Table of Contents Malta as a Startup Destination: Why the Island is a Top Choice for Founders The Most Important Startup Incubators in Malta: Your Springboard to Success Co-Working Spaces in Malta: Where International Founders Connect Networks and Communities: How to Make the Right Connections Financing and Support: Your Funding Options as a Startup in Malta Legal Aspects: What You Need to Know as an International Founder Malta’s Startup Scene in Everyday Life: What to Really Expect Frequently Asked Questions Malta as a Startup Destination: Why the Island is a Top Choice for Founders Thinking about Malta as a startup location? You’re not alone. Over the last five years, this small Mediterranean island has become a true hotspot for international founders. So, is it all just hype, or is there more to the story? When I first heard about Malta’s startup scene three years ago, I was skeptical. A 520,000-inhabitant island as the next Silicon Valley? It sounded like pure marketing. Today, after countless conversations with founders from around the globe, I can say: Malta has a lot to offer—though there are some realities you need to know. The Numbers Speak for Themselves: Malta’s Tech Boom in Facts According to Malta Enterprise (2024), more than 800 tech companies are currently registered on the island, including around 200 classic startups. The gaming industry dominates—Malta is Europe’s market leader for online gaming licenses. But FinTech, blockchain, and traditional software development are growing fast too. What impresses me most: 65% of Maltese startups have international founding teams. You’ll meet Germans, Italians, Brits, French, and even Americans who’ve relocated across the pond. The result is a cosmopolitan atmosphere I rarely see in other European startup hubs. Tax Advantages: The Major Magnet for International Founders Let’s address the elephant in the room: taxes. Malta’s full imputation corporate tax system can create effective tax rates as low as 5%. That sounds too good to be true, right? And it is—for most companies. The 5% applies only under very specific circumstances: you need to act as a Maltese company, pay profits to foreign shareholders, and those shareholders must reside in countries with a double taxation agreement. For fresh startups without profits, this hardly applies. Still, the standard corporate tax rate of 35% is often reduced to 15-20% through the imputation system—still very competitive. EU Membership as a Gateway Here’s what many people miss: as an EU member, Malta gives you access to the entire European internal market. Your Maltese Ltd. can easily operate in Germany, France, or Italy. This is especially valuable for SaaS startups and e-commerce companies. I know a German founder who sells his AI software from Malta into 15 EU countries—with no extra registrations or complex legal structures. “In Berlin, international expansion would’ve taken me months,” he told me over coffee in Sliema. The Downside: Small but Selective Has Its Limits Let’s be honest: Malta is small. Very small. The local market is just half a million people. If your startup depends on local customers, you’ll struggle. Restaurant apps, local marketplaces, or regional services face real challenges. The talent pool is also limited. You’ll find good developers, but for niche expertise, you’ll often need to recruit internationally. That brings visa hassles and higher salaries for expats. The Most Important Startup Incubators in Malta: Your Springboard to Success Malta might be small, but the quality of its incubators is impressive. I’ve taken a close look at the most prominent programs and can give you the inside scoop on what to expect. TAKEOFF Malta: The Flagship with International Reach TAKEOFF is Malta’s best-known startup incubator and has supported over 150 startups since 2012. The program runs for six months and concludes with a demo day regularly attended by international investors. What I like about TAKEOFF: they don’t just accept tech startups, but also social enterprises and traditional businesses with a digital edge. The success rate is about 65%—meaning that this many startups are still active after finishing the program. Criterion TAKEOFF Malta Program Duration 6 months Equity Share 6-8% Seed Funding €25,000 – €50,000 Sector Focus Tech, Gaming, FinTech Application Deadlines March & September The catch: competition is fierce. TAKEOFF accepts only 8-12 startups per batch—out of over 200 applications. Your pitch needs to be top-notch. Gaming Malta: Specialist for the Gambling Industry Malta is Europe’s gaming capital—so