News

Colateral a Redruth based software company, has raised a £1.45 million Series A round of investment, including £600,000 equity investment from the Cornwall and Isles of Scilly Investment Fund (CIOSIF). The deal will create 34 jobs over the next three years. The package includes funding from existing corporate investor, SMP Group PLC, and £250,000 via The FSE Group Investor Network.

The FSE Group is the appointed CIOSIF fund manager. Colateral has created a market-leading Software-as-a-Service (SaaS) platform, enabling retailers and brands to manage their In Store marketing campaigns, cutting waste and driving increased sales. The new platform, hailed as ‘something the industry has been trying to build for 20 years’, already has an impressive client list boasting some of the UK’s leading retailers including Tesco, Waitrose, Mothercare, Paddy Power and WH Smith.

Robert Salvoni, Colateral Chairman, said: “Managing in-store marketing is a massive headache for central marketing teams and somewhere between 20% and 50% of assets and resources are simply wasted. Colateral enables reduction in cost and time, whilst massively improves targeting and therefore sales and return on marketing spend. “Our software offers an end-to-end solution, supporting and streamlining every stage, from building the initial campaign, managing the operation, through to post-event analysis. We are delighted to have received this funding from CIOSIF and our private investors, which will enable us to grow the team to support expansion in the UK and overseas, and to further develop the product.”

Ralph Singleton, Senior Fund Manager at The FSE Group, said: “Having produced a unique solution that fills a market gap so well, Colateral has positioned itself to take advantage of a global opportunity worth an estimated £120bn per annum. We are thrilled to be supporting this innovative company at such an exciting time in its development.”

Ken Cooper, MD at British Business Bank, said: “CIOSIF was launched to support innovative, fast growing companies across Cornwall. It is good to see that investment in Swoop will support the creation of new jobs in Cornwall over the next three years.

Cornwall & Isles of Scilly LEP non-executive director, John Acornley, added: “Colateral is an example of Cornish tech business operating in a global market. This investment will extend their use of algorithms and machine learning and see the integration of artificial intelligence into their product. The use of AI and data is a cornerstone of the Government’s Industrial Strategy and it’s vital that we invest in the industries of the future.”

CIOSIF is a £40m fund providing debt and equity finance from £25,000 to £2 million to help growing small businesses across the region. It has been established by the British Business Bank in partnership with the Cornwall and Isles of Scilly Local Enterprise Partnership (LEP). CIOSIF is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020. Further investment has come from the Cornwall and Isles of Scilly LEP and HM Government. For more information about the Cornwall & Isles of Scilly Investment Fund including how to apply, please visit www.ciosif.co.uk or follow the fund on Twitter at @CIOSIFBBB2

A Technology platform that specialises in linking wholesale food suppliers with restaurants has successfully completed a funding round. The investment comes from the Thames Valley Berkshire Growth Fund, managed by The FSE Group and includes further investment from high profile private angel investors.

GoKart based in Reading, Berkshire, have developed an app that allows restaurants to order high quality ingredients from vetted suppliers in a quick and easy way. The company offers restaurants a saving of up to 20% on their ingredients by combining their buying power within the app. This gives independent restaurants and small and medium sized chains the same prices and discounts that are offered to larger chains.

Anx Patel, CEO & Founder, GoKart comments, “In my previous role in the food industry I became increasingly frustrated at the advantage enjoyed by chain restaurants. They can order produce in huge quantities, thereby accessing discounts and quick delivery that the independents have no hope of enjoying. With the cost of produce constantly rising and the effects of Brexit heavily affecting the food and beverage sector, we understand the pressures that food businesses face on a day to day basis. It is our aim for GoKart to be the go-to point in helping restaurants prosper by saving them time and money when ordering ingredients at the best prices.”

