Enterprise Ireland supports Irish businesses in manufacturing and internationally traded services sectors to start-up, innovate, and achieve global success. George Kiely reviews about 1,500 business proposals and plans annually. He discusses the types of start-up businesses Enterprise Ireland supports, the importance of an investor-ready business plan with clear value proposition and customer identification, common mistakes made in plans, and sources of funding available for Irish start-ups.

1. Entrepreneurship
How and when to approach Investors.
George Kiely
Enterprise Ireland
UCD - Innovation Academy
3rd April 2013

2. Enterprise Ireland
Enterprise Ireland is the Government agency in Ireland
responsible for supporting Irish businesses in the
manufacturing and internationally traded service sectors.
Specifically, Enterprise Ireland helps businesses to start-
up, innovate and ultimately, to achieve global success.

4. Introduction
 Working with entrepreneurs, EI and national programmes for
entrepreneurship.
 View circa 1500 business propositions and business plans each year
 Meet with circa 500 entrepreneurs/ teams each year to evaluate,
challenge and advise new start-up companies
 Design, deliver and manage Start-up programmes for High Potential
Start-Ups
 Review wide range of business ideas of all shapes and sizes to make
investor ready.

5. What I will cover …
Enterprise Ireland and the types of Start-up businesses EI
supports
The importance of a Robust Investor Ready Business Plan
Indicators for Success (what we are looking for)
Common mistakes
Raising Funding – Sources of Funding for Start-Ups

6. Projects EI invests in
Eligibility Criteria
 Manufacturing or internationally traded services
 Likely to achieve significant growth within 3 years
 Sales of €1m per annum
 Employment of at least 10 people
 Export orientated
 Involving industry experienced team
 Irish owned or strategically controlled and located in Ireland
 High level of technical innovation

7. Projects EI cannot invest in
NOT Eligible
 No export potential i.e. customers will be based in Ireland
 No growth potential
 The main promoters / strategic decision making is not based in Ireland
 IP is not registered with an Irish company
 Importing products to sell in Ireland
 Not innovative – many competitors

8. Graduated EI assistance
1) Starting a Business: Enterprise Start 1(ES1)
2) Validating the Business Idea: ES2 or EI one to one’s.
3) Incubation and Interim Funding
IOT’s / New Frontiers Programme
4) Raising Substantial Investment :
EI High Potential Start Up HPSU.

9. HPSU – High Performance Start - up
 High Performance Start Up (HPSU). Competitive.
 Three part finance. Promoter/VC/EI.
 10 employees/1 million euros.
 Full assistance
- Overseas Office
- Industry Experts
- Mentors
- Personalised Expert Advice

10. New Frontiers Programme
 Entrepreneurship Development in Incubation Centres IOT’s
 Candidates and projects must have potential to grow in
international scale.
 Three phases / competitive. Phase1 - 8 weeks. Phase 2 - 6
months
 Scholarship of 15K

11. Sources of Finance
Entrepreneurs, Relatives Private Investors
and Friends » Wealthy individuals –
» Seed Capital Scheme/BES » Cashed out entrepreneurs
» Business angels
» BES
Debt
» Bank loans, overdrafts, invoice
discounting
Development Agencies
» Feasibility Study grants
» R&D grants
Venture Capital » Employment grants
» Preference shares

12. EI Innovation Voucher

13. Innovation Voucher
 If you own or manage a small limited company with a
company registration number and you have a business
opportunity or problem that you want to explore - apply for an
Innovation Voucher.

14. What is a Business Plan ?
 Detailed roadmap with company’s offer, plans and strategy/costs for
implementation
 Necessary to raise funding from a 3rd party - bank, government agency,
private investor, VC funds
 Clear, well researched document that answers all the common
questions that you should know and that an investor will want to
know
 It is not a creative writing exercise, a graphic design showcase or
exhibition on excel sheet modelling

15. Who is the Business Plan For?
 You the entrepreneur – plan the work and work the plan
 For potential investors (Public and Private)
 For your bank manager
 For your staff – new members joining to company
:
Note All different Audiences – may need different versions, may
need NDA.

16. Investor Ready Business Plan
 A Business Plan but not an Investor Ready Business Plan
 We encourage entrepreneurs to think more about getting Investor
ready – i.e. “what information/evidence do I need to
convince investors to part with their money
 If you can do this - finance will follow

17. Investor Ready Business Plan – Content?
Plans should give information and detail about the entrepreneur and the
business that de-risks the business in the view of potential investors
or
more simply put - adds credible evidence as to the likely success of the
business

18. Common mistakes
 Value proposition is not clearly defined. Technically brilliant product
but does it deliver VALUE to the customer?
 Inability to identify and qualify the customer.
 “Our product has no competitors” !
 Unbelievable numbers (revenue projections and costs).
 Unrealistic expectations on raising cash (time needed and valuations).
It will take 3-6 months. Plan conservatively.
 Verbiage / inelegance

19. Common mistakes
 Inability to identify clear – and achievable – milestones.
 ‘Unbalanced’ Management team – dominance
commercially/technically?
 Inability to plan for contingencies (they will happen !!).

20. Important considerations
 1. Competition. Where are you in relation to your competition?
 2. What is different about your product or service? “Uniqueness?”
 3. Elevator pitch. 10 seconds. Brutal assessment.
 4. Brand. Competitive matrix.
 5. Who is selling it? Emotional intelligence supported by research.
 6. Technology is a given unless…….what is does for whom and better/
cheaper/ more effectively.
 7. Innovation is not just technology but business model for example.

21. Commercial Environment - Interdisciplinary
 Best creative business people - classicists, natural scientists,
philosophers.
 Most successful ICT entrepreneurs – non technical.
 Successful businesses projects have valuable combinations of skills.
 Interdependence
- the project itself
- the promoter.

22. Impact
 Advice more important than Funding

23. County Enterprise Boards
 Throughout REGIONS and DUBLIN
 Businesses employing less than ten
 Transition to EI HPSU
 Close collaboration with EI – incorporated within EI
 EI on boards
 ‘Organic’ rather than ‘scale’ growth

24. The Future
 Recessions
 Extraordinary talent.
 Non - economic factors
 Commercial significance of International Good Will.

25. Contact
 George Kiely
 george.kiely@enterprise-ireland.com
 01 7272329