Finding the right grants for tech startups in Ireland can feel overwhelming. Access to funding can be the defining factor between breakthrough innovation and a brilliant idea that never reaches its potential. At Around Finance, we understand the unique challenges faced by Irish tech startups, having supported numerous SaaS companies, e-commerce ventures, and innovative tech firms on their journey from concept to market success.
For early-stage and scaling tech startups in Ireland, navigating the maze of available grants and funding opportunities can be overwhelming. While traditional financing routes like loans and equity investment have their place, grants offer a distinct advantage: they’re non-repayable, provide instant credibility to your venture, and significantly ease cashflow concerns during critical growth phases.
This comprehensive guide aims to demystify the world of tech startup grants in Ireland, with a special focus on Enterprise Ireland’s funding programmes. As specialists in supporting tech startups with their financial management and planning, we’ve witnessed firsthand how strategic grant acquisition can transform a promising venture into a thriving business. From High Potential Start-Up (HPSU) funding to innovation vouchers, we’ll walk you through the essential grants that could provide the financial foundation for your tech startup’s success.
Whether you’re developing cutting-edge SaaS solutions, innovative AI applications, or disruptive fintech products, understanding and accessing the right grants at the right time can be transformative. And remember, at Around Finance, we don’t just provide this information – we can actively support you in preparing your financial projections, business plans, and grant applications to maximise your chances of success.
What Are Grants And How Do They Differ From Other Funding?
Before getting into specific grant opportunities, it’s important to understand what makes grants distinct from other funding sources like loans, angel investment, or venture capital.
Grants are essentially financial awards provided to businesses that don’t require repayment. Unlike loans, which must be paid back with interest, or equity investment, which requires giving up a portion of your company ownership, grants are “free money” – though they do come with specific conditions and reporting requirements.
For tech startups in Ireland, grants typically fall into several categories:
- Research and development grants – Supporting innovation and new technology development
- Business expansion grants – Helping companies scale operations and enter new markets
- Employment grants – Subsidising the cost of creating new jobs
- Export development grants – Assisting companies in exploring international opportunities
- Feasibility study grants – Funding market research and concept validation
Why Tech Startups Should Prioritise Grant Applications
Tech startups should consider grants as an essential part of their funding strategy for several compelling reasons:
- Zero dilution of equity – Unlike VC funding, grants don’t require giving up shares in your company
- Improved cash flow – Non-repayable funds reduce financial pressure during development phases
- Enhanced credibility – Winning competitive grants adds legitimacy to your venture
- Networking opportunities – Many grant programmes provide access to mentorship and industry connections
- Strategic alignment – The application process often helps refine your business model and value proposition
The Irish Government’s Commitment to Innovation
Ireland has established itself as a global tech hub, supported by the government’s consistent focus on fostering innovation and entrepreneurship. The Irish government has demonstrated its commitment through various initiatives:
- Allocation of substantial funding for research, development, and innovation
- Creation of specialised agencies like Enterprise Ireland to support startup growth
- Development of technology centers and innovation hubs across the country
- Establishment of favorable tax incentives for R&D activities
- Support for industry-academic collaborations
This supportive ecosystem makes Ireland an attractive location for tech startups. According to Enterprise Ireland, they invested in 125 new startups in 2023 alone, with tech-focused companies receiving a significant portion of this funding.
Key Agencies Providing Grants
While this guide focuses primarily on Enterprise Ireland, it’s worth noting the broader landscape of grant-providing institutions in Ireland:
- Enterprise Ireland – The primary government agency supporting Irish businesses in manufacturing and internationally traded services sectors
- Local Enterprise Offices (LEOs) – Providing support for small businesses at a local level
- Science Foundation Ireland – Funding scientific research with commercial potential
- Sustainable Energy Authority of Ireland – Grants for energy-efficient and sustainable technologies
- EU funding programmes – Including Horizon Europe for research and innovation
Each of these agencies plays a crucial role in the funding ecosystem, often complementing each other’s offerings. For tech startups specifically, Enterprise Ireland typically offers the most relevant and substantial grant opportunities, which we’ll explore in depth in the following sections.
