A NEW seed capital fund to help high-tech start ups will be launched in the North next month.
Northern Ireland Economy Minister Nigel Dodds has revealed that Invest NI, the economic development agency is currently creating the fund which will be linked to Queen's University Belfast and the University of Ulster.
The Minister announced details of the fund at InterTradeIreland's seventh private equity conference which was held in Belfast yesterday.
Mr Dodds told hundreds of delegates at the all-island conference that stimulating entrepreneurship was an important challenge for the North's government.
"The global economic environment is becoming increasingly competitive and Northern Ireland's future prosperity depends on our ability to develop a high value-added internationally competitive, export-led economy."
Invest NI and InterTradeIreland had previously joined forces to create a £10 million (€13 million)investment pot for potentially high growth businesses.
To date the Halo Business Angel Partnership has delivered £1 million in early stage funding to businesses that in turn have leveraged an additional £3 million of capital investment.
According to Liam Nellis, InterTradeIreland's chief executive, there is no lack of funding for entrepreneurs and new start-ups north or south. "We provide a lot of support and help to companies and individuals through our Equity Network Initiative.
"The initiative helps start-ups raise their game by putting it all together - from the management team to the business plan - then they can go and look for investment and this often makes the difference," Mr Nellis added.
He said InterTradeIreland's seedcorn competition has raised more than £42 million in private equity for companies - £5 million of which went to firms in Northern Ireland.
One of the speakers at the conference did have a word of warning for start-ups and entrepreneurs.
Liam Casey, chief executive of PCH International, the supply chain management company which is based in China, said venture capitalists and entrepreneurs both needed to respect each other's different perspectives.
The Ernst and Young Entrepreneur of the Year said: "Venture capitalists and entrepreneurs need to take a long-term view and they need to align themselves to what is in the best interests for both the entrepreneur and the VC [venture capitalist].
"If a VC is looking for a quick kill then this is not in the best interest of the entrepreneur - they need to be in it for the long term."
