Written answers

Tuesday, 22 March 2011

Department of Enterprise, Trade and Innovation

Enterprise Support Services

9:00 pm

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Fine Gael)
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Question 116: To ask the Minister for Enterprise, Trade and Innovation the position regarding funding in respect of a person (details supplied) in Dublin 13; and if he will make a statement on the matter. [5362/11]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The Department does not provide direct funding or grants to businesses but rather provides funding to a number of State Agencies, including the County and City Enterprise Boards (CEBs) and Enterprise Ireland, through whom financial and/or non-financial assistance is delivered directly to businesses. The role of the CEBs is to develop indigenous potential and stimulate economic activity at a local level primarily through the provision of financial and technical support for the development of small and micro-enterprises. The Boards form a nationwide support network for small business.

The CEB's unique role positions them as a first point of contact for persons wishing to set up in business. The promoter should therefore in the first instance contact their relevant local CEB to discuss what options may be available to them and their proposed business venture. Contact details for each individual Board can be obtained through the CEBs' national website address at www.enterpriseboards.ie.

To be eligible for CEB financial (grant) support an enterprise must be in the commercial sphere, must demonstrate a market for the proposed product/service, must have a capacity for growth and new job creation and must not employ more than 10 people. The forms of financial assistance, which are available from the CEBs, subject to certain restrictions and conditions, include Priming Grants, Business Expansion/Development Grants, and Feasibility/Innovation Study Grants.

The Boards are required to give priority to enterprises in the manufacturing or internationally traded services sector, which over time can develop into strong export entities and graduate to the Enterprise Ireland portfolio. It is considered inappropriate to support other areas such as retail enterprises, personal services (e.g. hairdressers, gardeners, etc), professional services (accountants, solicitors, etc) lacking export potential, construction, etc, as it is considered that these generally give rise to unacceptable deadweight (where projects would have proceeded anyway) and/or displacement (where the projects simply displace business from other players in the market) concerns. Decisions on individual applications for assistance from the CEBs are made independently by the relevant Board, subject to eligibility criteria, on the advice of their evaluation committee.

Not all projects will be eligible for financial assistance, however, even where this is the case, a project promoter may wish to engage with their local CEB as, in addition to financial assistance, the CEBs deliver non-financial supports such as one-to-one mentoring and a range of training programmes to improve management capability development within micro-enterprises designed to help new and existing enterprises to operate effectively and efficiently so as to last and grow, which may be available as appropriate to the needs of the promoter's business.

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