News: Supporting female founders in South Yorkshire

The first cohort of female founders of tech businesses from South Yorkshire are benefiting from dedicated support to help them start, grow and scale.

TECH SY, a programme funded by the South Yorkshire Mayoral Combined Authority (SYMCA) to grow the region’s tech ecosystem, has developed a new initiative called The FoundHERy.

With funding from the Department of Science, Innovation and Technology (DSIT) and the British Business Bank, the launch follows a report that tells us that female-founded businesses outperform, generating twice the revenue per £1 invested, showing stronger valuations and faster growth. In six years, the estimated valuation of female-led companies has increased to £198m. Female founders also say that community, visibility and connection remain central to their journey — but barriers like funding access and systemic inequity persist.

FoundHERy is a pilot programme aimed at female tech founders at start-up, early growth and scaling stages. The programme comprises an eight-week intensive support period, a curated mission to London Tech Week, one to one support, group accountability calls, bespoke support to address a core challenge, connectivity with investors and a final pitch event with investors.

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Tracey Johnson, Project Director for TECH SY, said: “South Yorkshire has a strong and growing community of women building ambitious tech businesses, but we know there is more we can do to support them to scale. The FoundHERy is a practical response to that challenge, providing targeted support, stronger networks and the confidence founders need at key moments in their journey.

“It also marks an important first step in a broader commitment to strengthen support for women in tech and investment across the region, helping to build a more inclusive and investable ecosystem where talent from South Yorkshire can thrive.”

South Yorkshire’s Mayor Oliver Coppard added: “South Yorkshire has everything it takes to be one of the UK’s leading places for innovation - but we know we won’t reach our full potential unless everyone has the chance to succeed.

“Female founders across our region are already building brilliant tech businesses, but too often they don’t get the same access to investment, networks or opportunities as men. That’s not just unfair - it holds our whole economy back.

“The FoundHERy is about changing that dynamic. It’s about backing talented founders, opening doors, and making sure South Yorkshire is a place where anyone with a good idea and the drive to succeed can build a great business. That’s how we create good jobs, grow our economy, and build a stronger, more equal region for everyone.”

The first cohort brings together female founders and co-founders from across South Yorkshire working at the forefront of tech, spanning robotics, quantum sensing, software and data platforms, biotechnology and digital health solutions.

Tracey Johnson,added: “This cohort is packed with expertise and knowledge spread across a diverse set of sectors and skills. From quantum, to robotics, to medtech and everything in between, we’re proud to have them on board the FoundHERy.”

TECH SY website

Images: TECH SY

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News: Rotherham manufacturer bucks trend with year-on-year growth after securing NPIF investment

Rotherham-based manufacturer Casting Technology International (CTI) has bucked the trend with continued year-on-year growth two years on from its management buyout and its significant loan from NPIF – Mercia Debt Finance, which is managed by Mercia and part of the Northern Powerhouse Investment Fund. The investment was also backed by the Coronavirus Business Interruption Loan Scheme (CBILS).

Based on the Advanced Manufacturing Park (AMP) in Rotherham, Cti is the world’s leading provider of production, innovation, technology, expertise and services to the cast metals sector.

CTI’s turnover grew from £6m to £7.2m from 2021 to 2022 and is expected to grow significantly by the end of the year, which was driven by new client acquisitions and contract wins.

The company, which celebrates its 100-year anniversary this year, is also committed to creating more opportunities for women after a new report by Engineering UK highlighted the gender disparity in undergraduate engineering and technology degrees. The report revealed 115,000 more girls would need to study A-Level maths and physics each year to bridge the divide.

Since 2021, the foundry has grown staff numbers by 35 per cent. As part of its plans to address the skills gap in STEM, CTI will look to create 12 new apprenticeship roles in the next three years.

Funding from NPIF was used to bolster its world-class manufacturing facility to produce one of the world’s largest ever titanium parts poured into a ceramic mould for a Japanese customer. The funding also helped boost product development, and to expand its sales and marketing infrastructure and resources.

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To help mark its 100-year milestone, Louis Taylor, the newly appointed CEO at British Business Bank, paid a visit to CTI’s facility to find out more about the firm’s plans in the region.

Louis Taylor, CEO at British Business Bank, said: “CTI is a prime example of high-quality British manufacturing. I am proud that the Northern Powerhouse Investment Fund, backed by the CBILS guarantee programme, and our fund managers at Mercia have been able to support the management team through a period of exceptional growth. CTI has been a key part of Rotherham’s manufacturing scene for almost a century and has demonstrated true resilience in response to the various headwinds that sector has faced. Its commitment to supporting the next generation of women coming into this sector is remarkable, and I’m looking forward to seeing what’s in store for the business in the years to come.”

Kevin Parkin, chairman at Casting Technology International, said: “We’ve been at the heart of manufacturing in the UK for 100 years, and funding from NPIF and Mercia has helped ensure that we’ll continue this legacy for years to come. We know the value of future investment into R&D and new technologies which is why we’re focusing heavily on that part of the business this year as we seek out new opportunities to grow. We’re also committed to increasing equality, diversity, and inclusion amongst our workforce, and our pipeline of apprenticeship schemes will be a key part in reaching that goal.”

Paul Taberner, managing director at Mercia, said: “CTI is a great example of the role NPIF and CBILS can play in enabling an SME to achieve its strategic ambitions. Working alongside its primary funders, Mercia was delighted to support the company in achieving the next step in its evolution and is equally delighted to see the progress made since the MBO, in particular the creation of new highly-skilled jobs and the significant investment in research and development.”

