SEPTEMBER 2020 SURVEY - Business Plus
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
SEPTEMBER 2020 SURVEY
B P S URV EY BU SI NE SS SUP P O RT S
Ballast For Business
Multiple supports are available to help businesses navigate the choppy waters of the
Covid-19 pandemic, writes Doug Casey
G
overnment supports should be
the first port of call for
businesses struggling to stay
afloat through the Covid-19 pandemic.
The range of supports on offer is broad
and evolving, comprising pre-existing
schemes tweaked for more efficacy and
new initiatives launched by the state
since the pandemic took hold.
For micro and small firms, their
Local Enterprise Office (see page
46) should be the first port of call, as
their role is to clue in clients as to
what’s available. When Kildare, Laois
and Offaly were locked down recently,
€1m was ring-fenced for the LEOs in
the three counties to increase
engagement with local businesses to
ensure they are aware of the loans,
grants and vouchers they are entitled
to.
Many LEO supports are well-
known, some not so familiar. For the
lockdown counties, the Department of indebted, with one-in-five reporting a The state is providing an 80%
Business singled out the Technical debt-to-turnover ratio of more than guarantee against bank losses on
Assistance for Micro Exporters 0.5, compared with only 6% for all qualifying loans to eligible SMEs.
grant, which part-funds the costs that SMEs. “Given continued uncertainty
can be incurred investigating and Banking & Payments Federation around the future outlook due to the
researching export markets. The grant Ireland data, which covers the five pandemic and changing public health
covers 50% of eligible costs to a main retail banks, shows that 23,700 measures, it is likely that this scheme
maximum of €2,500 per year. SME accounts and 3,300 corporate will be particularly important in the
Among the current business accounts were still on active payment third quarter of 2020,” he says.
supports, the Restart Grant, now breaks at the end of July. That’s a The CGS will be managed by the
upgraded to Restart Grant Plus (see quarter of the value of business loans SBCI, with funding available through
page 44) is the largest. Due to the and advances. AIB, Bank of Ireland and Ulster Bank.
recent lockdown, Kildare businesses AIB, Bank of Ireland and Ulster The CGS’s financial products will
will receive a further 20% top-up to Bank offer Covid-19 Working Capital include overdrafts, term loans and
the Restart Grant Plus, equivalent to a Loans and in July 720 loans with the working capital. A standard facility
40% uplift overall, bringing the new Strategic Banking Corporation of size range of €10,000 to €1m will be in
minimum grant to €5,600 and the Ireland (SBCI) had been approved, place, and borrowers will have to
maximum grant to €35,000. The valued at almost €89m. The same declare an adverse impact of at least
grant is claimed from local authorities banks offer the Future Growth Loan 15% of actual or projected turnover or
and has to be applied for before Scheme, which was expanded from profit due to Covid-19.
September 30. €300m to €800m. It provides for A guarantee premium on each CGS
This funding will help but the grim long-term loans of up to €3m for loan is levied in addition to interest
reality is that pre-Covid large numbers investment by SMEs and other rate costs. For SMEs it is 0.25% in the
of SMEs in certain sectors were businesses with fewer than 500 first year, 0.50% in years two and
operating on a knife-edge. Analysis by employees. three and 1.0% in years four, five and
the Central Bank suggests that BPFI chief economist Dr Ali Ugur six. The scheme will be available
available credit for accommodation believes that the new Credit initially until 31 December 2020. The
and food service businesses is almost Guarantee Scheme, passed into law rollover of loans will be facilitated but
fully utilised. It also suggests that but not yet up and running, will make no CGS loan can extend beyond 31
SMEs in the sector are relatively more a big difference for SME borrowers. December 2026.
42 B USIN ESS PLU S S E P TE MB ER 2020
PROFILE KNOWLEDGE TRANSFER IRELAND
KNOWLEDGE TRANSFER IRELAND HELPS COMPANIES
SOURCE CUTTING-EDGE TECHNOLOGY
In response to the pandemic, Knowledge Transfer Ireland has launched a
dedicated Covid-19 Non-Exclusive Royalty-Free Licence
K
nowledge Transfer Ireland (KTI) is the national office THE RESEARCH ADVANTAGE
with responsibility for making it simple and Now more than ever, research matters. And matters to
straightforward for industry and entrepreneurs to both business. Commenting on the importance of R&D and
tap into, and benefit from, the wealth of public research innovation to business, Alison Campbell, Director at KTI, said:
available in Irish Higher Education Institutes (HEIs) and similar “We know that organisations involved in R&D perform better
research organisations. than those without such activity. And those that collaborate
The process of accessing this research and commercialising with third-level, export twice as much and employ one and a
it is known as knowledge transfer or technology transfer. With half times as many people, as those that do not.
such a wealth of expertise, financial supports and potential “We also know that it can sometimes be challenging to
research partners available in Ireland, it can seem difficult to bring the required expertise in-house. That’s where working
navigate the system to find the best fit for your corporate with a local HEI, with the help of the Technology Transfer
needs. Knowledge Transfer Ireland plays a key role in helping Office, is a great place to begin. Knowledge Transfer Ireland
businesses to engage and collaborate with public research in acts as a signpost to help companies find the right research
Ireland. organisation to work with, and the right people to talk to. And
KTI guides them through the process of knowledge transfer,
PRACTICAL GUIDES by offering various free tools and supports available through
In the most practical way, KTI provides businesses with the the KTI website.”
toolkit to find and engage with the right research partners in The relationship between companies, universities and
order to drive innovation. Our online resources supporting this government has never been more important. Ireland has long
engagement include the KTI Practical Guides, which range recognised this and has created a favourable environment for
from how to draft and negotiate legal agreements through to companies to locate and grow. With leading-edge research,
information on the duties of company directors and access to talent and a wealth of supports, Ireland is a great
observers, and protecting intellectual property derived from place for innovative businesses.
research activity.