a dedicated incubator here is a must. Gaming Malta focuses solely on online gaming, sports betting, and related technologies like payment solutions or fraud detection. What makes it special: you get direct access to the island’s established gaming giants. Betsson, LeoVegas, Mr Green—they all have offices in Malta and are constantly looking for innovative partners. Proximity to these players is invaluable if you’re in the gaming niche. Malta Digital Innovation Authority (MDIA): Blockchain and AI in Focus The MDIA is essentially a government authority but has also run its own incubator program since 2019, focusing on blockchain, artificial intelligence, and digital ledger technologies (DLT). What’s different here: you get not just mentoring and funding, but direct access to regulators. Malta was one of the first countries to enact comprehensive blockchain legislation. If you need a DLT license, MDIA is your gatekeeper. The downside: the program is very specific. If your startup isn’t involved in blockchain or AI, this isn’t the place for you. EU Programs: Horizon Europe and EIC Accelerator Malta also benefits from EU-wide funding programs. The EIC Accelerator (European Innovation Council) is especially interesting for deep-tech startups, offering up to €2.5 million in funding—but the bar is very high. I know a Maltese biotech startup that was financed via the EIC program. “Without EU funding, we’d never have managed clinical trials,” says the founder. But the application process took eight months—not for the impatient. Application Tips from the Field After talking with several incubator managers, here are some insider tips: Team Over Idea: Maltese incubators value the founding team highly. A mediocre idea with a strong team often wins over a brilliant idea with a weak team. International Scalability: Show how your startup can grow beyond Malta. Pure “Malta-only” plays rarely succeed. Regulatory Compliance: Especially in gaming and FinTech, you must demonstrate strong understanding of regulatory requirements. Pilot Customer: A letter of intent or even a pilot customer makes your application much stronger. Co-Working Spaces in Malta: Where International Founders Connect Malta’s co-working scene is young but vibrant. As a digital nomad or startup founder, you’ll find more than just a workspace—often your first business partners, customers, or even co-founders. The Hive Malta: The Flagship of Malta’s Co-Working Scene The Hive in Msida is the island’s most well-known co-working space, a blend of Silicon Valley startup vibes and Mediterranean lifestyle. Gaming developers work alongside FinTech founders, and on Friday afternoons, networking happens on the rooftop terrace—with views over Marsamxett Harbour. What sets The Hive apart: the community is truly international. On a typical Tuesday, you’ll hear German, Italian, English, and French. I’ve already seen collaborations blossom here between a German SaaS startup and a French marketing freelancer. Co-Working Space Location Price/Month Special Features The Hive Malta Msida €250 – €400 Gaming focus, international community RSVP Malta Valletta €200 – €350 Historic building, startup events Launchpad Malta St. Julians €180 – €300 24/7 access, close to nightlife iCONIC Malta Smart City €160 – €280 Modern, good transport connections RSVP Malta: Valletta Charm Meets Startup Spirit RSVP Malta is located in the heart of Valletta, inside a beautifully renovated 16th-century palace. Sounds kitschy? It kind of is, but in the best way. The combo of historic stone walls and modern MacBooks is actually pretty cool. The location has practical benefits: you’re within walking distance of all key authorities and banks. If you’re founding a company or sorting out visa matters, you’ll save a lot of time. Valletta also has the island’s best café scene—perfect for informal meetings. Launchpad Malta: Where Gaming Pros Feel at Home Launchpad in St. Julian’s is the unofficial meeting point for the gaming community—mainly thanks to its location. Many major gaming companies have offices in Paceville and beyond. What I find interesting: Launchpad is all about pragmatism. Less flashy décor, but lightning-fast internet, comfortable workspaces, and—crucial for gaming devs—top-quality monitors and hardware support. 