According to the data collected by Unicorns Lithuania, the country’s startups currently employ 16,400 specialists and pay €3,200 (gross) on average in wages. Compared to the previous quarter, the workforce has grown by 3%, and wages – by 2%.
“The situation in the financial markets is tense, and we’re all wrestling with the possibility of an economic winter. This has a direct impact on startups reliant on investment – we’re hearing news about potential cost-cutting, layoffs, and suspension of operations. In Lithuania, things look somewhat less pessimistic because a significant part of our startups grow by virtue of profit, rather than investment. In other words, their incomes come from satisfied clients, not investors,” said Inga Langaitė, CEO of Unicorns Lithuania.
TOP 5 Lithuanian startups by amount of taxes paid (Q3 2022):
1. Vinted – €5.18M
2. Nord Security – €4.21M
3. Nanoavionics – €2.62M
4. Oxylabs – €2.40M
5. Kilo Health – €2.27M
Compared to Q2, the biggest leap was effected by Nanoavionics, which rose to third place by announcing the sale of 77% of its shares to the Norwegian tech company Kongsberg in July. By the way, in August, the company paid its employees €30,700 in wages, on average. Substantial growth in taxes paid was also recorded by Vinted and Oxylabs.
The country’s startups currently employ 16,400 specialists and pay €3,200 (gross) on average in wages.
Startups assess and manage risks
“The situation is volatile, which makes it difficult to predict the next year and our own economic indicators. Startups are monitoring and carefully assessing risks, and promptly implementing solutions to manage them. This may be frightening in the short-term, but will ultimately help to retain the business, product, and workforce,” Inga Langaitė said.
According to her, given the tech sector’s exceptional flexibility and innovativeness, it’s precisely the solutions implemented during periods of difficulty – whether applied to incumbents or totally new ideas – that end up benefiting society and business the most.
Optimistic signs have also been recorded in Q4 – in October, the Lithuanian auto parts e- commerce startup Ovoko attracted €14M in funding, and a further €3.5M was secured in November by the innovative femtosecond laser technology company Litilit. This, by the way, represents Taiwan’s very first investment in Central and Eastern Europe.
TOP 5 highest-paying startups (Q3 2022, gross):
1. Oberlo – €9,350 (+72% compared to Q2 2022)
2. Redtrack – €7,480 (+4% compared to Q2 2022)
3. Stock Invest.us – €7,190 (+1% compared to Q2 2022)
4. Game Insight – €6,930 (-23% compared to Q2 2022)
5. Mambu – €6,900 (+22% compared to Q2 2022)
Data on Q3 shows that, in terms of the number of employees, the leading Lithuanian startups are Vinted (1,096), Nord Security (1,019), Planas Chuliganas (720), Kilo Health (509), and Oxylabs (483). During Q3, they all increased their workforce and are currently hiring. According to Unicorns Lithuania, the country’s startups have 600+ vacancies at the moment.