Is Ukraine a Good Place to Launch a Startup?

Where you start your company still matters – but sticking too closely to one location might limit what you’re able to build. In today’s startup landscape, geography shapes your path – but it doesn’t have to define your potential.

Ukraine has emerged as a strong hub for entrepreneurship, offering access to funding, talent, and infrastructure. But with growing competition, rigid local programmes, and support often reserved for the most polished startups, relying solely on what’s nearby can slow you down – or hold you back.

In this article, we’ll explore what Ukraine gets right – and where founders often run into friction. We’ll also show how EWOR offers an alternative: a global, remote-first platform that gives you access to funding, mentorship, and community – no matter where you’re based.

1. Access to Funding in Ukraine

Funding is one of the most critical ingredients in building a successful startup – and Ukraine offers a growing ecosystem of support. From venture capital firms to government grants and angel investors, founders in this region have several pathways to raise capital and gain early traction.

Despite the challenging environment, Ukraine's early-stage startup ecosystem shows resilience, attracting attention from both local and international investors. Notable VC firms active in the early stages include AVentures Capital, Digital Future, TA Ventures, and Flyer One Ventures. The Ukrainian Startup Fund, a government initiative, provides grants to support early-stage ventures and has aided over 380 teams. Angel networks like United Angels Network also play a role in connecting startups with investors. However, challenges persist, including a seed-stage funding gap and difficulties accessing international markets and building trust due to the ongoing conflict. While investment saw a significant increase in 2023, reaching $462 million according to AVentures Capital, overall levels remain below the peak of 2021. The war has also led to the temporary relocation of many skilled tech professionals, posing a talent retention challenge.

A More Flexible Path Forward

In the wake of these challenges, founders don’t have to rely solely on local funding options. EWOR offers a more flexible path – providing up to €500,000 in early-stage capital But EWOR is more than a cheque. Our capital comes bundled with personalised support, investor-ready storytelling, and access to a network of over 400 active European investors – many of whom regularly participate in our Grand Pitch events. On average, EWOR fellows who complete the programme and pitch go on to raise €2 million in follow-on funding – over 10x more than founders from comparable European initiatives.

2. Innovation and Startup Culture  

Ukraine has become a centre of innovation, with numerous tech hubs, coworking spaces, and accelerators that foster creativity and new ideas. The local startup culture is vibrant, with a growing community of entrepreneurs working together to push the boundaries of what’s possible.

Ukraine has a resilient and growing startup and innovation culture, marked by significant entrepreneurial activity despite challenging circumstances. There is a notable presence of coworking spaces across major cities like Kyiv, Lviv, and Odesa, fostering community and providing infrastructure for entrepreneurs. The country hosts various tech events, such as IT Arena and the EU-Ukraine Tech Summit, facilitating networking and knowledge sharing. Entrepreneurial spirit is strong, with a considerable number of adults involved in new or established businesses. Support for startups includes government initiatives like the Ukrainian Startup Fund, which specifically aids early-stage projects through funding and access to services. Numerous accelerators and incubators also offer mentorship, resources, and tailored programs, supporting both early-stage and more mature startups, indicating a mix of personalized support and competitive programs within the ecosystem.

For many entrepreneurs, the energy and resources available in Ukraine can provide the ideal environment to test new ideas and gain early traction. The collaborative atmosphere allows founders to connect with fellow innovators and build networks that can help their startups grow.

While the local startup culture is vibrant, the support founders actually receive can be hit or miss. VCs might offer funding but little time. Angel investors often give advice, but it’s scattered and inconsistent. What’s more, many accelerators rely on a one-size-fits-all model that doesn’t reflect the needs of exceptional founders. In fast-moving, competitive ecosystems like Ukraine, standing out is hard enough – getting the right kind of support shouldn’t be.

The Alternative to Cookie-Cutter Programmes

Finding a programme that truly adapts to your journey, not the other way around, is rare. However, EWOR offers the kind of depth and flexibility that many local programmes simply can’t match. Instead of following a fixed curriculum, our fellowships are modular and tailored – giving you the right support at the right time, based on where you are in your journey.

But the real strength of EWOR goes beyond structure. Fellows often describe the community as the most unexpected – and valuable – part of the experience. As some have put it: “The real magic lies in the community: the kind of conversations, insights, and connections that lead not only to breakthroughs – but to lasting friendships with some of the most fascinating people they’ve ever met”.

3. Talent and Workforce Availability

One of the greatest assets of launching a startup in Ukraine is access to a skilled and diverse talent pool. With universities producing top-tier graduates in technology, business, and other fields, startups can tap into a wealth of expertise to help grow their teams.

