A good idea and the ability to raise capital is a good starting point, writes John Downes

The recent Ernst & Young Entrepreneur of the Year Awards - run in conjunction with The Irish Times - served to highlight the achievements of a number of very successful entrepreneurs in Ireland.

Previous winners of the awards include high-profile business people such as Mr Eddie Jordan of Jordan Grand Prix (2001) and Mr Pádraig Ó Céidigh of Aer Arann (2002).

But what qualities does it take to be an entrepreneur in Ireland, and are there any support networks in place for people hoping to one day start their own business?

"I suppose it takes a sense of imagination and a keenness to work for yourself, to be your own boss," according to Mr Pat Maher, executive director in charge of entrepreneurship with Enterprise Ireland, a Government organisation that works with Irish industry and its partners to promote business development here.

Enterprise Ireland is also associated with the Ernst & Young awards, as well as the Business 2000 initiative.

"A lot also depends on the economic environment. Up until recently, we had mostly 'opportunistic' entrepreneurs, with a big vision or idea which they wanted to pursue.

"Partly due to the economic downturn, we are finding more 'necessity' entrepreneurs, whose companies might be struggling and who might have an idea of their own. Often they are people in a business which is not doing well, and see opportunities in that business which they would like to pursue with one or two other people."

However, the downturn in the economy, while perhaps encouraging people to look into the possibility of turning long-held ambitions into a reality, also means that budding entrepreneurs need to have a well-formulated business plan before trying to persuade cautious financial institutions to part with their cash.

Executive Venture Partners (EVP) is a venture capital firm which, in conjunction with Enterprise Ireland, provides seed funding to entrepreneurs in the information and communications technology sector. So what does it look for when deciding whether to invest in a new project?

One important consideration is whether the people promoting the business idea have access to a large market for their product, according to EVP director Mr Gerry Jones.

While Ireland can serve as a good starting point, most of the companies in which EVP invests would also aim to market their products overseas.

If the product is a "must-have" item, then it also stands a good chance of being successful, Mr Jones says, especially if it is backed up by a sound financial model with realistic revenue assumptions.

The individual qualities of the person promoting the idea are equally crucial, he believes. Any promoter should be highly motivated and should be able to handle the high level of stress that comes with starting any new business.

"You need a get-up-and-go attitude and good leadership qualities," according to Mr Jones.

"A promoter very often will have good communication skills. They need to be able to explain to others what they are trying to do. It is hard to describe, but you know an entrepreneur when you see one."

One good example of Irish entrepreneurship is Dublin-based Shanahan Engineering, whose managing director, Mr Liam Shanahan, was recently named Ernst & Young Entrepreneur of the Year.

The company provides construction management, operation and maintenance, as well as technical field services to the power generation, oil and gas, and industrial process sectors. It also recently began developing wind farms in Co Donegal.

"You need to be able to empathise with and listen to everybody," believes Mr Shanahan, who was educated at University College, Cork, and at the European School of Management, EAP, where he earned a Masters of Business Administration (MBA).

"The most important thing starting out is to be able to listen to your marketplace and to interpret the demand. If you are not an open person, you will not be able to interpret this, whereas if you are empathetic, you will see a niche or gap which is open and which you can fill.

"You need to be able to communicate your message internally as well. And you need energy - an enormous amount of it."

Another good way for young people to demonstrate their entrepreneurial spirit is through the Enterprise Ireland/Invest Northern Ireland Student Awards 2004, now in their 21st year.

With a prize fund of €40,700, (the top prize for the winning project is €8,700), the awards are open to college students and graduates from all over Ireland, with the aim of encouraging them to develop their entrepreneurship.

Last year, a team from Carlow Institute of Technology won the top prize with an innovative domestic water-recycling tank, which recycles water from domestic appliances for use in flushing toilets.

There are also several other schemes focused towards helping entrepreneurs to get their projects up and running. A good starting point would be a business plan, as well as making contact with Enterprise Ireland, or your local Community Enterprise Centre, according to Mr Maher.

What is equally apparent, however, is that the individual drive, determination, leadership and communication skills of those involved play as important a role as any in determining the ultimate success of their ideas.

For more information, check the following websites:

www.enterprise-ireland.com

www.etradebusinessireland.com

www.intertradeireland.com

www.thedigitalhub.com/ index2.html

www.irc.cordis.lu