UCD: Ireland. VC Backed Tech Firms Central To Knowledge Economy

From Business Plus Online:

"The study said that high tech companies accounted for 84% of all Irish VC investment in 2005. This is the highest technology weighting in Europe where the average is 17%. "



23/03/07: A new report by the Centre for Entrepreneurial Studies in UCD has found that venture capital backed firms continue to provide the impetus for development of a knowledge based economy


The study said that high tech companies accounted for 84% of all Irish VC investment in 2005. This is the highest technology weighting in Europe where the average is 17%. The report finds that on average, VC backed firms are about ten times the size in terms of revenue and employment at the exit stage compared to the time of the initial venture capital investment.

It found that VC backed firms increased employment in 2005 by 39%, significantly up from 14.6% in 2004. The 2005 increase compares to an overall increase in employment in the economy of 5.1%.

This is the second in depth study into the economic impact of venture capital in Ireland to be carried out by the Centre for Entrepreneurial Studies in UCD under Professor Frank Roche and Vincent Sheehan.

Commenting on the findings, Roche said:

"At a time when we are seeing closure and cut backs by international firms seeking lower cost centres, there is little doubt that indigenous VC backed firms have an important role to play in creating high value, knowledge based jobs in line with public policy objectives. They grow faster, create more employment, export more and invest more in R&D and in sales and marketing than other indigenous firms".

Other findings included:

• Graduates represent 74% of the workforce of VC backed firms. In 2005 graduate employment in these companies increased by 25%, compared to a 15.4% increase reported in 2004.
  
• VC backed companies are growing fast, with revenues increasing in 2005 by 34.1% to €1.95 billion.
  
• VC backed companies raised €211m in 2005 compared to €242m in 2004. 34% of this capital was invested in start up and early stage companies compared to a European average of 23%.
  
• Expenditure on R&D by these firms increased by 33.7% in to €89m compared to an increase in BERD (Business Expenditure on Research & Development) from indigenous companies of 11%.
  
• Irish high tech VC backed firms are highly export focused. They export 63% of revenues compared to 33% in the case of UK software and computer companies.
  

While the stats are useful they are based on 2005 data. Whats the info on 2006 and 2007 up?
Certaintly 2007 doesn't look too good with VC money slackening off.

Lal

NovaUCD Entrepreneurs Live seminar- Apr 2007 - Dublin, IRL

from Business Plus online mag

Yep - I know its past, as it gone, over, done, dusted...
anyone go to it, any feedback ?


04/04/07: Benchmark Capital partner and Bebo director Barry Maloney was the first guest speaker at the NovaUCD Entrepreneurs Live seminar series


Maloney advised entrepreneurs to "set themselves ambitious goals which will require sacrifices, to hire the best and to never ever give up".

The Entrepreneurs Live seminars will bring leading Irish entrepreneurs talk about their experiences of setting-up and running their businesses. During each seminar attendees have the opportunity to ask questions of the guest speaker. The series continues each Tuesday lunch time (1 pm to 1:50 pm) until April 24 in the William Jefferson Clinton Auditorium, at UCD and attendance is open to all.

Three other Irish entrepreneurs will be speaking at the series: Oliver Tattan, founder and chief executive of Vivas Health; Garry Moroney, founder of Similarity Systems; and Dermot Lawton, director of eBay European Services.

The series is being organised by UCD technology transfer centre NovaUCD with the backing of Dún Laoghaire-Rathdown County Enterprise Board.

Commenting on the event, NovaUCD director Dr Pat Frain said: "The Entrepreneurs Live seminars attract a large and diverse audience and stimulate a lively and enthusiastic debate on issues relating to entrepreneurship and innovation and the establishment and development of technology-based companies. The level of interest at these seminars is evidence of a growing culture of entrepreneurship at UCD which augurs well for Ireland's ability to generate the new knowledge-intensive and innovative enterprises which are critical for the sustained development of Ireland's knowledge-based economy".

Lal