Firms missing out on share of £40m in pot
More than £40 million in grants and loans are available for businesses across the West Midlands – but many firms don't even know the money exists.
Today the Express & Star can reveal how companies across the region are desperate to expand but either don't know that money is available to help them or face the nightmare of red tape and regulation if they do.
Cash has been set aside in the Government's regional growth fund programme for firms which are struggling to get money from the banks.
But ministers have been told that many smaller firms are still unable to access finance despite Government attempts to encourage lending.
A report by a committee of MPs said the Treasury and the Business Department had not done enough to raise awareness among small and medium sized companies of the financing options available to them.
Margaret Hodge, the MP who chairs the parliamentary public accounts committee, said: "Small and medium-sized enterprises have a vital role to play in driving the UK's economic recovery, but despite Government attempts to encourage lending many still struggle to access the finance they need."
Now a new drive is being launched to make it easier to help firms access cash by the Black Country Local Enterprise Partnership.
The partnership is made up of business people and the heads of the four local authorities in Wolverhampton, Walsall, Dudley and Sandwell.
The application process has been simplified and all the information companies need is now on the partnership's website.
The value of the money is easy to see.
In Dudley, Petford Tools managed to get £720,000 through the Regional Growth Fund to support a two-year expansion plan at the toolmaking firm.
It has been able to buy a new site and invest in new equipment for its existing factory.
And Trac Tooling received cash to enable it to bring together its operations in Wolverhampton and Wednesbury into one business, alongside a £500,000 investment from the company itself.
Firms in the region are also able to access cash through the Green Shoots Fund launched by the Express & Star and the University of Wolverhampton.
Backed by £1.4 million from the Government's Regional Growth Fund, Green Shoots is making awards of between £10,000 and £50,000 for capital investment projects at local small and medium-sized businesses as well as advice from experienced coaches and mentors.
