15th Aug 2024: Scale Ireland, the independent not-for-profit representative organisation for Irish start-ups and scaling companies, welcomes the announcement by the Minister for Enterprise, Trade and Employment, Peter Burke that the government will increase the next allocation of funding for Enterprise Ireland’s (EI) multi annual Seed and Venture Capital Scheme by €75 million to €250 million.
Scale Ireland strongly campaigned for a significant increase in the next allocation of the Seed and Venture Capital Scheme for 2025-2029 and described today’s announcement as ‘significant, strategic and timely’.
The CEO of Scale Ireland, Martina Fitzgerald said ‘Today’s announcement is important if we are to meet the ambitious targets outlined in the Government’s White Paper on Enterprise to support and increase the number of indigenous companies exporting globally. We also believe this is an opportunity to address the €3-10m funding gap by supporting the creation of larger funds.’
The Chair of Scale Ireland, Brian Caulfield said “The increased government funding will ensure that Enterprise Ireland’s Seed and Venture Capital Scheme will continue to play a critical role in supporting start-up and scaling companies. We also welcome today’s announcement given the importance of Enterprise Ireland as an investor in the absence of any significant pension fund participation. So the Government’s commitment to increased funding for the Seed and Venture Capital Scheme will make it easier for funds to raise the necessary matching capital.’
The Government, through Enterprise Ireland, made €175m available for the Seed & Venture Capital Scheme (2019-2024) to stimulate job creation and support the funding of early-stage innovative Irish companies with global ambitions. The scheme aims to increase the availability of risk capital for start-ups to support economic growth through the continued development of the Seed and Venture Capital industry here. All funds are independently managed by private sector fund managers who make all decisions on investment.
Scale Ireland’s State of Start-ups Survey 2023 (published in February 2023) found that funding remains the key concern of founders and company CEOs with 80% finding it difficult or very difficult to raise capital.