Last week, Minister for Enterprise, Trade and Employment Simon Coveney TD invited early-stage entrepreneurs and start-up teams to apply for the Enterprise Ireland Pre-Seed Start Fund, which supports the critical early needs of new start-up companies.
The Pre-Seed Start Fund (PSSF) will provide up to €100,000 in the form of a Convertible Loan Note (CLN) and is open to innovative start-ups in all sectors, with a focus on manufacturing, lifesciences, food and renewables sectors.
This funding allows entrepreneurs to test the market for their products and services, while progressing their business plans for the global marketplace. The fund is designed to enable those companies to develop the key technical and commercial milestones required to attract future seed funding within six to 18 months.
It is one of a series of specific targeted initiatives which Enterprise Ireland is taking as part of its strategic ambition to encourage and support an increased number of new high growth start-up companies in Ireland.
Minister for Enterprise Trade and Employment Simon Coveney said, “The future for Irish industry is bright and this government is committed to supporting the journey of Irish companies of all sizes from start-ups to established businesses to realise their full growth potential. The Pre-Seed Start Fund, administered by Enterprise Ireland aims to support innovative entrepreneurs who have the capacity and ambition to succeed in global markets with an attractive financial offering to help accelerate their start-up business plans. The Pre-Seed Start Fund provides the initial critical funding to help launch early-stage start-ups and I strongly urge entrepreneurs with a solid business plan and a minimum viable product to apply.”
Pictured at the announcement, Minister Simon Coveney with Anna-Marie Turley, Enterprise Ireland (centre) and successful recipients of start-up funding, Conor McGinn, CEO, Akara Robotics, Aisling Kirwan, Co-Founder, Positive Carbon and Heidi Davis, CEO, Identifyher
Anna-Marie Turley, Department Manager, Entrepreneurship and HPSU Operations, Enterprise Ireland said, “Ireland is recognised as a great place in which to start and scale an internationally-focused business but we recognise that lack of access to early-stage funding, is often a huge challenge which can hinder the ability to start or grow a business. In the early-stage, many businesses will have identified a market but are not as yet generating revenue, and therefore proving difficult to attract funding in the market. The Pre-Seed Start Fund, in conjunction with Enterprise Ireland’s broader range of services for start-ups, responds to current market needs and provides entrepreneurs with an attractive financial offering to help accelerate their start-up business plans. The finance provided can then be ring fenced for critical requirements including product development, recruitment and developing channels to market.”
The fund offers investments of €50,000 or €100,000 with the latter provided in two equal tranches of €50K. The Convertible Loan Note (CLN) is intended to convert into equity on a future priced round at a 20 percent discount. In addition to the investment, successful applicants will receive the support of an Enterprise Ireland Development Adviser who will help provide access to various start-up supports such as mentoring and market research services.
Previous winner of Start-Up funding, Aisling Kirwan, Co-Founder and COO, Positive Carbon said, “Securing early-stage funding through Enterprise Ireland was an important milestone for the development of our business. It provided us with the resources we needed to build on the foundations in place. Funding, although a vital ingredient to any company, is not the only support that we found beneficial. Mentorship, advice and a community of alumni is advantageous when building a start-up. We look forward to working with Enterprise Ireland on our continued growth path this year.”
Applications received will be reviewed and assessed by considering the objective of the offer, required criteria, the stage of development of the start-up and assessment of the potential of the business.
Full details and how to apply for the Pre-Seed Start Fund here.
