Irish angel investment surpasses 2019 levels

Irish angel investors invested €8.38m in Irish start-ups in the first half of 2021, according to new figures from the Halo Business Angel Network (HBAN).

This is up 13.5pc on H1 2019. The number of start-ups that received funding also increased from 29 to 37.

HBAN is a joint initiative of of Enterprise Ireland, InterTradeIreland and Invest Northern Ireland.

“We have seen previously that times of crisis inspire a spirit of entrepreneurism and the first half of this year is testament to the quality of start-ups that are pitching to our angel investors”

Meanwhile, additional funds leveraged as a result of HBAN investments reached €37.9M in H1 2021 – an increase of more than 128pc on H1 2019.

At €324.5,000, the average investment made by angel groups in each funding round is also significantly higher (29pc) than the €251,000 average in 2019.

Belief in Irish innovation

Individual angels invested an average of €44,000 each, with many participating at the €25,000 range, which is more accessible for those considering their first angel investments.

The promising start to 2021 means that since HBAN’s inception in 2007, start-ups on the island of Ireland have now raised more than €400m in funding from HBAN angels and other funding sources that HBAN helped them to leverage.

“We are delighted to report that angel investment is growing on the island of Ireland, despite the challenges that the Covid-19 pandemic continues to bring to businesses and investors,” said John Phelan, all-island director of HBAN.

“We have seen previously that times of crisis inspire a spirit of entrepreneurism and the first half of this year is testament to the quality of start-ups that are pitching to our angel investors. To maximise potential returns for our angels, each company is assessed and mentored by our team to ensure that they are investor-ready before pitching.

“Aside from the funding, the increase in angel activity is a good sign for start-ups in Ireland, as angel investors also offer industry-specific guidance and contacts that are so vital for businesses in their early years.

“Angel investment is also important in helping start-ups to leverage funding from additional sources that they wouldn’t otherwise have access to. We are very excited to pass the €400m milestone and look forward to reaching half-a-billion in the near future.”

Main image: John Phelan, all-island director, HBAN

John Kennedy
Award-winning ThinkBusiness.ie editor John Kennedy is one of Ireland's most experienced business and technology journalists.

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