The Nordic region is becoming a hothouse of entrepreneurship
economist.com
economist.com
Alexander Young (of Soundcloud) speaking about Berlin: "The atmosphere and culture in Berlin is very unique. Since the costs for living are still low, people can afford to only work a few hours per week, and do the stuff they want the rest of the time." http://blog.twingly.com/2010/05/18/from-stockholm-to-berlin-...
That can't be said about Stockholm nor Helsinki.
Earning $100k in Norway you'd pay around 32% tax.
Edit: We have progressive taxes. To pay over 50% taxes in Norway you'd have to have a regular salary above $551k, with no deductibles. Capital gains are taxed at 27%.
I'm not sure why included university attendance is always thrown into the pitch in these conversations -- someone looking for a place to work probably isn't trying to pick up a philosophy degree on the side.
Being sited in a country with free university education means that when you're paying your staff, you don't have to assume that they need to be putting away several thousand a year for a college fund.
The university is free for swedes and europeans (might only be free for schengen countries). In Sweden we have a government agency that controlls student loans and subsidies (the agency is called CSN, Central Study Board). As a Swedish citizen you have the right to a ~2000 SEK (around 300 USD) per month subsidy. So just by attending university you get 2k SEK each month (this is limited to I think 12 terms in total, i.e 6 years), this is something you don't have you pay back.
We then also have the right to a student loan which will push up your monthly "earnings" to ~8000 SEK (1200 USD). This loan you obviously have to pay back. The current plan is that every student that took a loan before 2001 have 25 years to repay it.
Students that live at home during the duration of their study time can get away with only taking the subsidy. But most student (at least those that I know, including me) have to take the student loan.
Healthcare is basically free (trivial costs for a visit) and that's for everyone with a work permit, no exceptions.
VAT is 24% and food is expensive. Salaries are lower than other big cities but not much and it depends a lot on the exchange rate if making a comparison. When the dollar was getting you €0.63 our salaries looked fine; at €0.73 they look a bit light.
The higher tax rate is a safety mechanism in case you would fall into a tax bracket with a higher percentage. This does not mean you are necessarily taxed at a higher rate; you are just saving in case you earn so much that your tax bracket will change.
If you don't fall into a higher tax bracket, you will get the money back when the tax office checks the numbers afterwards.
This system is in place so that you wouldn't get surprised by huge tax deficit when you fall into a new bracket at the end of the year.
What's worse is: Europeans get way more for their taxes: namely medical which is 18% of the American GDP. In other words even if our taxes were way lower than their's (which they aren't) the medical piece likely would make up for it.
The key reason our taxes are so high compared to their's (I believe) boils down to military spending. I think you can make an argument that America's massive (more than everyone else combined) military spending is benefiting the whole world's stability and in that sense Americans subsidize the whole world through our taxes. But this means our taxes are inherently quite high.
I just came back from Berlin (awesome couchdb conf @ co.up co-working space) and must say that the energy in a place like Kreuzberg is pretty intense.
The area around Rosenthaler Platz and Rosa-Luxemburg-Platz in Mitte also seemed kind of interesting but more akin to what I'm used to here in Vienna (neat and tidy).
I only had five days to experience the city but I do have thought about moving there already!
But yeah living in Vienna is so damn comfortable that it really is a difficult decision to go anywhere else.
We have a lot of co-working spaces too and I often meet local devs at coffee shops by coincidence (another strength of a rather small place). So everything being so nice is both a good and a bad thing I guess.
Vienna #1 at quality of life: http://en.wikipedia.org/wiki/Mercer_Quality_of_Living_Survey
Bottom line for me though - the youthful vibes in Berlin are a very special thing and probably worth more than top comfort and beauty.