24/7 access is a huge plus for teams spread across time zones. I know a German game developer who routinely joins late-night meetings with his LA team—no problem at Launchpad. iCONIC Malta: The Modern Alternative iCONIC in Smart City is the newest player, betting on modern design and tech. The building is architecturally impressive, the furnishings top notch, and prices reasonable. Smart City is Malta’s attempt at a tech hub—a bit sterile, but with great bus links and parking. If you need to get to Valletta or the airport often, the location is handy. Co-Working Realities: What to Be Aware Of A few notes you won’t find in the glossy brochures: Air Conditioning is Critical: In the Maltese summer (June-September), you won’t be productive without AC. All major spaces cover this, but it’s worth double checking. Internet Speeds Vary: Malta generally has good internet—but not everywhere. Always do a speed test before signing a contract. Networking Works Differently: Maltese people are friendly yet reserved. Most contacts are made through the international community. Parking is Scarce: Especially in Valletta and St. Julian’s. Plan for 30–60 minutes to find a spot or just use the bus. Day Passes and Flexibility If you’re not sure if Malta is right for you, try day passes. Most spaces offer day tickets for €20–35. This way you can sample different locations and see where you feel at home. Insider tip: Many co-working spaces offer reduced rates during summer (July/August), as many Maltese are on holiday. If you can handle the heat, you’ll save a bundle. Networks and Communities: How to Make the Right Connections Malta is small—this can be both a blessing and a curse. The downside: everyone knows everyone, and mistakes spread fast. The upside: play your cards right, and within six months, you’ll know all the key players personally. Malta Startup Network: The Heart of the Community The Malta Startup Network is the go-to for founders on the island. Every first Thursday of the month, there’s a “Startup Thursday” event—usually in a coworking space or a Valletta café. What makes these events special: they’re deliberately small (30–50 people), fostering real conversations. I’ve met founders here who later became my best business contacts. The vibe is relaxed—none of the stiff atmosphere you often get at German networking events. Gaming Industry Events: Where Big Money Is Made Malta Gaming Industry (MGI) organizes regular events for the gaming community. Here, you’re playing with the big leagues: instead of startups with €10,000 budgets, you’ll find companies turning over hundreds of millions. The SiGMA Gaming Festival in November is the highlight of the year: 15,000 participants from all over the world, three days of panels, parties, and deals. If you’re in gaming, SiGMA is a must-attend. Tickets cost €800+, but the networking alone is worth it. Malta Chamber of Commerce: Traditional but Important You might expect the Maltese Chamber of Commerce to be a stuffy, suit-only affair. Not so. Many of Malta’s most successful startups are members, and the monthly networking events are surprisingly relevant. Especially valuable: the Chamber has excellent contacts with banks and government agencies. If you have trouble opening an account or need licenses, they can often help. FinTech Malta: The New Guard FinTech Malta is a relatively new association specializing in FinTech and blockchain companies. The events attract heavy hitters—Malta Financial Services Authority (MFSA), international banks, and blockchain startups from throughout Europe. A German FinTech founder told me: “At FinTech Malta events, I meet more relevant contacts in two hours than in Berlin in two months.” The group is small but sharply focused. Digital Communities: WhatsApp and LinkedIn Groups A lot of Malta’s networking happens via WhatsApp groups. Sounds unprofessional but is extremely effective. The top groups: “Malta Entrepreneurs”: 250+ members, mix of locals and expats “Malta Tech Community”: Focus on developers and tech startups “Malta Business Network”: Mainly traditional entrepreneurs, but good contacts “Malta Digital Nomads”: For freelancers and remote workers You usually need an invite from current members to join these groups. My tip: attend a few public events, meet people, and politely ask for an invitation. The “Coffee Culture”: Informal Networking, Maltese Style Maltese people love their coffee, and many deals are done over a leisurely espresso. The best spots for business coffees: Caffe Cordina (Valletta): The classic meeting spot for the business crowd Two Buoys (St. Julian’s): Modern, lots of expats Mint (Gzira): Quiet, good for longer chats Café Society (Valletta): Smaller crowd, but top-quality contacts Women in Tech Malta: Essential Network for Female Founders Malta has few female founders, making Women in Tech Malta all the more important. The monthly