What is the ICT Invest Fund?
The ICT Investment Fund has been created to assist approximately 85 high-growth Small to Medium Enterprises (SMEs) in the Merseyside area. The Fund will be used to subsidise the purchase of e-business solutions (i.e. hardware or software) for these companies.
The Fund will pay 40% of the cost of purchases up to a maximum of £50k contributing to improved ICT business systems. Successful applicants will thus be required to finance at least 60% of the full cost from non-public sources.
The Fund is sourced from the European Regional Development Fund (ERDF) through the Objective 1 programme.
The Fund is being managed through the Liverpool Chamber of Commerce and Industry.
Who can apply?
The Fund is open to any Small to Medium Enterprise (SME) in the Merseyside area, excluding those in the retail and agricultural sectors.
The Companies Act of 1985 states that a company is “small” if it satisfies at least two of the following criteria:
- a turnover of not more than £5.6 million;
- a balance sheet total of not more than £2.8 million;
- not more than 50 employees
- A medium sized company must satisfy at least two of the following criteria:
- a turnover of not more than £22.8 million;
- a balance sheet total of not more than £11.4 million;
- not more than 249 employees
For statistical purposes, the Department of Trade and Industry usually uses the following definitions: micro firm: 0 - 9 employees
- small firm: 0 - 49 employees (includes micro)
- medium firm: 50 - 249 employees
- large firm: over 249 employees
Applicants must have been trading on Merseyside for at least 12 months and must remain on Merseyside for a further three years if funding is awarded.
Who CAN’T apply?
Businesses in the retail sector, shops etc, agricultural businesses.
Can SMEs apply as cluster?
No.
Will the Fund support start-up businesses?
No
What is the catchment area?
The Fund is open to SMEs in the Merseyside area. For this programme, that includes all businesses within Merseyside council postcode areas.
What can the money be used for?
Awards are available to those companies who can demonstrate that the technologies acquired will revolutionise the competitiveness of their business. The awards can be used to purchase new hardware or software to upgrade / improve current systems and processes. The Fund will support anything from innovations in business systems to new infrastructure improvements.
What CAN’T the money be used for?
Grants are not payable towards any element of VAT if the company is VAT registered.
Grants cannot be matched in kind, e.g. by applicant’s time etc.
Grants will not be considered to support leasing of equipment or subscription to outsourced services. Rental of equipment is allowable, but not leasing
Software development.
Purchases of equipment made prior to an official offer of funding having been made.
Research.
Training (any training element may be directed towards Merit)
Does resourcing / outsourcing need to be Merseyside-based?
No, but the sourcing of equipment from Merseyside-based suppliers is encouraged.
Will the fund enable straight replacement of existing equipment?
Yes, but only if it is part of a step-change.
Is recruitment eligible for grant purposes?
No
Is the grant taxable?
Any income to a business is potentially taxable.
How much will be awarded?
Grants of between £10,000 and £50,000 will be awarded.
For a £10,000 award, the minimum project value would be £25,000, with a minimum contribution by the applicant of £15,000.
For a £50,000 award, the minimum project value would be £125,000, with a contribution by the applicant of at least £75,000.
How do I apply?
Applications are via a simple process.
Fill in the Application Form (available from the How To Apply page).
Sign and post this form to:
John Blades
Liverpool Chamber of Commerce
No. 1 Old Hall street
Liverpool
L3 9HG
Once this form has been received and assessed, applicants considered to be potentially successful will be notified.
How will the grant be paid?
Monthly in arrears against invoices, providing Service Level Agreement (SLA) milestones have been met. All invoices for approved projects, together with proof of payment, to be submitted for final claims by the end of November 2008.
How long will the application process take?
It is anticipated that the entire application process should take approximately two weeks.
What will my application be assesed on?
- Will your project bring about a transformation or step-change?
- Is your project innovative?
