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Why Poland is the new tech startup hub in Central Europe

Why Poland is the new tech startup hub in Central Europe

Poland is no longer just a place where Western companies outsource IT services. In the past few years, it has become one of the most promising startup destinations in Europe, especially in the tech sector. From Kraków’s AI labs to Warsaw’s fintech accelerators, the country is building a name for itself as a place where innovation doesn’t just happen—it’s supported, funded and scaled.

A talent pool that's hard to ignore

One of Poland’s biggest assets is its people. With over 400,000 professionals working in the IT sector and thousands graduating each year from technical universities, the country offers a rich talent pool for startups. The level of technical skill is high, English proficiency is widespread, and the salary expectations are still competitive compared to Western Europe. This has attracted not only foreign founders looking to launch locally, but also global companies opening R&D centers.

Legal structures that work for entrepreneurs

The process of company registration in Poland has improved significantly over the past decade. For tech founders, the most common and practical option is the spółka z ograniczoną odpowiedzialnością (Sp. z o.o.), a limited liability company that allows foreign nationals full ownership. The setup process can be done online in a few days, and capital requirements remain low (just 5,000 PLN, about €1,150). There’s also a clear legal framework for protecting intellectual property—an essential point for tech startups.

Real tax benefits, not just slogans

What makes Poland especially attractive is its growing package of tax incentives aimed at innovators. The IP Box regime, for example, allows eligible tech companies to pay just 5% CIT on income derived from intellectual property. There’s also the R&D tax relief, which can reduce the cost of developing new technologies by allowing companies to deduct up to 200% of R&D expenses from their taxable income. Combined, these incentives position Poland as not just a cheap place to code—but a smart place to scale.

Supportive ecosystem, strong funding momentum

Poland has been quietly building a solid support system for tech startups. The Polish Development Fund (PFR) and National Centre for Research and Development (NCBR) offer non-dilutive grants, and public-private VC funds are increasingly active. Startup hubs like Startup Hub Poland, The Heart Warsaw, and Kraków Technology Park give founders access to mentoring, legal advice, and connections with investors. The presence of international players like Google for Startups in Warsaw further legitimizes the scene.

Access to the EU market, with an edge

Setting up in Poland gives startups seamless access to the European Union—one of the world’s largest markets. But unlike Berlin or Amsterdam, the cost of doing business in Poland is still significantly lower. Office space, developer salaries, and operational costs are more manageable, meaning your seed money stretches further. And with the growth of remote work, Poland has become a base not just for local founders, but also for international entrepreneurs relocating to run lean, agile operations.

What’s next for Poland’s tech scene

Poland isn’t just catching up—it’s defining its own way forward. The combination of technical talent, improving legal infrastructure, meaningful tax reliefs and growing investment support makes it one of the most strategic choices for launching a tech company in Europe right now. Whether you’re building a SaaS platform, launching a new AI tool or scaling a green tech product, Poland is no longer just a good option—it’s often the smartest one.

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