We provide ease of access and routes into the research
system, for example through the Research Map of Ireland and
Directory of Researchers. And we have developed a simple
online Funding Too to help businesses determine the most
relevant kind of financial support or incentives, available to
support their collaborative research endeavours.
NON-EXCLUSIVE ROYALTY-FREE LICENCE
In response to the global pandemic, KTI launched a dedicated
Covid-19 Non-Exclusive Royalty-Free (NERF) Licence. KTI
worked with the Technology Transfer Offices in the Irish
higher education sector nationwide, to produce a simplified
agreement that is aimed at speeding up the dissemination of
critical Covid-19 related intellectual property from Irish
universities and Institutes of Technology to companies. In
doing so, the licence plays a direct role in addressing the
pandemic by providing cutting-edge IP free of charge to
organisations engaged in critical research, to minimise the
impact of the virus.
KNOWLEDGE TRANSFER WEBINARS
KTI also delivers a calendar of events to support business
and academia in accessing information relating to knowledge
transfer. Given current restrictions on large gatherings, KTI has
brought its event programme online and has launched its
Unlocking Knowledge Transfer monthly webinar series.
The webinars provide practical information and advice
relating to the process of knowledge transfer. Industry leaders
give insight into core aspects of the knowledge transfer
process, and the ways in which research can help
organisations to build their R&D capacity, innovate their
business and improve their performance. The webinars take
place on the first Tuesday of each month and participants can
register online for upcoming events.
www.knowldgetransferireland.com
B P S UR VE Y BU S INE S S S U P P ORT S
EI Grant For Financial Planning
E
nterprise Ireland’s Business
Response Hub has been at full
tilt since March, providing
Covid-19 related advice and assistance
to more than 5,600 businesses.
“Financial planning advice is one of
their key priorities,” says Leo
McAdams, Divisional Manager in
Enterprise Ireland’s Finance and
Investment Services department.
“In response, we launched the
Business Financial Planning Grant,
worth up to €5,000, to help businesses
prepare a robust financial plan and
identify short to medium-term
funding and cashflow needs.”
Cashflow and liquidity are also big
concerns for businesses. McAdams
explains that Enterprise Ireland’s
Sustaining Enterprise Fund aims to
support manufacturing and exporting
companies in their liquidity needs. Leo McAdams,
“The fund is tailored to support Enterprise Ireland
businesses of varying sizes and up to management on how to return to work customs support announced as part of
€800,000 is available. Changes safely. Many companies contacting the July Jobs Stimulus.”
announced in the July Jobs Stimulus Enterprise Ireland are also availing of McAdams notes that many
package will now see 50% of funding, the Restart Grant Plus available companies are diversifying their export
up to a cap of €200,000, provided on through local authorities. markets as a response to Brexit and
a non-repayable basis. For example, if While Covid-19 is predominant Covid-19. “Through our overseas
a company is approved €400,000 in in the minds of business owners, network, Enterprise Ireland has
SEF funding, €200,000 is non- McAdams is urging them not to forget unique insight into opportunities, as
repayable.” about Brexit. “Companies need to look markets reopen following the Covid-19
For businesses returning to work, at issues such as supply chains, pandemic. We are there to assist Irish
the Lean Business Continuity Grant customs changes and regulatory companies. We’re also delivering
provides funding of up to €2,500 implications. Support and advice is market insight sessions online and
to secure advice or training for available, such as the new SME focusing on online selling skills.”
Restart Grant Rebates Rates Payment
I
ncreased funding and wider Non-rateable B&Bs, sports clubs 1 April and 30 June 2020.
applicability are among the with commercial activities and l It must have fewer than 250
changes announced for Restart trading charity shops are also employees and have a turnover of
Grant Plus, which is open for now eligible for grant funding. less than €25m.
applications until September 30. Businesses that received a grant l It must declare its intention to
The revamped scheme will provide under the first scheme can re-employ staff in receipt of the
eligible SMEs with grants of between re-apply to local authorities to Temporary Wage Subsidy Scheme.
€4,000 and €25,000 to reopen and receive additional funding. Grants will be based on the
adapt to the Covid-19 environment. To qualify for a grant, the amount of the rates assessment for
The revised scheme saw grant important criteria are: the premises for 2019. The new
thresholds rise from a previous l A business must be commercial scheme also sees the upper
range of €2,000 to €10,000. and in the local authority rates turnover limit for eligible
Additionally, companies with up to system (apart from non-rateable businesses extended from €5m to
250 employees can now apply B&Bs, who can apply to Fáilte €25m. There is a cap of €100,000
(previously, the grant was for Ireland). turnover per employee.
companies with fewer than 50 l It must have suffered a 25% loss For details on eligibility, see
employees). of expected turnover between dbei.gov.ie
44 B USIN ESS PLU S S E P TE MB ER 2020
PRO F ILE C RE DI T RE V I E W
Reviewing Credit Applications and restructuring proposals
to help SMES through the challenges of Covid-19
Credit Review ensures that viable small and medium-sized enterprises
have access to finance in order to grow and develop
Could you explain the the short term due to the drop in demand.
role of Credit Review This category of business requiring debt restructuring is
and why it was expected to become increasingly important when the current
established? payment breaks for business loans finish, from October
Credit Review was set up onwards. Borrowers and banks will need to work together to
by the Minister for ensure successful outcomes to requests for forbearance,
Finance in 2010, and has restructuring or new lines of credit. Where they are unable
a simple mission — to to reach agreement, Credit Review can provide a way forward.
assist business
borrowers (SMEs and What is involved in a review by Credit Review?
Farms) which are viable When an application is received from a disappointed borrower,
or potentially viable to a Credit Reviewer is assigned, who contacts them to discuss
access bank finance for their case and better understand their business. Credit
recovery and growth. Reviewers are credit expert professionals, with frontline SME
Credit Review and farming finance experience.
