For the country to successfully develop the economic situation, the state needs to actively think of supporting small and medium-sized enterprises to improve their competitiveness in the international market and promote the country's overall economic development and growth. Article is to provide information on the European Union's structural funds for incubators that are national or regional economic and social development bodies, whose role is to evaluate and support new business creation and growth. Business incubators create jobs, promote social activity, promoting the commercialization of new technologies and create wealth locally and nationally. European Union Structural Funds co-financing is allocated to new operators who receive services from a business incubator operator and / or are located in the business incubator facilities. Main target groups are local governments, in which teritory will be contributed business, business incubators and business operators. The framework of projects may be be co-financed by the European Regional Development Fund up to 85% of all expenses and the rest 15% of the state budget. The total available public funding is 20 208 601 LVL. Business Incubator advantage is the so-called synergy effect. Companies are located in a one building, the managers and specialists are in contact with each other, thus, to they share information and experience to contribute to the development of ideas and development of new products. Business incubators are a good way to start up new bussiness. All in all, it promotes the development of a social mission - stimulating new business creation. The most important is to understand the new companies in the incubator that they do not get money, but services that help them to grow and make profits themselves