News

Cardboard Bedding Ltd, trading as Green Mile, is relocating to Prees in Shropshire after securing £180,000 from the Midlands Engine Investment Fund (MEIF).

Cardboard Bedding secured the finance from the Midlands Engine Investment Fund (MEIF) - provided by The FSE Group, Debt Finance Fund and backed by the Coronavirus Business Interruption Loan Scheme (CBILS).

The funding will also allow the company, which was previously based in Soham, to install two additional production lines to meet the current demand for its equine and animal bedding products, as well as supporting job creation within the business.

Joey Kinnersley established Green Mile in 2012 and began producing cardboard horse bedding which is highly absorbent. The product helps eliminate odours, provides warmth through insulation and is eco-friendly and 100 per cent biodegradable within eight-12 weeks.

Joey Kinnersley, Founder of Cardboard Bedding, commented, “We were previously unable to produce enough bedding to meet demand, but this funding will allow us to both relocate and further expand the business. I would like to thank Kerry, from The FSE Group, who supported us throughout the whole process in order to obtain the funding.”

Kerry Haughton, Investment Manager, at The FSE Group, which manages the MEIF Debt Finance Fund adds: “We were really pleased to be able to support this growing business in furthering its expansion plans and facilitate a move back to its Midlands roots. The additional production lines will provide the opportunity for local job creation and we are looking forward to working with Joey, accompanying him on this journey.”

Ryan Cartwright, Senior Manager at the British Business Bank, said: “The MEIF investment into Cardboard Bedding is enabling the company to relocate back to the Midlands and expand its production capabilities – boosting both the business’s growth, as well as the region’s economy. These are key aims for the Fund and helps to evidence the role the MEIF continues to play in improving the finance landscape for small businesses across the Midlands.”

Marches LEP Access to Finance champion Paul Kalinauckas said: “This is excellent news for the business and for the Marches regional economy. The LEP works closely with MEIF to ensure a wide range of finance solutions are available to businesses in the region so that companies such as this can expand and create new jobs.”

The Midlands Engine 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.

For more information about the MEIF Debt Finance Fund visit https://www.thefsegroup.com/fund/midlands-engine-investment-fund-debt-finance/ or contact Kerry Haughton, kerry.haughton@thefsegroup.com / m: 07826 001902

For more information about Cardboard Bedding Limited, visit www.cardboardbedding.co.uk

Situated in the London borough of Westminster, technology company Dragonfly AI has secured a £250,000 loan to expand its operations whilst creating employment opportunities for the region.

During COVID-19, the company has continued to invest in its commercial and marketing functions, doubling the size of the overall team. This funding will now allow Dragonfly AI to create 12 more jobs within the next three years. The business will also use the finance to further develop its artificial intelligence (AI) technology and undertake marketing activity to support planned expansion.

Established in 2018 as a spin-out from Queen Mary University of London, Dragonfly AI has developed a suite of tools that enable brands, retailers and marketing agencies to predict, analyse and influence consumer behaviour.

The cutting-edge AI software simulates how attention works in the brain, displaying results on an easy to interpret visual heat map that shows where attention is drawn to in the first few seconds of engagement. The data can then be analysed using the integrated metrics suite, to help marketers optimise their website, content, or retail space by making data lead decisions on how best to display information to attract consumers’ attention. The technology is significantly faster and more accurate than traditional focus groups and works across all principal media types.

Mark Bainbridge, Co-Founder of Dragonfly AI, commented: “Turning a decade’s worth of scientific research into reality has been incredibly rewarding. Our customer base is growing fast and we are working with a lot of well-known brands. The GLIF funding will allow us to execute our expansion plans, creating new employment opportunities in the UK whilst looking at further growing the Drafgonfly AI brand overseas. Our huge thanks go to The FSE Group for guiding us through the process and enabling us to secure the finance.” 

Research shows that around 60% of marketing leaders plan to increase their use of marketing technology, highlighting a clear demand for more innovative tools to give them the edge and stand out from competitors. Dragonfly AI has gained considerable traction with FMCG brands where a $1.5 trillion global market provides the business with significant opportunities for growth.

Stephen Mitchell, Investment Manager for The FSE Group, which manages the £55 million GLIF debt fund on behalf of Funding London, commented: “Mark and his management team have vast experience in launching new technology-based solutions for the marketing industry. They have attracted high-calibre commercialisation and investment partners and, with a next generation product that goes well-beyond others currently available, are well-positioned to take advantage of the growth opportunities available.  We look forward to working with the business as the team expands and it looks to enter new international markets.”

