Cyprus is steadily catching investors’ eyes. According to Statista, total capital raised in Cyprus could reach 324.10 million dollars by 2025, with later-stage ventures accounting for about 138.40 million dollars. Early-stage startups, like those featured at the Axios accelerator, are now a primary focus for investors.
Strategically positioned between Europe, Asia, and Africa, the island is a business hub for impactful ventures in the Mediterranean region. Tracxn data shows over 5,000 сompanies in Cyprus, including 441 funded companies that collectively raised over 12 billion dollars (including Mercuria’s $11.2B in conventional debt). Moreover, the country is home to at least one unicorn.
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Last year, Cyprus hosted the regional finals of the Startup World Cup for the first time. Two startups—Fincom and DISPL—represented the island at the Grand Finale in San Francisco. Fincom secured an impressive fourth place out of 100 countries and cities, marking a remarkable achievement on the global stage.
A supportive legal framework and rich cultural influences further contribute to the venture business environment. The demand for tech solutions is particularly high in tourism and hospitality.
The Value of Corporate Mentorship
Corporate partners are becoming essential to the success of early-stage ventures. Ivan Montik, founder of SOFTSWISS, serving as a jury member in the Axios Accelerator, highlights how established businesses are stepping up to support promising startups.
“Corporate partners can provide grants, host meetups, offer business structuring guidance, and connect startups with technical experts who can help avoid architectural mistakes. It’s crucial that experienced founders set aside time to mentor younger teams because sharing insights can bolster the entire industry,” Montik explains.
Montik adds, “We need collaboration and common goals. With shared values, we can involve more seasoned staff in advising and aiding young teams. Industry-specific events also help. Larger businesses often don’t have the time or resources to innovate outside their current tasks, so partnering with new ventures is a win-win.”
H&H Travel Personalises Tourism with AI
H&H Travel secured the top-three at Axios with a simple and seemingly obvious idea. The app is an AI-powered travel concierge service that customises users’ tourist activities based on their mood, location, and group size.
Two of the founders live in Cyprus, and they want to make travel more interactive and personal. Further plans include inviting residents to share hidden gems, hiking trails, or excursions. This will promote local small businesses and expand tourism beyond conventional attractions.
“Our travel market needs change,” mentioned Andrey Matushka, one of the co-founders.
“We see that tourists visiting Cyprus rarely discover the island’s full scope. Cyprus is far more diverse and fascinating than most people realise,”
– continued Maksim Zaranok, the other co-founder of H&H Travel
H&H Travel also considers adding more features to improve user engagement, like competing characters – an angel and a demon – offering different travel suggestions.
Lessons from the Accelerator
The founders of H&H Travel describe the Axios accelerator experience as transformative. “The mentorship, especially from people who’ve already achieved success, is motivating. When you see their willingness to help, it truly inspires you to push forward. The special prize we got from Ivan Montik is a great honour – it’s priceless to have an entrepreneur of his calibre advising us,” they shared.
Andrey Matushka, who has a background in aviation and previously worked as a pilot, cited International Civil Aviation Organization (ICAO) reports forecasting further growth in global mobility and passenger traffic. “As people travel more, the tourism sector will expand, especially when combined with the advancements AI brings to the table,” he noted.
Cyprus is growing in importance in Europe’s startup scene. The island is well-positioned to host groundbreaking ventures in fintech, AI, and beyond. H&H Travel’s impressive performance at the Axios accelerator is a clear indication of the impact that collaborative ecosystems can have. The startup’s story highlights the opportunities that arise when innovative ideas, corporate support, and a vibrant local market come together.
