By Philip Hayden, 26th September 2018
Ireland has positioned itself as a hub for innovation and entrepreneurial spirit on the western edge of the European Union. With Brexit and uncertainty in the UK looming, one thing that remains constant is an abundance of funding options available to Irish Companies and Startups. Personal finances are the backbone of the entrepreneurial world but in many cases, this is not possible. External sources of funding available can be separated into broader categories which we have explored below.
One commonly used option for Irish Companies and Startups are state grant schemes or state funding sources. Local enterprise boards have a designated budget towards the growth of new and existing business in their area. Enterprise Ireland, while state-run and funded, operates as capital funding for investment in Irish business through the startup and growth phases. In addition, startups and early stage companies can receive a wide range state funding, refunds or tax breaks from the Irish Revenue Service for things like bringing on employees and various work or industry-based targets that can assist businesses to take off.
As touched on above, funds like Enterprise Ireland invest in Irish Startups and Companies during both the initial and expansion phases of business. Similar in nature to Enterprise Ireland, these funds are designed as profit making entities and have rigorous interview and presentation procedures in order to obtain any kind of capital funding. These funds are typically industry specific, specialising in particular company types and as such business plans and strong business projection are required.
A particularly popular way of funding a business would be the option of crowdfunding. International companies like Kickstarter and Indiegogo have recently begun to get Irish based companies in the market with the relaxed crowdfunding regulations. Irish companies like iCrowdfund and Fundit provide a socially active investor base who chose to invest based on online presentation and communication about a planned product. Irish companies availing of this source would offer their product through a form of presale with exclusive access for people who agree to fund. If a product doesn’t meet the level of funding required all money is refunded to the investors.
Banks and Business Lending
From Microloans to Big Banks, institutions are encouraging businesses to avail of their lending services again after shaking off the shroud of the global downturn. Almost universally, credit institutions are offering business loans Irish Companies and Startups with the latest Central Bank figures placing approx. 90% of business loans being issued to the SME sector. While banks pulled back from the business loans sphere during the recession, the security regularity and flexibility of bank finance presents itself as a strong option for Irish Companies and Startups.
Should you require any assistance in setting up Irish Companies or Startups or would like any more information on any of Banks and Business Lending, Crowdfunding, Capital or State funding, don’t hesitate to contact Company Bureau on 01-6461625 or email email@example.com.