Maggie Rodriguez-Piza, CEO at Funding London, adds: “With the help of their innovative AI solution and notable enterprises deploying their software, Dragonfly AI is ideally positioned to maximise the sizable opportunities available in the marketing sector. We are delighted to support Mark and his co-founder David with the growth of their team and are excited by the prospect of international expansion.”

GLIF is a £100m initiative to help address the SME finance gap in Greater London, promoting economic growth through enterprise and an inclusive and sustainable economy. £55m of debt funding is available, via loans between £100,000 and £1m, to early-stage and established SMEs looking to scale-up and realise their growth ambitions. GLIF is financed through the European Investment Bank (EIB), European Regional Development Fund (ERDF), London Waste & recycling Board (LWARB) and Funding London’s Legacies.

Bodmin based business, Caterbook, has secured £100,000 of equity investment from the Cornwall & Isles of Scilly Investment Fund (CIOSIF), as part of a larger £200,000 funding round. The round was led by The FSE Group, the appointed fund manager for CIOSIF.

The investment will help the business expand its sales and marketing functions to accelerate growth. Over the next three years, six new jobs will be created within the company to strengthen the sales and customer support teams. The business will also seek to appoint a chief operating officer.

The business has already benefitted from a £150,000 loan made through CIOSIF, which helped it to complete the R&D stage and early roll-out of the software. This debt deal was handled by SWIG Finance who work with The FSE Group to deliver the small business loans part of CIOSIF.

Caterbook was founded in 2005 by Chris and Sally Noon, both of whom have significant experience within the hospitality industry. Having had to use multiple, often non-integrated systems within the sector, they embarked on creating a single, all-encompassing solution for hotels and other accommodation providers.

The resulting cloud-based property management service (PMS) is an innovative piece of software that is able to automate or simplify many of the repetitive tasks that hotels face daily. The system provides accurate data and statistics whilst saving time and money by reducing errors. It also links to many EPOS systems and booking platforms enabling Caterbook users to get everything they need from a single system.

Chris Noon, Founder and CEO of Caterbook, commented: “Since March last year, the UK hospitality sector has certainly been hit hard. During the pandemic, we have kept in touch with and retained our customer base and now the restrictions have started to lift, we are really looking forward to the summer season. This latest investment will enable us to strengthen our team and to grow the business further.”

With around 45,000 hotels in the UK all affected by Covid-19, many will be looking for ways to save money and maximise productivity. This provides a growth opportunity for Caterbook whilst supporting the industry in its recovery. With a growing customer base of over 100 hotel groups, the company is already helping hospitality businesses become more efficient and enhancing the user experience for its customers.

Ralph Singleton, Head of Funds at The FSE Group, said: “It is great that Sally and Chris were able to leverage the full use of the funding options available through CIOSIF. The fund exists to provide funding solutions for start-up and scale-up businesses as well as those more established companies who, for whatever reason, are unable to get the funding they need through mainstream sources.”

Mike Chapman, CIOSIF Business Manager at SWIG Finance, added: “It has been a challenging year for everyone, particularly those working in the hospitality sector. Chris and Sally have worked tirelessly to make Caterbook a success. This innovative software has the potential to save businesses time and money at a crucial point as they come out of lockdown restrictions.”

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).

Sarah Newbould, Senior Manager from the British Business Bank, said: “We’re delighted to see Caterbook progress from its initial CIOSIF loan to securing an equity investment as it scales the business nationwide. The fund was set up to help smaller businesses in the region reach their growth potential and we’d encourage other businesses to consider the finance options available through the CIOSIF.”

John Acornley, LEP non-executive director and chair of the CIOSIF Advisory Board, said: “Caterbook is continuing the trend of innovative Cornish tech companies harnessing the full potential of cloud-based systems to help their customers become more efficient and competitive. I’m delighted the fund is backing their further growth.”

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

Read more about Caterbook at https://www.caterbook.com/

The FSE Group is pleased to announce the appointment of two experienced Investment Managers: Ann Marie McFadyen and Chris Bailey. They join the Group’s Midland’s team which manages the Midlands Engine Investment Fund (MEIF) Debt Finance Fund and will be responsible for supporting eligible SMEs within the area.

