From Malta to the world

Malta has established itself as a thriving hub for start-ups, offering a strategic location, business-friendly policies, and a strong presence in industries such as fintech, iGaming, and artificial intelligence. While Europe’s start-up scene faces challenges, Malta provides a unique environment where both local and international entrepreneurs can grow their businesses.

Ivan Montik, founder of SOFTSWISS, a global tech company headquartered in Malta, shares his insights on the evolving start-up landscape, the impact of migrant entrepreneurs, and the importance of corporate partnerships in driving innovation.

The dual challenges of stability and disruption

Entrepreneurial challenges are both constant and evolving.

“I think there are fundamental issues that remain relevant at all times and dynamic ones where new problems emerge while old ones get resolved,” explains Montik. “For instance, when I launched SOFTSWISS in 2009, it was a completely different era with different challenges than today. In my view, among modern difficulties, the unstable world distracts us from our goals, making it harder to focus.”

Montik stresses the need for a clear vision, an understanding of all business aspects—from product development to legal considerations – and financial literacy to avoid rapid cash burn. Founders must develop resilience, remain adaptable, and ensure they have a well-structured financial strategy to sustain long-term growth. He also warns against burnout and the pitfalls of early success, urging entrepreneurs to stay disciplined and maintain control over their ventures.

Malta’s start-up ecosystem and the role of migrants

Malta’s open economy and international workforce have positioned it as a hub for talent from across Europe and beyond. Migrant entrepreneurs have played a vital role in driving innovation and economic growth. Research indicates that within five years, migrant-led businesses contribute positively to their host nation’s economy, and Malta is no exception.

“Frankly speaking, I believe that expats drive the core start-up movement in Europe. And It is not only Eastern European countries, but also the United States, Africa, and Asia," Montik says.

Having lived in Germany for nearly nine years, Montik observed that the country lacks an education system that encourages entrepreneurship. Europeans generally prefer stability over taking risks, making migrant entrepreneurs essential for driving innovation and dynamism into the region.

Industries poised for growth

Several industries are driving start-up growth and reshaping traditional business models.

Montik highlights fintech as a sector undergoing rapid transformation as digital payment systems disrupt traditional banking. Fintech is experiencing rapid growth, with new technologies redefining how businesses and consumers manage financial transactions, he notes. Fintech start-ups like Brite Payments and Pennylane are redefining payment methods and financial management, drawing significant venture capital investments. The fintech sector is projected to grow at a 25% compound annual rate, reaching nearly $492 billion by 2028.

Entertainment remains a strong sector, with consumers investing significant time and money in leisure, gaming, and content creation.

”The entertainment industry will always be relevant since almost every person on Earth spends a significant amount of time and money on entertainment and leisure. There’s also a clear trend toward developing AI technologies, but here I see more practical use cases of existing large models like OpenAI.” Montik adds.

Artificial intelligence is another key driver of innovation. State funding for AI companies exceeded $5 billion in 2024, with a 15% growth rate expected in 2025. Start-ups like Mistral AI and Synthesia are pushing the boundaries of AI, demonstrating its potential to revolutionise industries ranging from media to healthcare.

The role of collaboration and corporate partnerships

For start-ups to succeed, corporate support is crucial. Montik notes that experienced companies like SOFTSWISS can provide financial backing, technical consulting, and mentorship to help new businesses avoid early-stage mistakes.

“Companies like ours have all the necessary tools and knowledge to assist young start-ups. We can provide not just financial support but also technical consulting, helping teams avoid critical errors early.”

Effective partnerships depend on shared values, collaboration, and networking. Montik advocates for structured mentorship programs where industry experts guide start-ups and for hosting sector-specific events to connect entrepreneurs with potential corporate partners.

Malta as a launchpad for innovation

As a hub for iGaming and fintech, Malta offers government-backed initiatives, financial incentives, and a strategic location bridging Europe, Africa, and the Middle East. The presence of global firms like SOFTSWISS strengthens its status as an innovation centre, providing start-ups with access to resources, mentorship, and business opportunities.

Despite bureaucratic challenges, Malta’s start-up ecosystem is expanding. The European tech industry is projected to reach $8 trillion in the next decade, with a talent pool of 20 million professionals. By fostering corporate partnerships, streamlining decision-making, and supporting both local and migrant entrepreneurs, Malta can further establish itself as a leading destination for start-up success.