Hurdles to applying for grants and funding and difficulties in finding talent are stifling innovation and entrepreneurship, business lobby group Ibec has warned.
A majority of entrepreneurs in Ireland say red tape prevents them from applying for grants and a similar proportion find the availability and access to special tax incentives grossly inadequate, a new report published this morning by Ibec shows.
The Ibec Founders Report contains a number of policy recommendations that could be adopted by the government to support entrepreneurs, it said.
The report found that 24 percent of respondents believe access to talent is either poor or very poor, while 60 percent say the administrative burden involved in applying for grants and grants prevents them from doing so.
Ibec has called on the government to put in place “appropriate funding supports” and ensure that these supports are easily accessible. It is argued that tax incentives such as capital gains tax breaks, the R&D tax credit and the employment incentive and investment scheme should be improved.
It also wants a plan to be put in place that will enable “sustainable digital transformation” to ensure continued competitiveness.
Sharon Higgins, Executive Director of Membership and Sectors at Ibec, said that founder-led companies are “at the core of innovation and progress” and play a central role in economic prosperity.
“However, as economic headwinds continue to shift, 2022 has ushered in a new phase of uncertainty for entrepreneurs,” she said.
“Our survey results show that challenges such as rising asset and labor prices, and difficulties in accessing capital and attracting talent are beginning to stifle innovation and growth in the domestic founder-led ecosystem,” Ms Higgins warned.
“As we plan for the future in this changing economic environment, we need the right incentives and a supportive ecosystem to ensure founders can thrive,” she added. “Their contribution to economic prosperity and a thriving ecosystem must be further recognized.”
The Ibec founders’ report called on the government to increase public investment in innovation and research by 20 percent each year to reach a level of 1.25 billion euros by 2025.
https://www.independent.ie/business/irish/funding-hurdles-poor-access-to-talent-and-tax-breaks-among-issues-stifling-entrepreneurs-ibec-report-warns-41980579.html Funding hurdles, poor access to talent and tax breaks are among the issues “choking” entrepreneurs, the Ibec report warns