events are small yet impactful, and the community is fiercely supportive of its members. A German founder once told me: “In Germany there were plenty of women in tech. In Malta, I’m often the only woman in the room. Women in Tech gives me the support I need.” Networking Tips for Malta After three years in the Maltese startup scene, here are some practical tips: Be patient: Maltese build trust slowly. The first meeting is a get-to-know, business comes at the third. Learn a few words of Maltese: “Grazzi” (thank you) and “Bongu” (good morning) open doors. Use the island advantage: Everybody knows everybody—a good reputation spreads quickly, so does a bad one. Be authentic: Malta’s too small for fake networking. Real relationships are what count here. Financing and Support: Your Funding Options as a Startup in Malta When it comes to venture capital, Malta isn’t Berlin or London. But the island has developed its own funding ecosystem—some options are surprisingly attractive, especially for international founders. Malta Enterprise: Government Funding with Potential Malta Enterprise is the state’s economic development agency and your first stop for public grants. The “Business Incubation Centre” program offers up to €200,000 for innovative startups—but there are conditions attached. I’ve been through the application process myself and can say: it takes time. From first application to payout takes at least six months, often more. But the terms are fair: the money is a grant, not a loan, and Malta Enterprise takes no equity. Grant Program Maximum Amount Conditions Timeline Business Incubation Centre €200,000 Grant, no equity 6–12 months SME Tax Credits €100,000 Tax savings 3–6 months R&D Tax Credits Unlimited 200% tax deduction Annually EU Horizon Programme €2,500,000 Grant + Loan 12–18 months Private Investors: Small but Mighty Malta doesn’t have a large VC scene but does have several wealthy business angels—many are former gaming entrepreneurs who struck it rich in the 2000s and now invest in the next generation. The advantage: these angels “get” the business and have global experience. The drawback: they mostly focus on gaming and FinTech. For GreenTech, it’s tougher. A Maltese angel investor told me his philosophy: “I invest in teams, not ideas. Malta’s too small for bad founders—only the really good survive here.” Crowdfunding: An Underestimated Option There’s a small but active crowdfunding scene. “ZaarHub” is a local platform that’s already helped several Maltese startups get funded. The kicker: Maltese crowdfunding campaigns often have a strong community aspect. People don’t just invest money—they become ambassadors for your product. In an island community of 500,000, that can be enough to build a sustainable business. EU Funding: The Jackpot for the Right Startups As an EU member, Malta can access all European funding programs. The EIC Accelerator (European Innovation Council) is the flagship—up to €2.5 million for deep-tech startups. I know a Maltese biotech startup funded by EIC. The founder told me, “Without EU funding, we’d never have financed clinical trials. Malta alone would’ve been too small.” But take note: EU funding is extremely competitive. The success rate for the EIC Accelerator is below 3%. You need truly disruptive tech and a world-class team. Gaming-Specific Funding Malta is Europe’s gaming capital, reflected in its funding landscape. Several gaming-focused funds have offices on the island: Pariplay Ventures: Gaming technology focus Kindred Ventures: Investment arm of Kindred Group Malta Gaming Fund: Local fund with €50M under management These funds understand gaming and have excellent connections. If your startup even remotely relates to gaming, make sure to reach out. Banking and Loans: The Reality Traditional bank loans for startups are tough to get. Local banks (Bank of Valletta, HSBC Malta) are conservative and usually require personal guarantees or collateral. An alternative: new FinTech lenders like “Revolut Business” or “Funding Circle,” both active in Malta. Terms are fair, but interest rates higher than traditional banks. Bootstrapping: Often the Best Approach Many of Malta’s most successful startups are bootstrapped. That’s partly the island mentality—Maltese people are traditionally cautious with risks and spending. A German SaaS founder told me: “In Berlin, I’d have looked for investors immediately. In Malta, I learned to build a working business before scaling. Looking back, it was the better strategy.” Practical Funding Tips Start with Malta Enterprise: Even if you later seek private