Áine Brady (Kildare North, Fianna Fail)
Link to this: Individually | In context

Question 618: To ask the Minister for Enterprise, Trade and Employment the policies the Government is employing to increase the number of early stage entrepreneurs here; the support structures in place; the initiatives being considered to encourage potential entrepreneurs to engage in entrepreneurial activity; and if he will make a statement on the matter. [1101/08]

Micheál Martin (Cork South Central, Fianna Fail)
Link to this: Individually | In context

Entrepreneurship in Ireland is supported and encouraged by the active and constant pursuit and promotion by the Government of an economic environment that is supportive of entrepreneurial activity combined with a wide range of targeted interventions by various State enterprise development agencies.

Ireland's extraordinary success over the past decade has been built on, and continues to be built on, such key competitive strengths as: having one of the lowest taxation regimes in Europe; access to the EU's Internal Market; a well-educated and skilled workforce and a history of pursuing Government policies that are pro-business and provide a benign business environment. The Government is committed to the continued support and development of these strengths.

The critical role of entrepreneurship is fully recognised by the Government and it is clear that the actions currently being taken are achieving the objective of ensuring that we have an entrepreneurial society. The Global Entrepreneurship Monitor (GEM) Report for 2006, which is the premier cross-national assessment of entrepreneurship, shows that Ireland is performing extremely well in terms of entrepreneurship activity. In fact, Ireland is in third position, in terms of 'Total Early Stage Entrepreneurial Activity' amongst EU Member States and seventh position overall within the OECD.

The Small Business Forum Report placed a particular importance on this topic and recommended that the Government should formally adopt a National Entrepreneurship Policy Statement focused on optimising the number of start-up businesses, and in particular, on maximising the number of start-ups aspiring to, and achieving high growth. The Forum also recommended that this Policy Statement should build upon three specific platforms: Stimulating latent entrepreneurial potential, particularly among women and the immigrant community; Reinforcing entrepreneurship in the education system; and Enhancing the culture for entrepreneurship.

On the 23 October 2007, Forfás published its report "Towards Developing an Entrepreneurship Policy for Ireland". In parallel to this report, Forfás also published a Report entitled: "Mapping of Entrepreneurship Initiatives". This comprehensive Report sets out in detail the various initiatives in place across all Government Departments and Agencies in relation to entrepreneurial activities in Ireland. The above two Reports are available at www.forfas.ie.

In relation to support structures currently in place, the role of the 35 County and City Enterprise Boards is to provide support for small businesses with 10 employees or fewer in the start-up and expansion phases, to promote and develop indigenous micro-enterprise potential and to stimulate economic activity and entrepreneurship at local level throughout the country.

The CEBs deliver a series of Programmes to underpin this role and they can provide both financial and non-financial assistance to a project promoter. The forms of financial assistance which are available, subject to certain restrictions, include Capital Grants, Employment Grants and Feasibility Study Grants. The provision of non-financial assistance can take the form of a wide range of business advice such as Programmes covering Business Management, Mentoring, E-commerce, Enterprise Education, and Women in Business networks.

In addition to the Boards' normal activities, my Department funded a number of specific initiatives in 2007 where a need was identified for targeted actions, including the Tech-Check Programme whereby small businesses can apply to their local CEB for an assessment of their business's current technology usage, and receive a clear, action orientated and realistic strategy aimed at developing and deploying appropriate ICT skills with the objective of delivering real and sustainable competitive advantage.

Additional funding was also allocated in the area of Enterprise Education for the promotion and development of Entrepreneurial Awareness at local level in schools and colleges.

The CEBs also continued to promote Women in Business Training/Mentoring Programmes designed to provide potential women entrepreneurs with support systems to enhance their self-confidence and actively encourage their participation in greater numbers in new business generation, as well as, the CEB Regional and National Awards Programme aimed at promoting a greater awareness of the achievements of CEB-supported micro-enterprises.

In 2008, the Capital allocation for the 35 CEBs stands at over €20m. This will enable the Boards to continue to be actively involved in the area of economic development and will ensure that available funds are targeted to maximise entrepreneurial development regionally and nationally. This will be done, not just by direct grant-aid to businesses and project promoters, but also through the provision of a range of other important business supports such as mentoring, business training and business advice all of which help to stimulate indigenous enterprise creation.

I am satisfied that the above policy initiatives and support structures will maintain and further improve the environment in which entrepreneurship in general can thrive throughout the country.