The 31 Local Enterprise Offices nationwide are a ‘first-stop-shop’ for providing advice and guidance, financial assistance and other assistance to those wishing to start or grow their own business and act as a ‘signposting’ service for all Government grants ad loan Schemes available to the SME sector. The LEOs will also provide information and or referrals to other relevant bodies under agreed protocols e.g. Revenue, Micro Finance Ireland, Fáilte Ireland, LEADER, and Enterprise Ireland.
The LEOs offer direct grant aid to microenterprises up to 10 employees in the manufacturing and internationally traded services sector. Start-up businesses that have not begun trading may avail of LEO Feasibility Grant, Priming Grant and all ancillary supports including Training, Management Development and Mentoring subject to meeting the eligibility criteria.
Feasibility Grants linked to the Pre-Start phase and their purpose is to help start-up companies or individual entrepreneurs with the cost of researching their proposed business or new business idea to see if it could be viable and sustainable.
Priming Grants for businesses trading less than 18 months, aim to help them get the business with the associated costs of start-up. The maximum Priming Grant payable is 50% of the investment or €150,000 – whichever is less.
The Local Enterprise Offices do not provide direct grant-aid to areas such as retail, personal services, local professional services or construction and or local building services, as it may give rise to the displacement of existing businesses.
Businesses may also be eligible for the Trading Online Voucher scheme, which offers a voucher of up to €2,500 (50% co- funded by the applicant) to help businesses develop their online trading capability and includes training sessions that cover various topics, including developing a website, digital marketing, social media for business and search engine optimisation.
The Local Enterprise Offices can also assist clients with applications to Microfinance Ireland for small business loans of between €2,000 and €25,000 (unsecured). Loans for commercially viable proposals can be used to help fund start-up costs, working capital or business expansion and by applying through their Local Enterprise Office, clients can avail of a 1% reduction in the interest rate charged.
On the matter of whether directors of start-up companies themselves can avail of funding, if the director is a proprietary director, i.e. he or she has control of 15% or more shareholding, that would render them ineligible for such funding. However, new businesses can avail of EWSS for employees provided those businesses meet the relevant turnover test criteria.
For 2021 paydates, this reduction in turnover or orders is relative to:
- the same period in 2019 where the business was in existence prior to 1 January 2019;
- where the business commenced trading between 1 January and 1 May 2019, the date of commencement to 30 June 2019; or
- where a business commenced after 1 May 2019, the projected turnover or orders for 1 January 2021 to 30 June 2021.
