Is Yerevan 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.

Yerevan 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 Yerevan 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 Yerevan

Funding is one of the most critical ingredients in building a successful startup – and Yerevan 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.

Yerevan's early-stage startup scene is active, supported by local and international players. Notable VC firms like Granatus Ventures, SmartGateVC, Triple S Ventures, and BigStory VC are involved, with some focusing on pre-seed and seed rounds. Angel networks such as BANA Angels and Science & Technology Angels Network (STAN) also invest in early ventures. The Armenian government provides support through programs like "From Idea to Business" grants and tax incentives for IT companies. Despite this, challenges remain, including a perceived lack of investment funds for stages beyond seed, which prompts some companies to register abroad to attract funding. While early-stage funding has become more available, securing larger seed rounds ($1M+) and later-stage investments can be more difficult. However, reports indicate overall growth in the ecosystem, with Yerevan climbing in global rankings.

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  

Yerevan 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.

Yerevan has a growing startup and innovation ecosystem, ranking highly in Eastern Europe. The city boasts numerous coworking spaces catering to freelancers and startups. Tech events, conferences, and workshops are frequent, covering various topics like AI, cybersecurity, and entrepreneurship. Entrepreneurial activity is significant, supported by government incentives and a strong diaspora network. While standardized programs exist, there's also a culture of collaboration where early-stage founders can receive advice from experienced leaders and access early-stage investment and mentorship, suggesting a mix of structured and personalized support.

For many entrepreneurs, the energy and resources available in Yerevan 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 Yerevan, 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 Yerevan 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.

Yerevan has a growing talent pool for startups, particularly in the tech sector. Educational institutions like Yerevan State University, the National Polytechnic University of Armenia, and the American University of Armenia contribute significantly to this by offering strong STEM programs. The city has a notable concentration of skills in areas such as IT, software development, AI, and engineering. Local talent supports entrepreneurial growth through a global outlook, with many professionals experienced in working on international projects. The government also supports the tech ecosystem with initiatives and tax incentives. Yerevan's startup ecosystem is recognized regionally and is climbing in global rankings.

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 Yerevan 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

Yerevan 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.

Yerevan offers a robust ecosystem for startups, featuring numerous incubators and accelerators like Enterprise Incubator Foundation (EIF), Armenia Startup Academy, and Hero House. These entities provide mentorship, training, networking, and access to funding. Co-working spaces such as Impact Hub Yerevan and WOODS Center offer conducive work environments. The Armenian government actively supports the sector through initiatives like the Ministry of High-Tech Industry's programs and grants like "From Idea to Business." Tax incentives for IT and high-tech companies, including reduced turnover and income tax rates, further enhance the environment. Funding is available through local and international sources, including venture capital firms and angel networks. This comprehensive support system helps startups develop, attract investment, and scale globally.

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 Yerevan. 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 Yerevan Be Considered the Best Place to Launch a Startup?

There’s no doubt that Yerevan 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 Yerevan may encounter several challenges. Competition exists, particularly within the growing tech sector, with both local and international players present. While the cost of living is considered relatively low compared to major tech hubs, rising prices, especially in real estate, can be a factor. Regulatory issues and bureaucracy, though improving, can still pose hurdles, with concerns about the consistent application of laws and the need for more efficient processes. Additionally, a lack of market competition in some areas due to vested interests can create barriers to entry.

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 Yerevan or elsewhere, EWOR’s remote programmes are designed to support founders no matter where they are located.

So, while Yerevan 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