Russia's Asset Grab: What It Means for European Startups

Jan de Vries · 2026-10-16

Russia just took control of more European corporate assets. French, German, Belgian, and Swedish businesses are now under external management. If you're building a startup in Europe, this isn't just news—it's a warning sign. But what does it actually mean for you? ### The Asset Seizures: A Quick Recap In recent weeks, Russia has placed several European companies under external management. This includes firms from France, Germany, Belgium, and Sweden. The move is widely seen as retaliation for sanctions imposed over the Ukraine conflict. But it's not just about politics—it's about economics. When a government can seize assets, it shakes investor confidence. ### Why This Matters for Startups You might think, "I'm a small startup, this doesn't affect me." But it does. Here's how: - **Investor caution:** If investors see instability in Europe, they might hold back funding. That means fewer VC dollars for startups. - **Supply chain disruptions:** Many startups rely on European supply chains. If companies are seized, it can cause delays and increase costs. - **Market uncertainty:** When major economies are affected, it creates ripples across the startup ecosystem. Consumer spending might drop, and partnerships could become harder to secure. ### The Bigger Picture: EU Inc and Startup Incorporation This news comes at a time when the EU is pushing for the "EU Inc" proposal—a plan to simplify company incorporation across Europe. The idea is to make it easier for startups to scale across borders. But with Russia's actions, some are questioning whether the EU can protect businesses. As one Brussels-based policy analyst put it: *"The EU Inc proposal is a step forward, but without strong protections against external threats, it's like building a house on shaky ground."* ### What Can Founders Do? You can't control geopolitics, but you can prepare. Here are a few practical steps: - **Diversify your supply chain:** Don't rely on a single region. Look for suppliers in stable countries. - **Keep an eye on policy:** Follow EU Inc developments. If incorporation becomes easier, it might be a good time to expand. - **Build a strong legal foundation:** Work with lawyers who understand cross-border risks. Make sure your contracts have clauses for force majeure and asset protection. - **Communicate with investors:** Be transparent about risks. Investors appreciate honesty and might help you navigate challenges. ### The Road Ahead The situation is fluid. Russia's actions could escalate, or they could be resolved through diplomacy. Either way, European startups need to stay agile. The EU Inc proposal could still be a game-changer, but it's not a silver bullet. Founders must be proactive. Remember, every crisis brings opportunities. While some investors might pull back, others might see a chance to support resilient startups. The key is to be prepared and adaptable. So, what's your next move? Take a hard look at your business. Are you too dependent on any single market? Do you have contingency plans? The sooner you answer these questions, the better positioned you'll be. Stay informed, stay safe, and keep building.