More needs to be done for entrepreneurs

This week the Minister for Jobs, Enterprise and Innovation Richard Bruton launched the Global Entrepreneurship Monitor Report for Ireland for 2011. Today the Minister also announced that the €90million Microfinance Scheme will be open for business from next Monday, 1st October. Fine Gael spokesperson in the Seanad on Enterprise, Jobs & Innovation Deirdre Clune is welcoming this announcement. However she is calling for the necessary support to breed successful enterprises in Ireland.

“There are some positive developments in creating a culture of entrepreneurship in Ireland, for instance there has been an increase in early stage entrepreneurial activity in 2011.

“However I feel there some extremely worrying findings within this report, for example the very low rates at which people are seeing opportunities for new businesses which show no sign of increase in 2011. I am hopeful that the Microfinance Scheme will boost the numbers of people interested in becoming entrepreneurs.

“Many people who have the necessary skills and drive to set up a business feel that it is too risky in the current climate. Currently social insurance does not extend to people who are self employed, for this reason people who choose to work for themselves are extremely vulnerable. This is an issue is a high priority for the Department of Social Welfare and is currently under review.

“Men are 2.5 times more likely to be an early stage entrepreneur than women are. It is crucial that the government is addressing the male driven culture which prevails in Ireland.

“Earlier in the year a 250,000 euro Competitive Feasibility Fund was introduced targeting female entrepreneurs. This mean that women can pursue viable business ideas using their skills and experience which in turn could generate jobs and cash flow into the Irish economy.

  “The report shows that it is the highest rate noted in Ireland for business closures in the previous ten years 2.8% in 2011 compared to 1.2% in 2010 which is above the OECD or EU averages. The encouragement of entrepreneurs must be a priority but the retention of jobs is just as important in order to restore the economy.

“With this in mind, the Credit Guarantee Scheme aims to provide much-needed credit to job-creating SMEs who currently struggle to get finance from the banks to run and grow their business.

“As spokesperson in the Seanad on Enterprise, Jobs & Innovation I will continue to work with the government to ensure entrepreneurship is nurtured and prioritised in the future.”