Simon Labahn, Fund Manager at The FSE Group, who manage the Thames Valley Berkshire Growth Fund on behalf of the Thames Valley Berkshire Local Enterprise Partnership, says, “GoKart received phenomenal support early on in 2016 from Just Eat’s Food Tech Accelerator Programme. The programme allowed Anx and his team to benefit from advice, insights and funding from industry experts. Since then, the company has continued to grow and work tirelessly to perfect their platform. We were immediately impressed by the company’s highly experienced management team and their ability to analyse a high volume of data. Access to such valuable data and a team with the skills to analyse it means GoKart is able to learn, adapt and lead the way in identifying the latest trends. We are excited for the future of GoKart and wish Anx and his team every success.”

TVB Growth Fund is part of Thames Valley Berkshire Funding Escalator, an £11.3m initiative funded by Thames Valley Berkshire LEP to support job creation and economic prosperity in Berkshire. The escalator, which also includes four separate loan schemes, provides eligible companies – from start-up to established – with loans and equity funding between £50,000 and £300,000 for activities that will deliver high-growth and employment opportunities.

A Liskeard- based furniture manufacturer is the latest company to be supported by the Cornwall and Isles of Scilly Investment Fund (CIOSIF). Peadidit, set up in 2018, have successfully secured £25,000 in funding, which will allow the company to increase production capabilities with the purchase of new equipment and will also enable them to scale-up their team, in order to meet the growing demand for their products.

The company has clients across Cornwall and Devon, focusing on made to measure outdoor and indoor furniture, fitted furniture, and free-standing furniture pieces.

Peadidit owner Jonathan Peabody, said: “We strive to build furniture that defines our customers’ style and meets their requirements. As a new and growing business obtaining finance for growth is crucial for us to succeed and achieve our goals. We are thrilled to be able to secure this CIOSIF loan, which has already enabled us to invest in the construction of a spray booth for in-house finishing of products.”

Grant Peggie, Director at the British Business Bank, said, “For any new business without a trading record it can be hard to secure the finance they need to grow. CIOSIF can make a real difference in helping to support small growing businesses across Cornwall to access funding they need which might not be available from traditional sources. The British Business Bank is pleased to be delivering £40m of funding through the Fund and providing finance from £25,000 up to £2m.”

The Peadidit deal was handled by SWIG who are working with The FSE Group to deliver on the small business loans part of the fund. SWIG’s Finance Business Manager Mike Wall said: “We are delighted to add Peadidit to the portfolio of companies supported by the Cornwall and Isles of Scilly Investment Fund. Jonathan is a highly skilled individual who has over 25 years industry experience. We look forward to working with him and his newly recruited team on this new venture and wish them all the success for the future.”

LEP non-executive director John Acornley, who chairs the CIOSIF Advisory Board, added: “This latest deal shows how the investment fund can widen choice and remove barriers to growth. I would urge other growth-minded businesses to consider whether it could be right for them.”

CIOSIF is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020. Further investment has come from the Cornwall and Isles of Scilly LEP and HM Government. For more information about the Cornwall & Isles of Scilly Investment Fund including how to apply, please visit www.ciosif.co.uk or follow the fund on Twitter at @CIOSIFBBB2

Advanced Ophthalmic Systems (AOS), a MedTech company specialising in pioneering and advanced software for the ophthalmic industry is the latest company to be supported by the Coast to Capital Growth Equity Fund. The Croydon based venture successfully completed the funding round which includes angel monies facilitated by The FSE Investor Network.

AOS has spent 3 years developing over 200+ algorithms and in the back end of last year they released their first digital analytics software product, AOS Anterior. The AOS Anterior automatically assesses multiple eye pathologies with Gold Standard accuracy & repeatability. The software has been developed to be visually informative and striking, allowing opticians to increase customer engagement and understanding during examinations, whilst decreasing the amount of time patients need to sit in the chair.

All results are provided instantly, with simplified reporting to assist with future follow up visits and the in-built reporting function generates a fully customisable report for each patient. The funding will enable AOS to expand its already impressive team in both the business development and product development departments. This will give the company the manpower it needs to cement itself as one of the leaders in the eye health sector.