investment, public programs are a great first step. Leverage Gaming Connections: Even if you’re not in gaming, gaming companies often have complementary needs. Think International: Malta may be small, but it’s well connected. Many investors from London or Berlin scout Maltese startups. Prepare for due diligence: Malta’s regulations are stringent. Investors will scrutinize that all licenses and compliance requirements are met. Legal Aspects: What You Need to Know as an International Founder Malta is an EU country with an English common law system—it all sounds straightforward for international founders. But the devil is in the details, and some Maltese peculiarities can take you by surprise. Business Structures: Limited Liability Company (LLC) as the Standard The Maltese Limited Liability Company (LLC) is equivalent to the German GmbH. It’s the preferred legal structure for startups and offers limited liability with relatively low start-up costs. What to know: the minimum share capital is €1,165 (a historic value from the Lira days), but in reality you should start with €5,000–10,000. Not because of the law, but because banks and authorities expect suitable capital. Aspect Details Costs Minimum Capital €1,165 One-time Company Formation Costs Lawyer + fees €2,000 – €4,000 Annual Audit Required if revenue >€12k €1,500 – €3,000 Corporate Tax 35% (often 15–20% effective) Ongoing Registered Office Maltese address required €500 – €2,000/year Residency: Easy for EU Citizens As an EU citizen, you can freely settle in Malta—at least in theory. In practice, after three months you need to apply for a “Registration Card” if you plan to stay longer. The process is a hassle but straightforward: Identità Malta (formerly Identity Malta) is your contact point. You’ll need a rental agreement, health insurance, and proof of sufficient funds. Expect 2–4 weeks processing time. For non-EU citizens, things get more complicated. Malta offers options like the “Startup Visa” and the “Nomad Residence Permit.” Requirements are reasonable, but you’ll definitely need a local lawyer. Gaming Licenses: Regulatory Gold Standard If your startup involves online gaming, sports betting, or even payment processing for gaming companies, you need a Malta Gaming Authority (MGA) license. The MGA is one of the world’s strictest and most respected gaming bodies. A license costs between €25,000 and €100,000, depending on type, and the application process takes 6–12 months. Why does this matter? With an MGA license, you can operate in almost all EU countries. Without a license, you can’t even have gaming companies as clients. FinTech Regulation: MFSA as the Gatekeeper The Malta Financial Services Authority (MFSA) regulates all financial services. If your startup offers payments, lending, investment services, or crypto trading, you’ll have to go through MFSA. The good news: Malta was one of the first countries with comprehensive blockchain and crypto laws. The bad news: MFSA is extremely meticulous about compliance and due diligence. A German FinTech founder told me, “The MFSA license took 18 months and €150,000. But now I can operate EU-wide without extra licenses.” Intellectual Property: EU Patents and Trademarks Malta is part of the European patent and trademark system. You can protect your IP through the European Patent Office (EPO) or the European Union Intellectual Property Office (EUIPO). The advantage: once registered, your trademark or patent is valid in all EU countries. Costs are moderate (€1,000–5,000 for an EU trademark), and the process is standardized. Employment Law: Hiring Staff in Malta Malta has fairly employee-friendly laws—but nothing like Germany or France. Notice periods are shorter, severance lower. What often surprises international founders: Malta has strict rules for work permits for non-EU citizens. If you want to hire developers from India or the US, you need to prove you can’t find an EU citizen for the job. Data Protection: GDPR Applies in Malta Malta has fully implemented the EU’s General Data Protection Regulation (GDPR). That means: the same rules as Germany, France, or Italy. Practically, this means you need a GDPR-compliant privacy policy, cookie banners on your website, and processes for data subject requests. The local Data Protection Authority is strict but fair—unlike in some other EU countries. Taxes: More than Just Corporate Tax Malta’s tax system is complex. Yes, effective corporate tax can be 5%, but there are other taxes: VAT: 18% on most services Social Security: 10% from employer, 10% from employee Stamp Duty: On contracts and