Scottish Enterprise helps companies increase turnover by £376 million
Scottish companies show strong performance following support from Scottish Enterprise
Despite operating in extremely tough economic conditions, the 2,000 companies Scottish Enterprise (SE) works most closely with grew their turnover by £376 million last year.
Scottish Enterprise also delivered support to a further 8,000 businesses on specific business issues to help them identify and respond to new market opportunities and help make their business stronger. Key results included:
- More than 900 companies helped to find new markets overseas
- Around 900 companies received innovation advice or support to develop new products, services or ways of working
- 850 firms supported to increase efficiency, reduce waste and improve processes as a result of SE support,
including 365 company reviews carried out by the Scottish Manufacturing Advisory Service
- 17 new high growth start-up companies were supported, which have the potential to reach £5 million turnover in three years
- £82 million was invested by companies in research and development activity as a result of SE’s R&D and SMART:Scotland grant programmes
- 168 companies worked with Co-operative Development Scotland to explore collaborative and co-operative business models, more than doubling the number of companies assisted the previous year.
The figures were unveiled as part of Scottish Enterprise’s Annual Report and Accounts for 2009/2010.
Crawford Gillies, chairman of Scottish Enterprise, commented, “Over the last year, when the recession was really biting deep, many of our companies continued to set their sights on business growth.
“The economic conditions, however, meant that companies needed our support more than ever, both to tackle the issues they were facing and identify new opportunities to grow their business. To achieve such high levels of turnover growth under such difficult conditions is testament to the ambition and leadership of our Scottish businesses.”
Almost 100 companies benefited from SE’s R&D and SMART:Scotland grants last year to help develop products to grow their business, with SE’s investment of £15.6 million helping to generate £82 million investment by the companies themselves.
Last year also saw the largest ever R&D grant from SE for a renewable energy project. Aquamarine Power received £975,000 towards its £4.6 million project to develop its ‘Oyster 2’ device.
Other companies to receive R&D support included Dundee based Axis Shield, FMC Technologies in Dunfermline, NCS Survey in Aberdeen and Hammerfest Strom in Hillington.
In addition to assisting existing business, Scottish Enterprise supported 17 new high growth start-up companies. These businesses include university spin-outs and all have the potential to reach £5 million turnover in three years. They included:
- Skoog Music, a spin out from University of Edinburgh that has developed a new musical instrument for children which is now being manufactured in volume and is making sales both in UK and Europe.
- Insignia Pack, a spin out from University of Strathclyde, which has used its intelligent inks to develop a Time Temperature Indicator that can be used within food retail market to more accurately tell when fresh food expires.
Lena Wilson, chief executive of Scottish Enterprise added: “It is deeply encouraging to see that despite the economic environment they’re operating in, we’re still seeing major new innovations by both new and existing Scottish businesses. It is vital that we continue to support these companies to take advantage of new opportunities in global market places, and help them grow their business both at home and overseas.
“However, we are seeing increasing signs of greater confidence amongst the companies we work with. Our most recent customer research highlighted that around three quarters of our customers expect to increase turnover, and almost two thirds expect to increase staff numbers, over the next six months. These figures show twice as many companies expecting increases this year, compared to the same time last year.”
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Read Linda Hanna's commentary on Scotland's ambitious companies