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International Internet Magazine. Baltic States news & analytics Thursday, 28.03.2024, 21:24

Estonian startups paid EUR 17 mln in taxes in Q1

BC, Tallinn, 27.06.2017.Print version
he total revenue generated by Estonian startups in the first quarter of this year was around 71 million euros and the startups paid 17 mln euros in different taxes during the period, reports LETA/BNS.

Of the taxes, 8.8 mln euros were government taxes and 8.2 mln euros employment taxes, it appears from figures made available by the Contriber portal.


The highest known income of 12.3 mln euros was received by Fortumo, a startup that provides direct carrier billing in 98 countries. Adcash, the international advertising network that helps advertisers to reach their target audience and publishers to generate income from their website traffic, held the second place with 11.8 mln euros, and Zeroturnaround, a startup that makes tools for developing quality software faster, ranked third with a revenue of 9.2 mln euros.


The information about raised investments originates from a crowdsourced database initiated by Garage48 Foundation. Based on their data, Skeleton Technologies that produces ultracapacitor-based energy storage devices was the startup that raised the most funding in the first quarter of 2017. They received a 15 mln euro quasi-equity investment from the European Investment Bank. The second biggest investment was made in Funderbeam by Mistletoe.co that invested two million euros. An invoice discounting marketplace Investly managed to close a round of 700,000 euros as well. The rest of the investment rounds closed in the first quarter were smaller than 500,000 euros.


Other investments made in Estonian startups in the first quarter came from different accelerators, EstBAN members, and from Nordic and U.S. investors. A total of 551,000 euros was also raised via the early-stage cross-border investment platform Funderbeam.


The 17 mln euros paid in taxes in the first quarter marks the record quarterly tax income ever collected from startups in Estonia. The top taxpayer with a contribution of 1.3 mln euros of government taxes and 1.4 mln euros of employment taxes was the fintech startup Transferwise.


According to statistics from Estonian Tax and Customs Board, almost 2,500 people in Estonia had a job in a startup in the first quarter. The top employers are still Transferwise, with 397 employees, Pipedrive, 206 employees, and Adcash, 93 employees -- the same companies as in 2016.






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