Irish tech firms raised €52m in first quarter
Irish technology companies raised €52 million in funding in the first quarter of 2013 according to a survey for Irish Venture Capital Association VenturePulse survey sponsored by law firm William Fry.
The report found that first round funding from January to March this year was 14% of funds raised compared to 20% in 2012. Stephen Keogh, a corporate partner in William Fry, which acted as legal advisers in over half of the funding rounds in the first quarter, said that the data could be an early warning sign.
"Seed funds supported by the banking sector and Enterprise Ireland’s seed and venture capital programme of 2006-2012 will be fully invested in the near term. These funds will need to be renewed if entrepreneurs are to be supported as actively as in the last five years," said Mr Keogh.
Regina Breheny, director general of the IVCA (pictured), said: "The Irish venture capital community continues to be the main source of funding for Irish innovative SMEs both through direct investment and as the local lead investor for international syndicate investors."
Since the onset of the credit crunch in 2008, 764 Irish SMEs raised venture capital of €1.5 billion. These funds were raised almost exclusively by Irish VC fund managers who during this period supported the creation of up to 20,000 jobs; attracted over €450 million of capital into Ireland and geared up the State’s investment through the seed and venture capital programme by almost seven times.