Ukraine has a large and skilled talent pool, particularly in the tech sector, with over 300,000 IT professionals. Its educational system, including universities like Kyiv Polytechnic Institute and Lviv Polytechnic National University, produces a significant number of STEM graduates annually. Ukrainian talent possesses diverse industry-specific skills, including proficiency in programming languages like JavaScript, Python, and C++, as well as expertise in areas like AI, blockchain, cybersecurity, and data science. This skilled workforce supports entrepreneurial growth by providing a strong base for startups in various tech domains. Local talent is known for technical proficiency, problem-solving, and a strong work ethic, contributing to a vibrant startup ecosystem.

Like funding, competition for talent can be fierce, especially for highly specialised roles in fields like software development or AI. For startups looking to scale quickly, hiring the right people at the right time can be a challenge, leading some founders to look outside the region for remote talent solutions.

Get Global While Local

While hiring locally in Ukraine can be competitive and slow, EWOR gives you instant access to a global network of exceptional talent. Built by founders for founders, the EWOR team has launched and exited companies worth over €12 billion – and they bring that experience directly into your venture. It's not just about funding or surface-level advice; it's akin to having a co-founder from day one. 

The team collaborates closely with you to refine your idea, challenge your thinking, and support you through real-world decisions – just like a hands-on partner would. Moreover, with EWOR’s exclusive co-founder pool, you can find the right person to build with, regardless of their location.

4. Infrastructure and Support Systems

Ukraine boasts a strong infrastructure that supports the growth of new businesses. From modern office spaces to high-speed internet, entrepreneurs have access to everything they need to run their startups smoothly. Government policies may also provide tax breaks, legal support, and other incentives that make starting a business more attractive in this region.

Ukraine offers a developing ecosystem for startups, supported by various resources despite challenging circumstances. Infrastructure includes innovation parks like Unit City Accelerator and a strong digital framework enabling online business registration via Diia. Support systems feature incubators, accelerators, and access to mentorship and investor networks. Government initiatives play a crucial role. The Ukrainian Startup Fund provides grants to early-stage ventures. Programs like Brave1 support defense tech innovation, while the Ministry of Digital Transformation promotes the tech sector through initiatives like Diia.City, offering favorable tax conditions. These resources help businesses launch, grow, and attract investment.

But what looks good on paper often proves more complicated in practice. Bureaucracy can be time-consuming and opaque, especially for first-time founders unfamiliar with local laws. Incorporation takes longer than expected. Accessing public funding often means navigating slow processes, strict requirements, or hard-to-reach advisors. And operational costs – from accounting to regulatory compliance – can quickly eat into early budgets. 

A System That Moves With You

With access to expert guidance, practical legal resources, and a network of experienced entrepreneurs who’ve built across a range of regulatory systems, EWOR is well positioned to help founders navigate the bureaucratic and legal complexities that often come with building in Ukraine. Instead of wasting time figuring things out alone, you’ll have the tools and support to stay focused on what matters most – growing your venture.

And while we’re remote-first, our support is anything but distant. Through in-person gatherings like the EWOR House, city-based meetups, and our twice-yearly Grand Pitch event, you’ll still build meaningful relationships with investors, peers, and mentors. It’s a system that helps you focus on building – not just dealing with paperwork.

Can Ukraine Be Considered the Best Place to Launch a Startup?

There’s no doubt that Ukraine provides a vibrant environment for startups, with access to funding, innovation, talent, and infrastructure that can help entrepreneurs build successful businesses. For many, it’s a strong contender for the best place to launch a startup, thanks to its growing entrepreneurial ecosystem and support systems.

Entrepreneurs launching startups in Ukraine face several challenges. Competition exists, with a growing tech ecosystem and established companies, although the market has been affected by the war. While Ukraine has historically offered a lower cost of living compared to Western countries, impacting talent costs favorably for some businesses, the economic situation and inflation can still pose challenges for startups. Regulatory issues and bureaucracy remain significant hurdles, including navigating changing regulations, potential corruption risks, and complexities in areas like tax compliance and digital contracts. Additionally, the ongoing conflict introduces substantial risks and uncertainty, impacting investment and operations.

However, it’s important to remember that the location of a startup is no longer the be-all and end-all. In today’s digital age, location-independent options like EWOR allow entrepreneurs to access world-class mentorship, funding, and resources from anywhere in the world. Whether you’re based in Ukraine or elsewhere, EWOR’s remote programmes are designed to support founders no matter where they are located.

So, while Ukraine offers significant advantages, it’s worth considering options like EWOR that enable you to launch and scale your startup with global support – whether you’re in the heart of a bustling startup hub or working from a quiet corner of the world.

Image credits: by Andreas Brücker on Unsplash