MICROSOFT RELEASE - MINISTER MARTIN LAUNCHES EU GRANTS ADVISOR PROGRAMME

Over 300 EU Funding Sources Available to Irish SMEs with only 4% currently applying for Grants and 1% Receiving Funds

Dublin, 2^nd May 2006 – Minister for Enterprise, Trade and Employment, Micheál Martin TD, today launched the EU Grants Advisor (EUGA) Programme in Ireland. The EUGA initiative has been developed in Ireland by Microsoft, in partnership with HP, Intel, eircom, Bank of Ireland, Chambers Ireland and the Small Firms Association to help raise awareness amongst Small and Medium Enterprises (SMEs) of the level of EU and Irish grant aid potentially available to them. In addition to raising awareness the EUGA service has been developed to help facilitate the application process by Irish SMEs, helping to cut through red tape and to direct them to grants for which they are likely to be eligible.

There are over 300 grants available through the EU to Irish businesses to help support their IT growth and innovation. Despite the availability of the funds only forty five percent of SMEs are aware that they are entitled to grant aid. Due to the difficulties posed by administrative red tape only four percent of SMEs actually apply for grants and only one percent successfully secure funds. Within Ireland alone, EUGA will support SMEs in accessing over 100 separate EU and Irish Start Up and Business Development funding schemes, ensuring increased awareness of, and access to, business capital.

“I am delighted to launch the EUGA Programme today,” said Minister Martin. “As Ireland strives to become a knowledge economy we need to see increased R&D, innovation and productivity across all sectors and sizes of business in Ireland. Widespread use of IT by SMEs will be central to Ireland achieving these goals and it is important that Irish businesses take full advantage of the local and EU funds that are available to them. The newly available EUGA service will help to smooth the application process for many small business owners and managers who are time starved and I commend Microsoft and its partners for developing this valuable service.”

Neil Tanner, Director, SME Business Division, Microsoft Ireland said, “We believe that in order for Ireland to continue to enjoy economic growth and prosperity SMEs must be supported in becoming more productive, innovative and competitive. Effective implementation and training in IT has been identified as one of the primary mechanisms to achieve these goals.

“High costs and lack of expertise have been identified as barriers that prevent SMEs from using ICT more effectively. The EUGA service will provide information on how SMEs can access education and other funding which will help to remove these barriers. In addition, by providing access to an advisor who will help direct companies to the most appropriate funding sources we anticipate that both the application rate for funding amongst Irish SMEs and the success rate for securing funds will increase dramatically over the coming years.”

The programme operates by offering an EU Grants Consultants to liaise with applicants to identify the most appropriate grants for current and future projects. The EU Grants advisory partners may be called upon to provide best-in-class technical assistance in the development of project content. Finally, the Grants Consultant manages the complete grants application process on the applicant’s behalf, from initial eligibility checks through to grant payment. Companies will also be given support with the grant writing and application process.

A website provides a search engine that allows a business to quickly find and sort through local, regional, national and international grants the business may be eligible for. The website, which is the prime communications tool of the service is available at www.eugrantsadvisor.ie. This will dramatically reduce the level of attention required by SMEs on the grant administrative processes. The grants are primarily available to companies who are undertaking business development and improvement projects; in particular the development of innovative new products and services which drive and improve export potential.

Microsoft has been involved in rolling out a similar service across Europe. Based on the success of the initiative to date it approached a number of partners in Ireland to create a similar service here. All partners bring levels of expertise in areas that are relevant to SMEs who will seek to use the service.

Microsoft has developed the overall Grants Services model and is providing grant consultancy and project management services to small businesses that participate in the programme. Bank of Ireland provides a comprehensive range of financial solutions to SMEs. Chambers Ireland is Ireland's largest business network; its mission is to represent the business interests of member companies, to promote the competitiveness of business and to enable the development of the chamber network in Ireland. The Small Firms Association (SFA) is the national organisation exclusively representing the needs of small enterprises in Ireland. The SFA provides economic, commercial, employee relations and social affairs advice and assistance, training programmes & networking opportunities, and cost-effective group schemes. Through Chambers Ireland and the SFA, EUGA increases SME grants awareness and is in a position to promote the concerns and interests of the Irish business community. eircom provides traditional and new wave telecommunications services, assisting EUGA clients by offering business solutions to support the grant application process.HP and Intel are industry leading technology solutions providers to SMEs within Ireland. As pan-European partners of EUGA, they support SMEs in realising their potential by empowering them through technology.

ENDS

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