IVCA reports venture capital decline for scaling firms [Video]

Funds invested into Irish SMEs amounted to €1.35bn in 2023, or 2% up on the previous year, according to the Irish Venture Capital Association (IVCA) VenturePulse report, published in association with William Fry.

However, funding for the fourth quarter fell by 16% year-on-year to €204m.

IVCA chairperson Denise Sidhu said the first half of 2023 was extremely strong, with €960m of investment, but the H2 tally was much weaker, at €390m.

“This is not totally surprising in a year where VC funding globally fell by 38% in 2023,” said Sidhu. “It was a positive year and last quarter for start-ups looking to raise less than €5m, but it was far more challenging for firms seeking larger amounts.”

Funding in the €3m to €5m range increased by 36% to €40m in the final quarter compared with the same period in 2022. Deals in the €1m to €3m category grew 170% to €64m, deals below €1m grew by 8% to €8.6m, while seed funding increased …