Dáil Éireann Debate, Wednesday - 18 October 2023
138. Deputy Fergus O'Dowd asked the Minister for Enterprise, Trade and Employment his views on concerns raised by a start-up company (details supplied) in view of the Budget announcements; and if he will make a statement on the matter. [45654/23]
Amharc ar fhreagraUnder the Housing for All plan, my Department is working to promote innovation and increased productivity in the residential construction sector, including the more widespread adoption of Modern Methods of Construction (MMC).
To promote research and development and disseminate the best and most relevant innovations to the players in the construction value-chain in Ireland, my Department with Enterprise Ireland has established a new Construction Technology Centre, Construct Innovate, with initial funding of €5m over 5 years. The Centre is a consortium hosted by University of Galway that also includes Trinity College Dublin, University College Dublin, University College Cork and the Irish Green Building Council.
Through the Built to Innovate programme, Enterprise Ireland is focused on driving productivity and innovation in house building, including increased use of MMC, and has opened up lean and digital grants and funding for research and innovation projects to the domestic residential construction sector.
Enterprise Ireland engages with the property technology sub-sector, with a number of proptech companies on its books, as well as ‘construction services’ companies, many of whom are start-ups. Enterprise Ireland offers a wide range of financial supports for start-ups, such as equity investment, development grants and non-financial supports such as capability building, engaging with clients in-market via its overseas offices, connecting founding teams with potential investors and with strategic partners, and identifying business opportunities for clients.
Regarding early-stage funding streams, there are several funds in existence that may be accessed by property technology companies subject to eligibility. These include:
• The Pre-Seed Start Fund aims to accelerate the growth of early-stage start-up companies that have the capacity and ambition to succeed in global markets. Applicants can apply for €50,000 or €100,000 investment. Successful applicants will be supported by an Enterprise Ireland Development Advisor and can avail of a range of start-up supports from Enterprise Ireland such as a mentor from the Enterprise Ireland panel of mentors, access to Enterprise Ireland’s Market Research Centre and other services.
• High Potential Start-Up (HPSU) Funding is aimed at start-up businesses with the potential to develop an innovative product or service for sale on international markets and the potential to create 10 jobs and €1m in sales within 3 years of starting up. Funding supports from Enterprise Ireland are closely aligned to a company’s stage of development. Broadly, HPSU companies are viewed as being at feasibility stage, investor-ready stage, or growth stage.
• The Irish Government, through Enterprise Ireland, has made €175m available as part of the Seed and Venture Capital Scheme (2019-2024) that supports the funding requirements of early-stage innovative Irish companies with global ambition.
• The Irish Innovation Seed Fund (IISF) is a €90 million fund-of-funds, made up of a €30m investment from DETE, through Enterprise Ireland, which is matched by a €30m investment from the EIF, and a €30m co-investment from ISIF. As a fund-of-funds, the programme invests in other specialist fund managers who target high growth innovative companies based on disruptive intellectual property, who are at the early stages of external funding.
• The Halo Business Angel Network (HBAN) is the all-island umbrella group for business angel networks. It is focused on creating investor groups/ syndicates across the island. This helps companies source monies from private investors.
• The Irish Strategic Investment Fund (ISIF) invests in funds, companies and projects which generate commercial returns and supports economic impact and employment in Ireland. Key areas of focus for ISIF are; Housing and enabling investments, Climate, Food and Agri, and Indigenous Companies. ISIF supports indigenous Irish companies with strong growth potential through its investments. ISIF has supported several domestic venture capital funds who invest in a broad spectrum of early-stage companies, including those within the prop-tech segment.
With respect to the specific details outlined in the email, Enterprise Ireland has engaged with the company that has raised this issue.