The Cornerstone For High-Potential Tech Startups
Enterprise Ireland serves as the central pillar of support for tech startups with global ambitions. Their range of funding programmes is designed to support companies at various stages of development, from initial concept validation to international scaling.
High Potential Start-Up (HPSU) Fund
The HPSU Fund represents Enterprise Ireland’s flagship equity investment programme for promising tech startups with international growth potential.
Eligibility Criteria
To qualify for HPSU funding, your tech startup must demonstrate:
- Potential to create 10 jobs in Ireland and achieve €1 million in sales within 3-4 years
- A unique product or service with a competitive advantage in international markets
- Led by an experienced management team
- Based in Ireland and less than five years old (in most cases)
- Not focused on the Irish domestic market alone
Funding Details
Enterprise Ireland typically invests €50,000 to €250,000 for a 10% equity stake in HPSU companies, but can invest up to €1 million in exceptional cases. This funding is provided on a co-investment basis, meaning Enterprise Ireland will match funding from private investors.
The investment is structured as ordinary shares or convertible loan notes, depending on the specific circumstances of the company.
What is HPSU? Enterprise Ireland as an Equity Partner
High Potential Start-Up (HPSU) status is awarded to startups with strong growth and export potential. Achieving HPSU status means your company is recognised as having the capacity to scale internationally and make a significant economic impact in Ireland.
As part of the HPSU programme, Enterprise Ireland becomes an equity partner in your business. This means they invest directly in return for a minority shareholding, aligning their interests with your company’s long-term success. As an equity partner, Enterprise Ireland provides not just funding, but also strategic guidance, access to networks, and ongoing support as your business grows.
Benefits Beyond Funding
What makes the HPSU programme particularly valuable goes beyond the financial investment:
- Development Advisors – Each HPSU client is assigned a dedicated advisor who provides ongoing support and guidance
- Global Network – Access to Enterprise Ireland’s international office network, helping facilitate market entry and expansion
- Mentorship Programmes – Connection with experienced business mentors who have relevant industry expertise
- Investor Readiness Support – Preparation for future funding rounds with private investors and VCs
- Market Research Resources – Access to Enterprise Ireland’s market research center and industry reports
Tip: Read our ‘Things To Know When Applying For Enterprise Ireland Funding’ guide for practical advice on the application process.
Pre-Seed Start Fund (PSSF)
For early-stage tech startups, the Pre-Seed Start Fund (PSSF) is now the primary stepping stone toward commercialisation and investor readiness in Ireland.
Purpose and Structure
The PSSF, launched by Enterprise Ireland, aims to accelerate the growth of innovative, early-stage tech startups and prepare them for later-stage funding. The fund provides up to €100,000 in convertible loan funding (typically offered as €50,000 or €100,000 tranches), in exchange for a future equity stake, generally 2.5% for €50,000 or 5% for €100,000. Funding is released in tranches based on agreed milestones.
Application Process
Unlike the previous CSF, the PSSF is open for applications all year round, making it more accessible and flexible for startups. The application process includes:
- Submission of a detailed business plan and financial projections
- A video pitch outlining your value proposition and market opportunity
- Evaluation by an expert panel based on innovation, market potential, and team capability
- An interview for shortlisted applicants
Sector Focus for Tech Startups
The PSSF supports a wide range of technology-driven startups, including but not limited to:
- Software-as-a-Service (SaaS) – Business applications and platforms
- Fintech – Financial technology solutions
- Digital Health – Healthcare technology and medical devices
- IoT and Connected Devices – Smart technologies and systems
- AI and Machine Learning – Data-driven applications and services
- Cleantech – Environmentally focused technologies
From PSSF to HPSU
Many successful PSSF recipients progress to the High Potential Start-Up (HPSU) programme as their businesses develop. The PSSF is often viewed as a preparatory phase that helps startups refine their business model, demonstrate market traction, and become investor-ready before seeking larger investments.
Tip: Using Xero or other accounting software to maintain clean financial records is crucial when applying for these programmes, as Enterprise Ireland will scrutinise your financial management capabilities during the assessment process.