Dr Eduardo Mangieri, CEO at Advanced Ophthalmic Systems, explains, “Our target is to provide innovative solutions in the ophthalmic market for the early detection and monitoring of various pathologies.  Our technology provides automatic ophthalmic diagnosis by delivering objective, digital imaging analytics during optical appointments. This increases patient understanding and more importantly reduces appointment times, leading to a far more punctual service.”

Avent Bezuidenhoudt, Senior Fund Manager at The FSE Group, “We are delighted to be supporting AOS in this funding round. The company have developed a state-of-the-art product that will have such a positive impact for current and future ophthalmic patients. We are excited to see what the future holds for Eduardo and his team and look forward to working with them to achieve their goals.”

The Coast to Capital Growth Equity Fund is part of the Coast to Capital Funding Escalator, a £5million initiative funded by Coast to Capital Local Enterprise Partnership. The escalator, which also includes an expansion loan scheme, provides eligible companies with loans and equity funding between £50,000 and £500,000 for activities that will deliver high-growth and employment opportunities across the Coast to Capital region.

The Cornwall & Isles of Scilly Investment Fund (CIOSIF) has completed its first equity investment with a £750,000 equity stake in wireless internet service provider Wildanet, based at Goonhilly Earth Station, through appointed fund managers The FSE Group. The investment is being match-funded by the FSE Angel network, private investors and Crowdcube as part of a £1.5m package. It will support Wildanet’s continued expansion across Cornwall and into Devon, targetting 12,000 new customers and creating an estimated 39 jobs over the next three years. Wildanet uses state of the art wireless radio technology to provide superfast broadband in hard to reach rural areas, with a guaranteed minimum speed of 30Mb/s, up to lightning-fast 1Gb/s.

Jake Berry MP, Minister for Local Growth, said: “Access to superfast broadband is vital to economic growth in our rural areas and this project will open the door to digital services for thousands of people across Cornwall. Harnessing the innovation of British business to grow prosperous communities is at the heart of this investment, and the Government’s modern Industrial Strategy.”

Ian Calvert, CEO and founder of Wildanet, which was set up in January 2017, said: “There is a real opportunity for us to radically improve connection speeds for homes and businesses across Cornwall currently experiencing low bandwidths. The funding from CIOSIF and our match funders will allow us to expedite our growth strategy and bring reliable superfast broadband to hard to reach areas.”

Ken Cooper, Managing Director, at the British Business Bank, said: “We are delighted that the fund’s first investment will not only create jobs but will also bring improved connectivity for homes and businesses, which is good news for productivity and growth. This deal is a great example of how the CIOSIF can leverage other investment to help growth-minded businesses realise their potential.”

LEP non-executive director John Acornley, who chairs the CIOSIF Advisory Board, said: “Wildanet is a young tech start-up with ambitious growth plans and has developed its own technology to plug a clear gap in the market. CIOSIF was set up to encourage entrepreneurship and tackle a shortfall in start-up, early stage and development capital in the region, so we’re delighted with this first investment and wish Wildanet every success.”

Ralph Singleton, Senior Fund Manager, FSE Group, added: “Wildanet is helping to close the digital divide in rural areas by offering households and businesses across the county access to the same digital services as other parts of the UK. With a depth of industry experience gained with major players in the telecom sector, the management team are well-positioned to exploit this opportunity while helping to drive forward the regional economy in the process.”

The £40m Cornwall & Isles of Scilly Investment Fund provides debt and equity finance from £25,000 to £2 million to help growing small businesses across the region. It has been established by the British Business Bank in partnership with the Cornwall and Isles of Scilly Local Enterprise Partnership (LEP), and is operated by appointed fund managers FSE Group. CIOSIF is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020. Further investment has come from the Cornwall and Isles of Scilly LEP and HM Government. For more information about the Cornwall & Isles of Scilly Investment Fund including how to apply, please visit www.ciosif.co.uk of follow the fund on Twitter at @CIOSIFBBB2