A step in the right direction

Our internal tracking also gives us reasons for optimism. In the first half of 2025, the top-20 startups supported by the Swiss EP generated 361 jobs (compared to 332 recorded in 2024). 108 teams have completed various programs run by startup support organizations supported by Swiss EP. Six months ago, there were no startup programs that we could record. However, there are still no investments in local startups, despite the presence of two active angel investor networks in the country.

Looking at the big picture, we can't help but wonder if this is another wave of enthusiasm or if it is a result of systemic changes and mindset changes we've been striving for over the years.

Startup support organizations are still the main motors of the ecosystem

Foundation 787 is the organization with which we collaborate the most in BIH. Since 2019, we have supported the organization with over 20 experts working in various fields and on diverse topics. Among numerous programs in its portfolio, the organization specializes in helping women entrepreneurs and startups through its flagship Female Founders Network and TechIn program.

Another partner (and community builder) that has recently emerged is ZenDev from Mostar. Founded by returning diaspora entrepreneur Senad Šantić as an IT company, ZenDev evolved into a venture studio that builds its own products and helps startups develop their products. This orientation naturally led Senad to become more engaged in the local startup ecosystem.

In spring 2025, ZenDev and F787 joined forces with 38x Ventures to form a consortium and, with the support of the Federal Ministry of Development, Entrepreneurship and Crafts of the Federation of Bosnia and Herzegovina, brought the globally renowned accelerator Techstars to Sarajevo. Senad shared his enthusiasm about this endeavor:

I've been fortunate enough to fund my startup through the profits. I've made it in consulting, but I'm aware that this is not an option for most people who want to build something great. For that reason, we partnered up with Techstars to help us create a platform that attracts more startups, founders, and other ecosystem players.

Techstars' community partnership is bringing a breath of fresh air and energy to the BIH ecosystem. With five flagship programs, including Techstars Founder Catalyst (a virtual pre-acceleration program starting at the end of September) and Techstars Startup Weekend (an inspirational event for startup enthusiasts), we're expecting quite an interesting fall in Sarajevo. With a four-year obligation, Techstars will be around for a while, and we're certain it will help boost startup and ecosystem performance across the board.

Active angel investor networks

With two active angel investor networks—Vrbas Capital based in Banja Luka and BHBAN from Sarajevo—we expected to see increased investment activity in the country. However, we have not recorded any investments in local startups in 2024 and in the first half of 2025.

The exact reason for such unfortunate results is unknown, but it could be due to several factors, including complex local legislation and a mismatch between the performance of local startups and investors investment strategies. This mystery remains something that local ecosystem actors should resolve in the future.

On a positive note, we have noticed increased activities among angel groups and regional networking. Both BHBAN and Vrbas Capital were part of the regional initiative supported by Swiss EP called Angel Academy 2.0, finalized with the Investors' Retreat and pitching event in Tirana.

Hatidza Hadzimuhamedovic, Investor community manager at Foundation 787, in charge of BHBAN shared how valuable regional collaboration is for everybody involved:

This gathering provided us with a rare opportunity to understand how different angel networks operate, the challenges they face, and where meaningful alignment is possible. For BHBAN, it sparked a clear intention to strengthen our ties across the region and continue the dialogue started in Tirana. Also, we had the privilege of learning from individuals who are true experts in their respective fields, which made the entire experience even more relevant and actionable.

Hatidza also emphasized the significance of such collaboration for the local investment community:

On the local level, every relevant experience shared, whether best practices or lessons learned, helps us improve the way we support startups and build our angel community. We're eager to adapt what works and co-create a more connected, knowledgeable, and effective investment landscape in Southeast Europe.

The other angel group in the country, Vrbas Capital, is also active. Besides participating in the regional event, they are increasing their membership and total fund, which is another positive indicator and hopefully a sign of good things to come.

Building on these activities and initiatives, regional angel groups have already held another joint pitch session in July and scheduled an in-person session for mid-October at Business Angel Summit, a flagship event for regional investors taking place in Sarajevo.

Government is stepping up

The support from the Federal Government in introducing the TechStars community partnership is a signal towards creating a more friendly climate for entrepreneurship and startup development in the country.

Following their lead, the Ministry of Economy of Sarajevo Canton has established the Center for Development of Entrepreneurship (CDE) within the School of Economics and Business at the University of Sarajevo. The organization aims to support the development of startups in the city. With an incubation program already in place and an open call for the acceleration program, CDE is educating new founders and providing them with mentoring.

Additionally, with the new Law on Innovation Activity in place, a fully functioning Science and Technology Park in Banja Luka, and a Startup Council established in the Chamber of Commerce, Republika Srpska is taking significant steps towards creating a startup-friendly climate by designing its own Startup Ecosystem Development Roadmap with the support of Swiss EP experts.

Milena Đuđić from the Chamber of Commerce and Industry of Banja Luka Region shared her key takeaways from the work done so far and their plans for the future:

We're aware that we're starting from a low baseline, but we're also proud of the significant progress made in a short time. This shows we have the capacity to deliver — what's needed now is stronger coordination and better planning. I personally believe that the energy and commitment of the people within the Startup Council are key to achieving this, especially with the continued support of Swiss EP as our partner.

A step forward or a giant leap?

If we were to answer this question in the past, we would say that the startup ecosystem in BIH is making a significant leap forward. However, ten years of work in this country taught us to be more cautious in our predictions —so, let’s say we are experiencing a step forward, and a very important one.

Usually, such initiatives were driven by the enthusiasm of individuals "crazy" enough to go for all or nothing. And when that enthusiasm dried out, it left nothing behind. However, this time, all the initiatives we're seeing seem more systemic—they involve teams of people, mobilize different actors in the startup ecosystem, and were designed with a strategic approach.

With support organizations collaborating with world-class brands (such as Techstars and SlushD) and delivering custom-made programs, two active angel investor networks, and involvement from governments, it feels like Bosnia and Herzegovina is standing at the threshold to something impactful. As we have in the past ten years, we'll be here to support, facilitate and encourage all efforts in this direction.