Why Sweden lost MARLEQ - insights from global entrepreneur Milo Radulovic

This article is part of Sweden Startup Nation's interview series with startup founders and investors. The aim is to highlight systemic failures and explore what is needed to improve the conditions for startups and scaleups in Sweden.

Milo Radulovic is the founder and CEO of MARLEQ, a digital coaching platform that helps job seekers get better jobs (abroad) four times faster. With over 1,100 clients in 80 countries, he is a truly global entrepreneur. His journey started in Sweden, where he studied and worked, and then continued through the startup ecosystems in the Baltics and other parts of the world. Despite his strong ties to Sweden, Milo eventually chose to build his company in Estonia. Why did he do so?

We spoke to Milo about the structural barriers that made it impossible for him to start his business in Sweden - and what Sweden needs to change to remain an attractive place for international founders.

A love for Sweden - and a tough reality check

"I loved Sweden," Milo begins. "I studied and worked there, lived in Västerås, was part of the ecosystem around Mälardalen University and the science parks in Västerås, Eskilstuna and also Stockholm. The structure, the support system, the global mindset - it was all there."

But admiration wasn't enough to cut through the red tape. As a non-EU national, Milo needed a full-time job with a company willing to sponsor his work permit. Despite holding three different jobs, it wasn't enough to qualify. So - like many other international talents - he tried another route: starting his own business.

"I built MARLEQ out of my own struggle. It's a platform that helps others navigate the job search process globally. But the problem wasn't building the company - it was doing it in Sweden."

Milo explored all possibilities. He joined incubators and accelerators throughout the Balkan region. Several years later, Milo returned to Sweden through the Erasmus for Young Entrepreneurs program for six months, with the clear goal of joining a local accelerator, registering a company and raising capital. But the legal hurdles again proved insurmountable.

"To register a company, I had to prove that I had enough funds for myself - 200,000 SEK. For an early-stage founder, that's a huge requirement," he explains. "Instead of pitching to investors, I spent all my time trying to extend my residence permit. In addition, getting a social security number was slow, which delayed the registration of the company in Sweden."

Estonia: Fast, digital and transparent

When the doors closed in Sweden, Milo turned to Estonia.

"Registering a company in Estonia is easy. It's digital, fast and cheap. I got a one-year start-up visa, followed by a four-year residence permit. For the first time, after living in four EU countries, I got a permit that lasted longer than a few months," he says.

The contrast could not be greater. Estonia welcomed him with open arms. In just a few years, Milo and his team have participated in four different New Nordic Accelerators. Today, MARLEQ has a network of over 30 coaches in 20 countries, helping more than 1,100 clients worldwide. And yet Sweden is still close to his heart.

"Sweden is still my favorite country, and I've lived in five and traveled to 42 countries. My friends are there, the ecosystem is strong, but it's too hard to get in. There is also no pressure to attract founders to the country - unlike Estonia, where the need is acute and visible and we are welcomed with open arms."

"We need a startup and scaleup visa - now"

Milo says Sweden risks losing a whole generation of global entrepreneurs if it does not adapt.

"Sweden needs to introduce a proper startup visa - and preferably also a scaleup visa. This already exists in Estonia, where a startup committee assesses applications so that only serious players are admitted," he says. "Give founders a year to test their idea, join an accelerator and find a business angel or VC. Don't demand all the money upfront - it sends the wrong signal and excludes talent."

He also points to the lack of community for international founders.

"Create a real community for global entrepreneurs. Make them feel welcome. Right now, it's extremely difficult for international founders to apply for Almi funding. Sweden has public support, strong big companies, great universities - but those resources are not available to everyone."

Sweden still has a unique advantage

Despite the criticism, Milo is hopeful.

"Sweden has what Estonia is still building - well-known global Swedish companies that have been around for decades, while Estonia is building its first. The regional innovation systems in Stockholm, Gothenburg, Uppsala, Malmö and Västerås are outstanding, linked to internationally recognized universities and other key players in the ecosystem. Each region has a focus, a niche. That is unusual - and powerful. And there is more capital in Sweden for scaling up, which is often lacking in Estonia."

But without more transparent policies, Sweden could fall behind.

A warning - and a way forward

When asked what is at stake, Milo is clear:

"Sweden is expensive. It's not competitive enough. People still want to come - I see that every day in my coaching work - but it's so hard to get in," he says. "Give people a way in. Focus on the global founders who come to the master's programs; connect them to local incubators, give them a year's grace and support them with more accessible funding. Then you will see them build and grow."

Sweden is not only at risk of losing startups, he says - but also its reputation as a leading innovation nation.

"Thirteen years ago, Sweden was at the forefront. But now? Estonia and others are catching up - fast."