Litecool, which was founded in 2011, has received the funding from Finance Yorkshire’s Seedcorn Fund to help develop and market its unique thermally efficient LED module technology for the general lighting application market.
The novel technology developed by the Sheffield-based company keeps LEDs much cooler, allowing light fittings to be much smaller, brighter, more efficient and longer-lasting.
The company is in midst of supplying its novel LED modules to its first customer and is in the process of building an impressive sales pipeline.
The money is being used to build prototypes, setting up of a new laboratory with prototyping facilities, engage with third party volume production partner in Asia, increase market exposure, and continue product development.
Company founder James Reeves said:
“Having the support of Finance Yorkshire has been invaluable as it is very difficult to get funding for a business that doesn’t have a turnover yet, as it’s deemed high risk.
“Thankfully, Finance Yorkshire’s Seedcorn team has been brilliant, and recognised the importance of our innovations and the opportunities marketing our technology will bring.”
Finance Yorkshire investment director Ashwin Kumaraswamy said:
“Litecool has begun to gain customer interest and we are hoping our investment will help the company build a successful business.”
Finance Yorkshire provides seedcorn, loan and equity linked investments, ranging from £15,000 to £2m to help a range of small and medium sized businesses to meet their funding requirements for growth and development.
Finance Yorkshire has made 592 investments totalling £73.3 million.
The project is supported financially by the European Union. It has attracted £30million investment from the European Regional Development Fund (ERDF) as part of Europe’s support for the region’s economic development through the Yorkshire and Humber ERDF Programme, £15million from UK Government and £45million match funding from the European Investment Bank.