Dáil Éireann Debate, Tuesday - 1 February 2022
201. Deputy Anne Rabbitte asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports his Department offers for start-ups that can be accessed by persons in receipt of illness benefit when they are trying to start a business themselves; and if he will make a statement on the matter. [4752/22]
View answerThe Local Enterprise Offices act as a ‘first stop shop’ providing advice and guidance, financial assistance, and other supports to anyone wishing to start or grow their own business. The Local Enterprise Office can offer direct grant aid to microenterprises (10 employees or fewer) in the manufacturing and internationally traded services sectors which, over time, have the potential to develop into strong export entities and all schemes and grants can be availed of by any business that meets the relevant eligibility criteria.
The Local Enterprise Offices offer Feasibility Grants to help start-up companies or individual entrepreneurs with the cost of researching their proposed business idea to ascertain its viability and sustainability and Priming Grants, which aim to help with the associated costs of start-up.
However, it should be noted that the Local Enterprise Offices do not provide direct grant-aid to areas such as retail, personal services, local professional services or local building services, as it may give rise to the displacement of existing businesses.
The Local Enterprise Offices provide a wide range of high-quality business and management development programmes that are tailored to meet specific business requirements. Whether it is starting a business or growing a business there is something suitable for anyone exploring self-employment as an option.
In particular, I would encourage any person starting a business to enquire about the Start Your Own Business Programme. The objective is to assist clients in assessing their business idea, its viability and helps them decide if they should proceed or take a step back. The programme covers topics such as Starting up / getting started, Identifying, understanding, and researching your target market, Developing your Business Plan amongst other vital areas of interest to a new business.
I would also suggest seeking the advice of a LEO Business Mentor; the Mentor programme is open to both new and existing businesses located within the Local Enterprise Office region and is designed to match up the knowledge, skills, insights and entrepreneurial capability of experienced business practitioners with small business owner/ managers who need practical and strategic one to one advice and guidance. The mentor contributes independent, informed observation and advice to aid decision making.
Mentors can also advise on finance options available to entrepreneurs and can assist with applications and referrals to Micro-Finance Ireland, which provides vital support to eligible microenterprises by lending to businesses that cannot obtain loans from other commercial lenders and who do not meet the conventional risk criteria applied by commercial lenders. It offers loan funding, including Start-up Loans, from €5,000 to €25,000.
Furthermore, the Department of Social Protection offers the Back to Work Enterprise Allowance scheme. This scheme encourages people currently receiving certain social welfare payments to become self-employed. The Back to Work Enterprise Allowance scheme is a payment made by the Department of Social Protection to people aged under 66. You can qualify for the Back to Work Enterprise Allowance if you are qualifying from Illness Benefit and are in receipt of a qualifying social welfare payment 3 out of the last 5 years. If you take part in the Back to Work Enterprise Allowance scheme you can keep a percentage of your social welfare payment for up to 2 years.