Catherine Collins,
operates like an After receiving information from the borrower about its
Credit Review
ombudsman, reviewing market, management, debt and finances, and also from the
credit/loan refusals by bank, the Reviewer forms an opinion as to whether the
the banks and providing an independent appeals process. business is viable and will make enough cash to pay back the
Businesses that have been refused credit or had existing loan or meet restructuring obligations.
facilities such as overdrafts reduced or withdrawn can apply Even if the Reviewer can’t recommend the particular facility
for an independent review of their credit application. So we requested, they will suggest a roadmap to make future bank
can review both new applications for credit, as well as applications more likely to succeed. In some cases, bank
restructuring and refinancing proposals. funding may not be the solution — in which case the Reviewer
will highlight alternative supports that may help the borrower
How can Credit Review help businesses affected by and the business.
Covid-19?
Many businesses have survived the initial Covid-19 crisis, Who can apply?
helped by government supports such as the Temporary Wage The service is for Small and Medium-Sized Enterprises,
Support Scheme, grants, low-cost loans and deferred taxes, to including sole traders and farm enterprises that have had new
keep going or resume activity quickly when the crisis eases. requests for credit refused, or existing credit facilities reduced
Banks have offered payment breaks to their business or withdrawn. SMEs are businesses with less than 250
customers to enable a breathing space while the business employees, and which have an annual turnover of less than
owners adapt to the new environment post-Covid-19. €50m and/or a balance sheet total not exceeding €43m. Banks
participating in the review process are AIB, Bank of Ireland,
All of these initiatives have greatly helped many businesses PTSB and Ulster Bank.
survive the initial lockdown period. But when these supports The review process covers all applications for new loans or
end, businesses will need ongoing funding to continue to restructured credit facilities from €1,000 up to €3,000,000.
operate. And that usually means getting bank credit facilities, There is a small fee payable of between €100 and €250.
which is where Credit Review can help. For most small
businesses, the main source of funding outside of their own Visit CreditReview.ie to find out more and request a call back,
cash reserves is bank finance — typically, overdrafts, stocking or call the helpline on 1850 211 789 (or 087 121 7244) and
and term loans or debtor finance. Some enterprises will talk to one of our professional reviewers so that you are fully
require short-term working capital, while others will require informed on the credit issues relevant to your situation.
funding for longer-term capital expenditure to pivot or adapt
their business model, and to focus on new products or
markets.
Other businesses may need to restructure existing debt, as
they will be unable to meet some of their debt obligations in
B U S I N E S S P L US S EP T EM B E R 2 0 20 45
PRO FILE L OC A L E NT E R PR ISE O FFICE
Helping your Business
Respond to COVID-19
Local Enterprise Offices can help your business
respond to the Covid-19 pandemic
The network of Local Enterprise Offices
(LEO) has been helping businesses
respond to the critical challenges presented
by the Covid-19 pandemic.
According to Richard Murphy, Manager of the LEO
Support, Policy and Co-ordination Unit in Enterprise
Ireland: “Local Enterprise Offices in local authorities have
been helping thousands of small businesses respond to
the crisis. The measures announced by Government as
part of the July Jobs Stimulus will help LEOs support
many more small businesses around the country as part
of Ireland’s economic recovery.
“Supports are also available to help small businesses
get ready for Brexit and to prepare for customs on
1 January 2021. Our advice is to talk to your Local
Enterprise Office to work together on a tailored solution
for your business.”
Oisin Geoghegan, Chair of the Network of Local
Enterprise Offices and Head of LEO Fingal, says the
LEOs welcome the additional funding provided in the
July Jobs Stimulus package, which is targeted
specifically at micro-enterprises. “It is really needed to
enable us to support small businesses through this crisis
and maximise their chances of recovery in the months
ahead,” says Geoghegan. Oisin Geoghegan,
Detailed below are the range of complementary supports Chair of the Network of Local Enterprise Offices
available to people who want to start or grow a business.
Trading Online Voucher Scheme COVID-19 Business Loans
Under the Government’s National Digital Strategy, the The Covid-19 Business Loan from Microfinance Ireland
expanded Trading Online Voucher Scheme helps small (MFI), in partnership with Local Enterprise Offices, is
businesses with up to 10 employees to trade more online, designed for micro-enterprises that are having difficulty
boost sales and reach new markets. There is up to accessing bank finance and impacted negatively by
€2,500 available through the Local Enterprise Offices, Covid-19, resulting in a reduction in turnover or profit.
with co-funding of 10% from the business. The Business Loans of up to €50,000 are available for
competitive scheme is open to businesses that have been eligible micro-enterprises with less than 10 employees
trading for at least six months. Businesses that have and up to €2m annual turnover that are currently trading.
already received a Trading Online Voucher can now apply Loans may be used for working capital and required
for a second voucher, where upgrades are required. business changes as a result of Covid-19. There’s a lower
Funding can be used towards adding payment facilities interest rate if submitted through your Local Enterprise
or booking systems to your website or developing new Office, and loan terms are typically up to three years.
apps for your customers. The voucher can also be used There is also an interest-free and repayment-free period
towards subscriptions to low-cost online retail platform at the start of the loan.
solutions, to help companies quickly establish a retailing According to Oisin Geoghegan: “The Local Enterprise
presence online. Office will appoint somebody to provide guidance on
“Additional funding provided in the July Jobs Stimulus MFI loan applications. You will want to make sure that
package means that LEOs are well funded to continue to you are applying for the right package and the right type
offer Trading Online Vouchers,” Geoghegan explains. of funding for your business. Businesses that are
“If you have received a voucher before, you can reapply re-opening need to restock and rehire people. If the
— perhaps to increase the appeal of your website or for business is in a position to restart and grow, it may
marketing investment.” need a cash injection to do that.”