Agile Innovation Fund
For tech startups looking to undertake smaller, faster R&D projects, the Agile Innovation Fund offers a streamlined alternative to larger research grants.
Key Features
- Funding up to 50% of eligible R&D project costs
- Maximum grant of €150,000
- Fast-track approval process (typically 2-4 weeks)
- Lower threshold of R&D expenditure compared to larger programmes
Project Eligibility
The Agile Innovation Fund is ideal for tech startups undertaking:
- Development of new or significantly improved products
- Creation of innovative software solutions
- Implementation of new production or delivery methods
- Research into technological challenges or market opportunities
Application Requirements
To apply for the Agile Innovation Fund, you’ll need to prepare:
- A clear project plan with defined deliverables
- An outline of the technical challenge being addressed
- Cost estimates for all project components
- Details of the commercial potential of the innovation
Complementing R&D Tax Credits
One significant advantage of the Agile Innovation Fund is that it can be used in conjunction with Revenue’s R&D Tax Credit scheme, providing a dual benefit for innovative tech startups. This combination of grant funding and tax relief can significantly reduce the net cost of R&D activities, making innovation more affordable for cash-constrained startups.
The R&D tax credit allows companies to claim a refundable credit of 30% of qualifying R&D expenditure, effectively reducing the cost of innovation by nearly one-third. This credit applies to eligible costs such as salaries, materials, and certain overheads directly related to R&D activities.
Innovation Vouchers
For tech startups seeking to collaborate with academic institutions, Innovation Vouchers provide a straightforward mechanism to access research expertise.
Programme Overview
Innovation Vouchers worth €5,000 are available to assist tech startups in working with registered knowledge providers (universities, institutes of technology, and research centers) to solve technical or research challenges.
Eligible Activities
- New product/process development
- Testing and analysing materials or products
- Access to specialised equipment and facilities
- Feasibility studies on new technologies
- Scale-up and pilot plant studies
Application Process
Enterprise Ireland opens calls for Innovation Voucher applications several times throughout the year. The application process is straightforward, requiring basic company information and a description of the proposed project.
Impact for Tech Startups
Innovation Vouchers can be particularly valuable for tech startups that:
- Need specialised technical expertise not available in-house
- Want to validate a technological concept before committing larger resources
- Seek to establish ongoing relationships with academic research partners
- Are developing prototypes or proofs of concept
Other Key Grants And Supports
While Enterprise Ireland offers the most comprehensive suite of support for tech startups, a few other grant programmes should be considered as part of a holistic funding strategy.
Local Enterprise Office (LEO) Grants
For tech startups in the earliest stages, LEO grants can provide crucial initial funding before qualifying for larger Enterprise Ireland programmes.
Feasibility Study Grants
- Up to 50% of costs, maximum €15,000
- Supports market research, prototype development, and patent applications
- Helps validate business concepts before significant investment
Priming Grants
- Available to microenterprises within their first 18 months
- Up to 50% of eligible costs, maximum €150,000
- Funding for capital items, marketing, consultancy, and key employees
- Particularly useful for tech startups establishing initial operations
Business Expansion Grants
- For established businesses (over 18 months old)
- Up to 50% of eligible costs, maximum €150,000
- Supports scaling activities, market development, and additional employment
- Valuable for tech startups that have proven their concept and are ready to grow
Trading Online Voucher Scheme
- Up to €2,500 (50% co-funding) for e-commerce and digital marketing
- Includes training and support for online strategy development
- Particularly relevant for tech startups building their digital presence and sales channels
Many tech startups begin their funding journey with LEO support before progressing to Enterprise Ireland programmes. To make a staged funding plan, you need to fully understand this approach.
Sector-Specific and Innovation Grants
Beyond the general business support, tech startups should explore specialised funding programmes aligned with their specific technology focus.
