An Entrepreneur's Guide to Brno, Czech Republic: 3 Tips for Intrepid Founders Here's what business owners and other professionals should know about the vibrant startup ecosystem in Czechia's second-largest city.

Globally-minded entrepreneurs who are seeking to start up or expand a business in Europe often begin their search for the perfect locale in powerhouse tech hubs like Berlin, Stockholm, and London, or up-and-coming innovation ecosystems like Lisbon or Valencia.

Many, however, overlook cities in Central and Eastern Europe (CEE) that can offer entrepreneurs a litany of value, including a relatively low-cost, highly technical workforce, as well as a growing culture of innovation and entrepreneurship.

Data intelligence firm Dealroom reported that the CEE's total startup ecosystem value more than doubled in the past five years to reach €213 billion in 2023. And despite some challenges, including a lack of local investors compared to Western Europe and political instability in some countries which has forced founders to relocate abroad, CEE offers a number of attractive opportunities for worldly founders.

Recently, I traveled from my home in Barcelona to the Czech Republic to learn more about the startup ecosystem there. The country is positioning itself amongst the CEE's top performing startup ecosystems -- behind Poland, Ukraine, and Estonia -- and in the first half of this year, Czechia (as it's also called), led the region in total funding rounds, with startups raising €445 million in H1 2024.

While much of the startup ecosystem buzz in the country is centered in the capital, Prague, intrepid entrepreneurs should also consider Czechia's second-largest city, Brno, as an attractive destination for a company.

In September, I spent four days exploring the city and spoke with some of the people who are helping to shape the startup ecosystem there. Here are some takeaways for entrepreneurs looking to visit Brno, and possibly, make it their next HQ.

1. Tap into the inclusive innovation ecosystem

While you may not know it, Brno is home to some very successful startups. Kiwi.com, a competitor of Expedia and Booking.com, is based in the city and has more than 1,000 employees. Other notable startups include network security provider Flowmon (recently acquired by Kemp Technologies), short-term rental platform Flatio, and Europe's largest online beauty retailer, Notino.

The city is also home to 64,000 students helping to ensure a steady flow of talent for the local startup scene from institutions like Masaryk University, which counts thousands of students enrolled in STEM and business programmes, and the Brno University of Technology, which has approximately 18,000 students.

Entrepreneurs and tech talent in the city tend to coalesce at networking events hosted by the South Moravian Innovation Centre (JIC), a regional government-backed enterprise tasked with fomenting business innovation in the region.

JIC actively supports startups through mentoring, funding, and partnerships with major industry players. Local entrepreneur Ondřej Dufek, the co-founder of Flatio, told me that JIC is a breeding ground for businesses. "You can join meetups with startups or founders, enter incubators, use students' potential (business, technical, health, nature, or creativity-focused), and get inspiration from successful companies," he said.

The city was also recognized by the European Committee of Regions last year for its efforts to boost innovation and entrepreneurship, including an EU-funded Cyber-Security Excellence Hub as well as hosting the Velvet Innovation Conference. The summit, and its series of smaller meetups, are a great place to run into local movers and shakers in Brno's entrepreneurial community.

Impact Hub, which operates a network of incubators and co-working spaces around the world, also has a presence in Brno, and hosts events for the local startup community.

2. Feel at ease thanks to plenty of housing and a focus on safety

One of Brno's key draws for entrepreneurs and technology enthusiasts is its affordability and safety relative to other European cities.

From its reasonably priced short- and long-term accommodation, affordable cuisine, and its famously inexpensive (but refreshingly delicious) Czech beer, the cost of living in Brno is 20% lower than in Prague, and 36% lower than Berlin, according to rental price database Numbeo.

What's more, the Czech Republic is among the 15 safest countries in the world according to the Global Peace Index, and The Campus Advisor, which reviews college campuses globally, ranked Brno the 4th best student city in the world for 2023. The city scored high on affordability, safety, nightlife, and student friendliness.

Brno's reputation as an undiscovered gem may soon change, however. Property rental platform Flatio, shows that Brno has seen significant growth from expats from countries like Hungary, Israel, and Germany. The platform is a good first step for foreign entrepreneurs looking for short and long-term rental opportunities in the city and caters to digital nomads by posting information online, such as verified internet speeds.

The Brno Expat Centre is another valuable resource for digital nomads and newcomers looking to settle in the city. This nonprofit organization offers tailored support on everything from housing and legal matters to community integration, making it an essential first stop for entrepreneurs and remote workers relocating to Brno.

3. Work hard, live well

Of course, finding the perfect location to build a company shouldn't rest solely on the economic advantages. Founders should love the place where they live.

Brno's location in the heart of Europe makes it a prime jumping-off point for international travel to some of Europe's most beautiful cities like Vienna, Prague, and Budapest. But there is also beauty to be discovered right in the city's own backyard.

For someone coming from a noisy city like Barcelona, walking through the calm streets of Brno was a pleasure. The architecture of the city combines Gothic, Baroque, and modernist influences. All around, you can find charming cafés (some of the best I've tried) and even discover hidden gardens.

Walking through the city, Brno locals were very inviting and helpful. While the official language is Czech, people in Brno tend to speak more English than those in Prague, so it was easy to make my way around.

Exploring Špilberk Castle at sunset is a must, especially during the summer when you can see stunning views over the city rooftops. Another great plan is to visit the Vegetable Market, the city's longest-running market square, which is open six days a week. There, you can find seasonal fruits and vegetables and chat with the locals to learn more about their culture.

Also, if you're ever having a particularly rough day in your business, do like the Brunnians do, and just set back your clock! According to a local legend, during a siege by the Swedes in the Thirty Years' War, the Swedes said they'd abandon their attack if they didn't conquer the city by noon the next day. So, some clever Brunnians set all the clocks in the city forward to 11 a.m. to throw off their attackers -- and ever since, 11:00 has held special significance in Brno.

Compared to other cities I have lived in in Europe, Brno feels like it has a broad acceptance of work-life balance embedded in its entrepreneurial culture. For instance, Phonexia, a startup in the city that develops speech technology, orders its employees to take every Friday off.

For entrepreneurs with wanderlust, Brno's inclusive innovation ecosystem, its work-life balance and strong talent pool, as well as its relative safety, make it a European city that should be on any founder's list to consider.