There is a government grant sitting on the table right now, and most Latvian business owners do not know it exists. Latvia allocated over €27 million specifically for business digitalization, and each eligible company can claim up to €10,000. The money comes with no equity strings — it is a grant, not a loan. If you have been putting off building a proper website, setting up a CRM, or moving your processes online because of cost, this changes the math completely.
Here is what the program looks like, who can get it, and what to do next.
What Is This Grant and Where Does the Money Come From?
The Latvian government, through LIAA (the Investment and Development Agency of Latvia), opened a digitalization support program with a total budget of €27,613,228. The program targets small and medium-sized businesses that want to modernize their internal operations using digital tools.
Each company can receive up to €10,000, and LIAA expects at least 1,750 businesses to benefit from this round. Applications opened on July 21, 2025.
The purpose is practical: Latvia wants its business sector to close the digital gap with Western Europe. Rather than talking about it, the government is paying for it directly.
Before you apply: Check the current status of available funds at liaa.gov.lv. The program is active, and funds are finite — it is worth confirming remaining availability before you invest time in the application.
Who Can Apply?
The program targets Latvian SMBs — small and medium-sized businesses registered and operating in Latvia. Beyond that, LIAA sets specific eligibility criteria that may change or be interpreted in ways not covered here.
What we can say with confidence: the program is designed for businesses that have not yet digitalized their core operations, or have done so only partially. If you are still running your orders through spreadsheets, managing clients with a shared inbox, or your website is from 2015 and does not work on mobile — you are exactly who this grant was built for.
Do not assume you do or do not qualify based on company size alone. Read the official terms at liaa.gov.lv and, if anything is unclear, contact LIAA directly. They have an application support team for exactly this reason.
What Can You Actually Spend the Money On?
This is where it gets useful. The grant covers digitalization of internal business processes, which in practice means:
- Custom software development — tools built specifically for how your business operates
- E-commerce platforms — building or upgrading an online store
- CRM systems — customer relationship management software, either off-the-shelf or custom
- Website development — a new site or a significant rebuild
- Digital tools and platforms — other software that replaces manual, paper-based, or disconnected processes
If you have been thinking about any of these, the grant covers the development and implementation cost. Verify with LIAA whether ongoing subscription fees are covered in your specific situation, but the build cost — which is typically the largest expense — is what the grant is designed to fund.
How to Apply: The Basic Process
Step 1: Read the official program terms. Go to liaa.gov.lv and find the digitalization grant program. Read the eligibility criteria carefully. Make note of any document requirements.
Step 2: Define what you want to build. Before you fill in any forms, you need to know what digital solution you are applying for. “I want a website” is a start, but “I want an e-commerce platform that connects to my inventory system” is what an application needs. A web studio or IT vendor can help you scope this before you apply.
Step 3: Get quotes. LIAA will want to see cost estimates. Contact at least one vendor to get a written quote for the work you are applying for.
Step 4: Submit your application through LIAA’s portal. Applications go through LIAA’s online system. Have your company registration documents, the project description, and vendor quotes ready before you start.
Step 5: Wait for approval, then proceed. Grant programs typically require you to receive approval before spending. Do not sign contracts or pay invoices before your application is approved.
How FSM Studio Can Help You Use This Grant Well
Getting the grant is one problem. Spending it correctly is another.
FSM Studio has been building websites, e-commerce platforms, and custom web tools for Latvian and Baltic businesses since 2006. We know what well-built digital infrastructure looks like, and we know what it costs — which means we can give you an accurate, defensible quote that holds up in an LIAA application.
If you are not sure what to build, we can help you figure that out too. Some businesses need a new website. Others need an e-commerce integration or a customer portal. We will tell you honestly what makes sense for your situation — not what generates the biggest invoice.
We can help you scope the project, prepare the technical description for your application, and deliver the work once your grant is approved.
Get in touch with FSM Studio to talk through your project before you apply.
Frequently Asked Questions
Is this a loan or a grant? It is a grant. You do not repay the money. The condition is that you use it for the approved digitalization project and meet the program’s requirements.
Can I apply if I already have a website? Possibly, if you are making a significant upgrade rather than minor changes. The grant covers digitalization of business processes — a full rebuild of an outdated site, or adding e-commerce functionality to an existing site, could qualify. Check the official terms at liaa.gov.lv.
Do I need to find a vendor before applying? In most cases, yes — you will need at least one cost estimate to support your application. It makes sense to talk to a vendor before you apply, both to get the quote and to make sure your project scope is realistic.
What if the grant does not cover the full cost of my project? The grant covers up to €10,000. If your project costs more, you pay the difference yourself. Many businesses use the grant for the core platform and fund additional features separately.
When will I know if I am approved? LIAA’s processing times are not fixed, but typically grant decisions take several weeks. Plan your project timeline accordingly and do not commit to a vendor start date before you receive confirmation.
