia), ALTUM (the State Development Finance Institution), and other bodies. Each programme has its own conditions, support intensity, and application deadlines.
In 2026, the total public funding available for business support is measured in the hundreds of millions of euros. Just one LIAA incubation programme has disbursed more than €4.35 million in support to date, while ALTUM has backed over 3,000 small and medium-sized business projects with start-up loans.
LIAA Business Incubation Programme — The Most Accessible Support for Young Companies
This is one of the most popular and accessible support programmes for new businesses in Latvia. The spring 2026 intake attracted 297 applications — an all-time record in the programme's history.
Who Can Apply
A micro, small, or medium-sized enterprise registered in Latvia.
The company must be no more than 5 years old.
Tax debt may not exceed €1,000.
The company is innovative, technology-driven, export-oriented, or a creative industry representative. Traditional businesses with export and/or innovation potential may also apply.
What You Can Get
The programme offers two types of support:
Non-financial support:
Consultations on business development, marketing, product development, HR management, and financial planning
Training and seminars
Individual mentoring support
Access to an expert network and international contacts
Networking events and coworking spaces
Financial support (grants with 70% support intensity):
Up to €10,000 for services (marketing, prototyping, design, IT solutions)
Up to €8,000 for equipment and machinery
Up to €5,000 for raw materials and supplies
Innovative businesses are eligible for additional grants of up to €20,000 for prototyping, testing, and technology development
In the first contract year, total support for an export-oriented or creative industry company can reach up to €25,000. For innovative companies, including developers of dual-use goods, services, or technologies, support in the first year can reach up to €55,000. In the second and third years, it is possible to apply for additional support.
How to Apply
Intake takes place twice a year. The spring 2026 intake ran from 9–31 March. Applications are submitted via the platform liaa.business.gov.lv or by contacting the nearest LIAA regional office (located in 20 cities across Latvia).
ALTUM Support Programmes — Loans Where Banks Say No
ALTUM is Latvia's state development finance institution, offering loans and guarantees where commercial banks see insufficient collateral or consider a project too risky.
Start-Up Loan — For Business Launch and Growth
This is one of ALTUM's most sought-after programmes among young businesses. It has supported more than 3,000 small and medium-sized business projects.
Key terms:
Loan amount: €2,000 to €250,000
Fixed interest rate: from 3% (for sustainable projects — an additional 25 basis points lower)
Term: working capital up to 3 years, investments from 10 years, real estate up to 15 years
You can apply before the company is formed (with a clear business plan)
Also available to self-employed persons and businesses of all sizes registered no more than 7 years ago
Used for:
Purchasing raw materials, fuel costs, rental payments
Machinery, equipment, commercial vehicle purchases
Real estate acquisition, construction, or renovation
Business Greening — New from March 2026
On 9 March 2026, ALTUM launched a new support programme for greening business operations, with a total budget of €41.5 million. The programme is financed from the EU Just Transition Fund and is intended exclusively for regional businesses (Vidzeme, Kurzeme, Zemgale, Latgale — outside Riga, Jūrmala, and the peri-urban area).
Support types:
Improving energy efficiency in buildings and equipment (primary energy savings of at least 20%)
Producing renewable energy for self-consumption (at least 80% of generated energy must be used in-house)
Developing new products and processes significantly reducing resource consumption and emissions
Funding terms:
Loan or guarantee with a capital rebate of up to 30% of eligible costs
Maximum loan: €10 million; maximum capital rebate: €3 million
Loan term: up to 20 years
ALTUM guarantee for commercial bank loans up to 80%, with a 0% guarantee fee for the first five years
The capital rebate is applied after project completion, reducing the loan principal — this significantly improves a project's financial viability. Applications are accepted on a continuous, "first come, first served" basis, while funding is available.
Productivity Loans with Capital Discount
From 2 March 2026, the acceptance of new applications has been temporarily suspended, but the programme, with €100 million in total funding, is available for innovation projects — including dual-use and new product development. Companies can access ALTUM loans of up to €5 million with a capital discount of up to €1.5 million.
LIAA Export Support Programmes
In 2026, LIAA offers several support programmes for export-capable companies:
Export Aid Action Plan — designed for companies wishing to systematically expand their export markets by implementing a structured export activity plan. Total budget: approximately €24 million, of which €13 million is earmarked for grants. Applications accepted until 31 December 2026 (or until funding is exhausted).
Export Support for Large Companies and the Public Sector — €1 million available in 2026. Application intake started on 24 February 2026.
International Trade Fair Support — companies may apply for LIAA support to participate in international exhibitions, covering both stand and travel costs.
In 2026, a total of €18.4 million has been allocated to export promotion measures, with the aim of increasing export turnover by €300 million.
Digitalization Support
Although the LIAA "Support for Digitalization of Business Processes" programme reached its funding limit in June 2025 — €33.59 million was reserved across 857 business applications — other digitalization support options are available in 2026.
New in 2026: Under the EU Funds 2021–2027 planning period, digitalization support continues. LIAA has announced a new funding round with the goal of supporting 200 enterprises in digitalizing their processes by 30 June 2026.
