MIDDLESBROUGH is at the forefront of a new scheme to boost the growth of early stage digital businesses.
In what is claimed to be the first such programme outside London, The Difference Engine will invest £200,000 of public money in ten digital start-ups in return for an 8% equity stake.
Applications are being taken now for the programme, which is due to start in February and run for 16 weeks from Middlesbrough’s £10m Boho One - the centrepiece of Teesside’s digital hub. A second phase will be run from July at Sunderland’s Software City, with a further ten digital start-ups set to benefit there from another £200,000.
Around 50 jobs could be created by the two phases of the programme, which is expected to continue operate from various North-east locations on a twice-yearly basis.
Jon Bradford, MD of The Difference Engine, said one company in the North-west and another in the South-east had already shown interest in the scheme.
“The idea is to get people from outside the North-east to the North-east,” he said.
The start-ups will be mentored by experienced entrepreneurs including Neil Stephenson, CEO of Stockton IT firm Onyx, and Mark Elliott, CEO of DigitalCity Business based at Boho.
Initial funding is being provided by One North East and Sunderland and Middlesbrough councils. Closing date for applications for the Middlesbrough programme is January 4.