46 B USI NES S PLUS SE PT E MB E R 2 02 0
LEO Financial Supports Small businesses responding
For existing companies and potential start-ups that meet to Covid-19 challenges
A
eligibility criteria, LEOs also offer Business Priming
Grants, Business Expansion Grants, Feasibility Study topsy-turvy year for Derek Walker in 2020 has
Grants, and Technical Assistance for Micro-Exporters been steadied by the support received from
Grant. “A lot of priming grant approvals are coming Local Enterprise Office Donegal. Derek and his
about recently so hopefully that is a positive sign,” says wife Anna run NatNoot, which sells a range of natural,
Geoghegan. “Feasibility applications have been quite cold-pressed juices. The business received a Business
consistent too, indicating that the entrepreneurial spirit Expansion Grant in 2019 to help fund equipment upgrade.
is formidable.” Sales were impacted in early 2020 when offices and
gyms were closed. Problems were compounded when
LEAN for Micro NatNoot’s distributor ceased trading. Derek responded by
LEAN for Micro is available to LEO clients to help build securing a Trading Online Voucher to establish a website.
resilience. Clients can avail of consultancy support with He also started doing his own distribution, putting a van
a qualified LEAN practitioner who will work with the on the road and hiring a driver from the previous
company to undertake a specific-cost savings project and distributor.
assist the company in benchmarking its performance. “The site will provide a platform for small companies like
LEAN for Micro can also be used to help implement new NatNoot to tell their story and talk about their products,”
remote working and physical distancing guidelines. says Derek. “We will also provide a distribution service for
their products along with our own, using a delivery box
Training and Webinars idea, where people can pick and mix between different
Local Enterprise Offices have moved training Irish brands and get the box of goods delivered.”
programmes, workshops and networking meet-ups Derek adds: “I am legally blind and I got help from
online. According to Geoghegan: “When the pandemic LEO staff to fill in the grant forms. They are also
started we refashioned the training with more of a crisis mentoring me about the distribution part of my business.
management focus. More recently there has been strong I don’t know how any small businesses can get going
uptake again in start your own business and without LEO supports.”
management programmes. Mailo Power has been a
“It’s all delivered online now and over 30,000 people client of Local Enterprise Office
have taken part in training programmes through their Waterford since she founded
Local Enterprise Office since the start of the pandemic. Monkey Cups in 2018. The
Lots of firms that we never dealt with before are Dunmore East venture sells
engaging with our programmes now. Online delivery has barista-standard reusable
worked very successfully when you look at the value of it coffee cups with a range of
for the clients.” colourful lids and bands.
The Covid-19 crisis caused
Mentoring corporate sales to fall sharply.
Under the LEO Mentor programme, clients work with an Monkey Cups’ online sales
experienced mentor to identify solutions to areas of held up, but Mailo wanted to Mailo Power,
exposure within their business. Clients develop strategies do better. Working with Peter founder of Monkey Cups
that are more robust, and they explore potential Grogan in Imagine Media, she
opportunities. Mentoring services are now free of charge devised a plan to introduce bespoke designs to her
until the end of 2020. website’s coffee cup shop.
Geoghegan explains: “When clients approach their A Trading Online Voucher financed the creation of a
Local Enterprise Office they will often be assigned a function that enables online shoppers to pick their own
mentor in the first instance. The mentor will examine their colour combinations to design novel coffee cups. “The
specific requirements in detail. That first port of call is first weekend that it went live we had more sales than
extremely important because it can be challenging to the entire previous month,” says Mailo.
navigate the various programmes and supports. The “I have also completed a lot of courses through LEO
mentor will advise on how the client can address Waterford. They have been with us on our journey from
problems on issues such as business strategy, marketing, the start, and the mentorship and training programmes
finance and HR. Due to the pandemic, LEOs are waiving give you access to expertise that you wouldn’t otherwise
mentoring fees until the end of 2020.” be able to afford.”
There are 31 Local Enterprise Offices in local
authorities across the country, supported by the
Department of Business, Enterprise and
Innovation through Enterprise Ireland.
You’ll find contact details for your nearest LEO
at LocalEnterprise.ie/Response
B U S I N E S S P L US S EP T EM B E R 2 0 20 47
B P S UR VE Y BU S INE S S S U P P ORT S
FINANCE
SUPPORTS
Pandemic Requires Hard
And Fast Decisions
T
he Future Growth Loan
D
Scheme has its second
ublin BIC has a comprehensive business opportunities and
iteration in the form of a
suite of practical supports networking.
€500m expansion. The agri-food
for export-focused and Carmody adds that the Covid-19
focused scheme provides loans of
innovation businesses. According to pandemic has impacted almost all
€25,000 to €3m to SMEs, small
Conor Carmody, Manager of the businesses to some degree. “For
mid-caps and SMEs involved in
Dublin BIC Investor-Ready startups and scale-ups in the process
agriculture. The loan interest rates
programme, the supports are of building, there may be fewer of the
are 4.5% for loans of less than
designed to advance the ambitions of buffers, by way of cash, customers,
€250,000 and 3.5% for loans
early-stage companies across four team and experience. On the flip side,
above €250,000.
core areas of expertise: and as we’ve witnessed, a startup or
To access the scheme,
l Investor-Ready Preparation – 85% scale-up has the ability to respond to
businesses need to apply for
of Dublin BIC investor-ready startups opportunities and challenges quickly.”
eligibility through the Strategic
receive funding. Carmody’s advice to agile startups
Banking Corporation of Ireland.
l Access to Finance – 350 startups is twofold. “First, look for the
The application form, along with
have received funding through opportunity, be it a short-term fix or a
full details of the scheme, is
Dublin BIC. longer-term pivot. Equally important
available through the SBCI website.
l Incubation Space – Dublin BIC is making those hard and fast
Bank of Ireland, AIB and Ulster
manages two of Ireland’s leading decisions to protect your business,
Bank accept loan applications for
startup and co-working hubs. such as securing your cashflow,
the scheme from businesses
l Community & Collaboration – managing costs and looking to pivot
meeting the SBCI eligibility, and
Focusing on knowledge-sharing, into new markets or products.”
the number of FGLS on-lenders is
expected to increase over the
coming weeks.
