Enterprise Ireland and AIB have announced a joint €30 million seed capital fund to help new companies get off the ground.
Minister for Enterprise Micheál Martin unveiled the fund, which is the first to be established under Enterprise Ireland's Seed and Venture Capital Scheme 2007-2012.
Under this scheme, the agency invests €175 million in ventures along with private investment and plans to generate total funding of €1 billion in start-up, early stage and development stage businesses.
AIB and Enterprise Ireland are equal partners in this venture, and each will invest €15 million in the fund, which is to be managed by Dublin Business Innovation Centre and Enterprise Equity.
The average initial investment made in businesses by the fund will be around €250,000 although smaller investments of around €100,000 will also be evaluated.
It is expected that the fund, which has an economic life of seven years, will make some 50 to 60 investments.
The fund will focus on early-stage businesses, particularly high potential start-ups in knowledge intensive sectors.