IT companies, startups, and founders entering international markets increasingly compare different ways to formalize their operations. Some consider incubators in Poland as a way to quickly enter the European ecosystem, access grants, mentoring support, and funding. Others choose the EOR model in Belarus, a solution that allows companies to officially hire employees, work with clients abroad, while maintaining management flexibility and tax predictability.

At first glance, both approaches aim for the same goal: business growth and minimizing administrative barriers. However, there are fundamental differences: legal status, level of obligations, cost structure, degree of control over the business and HR processes. For a startup, this can mean choosing between a quick market entry and long-term stability.

In this article, we will explore the differences between a Polish incubator and the EOR model in Belarus, the advantages and limitations of each option, and in which situations one approach may be more beneficial.

What a Polish Incubator Is

Incubators in Poland are structures designed to support entrepreneurs and startups, especially at early stages. Their main goal is to help teams move from idea to commercial product while reducing administrative and financial barriers. Polish incubators actively collaborate with government programs, EU funds, and private investors, making them particularly attractive for IT projects, creative industries, and technology businesses.

How Incubation Programs Work and Their Goals

An incubator provides participants with a legal and accounting “umbrella,” allowing them to operate without registering their own company. The startup works under the incubator’s legal entity, simplifying interactions with Polish partners and government authorities. The main idea is to give entrepreneurs the opportunity to test a business model and enter the EU market without unnecessary costs and bureaucracy.

Who Can Participate and Participation Requirements

Individuals or teams with a business idea, product, or MVP (minimum viable product) can join an incubation program. Most incubators do not require a registered company or verified income. Usually, applicants must go through a selection process: submit an application, describe the project, and outline goals and development plans. In return, the incubator provides infrastructure, mentoring support, and sometimes assistance with visas or residence status in Poland.

Funding, Grants, and Resident Support

Many Polish incubators partner with government and European funds, allowing residents to access grants, subsidies, and accelerator programs. Some projects receive partial funding in exchange for developing the product within the EU. In addition to financial support, incubators provide access to offices, legal and accounting services, as well as a network of potential investors and partners.

Limitations and Obligations for Startups

Despite the obvious advantages, participation in an incubator comes with certain limitations. The startup operates under the incubator’s legal entity, which means it does not have full autonomy: some decisions require approval, and activities must comply with Polish law. Moreover, when receiving grants or state support, participants must report expenses and results. Violating the incubation conditions may result in termination of funding.

How the EOR Model Works in Belarus

The Employer of Record (EOR) model is a modern business and hiring tool that allows companies to operate in Belarus without establishing their own legal entity. In this model, the EOR becomes the official employer, handling all HR, tax, and legal obligations, while the client company focuses on operations, product development, and team management.

The Essence and Mechanism of Employer of Record

In the EOR model, the provider acts as the formal employer of workers hired on behalf of the client. Employees perform tasks for the client, while the EOR handles all legal matters, employment contracts, payroll, taxes, and reporting. This enables foreign or Belarusian companies to legally work with personnel in Belarus without registering a branch or legal entity.

Opportunities for International and Local Companies

For foreign companies, EOR in Belarus is a way to quickly and safely enter the market, test a business model, or build a local team without bureaucratic hurdles. For Belarusian companies, it is a tool for optimization, outsourcing some HR and administrative processes to an external partner. This model is especially relevant for international holdings, IT companies, and startups scaling across multiple countries simultaneously.

How EOR Handles Hiring, Taxes, and Compliance

An EOR provider ensures full compliance with Belarusian labor, tax, and migration laws. The provider performs the following functions:

• Drafts employment contracts in accordance with local legislation.
• Pays salaries and taxes, including personal income tax and contributions to the Social Protection Fund (FSZN).
• Maintains HR records and reporting.
• Provides guidance on compliance with local regulations.

This relieves the client company of legal risks associated with improper employee documentation, tax violations, or breaches of labor law.

Benefits for Startups and IT Teams

For startups and tech companies, EOR is an alternative to an incubator but with greater flexibility and control. Teams retain independence, manage their own projects and finances, while all administrative and legal tasks are handled by professionals. Key advantages include:

• Ability to legally hire specialists from Belarus and other countries.
• Simplified accounting and taxation.
• Time and resource savings on administrative tasks.
• Reduced legal risks when operating internationally.