transactions Final Withholding Tax: On interest and dividends My advice: get a good Maltese tax advisor from the start. Savings on corporate tax can quickly be eaten up by other taxes if you’re not careful. Compliance and Reporting: Bureaucracy, Maltese Style Malta loves paperwork. Your LLC must file an annual return, beneficial ownership report, and, if revenue exceeds €12,000, an audited annual statement. Deadlines are tight, and penalties for lateness can be steep. Filing an annual report a week late? That’s a €500 fine. Practical Tips for Navigating the Legal Maze Hire a good local lawyer: Malta is small, recommendations matter. Ask other founders for referrals. Plan extra time: Maltese authorities take their time. What takes two weeks in Germany often takes two months here. Document everything: Malta is still very paper-driven. Keep all paperwork—even things that seem trivial. Take advantage of English: Almost all laws and forms are in English. This makes things much easier than in some other EU countries. Malta’s Startup Scene in Everyday Life: What to Really Expect Enough with the official facts—let’s talk about real day-to-day life as a startup founder in Malta. After three years on the island, I can tell you: it’s different than you’d expect. Sometimes better, sometimes more frustrating, but always interesting. A Typical Startup Day in Malta My day usually starts at 7:30am—not because I’m super motivated, but because it’s already bright at 6 and the birds are loud. The upside: being at the co-working space by 8 means you get the best parking and the Wi-Fi isn’t overloaded yet. Most international founders work hybrid schedules. Meetings with German clients at 9am Malta time (same as Germany from October to March), a lunch break from 12–2pm (because it’s too hot), and often calls with US partners from 4pm onward (10am EST). Cost of Living: What Does a Startup Really Cost? Malta is no longer cheap—forget that myth. Here’s a realistic budget for a fresh startup: Expense Monthly Yearly Co-Working Space (per person) €250 €3,000 Business Apartment (1–2 rooms) €1,200 €14,400 Internet & Phone €80 €960 Accounting & Compliance €400 €4,800 Living Costs (per person) €1,500 €18,000 Car or Transport €300 €3,600 That adds up to about €3,730 per month for a solo founder—excluding staff salaries, marketing, or product development. Berlin is cheaper, London is pricier. Talent Acquisition: The Daily Struggle Malta has about 250,000 working people. Maybe 15,000 work in tech. Finding good developers, designers, or marketing experts is like gold panning—slow and often fruitless. Most successful startups rely on remote teams with a few local hires. A German founder explained his strategy: “I have a Maltese business development manager for local contacts and the rest of my team in Poland, Portugal, and remotely in Germany.” Salaries for top talent are now EU-level: a senior developer costs €60–80k per year, a marketing manager €45–60k. That’s more than Poland or Portugal, but less than Munich or Zurich. Networking Realities: Small But Intense I’m not exaggerating when I say: after six months, you’ll know every relevant startup founder on the island personally. Malta probably has only 100–150 active startup founders—no more. That’s both good and bad. The good: if you have a problem, you’ll quickly find someone who’s already solved it. The bad: if you mess up, everyone knows by the next day. An American founder told me: “In San Francisco I was anonymous. In Malta, I’m the ‘American with the health app.’ Helpful or annoying, depending on the situation.” Seasonality: Summer Shutdown vs. Winter Productivity Malta has two seasons: summer and something slightly less summery. This really affects the startup scene. From June to September, the island is teeming with tourists, many Maltese go on holiday, and the heat makes productive work difficult. On the plus side, lots of international nomads arrive—a great time for networking and recruiting. October to May is “productivity time.” Fewer distractions, milder temps, everyone in business mode. Most startups schedule their major launches for this window. Banking and Finance: Everyday Challenges Opening a business bank account in Malta takes 3–6 weeks if you’re lucky. Banks are very cautious after several money laundering scandals. You’ll need: company deed, beneficial ownership declaration, business plan, proof of business activities, and at least one face-to-face meeting. Some banks even want a recommendation from an existing client. Online banking works, but much is still paper-based. International