Support intensity:
Micro and small enterprises: 50% co-financing
Medium-sized enterprises: 40% co-financing
Small and medium-capitalization companies: 30% co-financing
Particular attention is being paid to project applications associated with e-commerce development, the introduction of accounting and warehouse management systems, and the digitalization of customer service processes.
Other Support Opportunities for Small Businesses
Support for Hiring Highly Qualified Workers
Two programmes are available for start-up companies:
45% salary co-financing for the pay costs of highly qualified workers. The co-financing is calculated against a fixed hourly rate set by the Ministry of Economics. For a programmer (ICT Senior Specialist), the standard rate is €31.44 per hour — at 160 hours per month, the state covers €2,264.
Fixed Social Payment — reduced labour tax costs, replacing the standard social contribution burden with a predictable flat payment.
Capitalia Microloans with EIF Guarantee
In 2026, the Latvian alternative lender Capitalia, in partnership with the European Investment Fund (EIF), has launched a new initiative making microloans more accessible than ever. This is the first time in Europe that loans issued through a crowdfunding platform benefit from InvestEU protection.
Key terms:
Loans of up to €50,000 with reduced interest rates
Repayment term of up to 36 months
No hard collateral requirements
Total programme volume: €15 million over three years across the Baltic states
Under its previous programme (EaSI), Capitalia issued 523 loans worth more than €9.8 million to small businesses across the Baltic states.
Intellectual Property Protection Support
From 2 February 2026, Latvian small and medium-sized enterprises can apply for EU funding to cover the costs of registering trademarks and designs. The programme covers up to 75% of official costs related to trademark and design registration. Available funding is limited.
EIB Loans via Luminor
In 2026, the European Investment Bank (EIB) signed a €115 million loan agreement with Luminor to facilitate additional financing for small and medium-sized businesses. In total, this will provide over €332 million in new financing for businesses in the Baltics, with a particular focus on supporting the green transition.
EU Grants for Start-Ups
A programme aimed at start-ups building next-generation payments, fintech, and climate solutions. To be considered, start-ups must be registered in an EU Member State and meet innovation criteria.
How to Prepare Your Application
To improve your chances of securing funding, it is important to prepare in good time. Here are five steps we recommend you take before applying:
Get your accounting in order. Most programmes require you to submit the last 2–3 years' financial statements. If your books are incomplete, your application may be rejected even if your business idea is outstanding.
Prepare a clear business plan. Especially for ALTUM loans — the business plan must show how the loan will be used and how it will be repaid.
Check whether you meet the eligibility criteria. Each programme has its own eligibility criteria — company age, size, sector, region. Research in advance which programme you qualify for.
Complete any required preliminary studies. For example, ALTUM's greening programme requires an energy audit to be conducted before the application is submitted.
Track deadlines. Some programmes accept applications only during specific windows (e.g. LIAA incubation — twice a year), while others operate on a continuous basis while funding is available.
How Proper Accounting Affects Your Chances of Securing Funding
The quality of your accounting directly affects both your chances of obtaining funding and the amount you can receive.
For LIAA incubation and other grants — you must submit accurate financial statements demonstrating the company's financial position. Inaccurate or incomplete accounting can be grounds for rejection.
For ALTUM loans — ALTUM analyses your financial metrics before granting a loan. The more orderly your books, the better your prospects of securing a larger loan on more favourable terms.
For grant reporting — once you receive a grant, you must be able to report on how the funding was used. Without properly maintained accounting records, this is almost impossible.
Absence of tax debt — most programmes require the absence of tax debt (or a very small debt — e.g. up to €1,000 for LIAA incubation) as a precondition.
Frequently Asked Questions
Can I receive multiple forms of support simultaneously?
It depends on the programme. Many programmes operate under the de minimis aid principle — the total support to a single undertaking over a three-year period may not exceed €300,000. Some programmes operate outside de minimis limits. Consult a specialist before applying to multiple programmes.
How long does it take from application to receiving the money?
LIAA incubation programme: after the intake closes (e.g. 31 March), assessment takes approximately 4–8 weeks. ALTUM loans: depending on project complexity — 1 to 3 months.
Do I have to repay grants?
No, LIAA grants do not need to be repaid — they are non-repayable financial assistance. ALTUM loans must be repaid (they are loans, not grants), but on more favourable terms than commercial bank loans.
Can foreign nationals apply for these programmes?
The programmes are available only to companies registered in Latvia. If you have a Latvian SIA, you may apply regardless of your nationality. However, some programmes require that the company's economic activity is carried out in Latvia.
EU funding is not a myth — it is real, accessible, and measured in the hundreds of millions of euros. But accessing it requires preparation: orderly accounting, a clear business plan, and precise compliance with the programme's criteria. Our team helps entrepreneurs prepare the necessary financial documents and advises on selecting the most appropriate support programme.
Last updated: May 2026. Information is based on official materials from LIAA, ALTUM, EU Funds, and current programme announcements.
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