Firms benefit from £3m in funding

2009-08-13
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A Government-backed scheme providing funding for innovative small businesses is investing a total of £3 million in two technology firms in Nottingham and Glasgow.

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A Government-backed scheme providing funding for innovative small businesses is investing a total of £3 million in two technology firms in Nottingham and Glasgow.

Business Secretary Lord Mandelson announced that East Midlands firm KeTech will receive £2 million from the Capital for Enterprise Fund, while Glasgow-based Vamosa - which provides IT systems to businesses and the public sector - will receive £1 million.

Lord Mandelson said: "Ambitious and innovative businesses like these are the lifeblood of the economy but tough credit conditions can make it difficult for them to invest in their future. The Government is committed to ensuring that viable companies have the finance they need to grow".

The £75 million Capital for Enterprise Fund was created to help viable small and medium-sized businesses secure investment as part of the Government's industrial strategy, New Industry New Jobs.

KeTech Group Chief Executive John Kearney said: "Since the current economic crisis began, the lack of available credit, even to viable businesses such as KeTech, has significantly impaired our ability to keep growing. As a result, we turned to the Government for help.

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