InvoRed to Help Fund Startups

New £13M business initiative developed by Connect Midlands aims to help 90 technology startups in telecoms and health care raise money

June 27, 2003

2 Min Read

COVENTRY, U.K. -- A flagship business scheme launched yesterday aims to help around 90 start-up companies and entrepreneurs raise investment funding of more than £13m over the next 3-5 years. The scheme covers the entire range of technology start-up companies, from telecommunications and optical fibres, to computing, pharmaceuticals, healthcare and biotechnology.

InvoRed, developed by Connect Midlands, a business advisory network – and backed by East Midlands Development Agency (emda) and the ERDF (European Regional Development Fund) - is designed to provide technology companies, or even innovators with technology-based ideas and plans, with access to expert help to attract investors.

It was launched at the East Midlands Conference Centre in Nottingham to an illustrious audience of over 110 people consisting of entrepreneurs, business and civic leaders and potential investors. The InvoRed programme will cover the entire East Midlands region.

“Many technology companies with growth plans fail to raise the necessary finance because they are not ‘investment ready’,” said Connect Midlands Director Isabell Majewsky.

“This can be because of a multitude of reasons such as a lack of awareness as to financing options, or not understanding the expectations and requirements of investors. InvoRed changes all that and will give the region’s growth-hungry technology companies the knowledge they lack to attract the cash needed to fulfil their ambitions.”

The launch event was chaired by East Midlands Development Agency Deputy Chief Executive Jeff Moore. In his key note speech he pointed out that the East Midlands Development Agency believed that 80% of all new jobs created between now and 2010 in the region would come from businesses which don’t currently exist.

Schemes like InvoRed would help East Midlands Development Agency increase its new business starts a year from 30,000 to 34,000.

“Connect Midlands is playing an increasingly important role in the region,” he said. “They have had some great results and have helped technology companies raise £12m of new equity to finance growth since 2001.”

Mr Moore explained how the InvoRed programme would help businesses and entrepreneurs realise their potential and in the process create wealth and employment for the region. The support would come via a flexible programme of seminars, workshops and one-to-one coaching.

InvoRed’s East Midlands’ campaign will be co-ordinated from a regional headquarters based at the Loughborough Innovation Centre. It will support organisations at all stages. Companies already in existence and looking to grow will receive help to attract investment of up to £3m, and it can help those at the pre-incorporation stage attract funding of up to £500,000.

The launch event took the form of a Business Forum, where companies are assessed by a panel of experts. Receiving assessment on its investment readiness was Nöstrad, an IT Asset company from Metheringham in Lincolnshire and Haemostatix, a revolutionary biopharmaceutical spin-off from Leicester University that develops synthetic blood platelets.

Connect Midlands

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