Microfinance Ireland hopes that
fresh government funding will allow
KTI’s Competitive Edge
B
it to reopen its Covid-19 Loan
usinesses of all sizes contact
Fund, which launched in March and
Knowledge Transfer Ireland
was fully subscribed by July. The
(KTI) if they are interested in
€20m loan fund supported almost
building R&D capability to drive
700 micro-businesses with loan
innovation across their business.
approval rates close to 80%. Under
“KTI’s practical tools and resources
the MFI loan scheme, businesses
provide the initial support they need
that were viable before the
and direct them towards the public
pandemic, were negatively
research available to them from across
impacted by at least 15% of
Irish third-level and similar research-
turnover or profit and that could
performing organisations,” explains
not get bank funding, could apply
Alison Campbell, Director of KTI.
for financial support.
The importance of investing in
Loans of up to €50,000 were
R&D even through challenges such as
offered over a term of 36 months,
the Covid-19 pandemic continues,
which included a six-month
Campbell suggests – which is where
interest-free and repayment-free
KTI can come to the support of
moratorium at the start of the loan Alison Campbell,
businesses.
period, with the loan then paid off Knowledge Transfer Ireland
“We know that companies investing
over the remaining 30 months.
in research and development “Businesses seem very aware of the
As part of the Sustaining
outperform those that don’t. To value of R&D to help them gain a
Enterprise Fund, Enterprise Ireland
remain competitive, companies need competitive edge and we have seen a
operates a specific Sustaining
to grow their R&D capabilities. A sustained interest in collaborating
Enterprise Fund for Small
very feasible way of doing this is by with the research base. This seems to
Enterprise. This fund provides a
working with researchers in Ireland’s be a global business trend, so we are
short-term working capital injection
universities and Institutes of pleased to see it’s happening here in
of up to €50,000, to eligible
Technology, for example, and by Ireland too. There seems to also be
smaller companies, to support
tapping into the public research some confidence shown from
business continuity and strengthen
expertise available from those investors – good opportunities
their ability to return to growth.
institutions. remain worthwhile pursuing.”
48 B USIN ESS PLU S S E P TE MB ER 2020
PR OF IL E EN T E RP R I S E I R EL A ND
ENTERPRISE IRELAND BUSINESS
RESPONSE SUPPORTS
Enterprise Ireland is responding to the current global crisis by working with Irish businesses to help them
avail of Covid-19 response supports. The supports are designed to help businesses recover from the
impact of Covid-19 and continue to grow their business, increase sales and create jobs.
Just how much our world has changed is evident from the
recently released Enterprise Ireland Annual Business
Review for 2019. Last year was a record-breaking year for
Enterprise Ireland client companies. These companies
exported more than €25bn worth of goods and services
during the year. Our exports to the Eurozone and North
America, in particular, continued on a strong upward
trajectory – a very important trend with the Brexit deadline
looming.
However, the emergence of the Covid-19 pandemic has
upturned our world. And at Enterprise Ireland, we have
revised our strategy and our support system for Irish business,
to respond to this new reality. At the outset of the crisis, we at
Enterprise Ireland, established our Business Response Hub.
Since its launch, more than 5,600 businesses have engaged
The new €12m Enterprise Centre Fund administered by
with the Hub. They have received information on Enterprise Enterprise Ireland offers grants to help enterprise centres
Ireland supports, and other initiatives provided by the impacted by the Covid-19 pandemic. Pictured with Julie
Government and other agencies, during the Covid-19 crisis. Sinnamon, CEO Enterprise Ireland, are Tánaiste Leo Varadkar TD
and Michael Culligan (right), CEO Dublin BIC
SUSTAINING ENTERPRISE FUND
Access to liquidity is critical during a crisis such as this. In July, €6.5m was allocated to 185 retailers across the
Enterprise Ireland has an innovative support available under country under this scheme. Applications for a new round of
its Sustaining Enterprise Fund. Depending on the size of a funding are currently open, with an overall budget of €5.5m.
company, up to €800,000 is available. Recently the Tánaiste Our colleagues in the Local Enterprise Offices are also busy in
and Minister for Enterprise, Trade and Employment, Leo the online area and their Trading Online Vouchers are
Varadkar TD, announced that 50% of funding provided, up assisting smaller companies, with up to ten employees, to
to a maximum of €200,000 is available on a non-repayable make the transition to digital selling.
basis. So, for example, if your company is approved for
€400,000, then €200,000 is provided on a non-repayable TANGIBLE ASSISTANCE
basis. These direct supports are providing tangible, timely
To assist companies in assessing their financial position, assistance to Irish businesses. The July Jobs Stimulus
a €5,000 grant to engage a financial consultant — to assist in package also included important new measures such as the
developing a robust financial plan — is also available. There is Green Enterprise Fund, additional funds for Seed and VC
strong uptake for this measure, called the Business Financial investment, a dedicated support to assist companies meet
Planning Grant, and it is giving clarity to many companies the customs challenge posed by Brexit, and a fund to
during these turbulent times. promote the innovation of products and services designed
We are also offering companies a €2,500 Lean Business to assist in the battle against Covid-19.
Continuity Voucher, which is designed to provide 2020 is, in many respects, a world away from 2019.
consultancy advice or training for management on sustaining However, we know Irish business well. We know the passion,
business processes during the pandemic. energy and commitment that drives Irish entrepreneurs. We
are confident, despite the immense challenges ahead, that
ONLINE RETAIL SCHEME we can reset and recover from this crisis.
