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The 3rd International Conference on “Baltic Business and Socio-Economic Development” took place between 17th and 19th of June 2007 in Tallinn. The conference provided an opportunity to discuss issues related particularly to assessment of socio-economic development and business environment in the Baltic Sea Region, the economic and financial situation of SMEs, and possibilities of international co-operation in the area of education activity. With more than 100 participants the conference represented a great platform to disseminate knowledge on socio-economic conditions for regional and business development as well as on solutions applied in that scope in different economies. The most relevant papers from this conference are presented in this volume, focussing on entrepreneurship, small and medium-sized enterprises (SMEs), regional development as well as on macroeconomic environment and finance. This broad range of topics and papers provides not only information and opinions, but offers incentives for further research and the gathering of new knowledge.