One thing that makes it easy to stay in Scandinavia is that I've been rather spoiled by how easy it is to do everything in Denmark in English. Official government forms are available in your choice of Danish or English versions, all my banking is in English, doctors all speak it, and every government office I've been to will switch once they realize you're a foreigner. Heck, even many public lectures at universities and museums are in English. The language is good to know for social reasons, but there aren't really any formal/official situations where you have to interact in Danish.
I would guess though that it can't be such a big deal as there seemingly are a lot of non German speakers everywhere (in the mentioned areas it felt like German native speakers actually were a minority) and consequently at least some of the local businesses were owned by non Germans too.
Vienna is definitely less pronounced international but telling from my experiences at coffee shops as well as the "Wien" subreddit at least there must be a thriving expat community.
Sorry for not having more info about the official lang requirements in Germany/Berlin but do check out the cities' corresponding subreddits:
That said, you do need help when dealing with the bureaucracy. It can be complicated, and they often do not speak English. But it's trivial to get this help from colleagues or expats.
90% of those I work with are German, and yet I can get by speaking only English as 1) they will switch to English, like I suspect most German developers can and would, and 2) our CTO and a few others in the office are not German either.
I've often wondered if a social safety net, such as the one in Sweden, takes a risk burden off of entrepreneurs and therefore allows for more experimentation with products like these. They require more lead time to develop (years vs. months) and target music making, which isn't an obviously lucrative market. However, the companies behind both products seem to be doing quite well.
http://en.wikipedia.org/wiki/History_of_Linux#The_creation_o...
Unfortunately, the times are changing in Finland, too, as politicians are pushing for legislation to force students to finish their studies within tighter time frames.
http://yle.fi/uutiset/seitseman_vuoden_takaraja_hiillostaa_n...
http://www.mtv3.fi/uutiset/kotimaa.shtml/opintoajan-rajaus-o...
I couldn't find an English source for this, sorry. Perhaps Google Translate will help.
There is a caveat in the law, which is that universities can give extensions to the studies as they wish, and most students who request it do get it. But it's still a strong message from the government and there are ~400 students at the moment that have their studies interrupted because of this law.
Also Anita Lehikoinen from the Ministry of Education says that "funding to universities are partly decided by the amount of students who achieve 45 study points (points awarded for completing parts of the curriculum) in a given year" ( http://ylioppilaslehti.fi/2010/02/pitka-ura/ ) So there is a clear incentive for universities to push students into graduating quickly.
edit: Found an English source, this is an instructional material of Aalto University for exchange students, mentioning the study right: https://into.aalto.fi/display/enmasterarts/Study+right+and+t...
Other European countries with strong social safety nets don't necessarily have large startup scenes.
EDIT: basically if you want to start company here you can get help from forming team, getting training, getting a little bit money and etc.
Personally I do not agree with the government throwing a bunch of money at things, it creates a loop of nonsense, people milking the cow while the fun lasts. This can be seen and heard on the ground level here. Throwing money at companies is something Tekes has done for ages with established companies in Finland, like Nokia. The startups are just the hot thing now so money is flowing there.
This leads to the fact that the startup scene is hyped in general.
Please note that this comment is quite specific to Finland.
Is this anything close to the truth or did I misunderstand/mis-remember this?
But the real problem is that the government officials are not investors. Steve Blank said this well on his visit:
Ironically one of the things that’s holding back the Finnish cluster is Tekes, the government organization for financing research, development and innovation in Finland. It’s hard enough to pick which existing companies with known business models to aid. Yet Tekes does that and is trying to act like a government-run Venture Capital firm. At Tekes, government employees (and their hired consultants) – with no equity, no risk or reward, no startup or venture capital experience – try to pick startup winners and losers.
Students are clearly influenced by what they've heard and seen from the states. And the technology around them is making innovation easy.
There are some major caveats: Income taxes are extremely high and tax rules makes it almost impossible to share ownership in a rational way, e.g. it is very hard to setup stock option programs etc. Also, the domestic venture capital market is extremely underdeveloped - a great opportunity for foreign investors!