The above schemes are designed, in the main, for Enterprise
Ireland clients. However, we are also assisting the wider For information on Enterprise Ireland’s Covid-19 supports,
government strategy to assist local businesses. For example, contact our Business Response Unit at (01) 727 2088 or
Enterprise Ireland is administering the Online Retail Scheme. email us at businessresponse@enterprise-ireland.com
The purpose of this fund is to enable Irish-owned retailers to
enhance their digital capability, drive online sales and grow For information on all other supports, go to
their customer base. www.enterprise-ireland.com
B U S I N E S S PL U S S EP T EM B ER 2 02 0 49
PRO FILE D UB L I N B I C
Dublin BIC is empowering entrepreneurs
to ‘Start & Scale’ during Covid crisis
UNCERTAIN TIMES
The Covid-19 crisis and ensuing economic fallout has been a
SUCCESS STORIES
source of huge concern to entrepreneurs. Normally in the world
of start-ups, concerns about cash burn rates and revenue As Dublin BIC continues to work with entrepreneurs
forecasts dominate. Now in the current reality of Covid-19, through the pandemic, we are heartened by the success of
founders are focusing on a more urgent task: survival. companies that have received support from Dublin BIC
Dublin BIC is working with many of Ireland’s most ambitious through the years, both in terms of fundraising and in
entrepreneurs, and for the vast majority the big areas of developing innovations to address issues arising from
concern are uncertainty of sales pipeline, cash flow drying up, the health crisis.
and diminished fundraising prospects in the short-term. SilverCloud Health, a Dublin BIC Ventures company
In light of these issues, what is the advice for the typical that, following its €14.7m investment round announced in
start-up? First of all, try not to panic. If you have developed a March, responded to Covid by making its programmes to
sound business idea with a proven concept, then you should deal with stress, anxiety, low mood and depression
view this as a short-term interruption to your plans. We would available for free to over 150 million people worldwide, and
advise against forcing yourself into short-term actions that has since seen its business thrive.
may be detrimental for your longer-term success. Wellola, a participant in the Dublin BIC-managed
There is much talk about pivoting to grasp short-term Innovate programme, collaborated with the HSE to launch
opportunities, and this will work for some, but it’s not the a very successful online portal that enables GPs and
answer for all. For some start-ups, it’s about battening down healthcare providers to treat people remotely.
the hatches and spending time planning how you will re- Buymie, the on-demand grocery delivery app, has
emerge when the time is right. become the number one food-related app in Ireland. It has
announced a raise of €5.8m, bringing its total capital
raised this year to over €8m.
Dublin BIC: Empowering Entrepreneurs Davra, a Dublin BIC Ventures company, played a key
Empowering entrepreneurs to start and scale is Dublin BIC’s
core purpose, whatever the economic challenges of the day. role in developing an early warning system which aims to
We operate a comprehensive range of programmes, across detect symptoms of the coronavirus among frontline
four key areas: medical staff.
Glofox, a Dublin BIC Investor-Ready company, has
raised an additional €10m to add to its €23m Series A
funding round. Glofox’s software provided gyms with the
capability to live stream classes and offer on-demand
content during the Covid-19 lockdown.
Dublin BIC Investor-Ready company MedModus is
providing business intelligence services to hospitals and
other healthcare organisations through a CareAnalytics
platform.
FUNDRAISING IN A CRISIS
While the process may be slower, investments are still AVAIL OF THE SUPPORTS
completing, so our advice is to continue to engage in the Making the right decisions now will affect how you
process. Take inspiration from the likes of SilverCloud Health emerge from this crisis. Dublin BIC is here to help.
and Buymie who have raised funding in recent times. Contact us at startup@dublinbic.ie and we’ll arrange
Dublin BIC continues to work with start-ups and scale-ups, a meeting with one of our experienced start-up advisors
helping them prepare to take on investment, secure HPSU at no cost to you, the entrepreneur. Learn more about
approval and crucially to get in front of active investors. Dublin BIC at www.dublinbic.ie
50 B USI NES S PLU S SE PT E MB E R 2 02 0BP SURVEY BUSINESS SUPPORTS
Increased Focus On AGENCY
SUPPORTS
Customer Data
S
killnet Ireland has unveiled its
B
annual call for applications to set
usinesses from a wide range of up new Skillnet learning networks
sectors come to GeoDirectory aimed at meeting business challenges
for its data and address services.
and developing a highly skilled
CEO Dara Keogh says that the focus
workforce. A Skillnet Network is a
for businesses and for GeoDirectory
collection of businesses that
recently has been ‘moving forward’.
collaborate on learning and training
“We noticed many of our clients used
opportunities to address skills gaps
recent months to spring clean their
within their sector or region.
businesses and get everything ready for
With funding of up to €2m available,
growth,” says Keogh. “Those who
Skillnet Ireland is seeking applications
weren’t online businesses looked to
from interested business groups and
mobilise and capture a wider audience
industry bodies in specific sectors and
with our e-commerce solutions. Others
wanted to improve on what they had regions which will complement the
and were geared towards cleaning their work already being carried out across
data, with an emphasis on efficiencies.” its 70 Skillnet Networks nationwide.
Keogh adds: “Fortune favours the According to chief executive Paul
brave and it is very important for Healy: “Our economy is being rapidly
enterprises to stay cool and not panic. reshaped by the impact of Covid and
Thinking outside the box and fully accelerated digitalisation. These trends
embracing readily available technology are affecting how companies operate
is a wise move in today’s climate. Most Dara Keogh, GeoDirectory and the way work is organised. We want
companies already have a dataset of business groups interested in
some sort, and we can ensure it is right from the beginning can really establishing a learning network to apply
correct and up to date. Sadly, many boost revenues down the line. Cleaning for funding to establish a new Skillnet
people underestimate the importance your customer lists and capturing network, giving businesses in your
of clean data at the point of collection accurate data can ensure that the sector or region access to upskilling at
and entry. business can trust its data and build a significantly subsidised cost.”
“Research has shown that getting it strategic decisions around it.” New network applicants receive one-
to-one support and consultation
throughout the process, including
Make A Good Impression virtual information sessions and
workshops before the closing date for
funding on November 5.