Thus, the EOR model allows companies to operate in Belarus transparently and legally, while remaining flexible and competitive.

Incubator vs. EOR: Key Differences

Although both a Polish incubator and the Belarusian EOR (Employer of Record) model enable startups and companies to work with minimal administrative barriers, their operating principles, level of control, and legal implications differ significantly. Understanding these differences is crucial for making an informed choice.

Legal Status and Degree of Business Control

A Polish incubator is essentially an organization that provides a platform to launch a business: legal address, support, accounting, and consulting. Startups do not always become independent legal entities immediately. Typically, participants operate “under the umbrella” of the incubator, which limits autonomy and decision-making control.

In contrast, under the EOR model in Belarus, the company retains full operational independence. The EOR acts only as the formal employer, without interfering in business processes. This gives entrepreneurs more flexibility in managing projects, strategy, and finances.

Financial Burden and Cost Structure

A Polish incubator usually operates on a contribution or equity model. Participants may receive grants or benefits, but in return, they are often required to give up a share of the project or comply with program conditions (e.g., a minimum participation period or a specific expense structure).

In contrast, the EOR model is more transparent: the client pays fixed fees for services—HR administration, tax calculation, and personnel management. There are no hidden obligations, equity requirements, or dependence on grants. For mature startups and international teams, this model is economically more predictable.

Team and Project Management Flexibility

In an incubator, participants often must follow internal program rules: getting approval for hiring, reporting to the managing organization, and adhering to a defined development plan. This is useful for early-stage startups but limits decision-making speed.

EOR in Belarus offers the opposite experience of full autonomy. The company independently builds its team, manages salaries, hybrid work formats, and tasks, while the EOR provider ensures legal and tax compliance of these processes.

Risks and Level of Administrative Requirements

A Polish incubator reduces administrative barriers at the start but requires strict compliance with program conditions. Delays in reporting or misusing grants can lead to penalties.

EOR in Belarus, on the other hand, eliminates legal risks related to local labor and tax laws. The provider is responsible for proper employee documentation and reporting, giving the client reliable legal protection without bureaucratic burden.

An incubator is a tool for launching and experimenting, where support and infrastructure are crucial. EOR is a solution for those who want to grow their business quickly and legally while retaining independence and control.

When a Polish Incubator Is More Advantageous

Polish business incubators are a popular tool for startups looking to test ideas in the EU market, access funding, and receive support without immediately establishing a legal entity. This format may not suit mature companies, but for early-stage projects, it can be an important step toward scaling.

Goals for Entering the EU Market

If the main objective is to enter the European ecosystem participating in tenders, pilot projects, accelerator programs, and finding clients and investors in the EU a Polish incubator provides a convenient entry point.

It offers a legal address, local registration for operations, as well as advisory and administrative support. This is particularly valuable for companies not yet ready to open their own firm in Europe but wanting to legally sign contracts and receive payments in European accounts.

Need for Investment or Grants

Polish incubators often collaborate with government funds and European innovation support programs (e.g., PARP, Horizon Europe, etc.). Participation in an incubator may be a requirement to receive grants or venture financing.

Therefore, if a project requires startup capital, subsidies, or co-financing, and the team is willing to follow program rules and provide regular reports, an incubator is a logical choice.

It is important to note that access to grants is often tied to territorial and target restrictions: funds can only be spent on activities in Poland or the EU, requiring careful financial planning.

Early-Stage Startups and Partner Search

For young projects that do not yet have stable clients, teams, or a business model, an incubator provides not only infrastructure but also mentoring support. Residents gain access to experts, networking opportunities, training, as well as legal and accounting services. An incubator can serve as a platform for initial product tests, pilot sales, and building business connections within the European ecosystem.

However, if a startup already has a stable order flow, its own management structure, and requires flexibility in hiring staff, an incubator may be excessive. In this case, the EOR model in Belarus can help reduce costs while maintaining control over operations.

When EOR in Belarus Is a More Practical Solution

The Employer of Record (EOR) model is increasingly in demand among companies that want to grow their business flexibly, without excessive bureaucracy or costs associated with setting up legal entities. For IT teams, startups, and service companies, EOR in Belarus is often more practical and cost-effective than participating in foreign incubators.

