Vol. 441 No. 1
85 Mr. R. Bruton asked the Minister for Enterprise and Employment if his attention has been drawn to the fact that the county enterprise boards are not empowered to provide grant assistance where a company opts for a lease rather than the purchase of equipment; and the plans, if any, he has to provide grant aid to be made available pro rata towards repayments on a lease.
Capital grants from the County Enterprise Fund (CEF) are available for the construction and modification of premises, and for the purchase of capital goods and equipment. Where such grants are made, a lien is taken on the asset in question in order to protect the public funds invested, and to secure the benefit conveyed by the grant on the promoter by reference to a specific performance criterion. Since this would not be possible in relation to leased assets, I would not favour extending CEF grant assistance to such cases.
I should mention that county enterprise boards are empowered to consider making employment grants to promoters as an alternative to capital grants in appropriate, qualified cases. This mechanism could be applicable in the case in question. Feasibility study grants may also be considered. Furthermore, the county enterprise officers have the duty of providing advice and guidance to potential entrepreneurs in general, and to small businesses anxious to expand. I would strongly recommend that all promoters of potential small business projects contact their county enterprise officer, who will be able to advise them as to how best to proceed, and to assess whether and to what extent direct Exchequer assistance for the project may be appropriate.