T
he economic shockwave of Covid- know that the borrower will pay the Fáilte Ireland is currently distributing
19 is hitting businesses hard and debt. A track record of debt repayment a €26m fund aimed at helping tourism
Catherine Collins, Deputy Head provides comfort to banks.” and hospitality businesses offset some
of Credit Review, says companies that Collins adds: “Businesses need to be of the costs incurred in adapting their
survive the crisis will be the ones that very well-prepared before they premises or operations for re-opening
keep a tight grip on their finances, approach their banks. The process can during the Covid-19 crisis. The Covid-19
maximising internal cash and be time consuming but at the end of Adaptation Fund can help businesses
accessing external finance. the day, it may be critical to business recoup costs associated with
“When applying for credit from survival.” introducing barriers and protective
financial institutions, first impressions Businesses that have been refused
screens in their premises. Applications
matter,” Collins advises. “It is important credit from banks can appeal to Credit
for funding will be accepted until
for SMEs to make the best possible case Review for an independent assessment
October 8.
when applying for credit. Banks assess of their credit application. “The key
Grants of between €500 and €15,000
each business application on a case-by- issue is viability – will the borrower be
are available to make either the
case basis and make decisions to able to repay the debt over the period
structural adaptations required for
approve the finance based on their of the borrowing? If Credit Review
fixed, visitor-facing premises, or to
credit risk policies. supports the borrower, the banks must
cover the cost of Covid-19 related
“The character of the borrower comply with our recommendation, or
consumables for those businesses that
is also important. The business plan explain why not. In nine out of 10 cases
establishes whether the business can that we support, the bank will make the provide a visitor experience but do not
pay the debt, but the bank also needs to credit available.” have significant visitor-facing premises.
BUSINESS PLUS SEPTEMBER 2020 51B P S UR VE Y BU S INE S S S U P P ORT S
Agencies Respond To Pandemic
T
he design and craft sector autumn, targeting 150 trade
has been significantly buyers across Vietnam, South
impacted by the Covid-19 Korea, the Philippines, Indonesia
crisis, and Design and Craft and Malaysia.
Council Ireland has responded Bord Bia has also been working
with a campaign urging with 150 companies on virtual
staycationers to step into the void business pitching as part of its
left by absent overseas tourists. ‘Perfecting the Virtual Pitch’
CEO Rosemary Steen notes workshop. The agency is
that many makers have currently working with a number
broadened their focus to selling of Irish drink exporters in
online. “Many also looked on the preparation for its first ever
enforced period of closure as a online trade show, scheduled to
time to develop new products and take place in Berlin this autumn.
acquire new skills,” she adds Skillnet Ireland is operating
“Our #MADELOCAL the ReBound initiative, in
campaign involves 3,000 clients partnership with Ibec, Chambers
and over 100 retailers, and is a Ireland, the NSAI and the Small
direct call to action to consumers Firms Association. Participating
to shop local and consider the companies receive a combination
breadth of Irish-crafted, high- of webinar training on
quality products available here. implementing the government’s
“Designers and makers play a vital Rosemary Steen, Return to Work Safely protocol and
role in the Irish economy. We’ve all had Design and Craft Council Ireland mentoring, to help them create and
to refocus how we live our lives as a implement a plan that is bespoke to
result of Covid-19 and buying local for offline/online trade engagement. their organisation.
our food and household necessities This will see exporters avail of new ReBound also includes sectoral-
has become a huge part of that. The Bord Bia services including virtual specific training programmes from
#MADELOCAL campaign is about international trade missions, Skillnet Ireland networks for the
reminding people that there is so much participation in online trade shows, childcare, creative, food production,
more on offer, right on our doorstep.” training and development for virtual hair and beauty, healthcare, legal,
Bord Bia has also launched new business pitching, and a new business leisure, health and fitness,
initiatives following a significant development website, targeting global manufacturing, aviation, restaurant
decline in Irish food and drink exports food buyers. and hospitality, and retail sectors.
due to the global pandemic. One of The first ever ‘Minister-Led Virtual ReBound is provided to business
the agency’s supports will be a first- Trade Mission’ for Ireland’s food and owners and managers free of charge
of-its-kind hybrid programme of drink industry will take place in the and is delivered online.
Enterprise Grant For Self-Employed
T
he government’s Enterprise and have closed their claim on or l Purchase of equipment including
Support Grant for the self- after 18 May 2020 signage and personal protective
employed is worth up to l Have been operating a business equipment
€1,000 and is aimed at sole traders prior to March 2020 l Repairs, maintenance and
who do not pay commercial rates l Have reopened their business installation of safety measures
and therefore do not qualify for the which was closed due to Covid-19 l Salaries
Restart Grant Plus scheme. l Are not liable for commercial rates l Vehicle running costs, including
The Enterprise Support Grant l Employ fewer than 10 people and fuel
previously supported entrepreneurs have an annual turnover of less l Accountancy and related services,
who were setting up new than €1m. and legal advice
enterprises. The grant will be The grant is paid on the basis l Public liability and indemnity
available to tax and PRSI compliant of vouched invoices for eligible insurance costs.
self-employed individuals who: purchases or works completed. Business consumables directly
l Have been in receipt of the Funding may be sought for a range related to trading will not generally
Covid-19 Pandemic Unemployment of costs incurred in reopening a be accepted, according to the
Payment or a Jobseekers payment business, including: department. See gov.ie for more info.
52 B USIN ESS PLU S S E P TE MB ER 2020PROF IL E GE OD I RE C T ORY
GEODIRECTORY TURNS DATA INTO A
VALUABLE BALANCE SHEET ASSET
Access to accurate information with GeoDirectory reduces costs,
improves customer care and delivers increased sales
The subject of data is not exactly
sexy, but the information it can
produce can be very hot! The secret
for businesses is to ensure the data
you have is accurate, to know what to
look for, and how to put it to work.
When you’ve got to grips with this,
the benefits – such as cutting costs,
driving efficiencies and satisfying
customers – are great.
