We need more new startups
Our goal is for Finland to be at the forefront of Europe in terms of the number of new startups. Additional investments are needed in entrepreneurial expertise, innovations, and their commercialization.
We need more unicorns as trailblazers
In the startup ecosystem, the aim is for the year 2030 to be Finland’s ‘century’ – meaning that by then, there will be a hundred startups in Finland with revenues exceeding one hundred million. From new innovations and strong teams, anchor companies with exceptional success potential can emerge, creating centers of expertise around them.
We need more Mittelstand-class companies
Our goal is for the group of medium-sized companies in Finland to grow and strengthen the domestic business landscape. This requires skilled capital and entrepreneur-friendly decision-making.
We want the entire Finland to grow, develop, and employ
There are numerous companies in Finland in traditional industries that have the potential to grow more rapidly than they currently are. The growth of these companies needs to be accelerated. An experienced VC/PE as an owner brings the necessary expertise for growth along with them.
What is needed to build growth?
The building blocks of growth are ambitious entrepreneurs, a diverse team of experts, and innovations on which companies are built. When this foundation is in place, growth can be accelerated using these methods:
Effective regulation is necessary for businesses and growth financiers
Effective regulation for businesses and growth financiers requires a supportive environment for company expansion and internationalization. It’s crucial to ensure that growth- and entrepreneur-friendly policies are implemented consistently across different government terms. The regulatory and tax environment should be predictable and coherent. Whenever regulations or taxation are altered, the impacts on companies’ growth, financing, and employment opportunities must be evaluated. This helps to ensure that Finland remains an attractive and competitive destination for entrepreneurs, skilled professionals, and investors.
Increasing competent capital: Venture Capital for growth companies
In order to strengthen domestic ownership, our financing ecosystem needs to reach international standards. This means that barriers to domestic and foreign fundraising for venture capital funds must be removed, and these funds should have competitive opportunities to attract growth capital to Finland. In the attraction of growth capital, we are lagging behind other European countries: for example, in Swedish funds, over 80% of the capital comes from foreign sources, while in Finnish funds, it’s only about 30%. Additionally, domestic venture capital funds that invest in startups are relatively small here: in Europe, the average size is already over 100 million euros, while in Finland it’s only about half of that.
Domestic investors should also be able to invest seamlessly in Finnish capital funds. For example, Finnish foundations cannot invest directly in Finnish capital funds in a tax-neutral manner, as it is more economically advantageous for them to invest in foreign funds due to a domestic regulatory error.