The Greater Manchester Loan Fund (GMLF) has made a £400,000 investment in Wilkinson Star, a distributor of welding equipment, air compressors and power generators.
Wilkinson has looked to diversify its product offering in recent years by providing its own branded welding equipment under the Xcalibur brand and has recently agreed a sole distribution agreement with Chinese manufacturer Jasic Technology.
The funding from the GMLF will provide working capital to fund this new initiative and it is projected that the increase of sales from the new Jasic products will lead to the creation of 10 new positions within the business.
The £20m GMLF was established by the Association of Greater Manchester Authorities in June 2013 to provide flexible funding solutions for promising businesses.
Maven, a private equity management company, was appointed as manager of the GMLF in June 2013 and will provide loans ranging from £100,000 to £500,000 to eligible companies in the Greater Manchester area, with the potential to provide follow-on funding up to £750,000.