Good News for Highland Businesses

31st March 2009

The Highland Council has secured match funding from the European Regional Development Fund to deliver a growth fund of £1.4m for new and established Highland businesses.

The money will be administered by the Council's enterprise trust Highland Opportunity to part fund its Highland Business Growth Fund which provides support targeted at existing businesses operating in the priority sectors of Tourism and Culture, Energy, Food and Drink, Life and other Sciences and the Creative Industries, together with new start ups.

This Fund can provide two year unsecured, interest-free, debt bonds to any eligible business in the Highlands which requires access to finance to start up or grow. Existing businesses are eligible for up to £50,000 and for business starts the maximum size of a single bond is £20,000.

Welcoming the award of £560k of ERDF funding to match the investment by the Council's Enterprise Trust, Highland Opportunity, Council Convener Sandy Park said:

"This is a welcome announcement which means that £1.4m will be available to help hard-pressed Highland businesses to gain access to bank finance. We expect this to support up to 50 small businesses through Highland Opportunity Limited.

The funding news coincides with the start of Business Gateway which we launched earlier today and also means that there will again be some grant funding for new businesses in the Highlands".

"The Highland Council is committed to helping Highland businesses through the recession and this project is highlighted in our Economic Downturn Action Plan."

The ERDF funding will be used by Highland Opportunity Limited to part fund it's Highland Business Growth Fund.