This article examines the impact of legislative regulation on startup activities and itsinfluence on their viability. The aim of the study is to identify the main legal regulatory obstacles and provide recommendations on how to mitigate them. The analysis covers four key sectors: FinTech, IT and artificial intelligence, e-commerce, and biotechnology and pharmaceuticals, which most often face complex licensing procedures, strict compliance requirements, and an unclear regulatory environment. The study results reveal that excessive regulation can hinder innovation and reduce startups’ chances of survival. To create more favorable business conditions, it is essential to simplify licensing processes, ensure clearer legal regulations, and reduce administrative burdens.

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