On Net Communications wins investment to expand

Jun 18 2009 by Andrew Mernin, The Journal

A £60,000 funding boost will help a call centre operator invest in new technology that could help it grow its annual turnover by a third past the £1m mark.

On Net Communications (ONC), based in Crook, County Durham, has secured a new funding package from the Royal Bank of Scotland as part of the Government-backed Enterprise Finance Guarantee (EFG) scheme.

The funding will be spent on new technology to allow the company to conduct voice calls over the internet. This will reduce costs and increase its call-handling capacity.

The firm has seen its turnover double in the last year despite the recession as mostly small to medium businesses outsource their secretarial duties to cut overheads.

While employing a receptionist could cost at the very least around £11,000-a-year, ONC offers recession-hit firms inbound call handling services for a fraction of the cost – at around £3,000 to £4,000.

The company, which employs 75 people, will invest in Session Initiation Protocol (SIP) technology, enabling online multimedia communication.

Managing director Maureen Stanton said: “We continually invest in advanced technology to ensure we have the most up-to-date equipment to provide the best service possible in the most cost efficient way.

“The funding that we have just secured from RBS will enable us to invest further in our technology allowing us to provide significant cost saving solutions to customers at a time when it has never been more important.”

David Gray, relationship manager at RBS Commercial Banking said: “The purpose of the EFG scheme is to ensure small and medium-sized businesses like ONC has the necessary financial backing to support their business plans in the current climate.”

Under the EFG scheme, which is designed to provide businesses with the necessary working capital or investment finance, the Government will guarantee 75% of any loans made while the bank covers the remaining 25%.

ONC was set up in 2002 and provides market research and contact centre services to companies that require support on an interim or long-term basis.