SMEs given funding boost in Wales

IN: Business news

There's been further good news for small and medium-sized enterprises (SMEs) in Wales looking to create growth and wealth over the next few months after the government launched a new funding scheme.

undefinedIndeed, the Wales Economic Growth Fund is to assist around 200 businesses across the country with £30 million of funding, making their financial lives easier and helping them to create upwards of 3,000 new jobs.

This represents the second phase of the scheme, after more than £100 million was sought after by firms in the first stage. Ministers revealed that 119 SMEs were helped with £31 million of funding, leading to the generation of 1,800 positions.

Now, it is looking for further growth as it sets its sights on economic growth and greater stability in the jobs market.

Business minister Edwina Hart explained that this issue is top of the government's agenda and "reinforces our commitment to support business growth".

"It will act as an economic stimulus and provide the capital that businesses in Wales need to invest in new equipment, grow their companies, win new contracts and create jobs and wealth," she noted.

"The Economic Growth Fund, which first opened for business in 2012, has proved to be a highly successful intervention by the Welsh government. It provides fast track access to finance when traditional methods of funding are no longer readily available."

Small firms looking for between £50,000 and £100,000 in funding will need to register their interest between March 1st and April 5th, with detailed applications to follow between May 3rd and 31st.

For medium-sized businesses looking for more than £100,000, an additional round will open this autumn.

This, of course, is likely to be of huge help to businesses that are struggling for cash flow as a result of late payments.

The UK government recently announced that it will be attempting to tackle the problem by launching a Prompt Payment Code, encouraging quick payments to and from suppliers.

With improvements in this area, businesses of all sizes could be set for an easier year in 2013.

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