For those trying to survive and prosper
through the Covid-19 pandemic, getting
started can be tough. Fortunately, there
are some great tools available with
strong, proven results from well-known
brands. One company offering those
tools is GeoDirectory, who help
businesses convert data into a profit-
making resource by maximising the
value of their data.
CLEAN CUSTOMER LISTS Every delivery will go to the right address using GeoAddress Checked
Services such as GeoAddressFix,
GeoAddress Smart Data and
GeoAddress Checked are key to their business online would be well Dara Keogh, GeoDirectory CEO, says
achieving this. To start with, advised to apply this to their site the company is very excited to launch
GeoAddressFix is a DIY online service immediately, and ensure all addresses GeoAddresss Online. “Since GDPR
that allows businesses to clean their added are clean and correct. came into being, our customers want to
customer data lists in just minutes. It’s a be as hands-on as possible with their
simple three-step process and An example of GeoDirectory’s potential data and have been asking for an online
guarantees your list is error-free, ready to help businesses get through these service,” he explains. “We’re just happy
to target your customers and deliver their difficult times is Domino’s Pizza. to have worked with great technical
needs in a timely and precise manner. Domino’s used the GeoAddress Locator people to deliver and meet their needs.
package to match every address in
A more recent addition to GeoDirectory’s Ireland with the nearest Domino’s store, “Having access to accurate information
data-services portfolio is GeoAddress to assess if home delivery was allows for better data-driven decisions
Checked, an API (Application geographically feasible. As a result, and this applies to organisations of all
Programming Interface) that’s added to Domino’s was able to work out if the sizes, not just the big guys. The knock-
your website or CRM system. This is distance between store and customer on effect of good information is reduced
important when you consider the allowed the promise of delivery of a hot costs, improved customer care and
average cost of a failed delivery can be pizza within 30 minutes. brand satisfaction. And ultimately, an
up to €15. That’s pretty hefty for those increase in sales.”
shipping significant quantities. NEW INTERACTIVE TARGETING
GeoDirectory is preparing to launch its
Once installed, GeoAddress Checked eCommerce offering in the coming To anyone seeking assistance,
prompts customers or staff with address weeks. By using an interactive map, GeoDirectory offers free
options as they start to type, which this latest development will enable consultations. For more information,
results in a correctly formatted version, companies to grow their business — please e-mail info@geodirectory.ie,
making it impossible to enter an targeting customers by business type, phone (01) 705 7005, or visit
inaccurate Irish address. Anyone moving residential area or location searches. www.geodirectory.ie
B U S I N E S S P L US S EP T EM B E R 2 0 20 53PR O FI LE DC C I
MADE LOCAL Campaign to Boost
the Irish Craft Industry
#MADELOCAL campaign reminds people that everyone can play their part
to help the Irish design and craft sector return to growth
The Design and Crafts Council Ireland launched its
#MADELOCAL campaign this summer to showcase the
work of Irish designers and makers, and deliver a much-
needed boost to a sector that was so negatively affected
by Covid-19.
The campaign was launched by An Tánaiste and Minister
for Trade, Enterprise and Employment, Leo Varadkar, TD and
actor and writer Amy Huberman, as well as DCCI Chair
Breege O’Donoghue. The #MADELOCAL campaign,
developed by DCCI, is a nationwide initiative to boost sales
and drive revenue for both makers and retailers.
The Irish craft and design industry is a significant
contributor to regional economies. DCCI has over 3,000
registered client enterprises and engages with over 150
retailers across the country, who specialise in authentic
Irish products.
CONSUMER AFFINITY
Recent research conducted by Amárach Consulting for DCCI
indicated that nine in 10 consumers feel an affinity to Irish
craft and design. DCCI’s ambition is that the #MADELOCAL
Breege O’Donoghue (left), Chair of DCCI; author and actor
campaign will remind consumers taking staycations this year
Amy Huberman; Tánaiste Leo Varadkar TD; and
of the high-quality, unique products available from Irish
Rosemary Steen (right), CEO of DCCI, at the launch
makers and designers across the country.
of the #MADELOCAL campaign
Consumers will see the newly designed #MADELOCAL
symbol in participating retailers when shopping for gifts and
keepsakes during their holidays. The symbol is featured on
Irish-made crafts and designs in shops across the country. Ms Steen added: “There is an abundance of unique and
The research also reveals that 43% of Irish consumers will beautiful products created throughout this country. It is
continue to shop online, even as restrictions ease. DCCI is reflective of our culture and history and is intrinsic to who we
calling on consumers to choose these local businesses when are. Our research also shows that consumers want to buy
shopping online for gifts, homewares or fashion. products made by local designers and makers. As the
economy begins to re-open, we’re calling on these
POWER OF DIGITAL consumers to shop local and consider the breadth of Irish-
According to Rosemary Steen, CEO of DCCI: “I believe in the crafted, high-quality products available here. This will, in turn,
power of digital to unlock opportunities in this challenging help us revitalise our wonderful craft industry.”
world, but it must be done in a manner that engages our
community in a supportive way. This year has shown a SUPPORTING 3,000 CLIENTS
significant interest in digital support from DCCI for our clients #MADELOCAL continues to run, with over 100 retailers
and members, and I look forward to building upon that interest involved in the campaign, supporting the work of DCCI’s
to help people maximise business-growth opportunities. 3,000 registered clients. DCCI is the national agency for the
“Ireland is renowned for its exceptionally talented commercial development of Irish designers and makers. Its
designers and craftspeople who create beautiful work which role is stimulating innovation, championing design thinking
is exported worldwide. These makers and the retailers make and informing government policy.
a significant contribution to the Irish economy and provide
sustainable employment. Through #MADELOCAL, we want More information on Irish craft and design and where to
to remind people that we can all play our part, and that we shop for products that are #MADELOCAL, can be found
can all help our vibrant Irish design and craft sector to return on the website at www.dcci.ie and by following
to prosperity and growth.” #MADELOCAL on social media.
54 B USIN ESS PLU S SE PT E MB E R 2020You can also read
