Competitive Start Fund - Aviation and Manufacturing
This call for applications focuses on the Aviation and Manufacturing Sectors and is only open to applications active in these sectors including the following sub sectors:
- Aviation Sector: financial services associated with the sector, aircraft and engine leasing, aviation software and IT, training, travel-related software and related services, small aircraft assembly, aircraft dismantle, maintenance repair operations, airframe and components, composite repair, parts manufacture, aviation services, other engineering and technical activities.
- Manufacturing Sector: including companies using mechanical, electrical and chemical engineering technologies for the production of goods; companies involved in activities such as material forming, tooling, automated systems and additive processes etc; related technical activities.
Call open: 9th April, 2014.
Call close: 30th April, 2014 at 4pm.
A link to the online application system will be available here during the call open and call close dates.
Overview of the Competitive Start Fund
The purpose of the Competitive Start Fund is to accelerate the growth of start-up companies that have the capability to succeed in global markets. The fund is designed to enable those companies reach key commercial and technical milestones, for example:
- Evaluate overseas market opportunities and reach firm conclusions regarding the viability of the proposed business.
- Build a prototype.
- Secure a reference site.
- Develop a market entry plan for exploiting international opportunities.
- Secure partnership deal or strategic alliance.
- Identify suitable channels to international markets.
- Secure third party investment e.g. business angel, Venture Capital.
Am I eligible?
You are eligible to apply if you are an existing or potential client of our Enterprise Ireland High Potential Start-Up (HPSU) Department.
The Competitive Start Fund is open to:
- Companies who are active in required sector for the call they are applying for.
- Individuals who, prior to Enterprise Ireland’s investment, will register a company which will be active in these sectors.
- Individuals who, prior to Enterprise Ireland’s investment, will have a headquarters registered and be based in Ireland. All intellectual property and assets must reside in the Irish entity.
In addition, applicants must fulfil all of the following criteria:
- Must be a manufacturing or an internationally traded services business;
- Must not have received equity funding of more than €100K prior to the competition closing date i.e, Ordinary shares, Convertible Preference Shares, Convertible Loan Notes apply. Sweat equity / directors loans do not apply.
- Must be pre-trading or recently commenced trading, i.e. does not have annual revenues in excess of €60k in the current financial year to date or in any previous financial year.
- Must be less than six years old i.e. date first employee commenced full time employment.
- Must be capable of creating 10 jobs in Ireland and realising sales of €1m within 3 years of starting up* or, where a company is required to have FDA or CE approval, within three years of approval to sell.
- Must not be involved in activities that fall within gambling or "gaming" as defined in the Gaming & Lotteries Act 1956.
*starting up defined as the relevant competition closing date.
- Applicants must be eligible to live and work in Ireland.
- If an application is successful and is currently in receipt of an Enterprise Ireland Feasibility Grant, the full amount of the Feasibility grant must be drawn down before the Competitive Start Fund investment or, alternatively, the company/individual must forego the balance of the Feasibility Grant prior to starting the CSF.
- If the applicant is successful and currently in receipt of a New Frontiers stipend, the applicant will not receive Competitive Start investment until they have completed drawdown of the New Frontiers stipend or declined further stipend payments.
- Where an applicant is a subsidiary of a parent company, then the eligibility criteria will be applied to the parent company.
What is the maximum funding available and what costs are eligible?
- Applications are considered on a competitive basis.
- The maximum support available is €50,000 for a 10% ordinary equity stake in the start-up company.
- The investment shall be released in two equal tranches.
- The first tranche will be released to successful applicants only when it provides confirmation of additional new cash investment for equity of €5,000. This new investment in equity of €5,000 by the successful applicant is to occur post the relevant call close date. Capitalisation of existing director/related party loans will not qualify. The company must also meet the general terms and conditions of the scheme.
- Successful applicants will additionally be appointed a mentor who will work with the company for up to 10 sessions.
The overall equity investment will be towards the costs associated with developing the business plan and making progress on key technical and commercial milestones. The following activities are expected to form the basis of expenditure;
- Consultancy Fees
- Other Expenditure
How do I apply?
If you are a first-time applicant, you will be required to register on the Enterprise Ireland Online Application System.
Applications must be made via the Enterprise Ireland Online Application System during the call open and call close dates. We strongly recommend that you commence your application well in advance of the call close date and time. You can commence your application and save it to revisit at a later stage.
To support your written online application, you will be offered the opportunity to pitch directly to the Assessment Part 1 Evaluation Panel using video interviewing technology. You will be asked to complete a 5 minute online video interview / pitch which will be viewed by the evaluation panel as part of the evaluation process. We strongly encourage all applicants to complete this to assist with contextualising your application.
You will be asked to address the following three questions:
- Tell us about your product or service and why a customer would be compelled to buy it? (1 minute).
- How are you going to make money from your customers i.e., summarise your revenue models? (2 minutes).
- Two minutes to add any further comments you may have.
You will receive an email after commencing your Competitive Start Fund online application inviting you to complete your online video interview/pitch. Read additional information on the video pitch [pdf format].
Please note that an application for approval of an equity investment for companies selected under this scheme shall be subject to:
(a) Approval from Enterprise Ireland’s Investment Committee.
(b) The company agreeing to the Terms and Conditions set out in the Enterprise Ireland Term Sheet.
(c) The company agreeing to enter into a Share Subscription and Shareholders Agreement with Enterprise Ireland.
For more information on this Equity Process read our CSF Equity FAQs.
How is my application evaluated?
Assessment Part 1
An evaluation panel comprising external consultants in conjunction with representatives from Enterprise Ireland will evaluate each application and will score them under the following criteria:
|Company and Promoter Profile||25%|
|Product/Service & Market Opportunity||25%|
|Execution of the Business Plan||25%|
|Ability to deliver key Commercial and Technical Milestones over the coming 12 months||10%|
All applicants will be notified by email by 16th May,2014 if they were unsuccessful in this call or will be invited to present a short investment pitch to the panel (Assessment Part 2).
Assessment Part 2
The top scoring applications (up to 25) will be invited to present a short investment pitch to the evaluation panel comprising external industry experts and representatives of Enterprise Ireland at the offices of Enterprise Ireland, 4500 Atlantic Avenue, Westpark, Shannon Co. Clare. The date of this pitch is 26th May, 2014.
The evaluation panel will be asked to score the applicant’s performance based on the following equally weighted criteria:
- What specific need does your product / service address? Why would someone be "compelled" to purchase your offering?
- What is it about you and / or your management team that makes you capable of executing on this business plan?
- What would be the impact of €50K on the execution of this business plan?
Please note: Enterprise Ireland reserves the right to seek additional clarification from the applicant in regard to your application.
Up to 10 projects will be approved for investment at the Enterprise Ireland Investment Committee on 6th June, 2014. All applicants invited to pitch will be notified on 6th June of the outcome.
Please see the attached reference document for additional information.
Closing Date for Applications
The call close date was 30th April, 2014 at 4pm.
Key contact/more information
For more information on the Competitive Start Fund, please contact:
353 1 727 2202 (9am - 5pm)
If you are not a client of Enterprise Ireland and want to learn more about qualifying and applying for Enterprise Ireland’s High Potential Start-Up supports, go to our Start a Business Section.
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