Prospective investees should note that the Mercia Technology Seed Fund does not provide grants. The MTSF is a provider of venture capital finance and will make investments on purely commercial terms in return for an equity stake in the business.

The diagram below illustrates where the Mercia Technology Seed Fund's investment effort is focused. The MTSF invests at the seed stage and, working with the investee's Founders, looks to build out the management team and attract in further third party venture capital investors, often through syndication.

The Mercia Technology Seed Fund is an active, hands-on investor and will therefore usually take a position on the board of an investee company.

For companies that are not yet ready for a venture capital investment, there exist a number of grant funding options provided by other regional and national institutions:

The Advantage Proof of Concept Grant Fund

The Advantage Proof of Concept Grant Fund was launched in 2008 to provide grants of up to £30k for universities and businesses developing innovations that have significant economic potential. Matched funding of 25% is required for any grant that is made.

For more information please go to: www.advantageconcepts.co.uk

Grants for Research & Development

These provide finance to individuals and small and medium-sized businesses in England to research and develop technologically innovative products and processes. The grants are managed in the West Midlands by Advantage West Midlands and require matched funding.

For more information please go to: www.advantagewm.co.uk/working-with-us/grants-for-research-and-development.aspx

The Carbon Trust

The Applied Research Programme is open to UK businesses and research institutions and aims to support the development and commercialisation of technology with the potential to reduce UK carbon dioxide emissions. Grants of up to £500,000 are available, with a minimum of 40% matched funding required.

For more information please go to: www.carbontrust.co.uk/technology/appliedresearch