Investment scheme overhauled
Published 25/11/2010 | 05:00
THE scheme which encourages investment in Irish manufacturing companies is to get the biggest overhaul in its 26-year history.
The existing Business Expansion Scheme (BES) will be replaced with a "new and better-focussed" Business Investments Targeting Employment Scheme to be known as BITES next year.
It is part of the Government's plans to help small and medium-sized business.
The Government is reacting to the declining popularity of the old BES schemes over the past few years.
Small companies often complain that the existing scheme is too complex and does not provide enough money.
The plan promises a simple and efficient certification process will be introduced. The maximum amount that can be raised by companies in a 12-month period will be increased "significantly", as will the lifetime amount that can be raised per company.
One important caveat is that the change will have to be approved by European Commission, something that is not a given.
This caveat probably explains why details about the new Business Investments Targeting Employment Scheme are still vague and are not likely to be made public for some time.