Disruptive Technologies Innovation Fund
- For collaborative projects developing disruptive technologies
- Grants of €1.5 million to €25 million for multi-partner projects
- Focused on areas like AI, robotics, health, manufacturing, and sustainable food
AI and Machine Learning Grants
- Various programmes supporting AI research and commercialisation
- Funding for activities from basic research to commercial applications
- Often involves academic partnerships or technology transfer
Sustainability and Green Energy Grants
- The Green Enterprise Fund for eco-innovative businesses
- Renewable Energy Support Scheme for clean energy solutions
- Climate Enterprise Action Fund for businesses reducing carbon footprint
EU Funding: Horizon Europe
For tech startups with truly innovative solutions, Horizon Europe (the EU’s research and innovation programme) offers substantial funding opportunities:
- European Innovation Council Accelerator – Grants up to €2.5 million plus optional equity investment
- Collaborative research projects with international partners
- Various thematic calls aligned with EU priorities (digital, health, climate, etc.)
Accessing EU funding can be complex but highly rewarding for tech startups. Working with specialised consultants or using Enterprise Ireland’s support services for EU funding applications is advisable due to the complexity of these programmes.
Digital Accelerator Grants
The Digital Accelerator Grant programme represents a newer addition to Ireland’s funding landscape, specifically targeting businesses looking to enhance their digital capabilities.
Programme Highlights
- Designed to accelerate digital transformation initiatives
- Funding for digital infrastructure improvements
- Support for implementing advanced digital technologies
- Assistance with digital skills development
Relevance for Tech Startups
While tech startups are inherently digital, this programme can help fund specific technological enhancements that improve efficiency or service delivery. E-commerce businesses and digital service providers can particularly benefit from these grants to upgrade their platforms and systems.
How To Maximise Your Chances Of Securing Grants
Securing competitive grants requires more than just eligibility. It demands a strategic approach to application development and presentation. Based on our experience supporting successful applicants, here are key strategies to improve your chances of grant approval.
The Importance of a Well-Prepared Business Plan
Your business plan serves as the foundation for any grant application. For tech startups, this should include:
- Clear problem statement – Articulate the specific problem your technology solves
- Market validation – Evidence that customers want and need your solution
- Competitive analysis – How your technology differs from and improves upon existing solutions
- Revenue model – A clear path to monetisation and profitability
- Scalability plan – How your technology can reach broader markets
- IP strategy – Approach to protecting your intellectual property
- Team capabilities – Highlighting the expertise of your founding team
Enterprise Ireland places particular emphasis on the quality of business plans in their evaluation process. A well-structured, evidence-based business plan significantly increases your chances of success.
Aligning with Grant Criteria
Each grant programme has specific objectives and evaluation criteria. Successful applications explicitly demonstrate alignment with these criteria:
- Research the specific language and priorities of each grant programme
- Address each criterion directly in your application
- Quantify impacts and outcomes wherever possible
- Demonstrate how your technology advances the programme’s strategic aims
For example, Enterprise Ireland’s HPSU programme emphasises international growth potential, so applications should highlight specific export markets and entry strategies.
Use Advisory Services
Professional advice can dramatically improve your grant applications:
- Enterprise Ireland’s Development Advisors can provide pre-application guidance
- Local Enterprise Offices offer mentoring for early-stage applications
- Consider engaging specialised grant consultants for larger applications
- Accountants with grant experience (like Around Finance) can help prepare financial projections
Our experience at Around Finance has shown that professionally prepared financial projections and cashflow forecasts significantly strengthen grant applications by demonstrating financial viability and sustainability.
Common Pitfalls and How to Avoid Them
We have noticed a few common problems that affect grant proposals:
- Insufficient market research – Support claims with data and customer insights
- Vague technical descriptions – Be specific about your technology and its innovations
- Weak financial projections – Make sure projections are realistic and well-substantiated
- Misalignment with programme objectives – Tailor each application to the specific grant
- Poor presentation – Invest time in clear, professional documentation
Integrating Grants Into Your Business Growth Strategy
Grants aren’t something you should look at on their own; they should be a part of a bigger plan for funding and growing your tech company.
Using Grant Funding to Complement Other Financing
Tech startups that do well usually get money from more than one source:
- Grants for specific projects – Utilising non-dilutive funding for R&D and innovation
- Equity investment for growth – Raising capital for scaling and market expansion
- Debt financing for assets – Using loans for equipment and infrastructure
- Revenue-based financing – Using recurring revenue streams for growth funding
The key is timing these different funding sources appropriately. For example, using grant funding to prove technical feasibility before approaching equity investors can result in higher valuations and better investment terms.