Ann Marie brings over 30 years of experience within the financial services industry, having previously worked at RBS and Bibby Financial Services. Ann Marie will be focusing on the East Midlands area, working to help support businesses based in the South-East Midlands LEP and Leicester & Leicestershire LEP.

Chris joins The FSE Group after 30 years at Lloyds Banking Group, where he had various roles, including in Commercial Business Development and as a Client Relationship Director managing varied, high value portfolios across different sectors. He has an in-depth knowledge of specialist funding and will have responsibilities throughout the Midlands region, helping to build new intermediary contacts and ultimately to fund and support SME’s who are working to scale-up their businesses.

Andy Moss, Head of Fund at The FSE Group, which manages the MEIF Debt Finance Fund commented: “We welcome Ann Marie and Chris to The Midlands Team. They are very experienced finance professionals, bringing strong capability that will help the team support eligible SMEs within the region, enabling us to deliver our stakeholder commitments, whilst strengthening the local economy.”

MEIF Debt Finance Fund can be used for expansion related activities which will deliver substantial growth impact within the area. Through this fund, eligible SMEs can secure growth loans ranging from £100,000 – £1,500,000 which could be used for sales and marketing activity, hiring of new employees/job creation/new product development/exporting abroad/purchasing new equipment/entering new markets.

Ann Marie McFadyen, Investment Manager at The FSE Group, adds: “I am looking forward to supporting local SME’s by helping them to realise their potential. Being able to offer the right financial solutions for their individual requirements is so important and will enable them to grow their business. I’m excited to build long term relationships with local SMEs and watch them go from strength to strength.

Chris Bailey, Investment Manager at The FSE Group, added: “I am keen to provide advice and guidance to help entrepreneurs within the Midland’s area to ascertain the next step of their business journey. I am looking forward to working with a diverse portfolio of companies and being instrumental in helping them reach their goals.”

Mark Wilcockson, Senior Manager at the British Business Bank added: “It’s good to see the MEIF Debt Finance team at The FSE Group being strengthened with the recruitment of Ann Marie and Chris. The Fund is dedicated to supporting smaller businesses across the region in reaching their growth potential, working through our Investment Managers and having experienced teams on the ground, is of course, very important in being able to successfully deploy our funds.”

The Midlands Engine 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.

OpenBlend, the SaaS platform transforming the way companies and their employees think about performance management has taken additional funding and appointed David Grundy as Chair to support rapidly growing demand for its products and services. OpenBlend performance management software helps companies and their employees stay engaged and productive as they respond to the new challenges and opportunities presented by the pandemic and the new world of work.

UK based OpenBlend has received funding from the FSE Group through the Thames Valley Berkshire Growth Fund which has been matched with investments from a number of high profile SaaS Angels. Alongside this round, David Grundy was appointed as Chair and will be working closely with OpenBlend founder and CEO Anna Rasmussen to support the business through the next stage of growth. Grundy previously co-founded Invenias, the leading SaaS platform for executive hiring which was acquired by Bullhorn in 2018. He is currently a Venture Partner with MMC Ventures, Board Observer at MMC portfolio company StorageOS and Chair at SaaS Marketing platform StoryStream.

David Grundy, Chair at OpenBlend “The past 18 months have highlighted the critical importance of good communication between managers and their teams. As we move into a post pandemic world with permanent adjustments to physical working models and expectations of a better work/life balance, OpenBlend can really help companies build stronger partnerships with their employees, driving better performance for the business while improving employee satisfaction and retention. OpenBlend is the right tool at the right time and I am delighted to have the opportunity to work with Anna, Kate and the team.”

Anna Rasmussen, CEO & Founder of OpenBlend “OpenBlend has always had a forward-thinking approach to performance management. Placing the employee at the centre of performance conversations is both logical and effective in driving high performance. Whilst the last 15 months has rocked many aspects of our working lives, the silver lining is how its accelerated the mindset in recognising ‘the human’ in high performing workforces. It’s how it should have always been and I’m thrilled with the outcome. Our time is now, the workplace needs OpenBlend and we very much look forward to scaling the business with the support of FSE.”

Bradley Jones, Equity Portfolio Manager at The FSE Group: “Having known OpenBlend through other FSE funding activities, we have been able to witness the great strides made by the business over the past two years. It was a real pleasure to work with Anna, Kate, David and the rest of the team to complete this funding round. In an ever-evolving work environment, OpenBlend is at the forefront of effecting change in its market. I look forward to working with the OpenBlend team as the business scales with its next stage of growth.”