I am a firm opponent of all government programs to stimulate entrepreneurship. My view is that the government should simply get out of the way. And in fact, except for the taxes, this is by and large what the Swedish government is doing. For example, there is very little bureaucracy around running a business, e.g. starting an incorporated company is now done easily over the internet, often the whole process can be completed in a matter of days.
On the first evening I had a bit of difficulty operating the keycard outside the hotel. A chap came up to me and started talking, presumably explaining how to use it. "Murgle burgle burgle wurgle furgle", he said, or something like that. I must have looked blank for about 0.1 seconds before he slipped, with barely a beat, into flawless, unaccented English. And the first English words out of his mouth were, "Oh, sorry..." :)
(This was not a unique experience. Even the petrol station attendants spoke great English. You don't even get that in England.)
And of course, in large part because this is effectively a bilingual country. In the years I've been here, I've only talked with a handful of native-born Swedes who did not speak English. Those were older people who had learned German as a student. (There are non-native-born Swedes, like immigrants from Chile who speak fluent Spanish and Swedish, whose English can be poor.)
So yes, it would be easy.
Some current listings from the Swedish equivalent of Craigslist:
If you don't mind (or prefer) living in the suburbs you can definitely reduce your costs a lot.
No startup scene, but a 1,300 sq. ft. apartment in the center of town (3bd, 1.5 ba) goes for only $1,500/month, and the commuter train to Gothenburg takes about 45 minutes.
If you have money you can get a "business apartment" for about 2x the normal rate. Those are pretty easy to find. But you'll need to have a business first (even one in the US) to rent it.
You can get an idea of what's available using the aggregator http://kvalster.se/Stockholm . When a place is "1 rum" it means studio, "2 rum" means "living room and bedroom", etc. As a decent approximation, 1sq meter is 10 sq. feet.
Rates in the tech area of Kista look about $700 for a shared room/studio. In Södermalm I see prices more around $800 for a room/studio, though you can pay a lot more. (350 sq. ft studio apartment, furnished, for one month rental while the owner is overseas, $1264 for the month.)
It is possible to get a sublet or such but it tends to be expensive and quite time consuming. A lot of scams going around as well so one has to be careful. Prices indicated above seem quite accurate.
But when I first moved to Gbg it was easy to get a 2nd-hand contract. Now it's nearly impossible. I read that there was a change ~5 years ago in the law to make it financially better for the Bfr to switch from rental to co-op, so I can see how that would also affect Stockholm.
Well, if I want my children to retire in Vasastan then I should put their name on the list soon. (And have children, but that ruins the joke.)
I think we are still fighting the unfortunate culture of the Law of Jante: http://en.wikipedia.org/wiki/Law_of_Jante
The chapter on Iceland in Boomering Michael Lewis where he describes how the risk seeking fishermen were maybe not the best choice to become investment bankers reminded me a lot of people I knew when I was younger.
Also IMHO, Scandinavians needs to stop blaming the "law of Jante" all the time - maybe we should take a look at ourself instead? :)
Malmö has a great startup scene with Foo Cafe and other gatherings. In Lund you have LTH, Ericsson, Ideon, etc so there's a lot of tech talent there as well.
Anyone, feel free to hit me up for free coffee in our Malmö office :)
I think the Economist is pretty accurate on the fact that there is lot of bubbling but takes time and experience to actually build something big and successful. SV has had the mindset, experience and infrastructure for decades. We are just starting now.
PandoDaily about Helsinki:
http://pandodaily.com/2012/11/20/welcome-to-helsinki-home-of... & http://pandodaily.com/2012/11/22/out-of-the-fire-into-the-sa...
It was discussed here: http://news.ycombinator.com/item?id=4813573
http://www.sweden.se/eng/Home/Work/
If you are self-employed or moving with your company it might be trickier. Here at $MEGA_CORP we have hired tons of non-EU citizen, mostly Russians, and it seems to work pretty well.