€51m State funding announced to help companies recover from pandemic

Funds, available through Enterprise Ireland, are to accelerate the shift to digital for enterprises.

All funding must be provided to successful applicants before the end of 2021. Photograph: iStock

All funding must be provided to successful applicants before the end of 2021. Photograph: iStock

 

The Government has announced an additional €51 million in funding to help companies recover from the impact of the pandemic and to accelerate the shift to digital for enterprises.

The funding package, available through Enterprise Ireland, will also provide grants, capital investment, equity and loan notes to manufacturing and internationally traded services companies hit by Covid-19 to support productivity improvements and build capacity.

The new funding includes €20 million for the existing Sustaining Enterprise Fund, and up to €31 million for the new Accelerated Recovery Fund, which support significant necessary investment in capital and digital capability for productivity improvements.

The Sustaining Enterprise Fund is open to companies employing 10 or more full-time employees, operating in the manufacturing and internationally traded services sectors that have seen their actual or projected turnover reduce by 15 per cent or more. Companies that have seen operational costs increase considerably as a result of Covid-19 can also apply. Up to €800,000 in funding is available, provided for a five-year period.

The Accelerated Recovery Fund provides between €150,000 and €1.8 million to businesses seeking to implement an accelerated recovery plan, covering expenses such as training costs and capital costs.

The fund also includes €9,000 Digitalisation Vouchers to support companies seeking expertise in developing a digital roadmap for their business.

“The vast majority of businesses, particularly those in the manufacturing and export sectors, have proved remarkably resilient when faced with an unprecedented public health crisis with a major impact on domestic and global trade,” Tánaiste and Minister for Enterprise Leo Varadkar said.

“Now, as we cautiously emerge from these necessary public health restrictions and global markets begin to open up again, the Government will continue to help businesses in their next phase of recovery and adaptation.”

All funding must be provided to successful applicants before the end of 2021.

“The new €51 million fund is intended to ensure that Irish businesses continue to be supported in recovery from the impact of Covid-19. To date, Enterprise Ireland has approved more than €181 million in Covid-19 financial supports under the Sustaining Enterprise Fund protecting more than 27,500 jobs,” said Enterprise Ireland CEO Leo Clancy.

“As economies reopen, ongoing investment in business-critical areas is vital to the long-term growth of companies.”