A leading manufacturer to the food and drink sector is to move to new premises and almost double its workforce thanks to a helping hand from the D2N2 Local Enterprise Partnership.
Asmech Systems Ltd is a major supplier to some of the world’s leading corporations, creating bespoke conveyor and handling systems for the food and drink processing industries and container manufacturers.
Their current premises in Old Mill Industrial Park, Mansfield Woodhouse, are now full to capacity and a lack of space is restricting future growth, with the confined space also not helping with hygiene issues.
A £100,000 grant from D2N2’s Unlocking Investment for Growth scheme will bridge the gap of a near £800,000 project to purchase and upgrade new premises in Fountain Court, Mansfield. The move is expected to take place next month.
Five new jobs have been created in anticipation of the expansion, taking full-time employees to 20 and a further 7 are expected to be created by September 2015 as a direct result of the expansion.
Nestle, Arla Foods, Wiseman Dairies and Penguin Books are among Asmech Systems Ltd’s many clients.
Shane Gunstone, M.D of Asmech Systems Ltd, said: “The grant will be a tremendous help to our growth plans. Without the funding, I doubt it would have been able to happen. That would leave the problem of falling behind in the industries we supply in and as such might have threatened job security.”
David Ralph, Chief Executive of D2N2, said: “Without the move to purpose-built premises they will not have the facility to expand and achieve their growth plans and job creation outcomes. This just shows how the Unlocking Investment for Growth grant can make a real difference.”
D2N2 - the local enterprise partnership for Derby, Derbyshire, Nottingham and Nottinghamshire - secured £5m from the Government’s Regional Growth Fund, topped up further by the European Regional Development Fund, to help businesses grow through its Unlocking Investment for Growth programme.
Since launching in 2013, the programme has approved £3.2 million in grant funding which will create 292 jobs. Further applications that are at an advanced stage are requesting in excess of £1.6m and expect to create an additional 200 jobs.
But it is a time-bound opportunity, with capital projects having to be completed by March 2015.
The programme will provide a grant in support of capital investment projects with a minimum overall project value of £200,000. In exceptional circumstances up to £500,000 of grant funding is available for projects that can demonstrate real potential to create new jobs.