Both the Northern Powerhouse Investment Fund and the CBILS guarantee programme are delivered by the British Business Bank. Mercia Asset Management was the fund manager on the deal.

The Northern Powerhouse Investment Fund project 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 and the European Investment Bank.

CTI website
NPIF website

Images: NPIF

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News: Business Bank highlights opportunities across North

With European funding for the new £400m Northern Powerhouse Investment Fund (NPIF) safe, the British Business Bank has highlighted the significant opportunities for ambitious, high-growth businesses across the North of England.

The Sheffield-based British Business Bank will be investing £50m of its own capital into the new fund which is hoped to bring together over £400m and launch substantively in January 2017.

The fund builds on the work of initiatives backed by European money such as Finance Yorkshire - the regional funding body that has invested £105m fund into companies in Yorkshire and Humber.

The bank has this week published a report to mark its second birthday which details how the NPIF will offer solutions for smaller businesses looking to grow, as well as identifying the strengths and challenges within the region.

An Independent Economic Review of the Northern Powerhouse, as well as highlighting areas of focus that could drive future growth, identified a number of existing strengths including capabilities in Advanced Manufacturing, Energy, Health Innovation and the Digital Economy.

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The report includes a number of success stories from across the Northern Powerhouse. the first is the Advanced Manufacturing Park (AMP) in Rotherham for the joint venture between public and private sector organisations that is capitalising on the advanced engineering and manufacturing expertise within the region.

NPIF is expected to support a wide range of firms at different points in their development, from early-stage businesses seeking microfinance to high potential firms wanting to take advantage of growth opportunities. The report highlights that encouraging high potential firms is a particular UK challenge and an emphasis on equity funding may be needed to best support them. Whilst the UK performs relatively well in terms of creating new business start-ups, it is less effective at growing them compared to other countries.

Northern Powerhouse Minister Andrew Percy said: "It makes good financial and economic sense to pool resources and collaborate across the North of England to help increase the availability of finance to SMEs.

Recommended reading: How Rotherham-Based Businesses Are Using Digital Tools to Streamline Operations

"The Northern Powerhouse Investment Fund offers a precedent and model for pan-Northern economic collaboration, which will yield great dividends in the years to come. It realises the Northern Powerhouse concept for the smaller business community; it forges close relationships between the UK's national development bank and strategic local economic development partners; and it offers a powerful catalyst for a narrative of regional success that has the potential to become self-reinforcing."

Keith Morgan, CEO of the British Business Bank, added: "NPIF is an exceptionally important programme for the Bank. Working collaboratively with the ten LEPs in the North of England, we are bringing together a range of funding sources to help small businesses achieve their growth ambitions, revitalise local economies and create jobs."

The British Business Bank manages the Government's access to finance programmes for smaller businesses within a single commercially-minded institution. A number of specialist fund managers have been appointed who will make the individual investments in smaller businesses.

Northern Powerhouse Investment Fund website

Images: British Business Bank

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News: £2.5m top up for Finance Yorkshire

Growing businesses across the Sheffield city region (SCR) will still be able to access finance even though the new £400m Northern Powerhouse Investment Fund (NPIF) won't be ready until 2017.

The city region is set to be part of the much larger fund involving all Yorkshire and the Humber Local Enterprise Partnerships (LEPs), the North West and Tees Valley. It is hoped to bring together over £400m, subject to meeting European funding requirements, and tendering for specialist fund managers, who will make the individual investments in smaller businesses, closed last week.

The fund builds on the work of initiatives backed by European money such as Finance Yorkshire - the regional funding body that has invested £105m fund into companies in Yorkshire and Humber.

Now the SCR Combined Authority is being asked to offer Finance Yorkshire a loan (on commercial terms) of £2.5m to bridge the investment gap until December 31 2016 so that it can continue to support firms until the new fund is open for business.

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Originally a £90m fund, Finance Yorkshire operated three investment teams - Seedcorn Finance, Business Loans and Equity Linked Investments. It secured £45m from the European Investment Bank, together with £30m investment from the European Regional Development Fund (ERDF) and £15m from the Government via Yorkshire Forward.

Finance Yorkshire became the first European JEREMIE (Joint European Resources for Micro to medium Enterprise) initiative to become fully invested in England and in 2015 it secured funding from Round Six of the Government's Regional Growth Fund (RGF) and an extension to its investment period until June 2016.

A report to the combined authority states: "Arrangements for the Northern Powerhouse Investment Fund are progressing well. NPIF is on track to be launched in September 2016 and it is expected that fund managers will be investing significant sums from January 2017. This could, without SCR intervention, leave an investment gap between June 2016 and January 2017."

This gap could be detrimental to businesses hoping to secure funds and momentum could be lost. 18 South Yorkshire firms are currently being considered for funding by Finance Yorkshire.

The NPIF was announced in the Autumn Statement 2015. The British Business Bank will also be investing £50m of its own capital into the new fund which will be matched by an additional £50m from the European Investment Bank. LEPs, including Sheffield, are working with the British Business Bank and Department for Communities and Local Government to aggregate the European money they receive into a combined fund.

Bringing allocations together into larger funds will allow more resources to be targeted at businesses with growth potential across a wider area, with economies of scale meaning more money can be invested directly in smaller businesses.

Northern Powerhouse Investment Fund website
Finance Yorkshire website

Images: Finance Yorkshire

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