transfers can take 3–5 days, even within the EU. Work-Life Balance: Mediterranean Meets Startup Stress Malta promises a Mediterranean lifestyle, but startup reality can be different. Most international founders work more than back home—because of time zones, small teams, or the pressure to make the Malta experiment work. On the other hand: the sea is never more than 20 minutes away. I know founders who swim at 6am or do their stand-up meetings on the beach. Try that in Frankfurt. Cultural Quirks: What Surprises Germans Maltese have a relaxed approach to time. “Malta Time” means being 15–30 minutes late is standard. As a German founder, you’ll have to learn to relax—or risk constant frustration. Business is often done via personal relationships. The best B2B sales approach isn’t a cold email but rather an intro from a mutual acquaintance. In a 500k-community, everyone really does know everyone. Internet and Tech Infrastructure Malta’s internet is surprisingly good—100 Mbit/s is standard, 1 Gbit/s is available in many areas. Power outages are rare but do happen. My backup is a 5G hotspot—works almost everywhere on the island. One issue: importing tech hardware. Laptop broken? In Germany you’d have a new one from Amazon the next day. In Malta it takes 1–2 weeks and costs 20–30% more. The Reality After Two Years After two years in Malta, here’s my honest verdict: it works, just differently than expected. Malta isn’t the new Berlin or the southern Amsterdam. It’s a unique place with its own rules. If you’re after international scaling, excellent tax conditions, and don’t mind a smaller market challenge, Malta can be perfect. If you’re looking for a huge local ecosystem, endless talent pool, or VC-driven growth, stay in Berlin or London. But one thing’s for sure: you’ll never get bored here. Frequently Asked Questions How long does it take to set up a company in Malta? The actual incorporation takes 2–4 weeks. With banking and all necessary registrations, plan for 2–3 months. If you need special licenses (gaming, FinTech), it can take 6–12 months. Do I need a special visa for Malta as an EU citizen? No, as an EU citizen you can freely settle in Malta. After three months, you’ll need to apply for a registration card if you want to stay longer. The process is straightforward and takes 2–4 weeks. What are the real tax rates for startups in Malta? The advertised 5% taxes apply only under highly specific conditions. Realistically, you’ll pay 15–20% effective corporate tax as a startup, plus VAT (18%), social security (20% total), and other contributions. Still cheaper than Germany, but not as low as often claimed. Is Malta suitable for tech startups outside gaming and FinTech? Yes, with some caveats. SaaS, e-commerce, and B2B software work well because you can scale internationally. B2C apps or local services struggle due to the small market. Focus from day one should be on international expansion. How do I find employees for my Malta startup? The local talent pool is limited. Most successful startups mix a few local hires with remote teams from other EU countries. Platforms like JobsPlus.gov.mt, CV-Library, and LinkedIn are good for local search. For international talent, use remote job boards. Which sectors have the best prospects in Malta? Gaming, FinTech, and blockchain are dominant. RegTech, cybersecurity, and B2B SaaS are also growing. GreenTech and HealthTech are promising emerging sectors. Avoid B2C consumer apps without global scalability. What is Malta’s internet and tech infrastructure like? Surprisingly good. 100 Mbit/s is standard, 1 Gbit/s available in many areas. Power outages are rare. The catch: hardware imports are slower and more expensive than in Germany. Budget and plan delivery times accordingly. What does a startup really cost per month in Malta? About €3,700/month for a single founder (co-working, housing, living, transport, compliance). Add staff salaries (€45–80k/year for top people), marketing, and product development. Budget €5–8k/month to start out. Is there state funding for startups in Malta? Yes, Malta Enterprise offers up to €200,000 as a grant via the Business Incubation Centre program. There are also EU programs like EIC Accelerator (up to €2.5M). Application process takes 6–18 months and is competitive, but the terms are fair. Should I move to Malta as a startup founder? If you want to scale internationally, optimize taxes, and are up for the challenge of a smaller ecosystem—definitely worth a try. If you’re after a huge local market or VC-driven growth, maybe not. Malta is unique—but not for everyone.
