Lithuania’s Startup Scene Keeps Growing: 16K People Employed, EUR 60.6M Paid in Taxes

During the first quarter of 2022, Lithuanian startups paid EUR 60.6M in state taxes, which is 43% more than over the same period last year. The number of employees in the sector grew by 25%, reaching 16 K, and the average wage now exceeds EUR 3 K (gross).

According to Unicorns Lithuania, there are currently 766 startups active in the country. Over the first quarter, their number increased by 4%.

“Startups active in Lithuania are consistently growing and helping the entire ecosystem evolve. The fact that we’re able to grow even in such a fraught situation – marked by a waning pandemic and a war nearby – shows that our community is sustainable as a whole. Each quarter sees an increase in the number of employees and taxes paid. Over the last year, the average wage at startups grew by 15% to EUR 3.026,” said Inga Langaitė, CEO of Unicorns Lithuania.

TOP5 startups in terms of taxes paid in Lithuania (Q1 2022) 

1. Tesonet – EUR 6.12M 

2. Vinted – EUR 3.23M 

3. Kilo Health – EUR 1.42M 

4. Bored Panda – EUR 1.12M 

5. Hostinger – EUR 1.11M

Compared to the last quarter, the total number of people working in startups increased by 7%. The sector is currently looking to employ thousands more, primarily front-end, back-end, and full- stack developer, QA specialists, and data engineers.

“The demand for talent is huge. Many startups are now openly saying that the only thing preventing further growth is the lack of qualified employees. To maintain rapid economic growth, we need to improve our educational system, focusing on in-demand competencies and skills, and boost Lithuania’s attractiveness to foreign talent,” Inga Langaitė explained.

According to the latest figures, the biggest Lithuanian startup in terms of team size is the accelerator Tesonet (almost 2 K employees with 11% quarterly growth). The e-commerce startup Vinted now has 990 employees (7% quarterly growth), while Planas Chuliganas – an innovative customer experience management service provider – has recently crossed the 500 employee threshold.

TOP5 startups by average wage (Q1 2022, gross) 

1. Game Insight – EUR 10.150 (+17% compared to Q4 2021) 

2. Redtrack – EUR 8,550 (+34% compared to Q4 2021) 

3. Planner 5D – EUR 7,050 (+6% compared to Q4 2021) 

4. Stock Invest.us – EUR 6,670 (-8% compared to Q4 2021) 

5. Gosu – EUR 6,280 (+238% compared to Q4 2021)

Unicorns Lithuania currently represents more than 40 Lithuanian startups. The association’s plan for 2025 is to build an ecosystem of 2 K startups, employing 30 K people and paying EUR 375M in taxes every year.