[Brussels, 28 November 2023, contact [email protected]] Allied for Startups welcomes the European Parliament’s ITRE committee vote on their own-initiative draft report (INI) on startups and scale-ups and their commitment to supporting innovation, economic growth, and job creation in the EU. By underlining the importance of startups and scale-ups in the European Union, the own-initiative report has the potential to positively contribute to raising awareness of the specific needs of startups and scale-ups as well as the challenges they face.

Speaking about the vote, AFS EU Director, Inés Moreno-Alonso said: “Startups should have a place at the policy table, not on the menu. This own-initiative report sheds light on the challenges startups face, which brings us a step closer to creating frameworks with startups that work for startups”.

“The nature of the ecosystem is forever changing and adapting, which is why we will continue to fight for that needed seat at the table, and warn against adopting narrow definitions for startups and scale-ups that would only encompass a fraction of the vibrant EU startup ecosystem.”

The report also highlights the need to make a clear distinction between startups and SMEs, which we warmly welcome. Startups and scale-ups are scalable, digitally driven businesses that offer groundbreaking solutions and should hence have their own denomination in the European Union. Startups are not a subcategory of SMEs and should be considered as a different business model, a scalable one.

AFS and its members recently launched their EU Election Manifesto for the reasons this report came about, to provide policymakers with a clear path to support startup ecosystems across the EU. We will continue to engage constructively with policymakers on all startup-related texts. By calling for a reduction of bureaucratic hurdles to access targeted funding, the own-initiative report of the European Parliament on startups and scale-ups has the potential to foster innovation and competitiveness in the EU.

Allied for Startups is a worldwide network of over 40 advocacy organisations focused on improving the policy environment for startups. Our mission is to ensure that the voices of startups are heard in government. For more information on Allied for Startups including a full list of our network, visit the website at www.alliedforstartups.org.