Planning for Post-Grant Financial Management
Receiving a grant is only the beginning. Effective financial management after grant approval is essential:
- Set up dedicated tracking for grant-related expenditures
- Implement proper documentation processes for all grant activities
- Establish clear milestone reporting procedures
- Prepare for financial audits and compliance reviews
These processes guarantee you maximise the benefit of grant funding while maintaining compliance with terms and conditions.
Case Study: A Tech Startup’s Grant Journey
To help visualise an optimal grant funding pathway, here’s an example of how a fictional SaaS company might progress:
- Company: An early-stage B2B SaaS platform for construction project management
- Initial Funding: €15,000 LEO Feasibility Study Grant to validate the concept and develop an MVP
- Second Stage: Enterprise Ireland’s Pre-Seed Start Fund offers €50,000 or €100,000 in convertible loan funding to help startups develop their product and gain early customers
- Growth Phase: €200,000 HPSU investment, matched with €200,000 from angel investors, allowing for team expansion and market entry to the UK
- R&D Support: €75,000 Agile Innovation Fund grant to develop AI-enhanced features, complemented by R&D tax credits
- Outcome: The company achieved €1.2 million in annual recurring revenue within three years and successfully raised a €2 million Series A round at a favorable valuation.
This staged approach to grant funding, integrated with other financing sources, allowed the company to minimise dilution while maximising growth potential.
Strategic Partnership with Accountants
Many tech startups view accountants merely as compliance providers, but the right accounting partner can serve as a strategic advisor for your funding journey:
- Proactive identification of grant opportunities aligned with your growth stage
- Preparation of financial documentation and projections for applications
- Ongoing financial management and reporting for approved grants
- Strategic tax planning to maximise benefits from R&D tax credits and other incentives
At Around Finance, we specialise in helping tech startups integrate grant funding into their overall financial strategy, ensuring that these resources drive sustainable growth rather than just short-term projects.
From Enterprise Ireland’s comprehensive suite of support to specialised programmes targeting specific technologies and sectors, non-dilutive funding is available at virtually every stage of the startup journey.
The key to success lies not just in identifying these opportunities, but in strategically approaching the application process with well-prepared business plans, compelling value propositions, and robust financial projections. By integrating grant funding with other financing sources and implementing proper financial management practices, tech startups can leverage these supports to accelerate their growth and increase their chances of long-term success.
As specialists in financial management for tech startups, Around Finance is committed to helping innovative companies navigate this complex landscape. Whether you’re seeking guidance on specific grant applications, need assistance preparing financial projections, or want to establish the accounting infrastructure required for grant compliance, our team has the expertise to support your journey.
If you’re ready to explore how grant funding could transform your tech startup, contact us for a free consultation. We can personalise insights and strategies to your technology and growth stage.
For a comprehensive overview of all funding options available to Irish businesses, download our free guide: Every Business Grant And Support Available In Ireland
FAQs
Yes, programmes like the Competitive Start Fund specifically target pre-revenue startups with innovative ideas and global potential.
Typically 8-12 weeks from initial submission to funding decision, including evaluation and due diligence.
Yes, but ensure each application addresses the specific requirements of each programme and demonstrates how they complement each other.
Yes, all significant funding requires a business plan, though the level of detail varies by programme and funding amount.
No, Enterprise Ireland supports various tech sectors including hardware, IoT, medtech cleantech, and other innovative technologies.
Enterprise Ireland typically requires at least a 1:1 match, meaning you need to raise an amount equal to what you’re requesting.
Critical – they demonstrate commercial viability and should be realistic, detailed, and backed by market research.
Some grants permit founder salaries as eligible expenses, but restrictions and limitations vary by programme.
Most Enterprise Ireland and LEO grants require formal company registration, typically as a limited company.
You may face altered payment schedules, repayment requirements, or potential ineligibility for future funding.
There’s no fixed limit, but funding decisions consider previous support and emphasise progressive development.
We prepare financial projections, structure business plans, provide strategic advice, and ensure compliance with grant requirements.