Developing Remote Teams

If a business already has clients in multiple countries and operates in a distributed model, EOR is ideal for hiring employees and contractors without creating local branches.
A Belarusian EOR provider assumes all HR and tax obligations, while the client company can legally hire specialists, pay salaries and taxes, without delving into local labor laws.

This is particularly important for IT teams working on international projects, where speed and flexibility matter more than formal infrastructure. Unlike an incubator, EOR does not limit the company by geography or program support; the team can grow and adapt according to project needs.

Sustainable Business with International Clients

For companies with a stable order flow and established client base, EOR ensures stability and transparency without the need to establish a legal entity abroad.
EOR allows companies to legally serve international clients, manage contracts, pay taxes, and protect personal data in compliance with international standards.

This solution suits mature startups and companies that want to optimize operational costs while remaining flexible in choosing employees and business directions.

Minimizing Bureaucracy and Legal Risks

EOR frees businesses from managing complex accounting, submitting reports in multiple countries, and complying with local HR procedures. All formalities from drafting employment contracts to calculating taxes and contributions are handled by the provider.

Moreover, EOR’s legal support reduces risks associated with labor disputes, tax audits, and accounting errors. Companies can focus on their products and clients, knowing that all legal and administrative matters are professionally managed.

Thus, EOR in Belarus is an optimal solution for stable and growing IT teams that value flexibility, speed, and transparency in processes without unnecessary legal formalities.

How to Combine Both Approaches

In some cases, companies don’t need to choose between an incubator and an EOR; both tools can be used simultaneously to develop the business most efficiently. This combined model allows companies to leverage the advantages of a European legal framework while maintaining Belarusian workforce flexibility.

Combined Model Option: Polish Registration + Belarusian Team

One of the most successful scenarios is registering a legal entity or participating in a Polish incubator to enter the EU market, while the core team and operational processes remain in Belarus under an EOR provider.

This approach allows companies to:

• Legally operate in the EU, sign contracts with European clients, and participate in grant programs.
• Maintain optimal development costs, as the team works in Belarus under the EOR model.
• To reduce administrative burdens there is no need for the Polish entity to hire all employees directly, as it can collaborate with the Belarusian EOR under a service agreement.

This solution is especially relevant for startups aiming for European scaling without losing control and efficiency during growth.

Practical Examples and Recommendations

For example, a tech startup can register in a Polish incubator to access grants, accelerators, and European investors, while all developers, designers, and project managers are employed through a Belarusian EOR, reducing costs and simplifying management.

Recommendations for companies considering a hybrid model:

• Clearly define which functions are handled by the Polish side (finance, sales, grants) and which remain with the Belarusian side (development, support, HR).
• Ensure legal transparency in the relationship between the incubator, the Polish company, and the Belarusian EOR.
• If necessary, conclude framework agreements to avoid double taxation and disputes over labor issues.

Structuring Interaction and Role Distribution

In a combined model, it is essential to clearly define boundaries of responsibility. The Polish company (or incubator) manages external communications, investment attraction, and contract signing, while the Belarusian EOR handles HR and tax administration.

For easier management, a unified operational center can be used, where both sides interact with clear documentation and regular reporting. Legal transparency and well-organized processes create a sustainable international structure, where each element performs its function, and the business grows without unnecessary risks or barriers.

Conclusion

Choosing between a Polish incubator and EOR in Belarus depends on the company’s goals, stage of development, and priorities. If the main focus is entering the EU market, attracting investment, and participating in accelerator programs, an incubator is a convenient starting platform. If operational flexibility, cost optimization, and simplified team administration are more important, EOR is a more rational choice.

In practice, these approaches are not mutually exclusive: a Polish structure can provide legal presence in Europe, while a Belarusian EOR ensures effective team management. This combination reduces risks, preserves control, and accelerates business scaling.

Our team provides EOR services in Belarus, handling the hiring of specialists, taxes, HR administration, and compliance. We support international IT companies and startups, creating convenient and transparent collaboration schemes. If you want to maintain business flexibility while expanding into international markets, we can help design the optimal solution for your operational model.

How to contact us 

For more information or consultation on EOR services in Belarus, do not hesitate to contact us. We are here to help and support you.

Phone and email communication options are available for your convenience:

• +375293664477 (WhatsApp/Telegram/Viber);
• info@spex.by.