The document discusses strategies and funding opportunities to support businesses in the D2N2 region of Derbyshire, Nottinghamshire, Derby and Nottingham. The goal is to create 55,000 new private sector jobs by 2023 by investing in business support, employment and skills training, infrastructure development, innovation, and housing and regeneration. Funding opportunities include loans, grants from the European Structural and Investment Funds, and grants for rural business development from the European Agricultural Fund for Rural Development.

1. Rural Workshop, South Derbyshire
16 September 2015
Lindsay Allen, Senior Programme Manager D2N2 LEP

2. The Strategic Framework
for D2N2
55,000 JOBS IN THE D2N2 AREA BY 2023
A more prosperous, better connected, increasingly resilient
and competitive economy
Our Vision:
We will
invest in five
strategic
priorities:
By 2023,
we will have
created:
55,000 additional private sector employee jobs
Business
Support and
Access to
Finance
Employment
and Skills
Infrastructure
for Economic
growth
Innovation
Our priority
sectors are:
Housing and
Regeneration
Transport
Equipment
Manufactu
ring
Life
Sciences
Cons-
truction
Food and
Drink
Manufact
uring
Visitor
Economy
Low Carbon
Goods and
Services
Creative
Industries
Transport
and
Logistics

3. Business Support for Businesses in Derby, Derbyshire,
Nottingham and Nottinghamshire (D2N2)

4. Developed and delivered in partnership by:
D2N2 LEP
East Midlands
Chamber of
Commerce
Nottingham
City Council

5. • University Of Derby
• University Of Nottingham
• Nottingham Trent University
• Local Authorities
• Business and private sector
• Department of Business
Innovation and Skills
• Business Growth Service :
 UK Trade & Investment
 Growth Accelerator
 The Manufacturing
Advisory Service
Regional Partners National Partners

6. Our aim:
To help businesses profit from support
& advice services in Derby, Derbyshire,
Nottingham and Nottinghamshire

7. • Loans are available, some with a grant element
• Interest rates vary dependent on risk
• Due diligence required
• 30% maximum intervention rate (often)
• Minimum loan £15,000 (hence £50,000 total investment
required) re-payable in 3 years
• Target sectors (but not exclusive to)
• Create new jobs that can be sustained for a minimum of 3
years.
• Create higher skilled jobs
• Innovation
Other Funding examples

8. 1. Asset-backed lending -securing finance against an
asset or group of assets.
2. Bank Loans
3. Business Angels private investors
4. Crowdfunding involves individual investors
collectively providing finance
5. Invoice financing a third party provides a business
with an advance on money owed to them by buying
their unpaid invoices for a fee.
6. Trade finance for a trade transaction
7. Peer-to-Peer (P2P) finance involves private
individuals lending money through an online
marketplace.
8. Private Equity fund - high capital return
9. Venture Capital firms invest in return for an equity
stake.
Commercial Finance

9. • £3,000 to £100,000 for new business or existing business
• Secure services, purchase equipment, meet a shortfall in
funding for specific new projects, not existing running
costs
• Applicants must be able to contribute a minimum of 30%
• Arrangement fee of 2% and security fees payable
• Repayments are made over a period of between one and
five years
• Interest 12.5% for an unsecured loan (£3,000 to £20,000)
• Interest for a secured loan (£20,000 to £100,000) 8%
Small Loans for Business
Funding
example

11. ESIF is “funding of last resort” and intended to add value to
the D2N2 area
• European Regional Development Fund - £104.4m
• European Social Fund - £104.4m
• Larger awards that have transformational impact
ESIF - European Structural & Investment
Funds
For further information about future calls please contact:
Richard Kirkland (tel: 0786 7178967)
richard.kirkland@d2n2lep.org

12. • Tourism co-operation grants are to improve cooperation
in the rural tourism sector so that destinations increase
visitor numbers. New cooperation projects must be
sustainable after grant funding stops. (Call expected end
Sept 2015 – 8 Jan 2016)
• Small-scale tourism infrastructure grants
• Food processing – some businesses can access grants
for businesses that process agricultural and horticultural
products (Scheduled for later in 2016)
• Community Broadband infrastructure and use of ICT &
Small scale renewable energy are also in the Programme
Other Rural Growth EAFRD Programme
Streams

13. EAFRD: grants for the rural economy
• Funded via by the European Agricultural Fund for Rural
Development (EAFRD) - £5.5m for D2N2 LEP area.
• Total grant funding available for this call is £933,000
• Minimum grant is £35,000 (up to 40% of total project cost)
• Maximum grant £140,000 (up to 40% of total project cost)
• Minimum project cost £87,500 in total (40% EAFRD)
• Projects must be located within the eligible rural D2N2 area.
• Applicants can be:
 a micro or small-sized business – check the size of a
business
 a micro or small-sized social enterprise
 a farmer wanting to diversify into non-agricultural
activities
• Applicants must pay for any costs not covered by the grant
with private funding, such as savings or a bank loan, not
other public funds.

14. EAFRD Application Process
Applicants need to register on Rural Payments before applying.
https://www.ruralpayments.service.gov.uk/
2 stage application process
• Outline application and if successful
• Final application
Rural Payments Agency will assess applications at both stages and
only the highest-scoring applications will be successful.
Stage 1: email the completed outline application form (an excel
spreadsheet with 2 sections on 2 different tabs) to
growthapps@rpa.gsi.gov.uk by 27th November 17:00 then if successful,
Stage 2: a full application will be requested
Work must not start on any part of a proposed project before the applicant has received and signed a grant funding agreement from the RPA. This includes ordering or paying a
deposit on materials or equipment

15. Critical Success Factors
Funding will be offered to a maximum of 26 projects, but the actual
number of projects supported may be lower, dependent upon the scale
and range of the projects coming forward.
Examples of projects supported may include:
• investment in equipment, technologies or innovative processes to
develop new or higher quality products
• food and drink processing
• farm diversification activities that will create business growth and new
markets
• construction or establishment of workshops, factories or machinery
(where clear evidence of demand can be shown)

16. Critical Success Factors
Applications that meet one of the following criteria will be a priority for
support: Those that meet more than one of the criteria will be a higher
priority.
• Businesses in one of D2N2s eight priority sectors:
 manufacturing of transport-related equipment
 life sciences
 food and drink manufacturing
 construction
 transport and logistics
 visitor economy (tourism)
 creative industries
 low carbon goods and services
• Creation of new jobs (especially higher skilled, higher paid jobs)
• Projects that will increase the productivity of the business
• Projects that will introduce a new product, technology or process new
to the UK

17. Further information EAFRD :
https://www.gov.uk/government/collections/gro
wth-programme-grants-for-the-rural-economy
https://www.gov.uk/european-structural-
investment-funds/business-support-call-in-
derby-derbyshire-nottingham-and-
nottinghamshire-08rd15bs0001
Further information funding:
http://www.d2n2growthhub.co.uk/access-to-
finance
Call 0333 006 9178
Email : info@d2n2growthhub.co.uk
Questions