Enterprise Ireland Overview Irish State Indigenous Industry Development Agency What we do Work with 5,000 Irish owned businesses across all sectors of manufacturing and internationally created services Responsibility for FDI in food Mandate to drive collaboration and commercialisation of state-funded research 32 international offices Key focus is the development and growth of Irish companies in global markets
We work at the heart of Irish business in a global marketplace EI Global Network of 32 offices Northern Europe: London Paris Amsterdam Brussels Stockholm Americas & Canada: Boston New York Silicon Valley Austin Sao Paulo Toronto Southern Europe, Middle East & Africa: Milan Madrid Istanbul Dubai Abu Dhabi Riyadh Johannesburg Russia, CIS, Germany, Central & Eastern Europe: Moscow Düsseldorf Prague Budapest Warsaw Asia Pacific: Beijing Shanghai Hong Kong Tokyo Seoul Singapore Delhi Sydney Perth
We work with c. 5,000 companies across the full business development spectrum Micro Enterprise Start-ups with export potential Established SMEs, exporting FDI in Food Irish MNCs & large co s (250+ emp)
We have clients across all key sectors
Rich Suite of Supports for Companies Strategy Development Eco-System Development Funding Leadership & Management Dev Export Assistance Access to market-led Research & Innovation
Harnessing State Investment in R&D We are the last mile New Frontiers Industry Focused TECHNOLOGY CENTRES Campus Incubation
How do we measure success? Our success is measured by the success of our clients in growing exports, leading to jobs in Ireland. 2016 was a strong year. 22bn 201,000 Employed 23bn+ 25bn+
Key Challenges facing Irish companies Brexit Competitiveness Innovation and R&D Ambition and Talent Scale
OUR STRATEGY 2017-2020 Dual Approach: Build Scale, Strength & Ambition of Irish Companies Expand the Global Export Footprint
Dual Approach for Companies
What success looks like by 2020? Exports 26bn p.a +60,000 new Jobs Sustain existing +50% R&D Spend Greater scale in Irish enterprise at company, market, sector and regional level Strategic shift in the global footprint in markets outside the UK + 4bn Spend in Economy p.a. Unprecedented contribution by Irish enterprise to powering the Irish economy
Why Support Start-ups? Startup companies are the life-blood of the Irish Economy
Why SCALE is so important For Businesses For Ireland Innovation & Competitiveness Jobs Employees Profits Exports Prosperity Balanced economic portfolio
Micro-Enterprise (2015) 31 LEOs operating within Local Authorities Centre of Excellence 2015 Total number of LEO clients 6,500 Net jobs created (FTE) 3,200 Total jobs (FTE) 28,000 Funding of 15m 890 projects
Supporting start-ups of High Potential (2016) 105 New HPSUs 112 supported under CSF c. 500 BP validation support c. 10-15k 900 Business Plans received 61 female entrepreneurs 15 international start-ups 15 spin outs ELIGIBILITY CRITERIA: Manuf / ITS +10 jobs 1m Sales Technologically Advanced prod or serv 1,500 enquiries Specialist Team of Business Development Advisors (sector alligned)
What IS a HPSU? HPSU s or High Potential Start-up's are: SME s, With the Potential to Develop an Innovative Product or Service for Sale on International Markets and The Potential to Create 10 Jobs & Achieve 1 Million in Sales Within 3 to 4 Years of Incorporation.
HPSU Criteria: What do we look for? The Product/Service The Customer The USP The Route to Market The Business Model I The Team?
Where do our Entrepreneurs Come From? 3rd Level 12% International 15% Indigenous 39% Indigenous MNCs 3rd Level International MNCs 34%
How we Categorise Start-ups Early Stage [Not an EI client] Competitions Accelerators Competitive Feasibility Grants [EI client company] HPSU Start: Pre-Seed. Up to 18 month engagement to help get to seed. HPSU Accelerate: Post Seed. Two-year program to get to 1million sales.
Financial Supports pre-hpsu 14 Institutes of Tech ~400 attend Phase 1 150 full-time on Phase 2 15k stipend for six months Feasibility Grant Competitive Feasibility 5-25k 150 companies 10 competitions/year Online application Dragon s Den selection of winners
Business Development pre-hpsu Early stage - Enterprise Start introductory workshops Coaching/training for pitching for money, customers, partners etc. Linking with investors, mentors, events, competitions etc. Diagnostic/scoring Self assessment and with business experts to identify gaps Developmental Program Assist company achieve product market fit [SPRINT] Access Silicon Valley
Financial Supports for Start-ups SEED 1,500 enquiries annually translates to 900 business plans received; 450 of which receive some sort of funding Validation 100k - 250k HPSU Equity FEASIBILITY 50k CSF 15k Feasibility Study Enquiry 10k Innovation Vouchers 5-15k Competitive Feasibility Fund
Post Investment Supports for companies in a growth phase.
Challenge of Scaling > 50m > 20m 9.4 Years > 1m 4.1 Years > 5m 6.8 Years > 10m 7.2 Years 8.1 years Achieved by 45% Achieved by 16% Achieved by 8% Achieved by 4% Achieved by 1.3%
The Funding Journey R&D Startup Early Growth Accelerating Growth Sustaining Growth Maturity Proof of Concept Funding Founders, Family & Friends Seed First Round Second Round Business Angels Public Sector Venture Capital Development Capital Replacement Capital MBO / MBI Development Capital Debt Corporate Venturing Public Listing/IPO
Financing Enterprises Growth Funding IPO Venture Debt Development Capital Start-up Risk Capital. Innovation Funding Innovation Fund Ireland Venture Funds H2020 EI HPSU Accels EI CSF EIIS/BES Bus Angels Seed Funds Micro Finance Asset Financing Working Capital Financing Trade Facilities R&D Startup Expansion Large
Enterprise Ireland s Direct Equity Portfolio Size of portfolio c. 2,300 investments in c. 1,250 portfolio companies Investment Activity 300 investments made each year. Cost curent portfolio cost 300m Realisations c. 30m p.a. Unparalleled access to Irish deal-flow. 6% 9% 4% 5% 2% 6% 42% Digital Technologies BPO & CBS Cleantech Life Sciences Food Engineering 12% 14% 28 Fin Tech & elearning Electronics Print & Packaging
Direct Equity: High Flyers ICT & International Services
Growth Capital Funds LP investor (often anchor) in range of funds Covers the spectrum from: Angel Seed Venture Growth & Development Capital Investor of scale: committed c. 500m over c.40 funds underlying funds have aggregate commitments of c. 1,5bn commitments with c.20 managers 30
Growth Capital Selected Investee Companies ICT & International Services FeedHenry CurrencyFair 31
Examples of successful innovative start-ups, both spun-out from WIT NearForm: Node.js is primarily used to build network programs eg Web servers Spin-out from WIT - based in Tramore As of 2016, they are the world s biggest Node.js consultancy 100 staff and turnover in excess of 12m 172 million software modules downloaded globally Clients include: Saks Fifth Avenue, Intel, DPD, Conde Nest, News Corp FeedHenry: cloud-based enterprise mobile application platform that enables users to design, develop, deploy and manage applications for mobile devices. $82m Acquisition by Red Hat in Sept 2014
Start in Ireland and Succeed Globally
Thank You declan.lyons@enterprise-ireland.com