Start-Up Grants in Ireland: LEO Grants, Eligibility and Whether to Incorporate First
Priming, Feasibility and Grow Digital grants from your Local Enterprise Office explained: who qualifies, what they pay, and if you need a company first.
- Author
- Abbey Blue Formations
- Published
- Reading time
- 6 min read
Most guides to start up grants Ireland hand you a long list of schemes and leave you to work out the rest. The harder question is whether your business qualifies at all, and whether you need a limited company before you apply.
This guide starts with eligibility, then walks through the main grants from your Local Enterprise Office (LEO), the Enterprise Ireland routes for high-growth companies, and how your business structure and bookkeeping affect your application.
What start-up grants in Ireland actually cover
Most small business grants Ireland offers are not repaid like a loan, but they rarely cover the full cost of a project. LEO grants are usually capped at 50% of eligible costs, so you fund the rest.
Grants are paid after you spend. You buy the equipment or hire the consultant, then claim the grant portion with invoices and bank statements. Spending before approval is generally not eligible, so apply first and spend second.
Check your eligibility first
Check these points before you spend hours on a business plan.
- Sector: LEO grant aid is aimed at manufacturing and internationally traded services. Retail, personal services (such as hairdressers), professional services (such as accountants), construction and local services are not eligible.
- Size: most LEO grants are for micro-enterprises with no more than 10 employees.
- Timing: the Priming Grant is only for businesses in their first 18 months.
- Tax clearance: you will need a current tax clearance certificate before any grant is paid out.
If you fail the sector test, LEO mentoring and training are still open to you.
Local Enterprise Office grants explained
Feasibility / Innovation Grant
The feasibility grant helps you test an idea. It can cover market research, consultancy, technical development and prototyping. It pays 50% of eligible costs in the Southern and Eastern region, or 60% in the Border, Midlands and Western region, up to €15,000.
Priming Grant
The priming grant is the main start-up grant. It is for micro-enterprises within the first 18 months of starting, with up to 10 employees. It can pay up to 50% of the investment, to a maximum of €80,000, or up to €150,000 in certain cases. Salary support is capped at €15,000 per full-time job created, and the grant cannot buy buildings, land or mobile assets.
Business Expansion Grant
Once you are past the 18-month start-up stage, the Business Expansion Grant supports growth on similar terms: up to 50% of the investment, capped at €150,000. If you received a Priming Grant, you must wait 12 months from that approval before applying.
Grow Digital Voucher (replaced the Trading Online Voucher)
If you are searching for the trading online voucher, it no longer exists. It was replaced by the Grow Digital Voucher, which covers 50% of eligible costs, from €500 up to €5,000. It funds off-the-shelf software subscriptions (e-commerce, CRM, online booking, cloud accounting), plus training and set-up.
Anyone looking for a leo website grant should note that custom website development is not eligible. The voucher is open to small businesses with 1 to 50 paid employees that have been trading for at least 6 months and hold current tax clearance.
Enterprise Ireland and other routes
Enterprise Ireland focuses on High Potential Start-Ups (HPSUs): businesses capable of creating 10 jobs in Ireland and reaching €1 million in annual sales within three years. Its Pre-Seed Start Fund offers investment of up to €100,000 for founders with a minimum viable product.
- Microfinance Ireland: loans from €2,000 to €50,000 for businesses with fewer than 10 employees that cannot get bank finance.
- Back to Work Enterprise Allowance and Short-Term Enterprise Allowance: for people moving from a jobseeker's payment into self-employment. Ask your local Intreo centre.
Sole trader or limited company: does it affect your grant?
LEO funding is open to sole traders, partnerships and limited companies, so you do not need to incorporate just to apply.
Enterprise Ireland's HPSU supports and Pre-Seed Start Fund invest in companies, and outside investors expect shares to invest in. Our guide to sole trader vs limited company covers the wider trade-offs.
If you plan to incorporate, do it before you apply, so the company is the applicant and holds the tax clearance. Read our guide to switching from sole trader to a limited company, and check the cost to set up a company before you budget. The company will also need its own account, so read our guide to opening a business bank account.
How to apply and what to prepare
Most LEOs start with a short eligibility check, then a full application reviewed by an evaluation committee. Have these ready:
- A business plan you have written yourself, with clear targets.
- Financial projections, typically for three years.
- Quotes for every cost you want funded.
- Recent accounts or management accounts, if you are already trading.
- Tax clearance for the applicant.
- CVs for the founders.
Our bookkeeping packages keep your invoices and bank records ready for a grant claim. Founders who also invest their own money may want to look at SURE start-up relief.
Frequently Asked Questions
Can I get a grant to start a business in Ireland?
Yes, if your business fits the rules. Start up grants Ireland founders use most come from the Local Enterprise Office, mainly the priming grant and feasibility grant. Your business generally needs to be in manufacturing or internationally traded services, with 10 or fewer employees. Retail, construction, personal and professional services, and local services are excluded.
What grants are available for small businesses?
The main small business grants Ireland offers through LEOs are the Feasibility/Innovation Grant, the Priming Grant, the Business Expansion Grant and the Grow Digital Voucher. High-growth start-ups can approach Enterprise Ireland. Microfinance Ireland provides loans, and Intreo runs enterprise allowances for people leaving a jobseeker's payment.
Do I need to register a company before applying for a LEO grant?
No. The Local Enterprise Office funds sole traders, partnerships and limited companies. If you plan to incorporate anyway, do it before you apply so the company is the applicant from day one. Enterprise Ireland's start-up investment is aimed at companies, so incorporation matters more on that route.
Do start-up grants have to be paid back?
Grants are not loans, but they come with conditions in your letter of offer, such as creating the agreed jobs or completing the project. If you do not meet them, part of the grant may have to be repaid. Some offers include a repayable element, so read the terms before you sign.
Is the Trading Online Voucher still available?
No. The trading online voucher has been replaced by the Grow Digital Voucher. It pays 50% of eligible costs, between €500 and €5,000, for off-the-shelf software, training and set-up. If you wanted a leo website grant for a custom-built site, that is not covered, so check with your LEO before getting quotes.
Ready to incorporate before you apply?
If a limited company is the right structure for your grant plans, we can have it set up quickly with CRO filing, tax registration and a company secretary included. Click here to price your company formation in under a minute, and ask us about bookkeeping so your grant claims are backed by clean records.