CAPITAL: A company needs money (capital) to cover the costs of building a factory, buying the raw material, paying the workers, covering transport costs and much more. This money can come from banks, investors or the government.
GOVERNMENT AND EU POLICY: The Irish government has a number of agencies that help companies setting up in Ireland, or Irish companies setting up abroad. They do this by giving loans or grants (money that does not have to be paid back) to companies to help them.
PERSONAL PREFERENCE: A person setting up a new business or building a new factory may wish to do so where they live or in a location they prefer. They do this for a number of reasons, e.g. to bring employment to their local area.
Industrial estates
An industrial estate is an area of land developed as a site for a number of factories and businesses. It may include existing buildings ready for industries to move in to and use.
Industrial estates are usually located on the edges of towns or cities, close to transport links. They provide good access to services (e.g. electricity, waste disposal, high-speed internet connection) needed by the various companies that locate in them. An industrial estate can also be an ideal location for linkage industries that rely on each other.
Can you name an industrial estate in your local area? What kind of industries are located in the industrial estate?
