Huge Interest
Two weeks ago, together with the Czech Startup Association and Startup Kitchen, we – Czech Founders – organized the first-ever pre-election political debate focused on startup issues. We invited representatives of all political parties polling above 5% – ODS, ANO, STAN, KDU-ČSL, Pirates, and Stačilo.
Representing ODS was Minister of Transport Martin Kupka, STAN was represented by Deputy Minister of Industry and Trade Štěpán Hoffman, KDU-ČSL by Benjamin Činčila, TOP 09 by AI Envoy and Deputy Minister of Industry and Trade Jan Kavalírek, and the opposition by Karel Havlíček (ANO) and Michal Švagerka, leader of the Pirates in the South Moravian Region.
I was particularly looking forward to Jana Bobošíková, as she should know a lot about startups – both of her daughters are successful startup founders in the USA and Canada – but unfortunately, she canceled at the last minute. For our sector, it was a premiere to meet politicians in such an “arena-style” format. Usually, we’re the ones knocking on doors, explaining why better ESOPs or access to capital are needed. This time, we got to ask them the questions. And the interest was huge – over 120 people attended in person and the online stream peaked at over 1,000 viewers.
A Data-Driven Start
Critics might say, “Promises cost nothing.” But at the end of June, we all witnessed the approval of an amendment to ESOP legislation: out of 141 MPs present, none voted against, and 119 voted in favor. It was an incredible moment of cooperation between government and opposition. After 14 intense months of work on ESOPs, I was curious to see what politicians would bring to the debate.
Before the politicians took the floor, Iva Brejlová from data agency ROLU and Kamila Zahradníčková from the sociological startup Lakmoos AI presented some key data.
Where Does Czechia Stand?
We have 3 unicorns, and in 2024, total startup investment volume was around CZK 14.5 billion. According to Czech Founders, six Czech startups were sold in 2024 for about CZK 2.87 billion.
And How About Other Countries?
The comparison was even more telling. In Sweden, private capital investment accounts for over 1.36% of GDP, while in Czechia it’s just 0.124% – far below the European average (0.551%). Sweden has a similar population size to the Czech Republic, yet it’s home to 27 unicorns (compared to our three: Rohlík, Mews, Productboard – source: Dealroom).
Unicorns – and the “graduates” from working in them – are the backbone of future tech companies. According to Atomico, there are currently around 9,000 founders in Europe with work experience in European unicorns. By 2030, this is expected to double to 18,000. That’s why a functioning ESOP legal framework and accessible capital are critical to growing the next generation of founders.
We should take inspiration from countries like Sweden, where investments into SMEs come with tax incentives for investors.
The Third-Most Common HQ for Czech Startups? San Francisco
Another striking data point: the third-most common headquarters for Czech startups is San Francisco (after Prague and Brno). One major reason companies head overseas is not only higher valuations upon exit but also easier access to capital. Atomico’s 2023 data shows a huge “funding gap” between Europe and the US – after five years, a US startup has a 40% higher chance of securing funds for scaling, as well as better company valuations.
Startups Through the Political Lens: An Untapped Brand
Kamila Zahradníčková of Lakmoos AI shared public perception data: one in three voters doesn’t associate the startup topic with any political party. That means a major political opportunity is still up for grabs.
For those voters who do associate startups with a party, ANO leads by a wide margin (nearly 30%), followed by STAN, Pirates, and ODS. Interestingly, KDU-ČSL – despite leading the progressive “startup region” of South Moravia and having MP Michal Kohajda as a sponsor of the ESOP reforms – ranks last, with only around 2% of voters linking them to startups.
“I Pitch, Therefore I Am”
Since the parties hadn’t yet presented their election programs, we started with a series of 90-second “pitches.” Party representatives had the chance to say what they would do for the Czech startup ecosystem – and it quickly became clear who came prepared and who improvised.
Martin Kupka (ODS) – Aside from the pun “I pitch, therefore I am,” promised support for autonomous driving and space technologies. No specific legislative proposals were mentioned.
Štěpán Hoffman (STAN) – Spoke about the need for a “startup law,” already being worked on at the Ministry of Industry and Trade.
Karel Havlíček (ANO) – Thanked others for cooperating on ESOP reform, wished for even stronger competitiveness, and (like Pirates, STAN, and KDU-ČSL) supported allowing pension funds to invest in VC.
Michal Švagerka (Pirates) – Talked about “brain and motor” power, and advocated speeding up visa processes for talent.
Jan Kavalírek (TOP 09) – Stressed the need to keep focusing on AI, praised ESOP cooperation as proof that startup issues need not be politically divisive.
Benjamin Činčila (KDU-ČSL) – Called for deferring social and health insurance payments for new businesses and, somewhat surprisingly, also supported pension fund involvement in startup funding.
Q&A Time
During the Q&A, the most popular question for Minister Kupka was why top ODS leaders abstained from the ESOP vote. No clear answer was given – unsurprisingly. The ESOP bill is expected to return to the Chamber of Deputies in September for a final vote; if not passed before elections, it’s set to be among the first reforms afterward.
Overall, it was encouraging to see broad agreement on key startup issues and minimal confrontation.
What Was Discussed – and What Would Politicians Support?
Startup Law – Being prepared by the Ministry of Industry and Trade to help the state identify and support startups (not only financially). In smaller countries, such laws have proven useful, e.g., by reducing early-stage reporting burdens and adding startup-specific criteria in public tenders. No politician opposed.
Better Access to Capital – Agreement that angel investor support and institutional VC investment (via pension funds and insurers) are crucial, following the US model.
“28th Regime” & EU.Inc – Harmonizing corporate law across the EU to remove barriers based on where a company is registered – similar to Delaware in the US – to attract investors, talent, and growth capital.
Unified Agency – Consolidating CzechInvest, CzechTrade, and Ministry of Industry and Trade startup activities into one strong agency, like Startup Estonia or Startup Portugal. No objections from participants.
ESOP Reform – Expected to pass in September, taking effect January 1, 2026.
Where They Disagreed
Adoption of the Euro – All present raised their hands in favor except Karel Havlíček (ANO).
Reform of the National Development Bank (NRB) – Opposition criticized moving NRB under the Ministry of Finance.
ČVUT Loan Dispute – Disagreement over whether a CZK 1 billion loan to CTU was repayable or not.
Conclusion
The debate showed political will across the spectrum to strengthen the Czech startup ecosystem, especially regarding access to capital, ESOP implementation, and a unified support agency. Implementing the 28th Regime could significantly boost competitiveness for Czech and European firms.
Czech startups clearly have potential – proven by the existence of three unicorns despite relatively low investment compared to similar-sized countries. Continued growth will require systematic support: effective financial tools, well-designed legislative changes, and strong institutional backing.
If the discussed proposals are implemented, the Czech startup scene could move much closer to the world’s most advanced economies, contributing to a higher-value, innovation-driven Czech economy. The key will be for political parties to honor these commitments not just before the elections, but after them as well.
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This article was originally published at Czech Founders website here. Curious to learn more? Reach out directly to Barbora at barbora@czechfounders.org
