Innovation Vouchers: Kick-starting growth for small businesses in the West Midlands

One of the fundamental principles to growing a successful business is to be innovative – find the service or process that immediate sets your business above the competition.

But it can often be difficult to innovate successfully.

Therefore, three West Midlands universities have now come together with the goal of making the process a whole lot easier.

“Innovation is a key element in growing your business. Entrepreneurs tell me all the time that they would like to move away from being ‘busy fools’ to becoming ‘strategic leaders’ in innovation.”

These are the words of Mark Gilman, Professor of SME Growth & Development at Birmingham City Business School, who has conducted extensive research on the matter.

His words will resonate with frustrated small business owners on so many levels. It echoes a sentiment we believe is prevalent across West Midlands’ commerce: the skills gap is crippling innovation and it is growing!

The role of Birmingham City University, Aston University and University of Wolverhampton in helping to combat the widening gulf in skills vs demand is therefore timely.

Their collaboration offers tangible hopes of support for many small businesses and has manifested itself in a part-funded scheme – the Innovation Voucher Scheme – designed to help SMEs realise innovation and growth.

The scheme itself is part-funded for business innovation by the ERDF. It aims to help smaller businesses pay for new processes and systems, matching the individual business contribution pound-for-pound up to the value of £2,500.

The motivation behind Innovation Vouchers shows real intent: helping small businesses in the West Midlands grow through innovation.

With the additional funds, the universities hope to improve adoptees’ efficiency and help them bring new products to market. If they can achieve this nirvana, it will benefit both the growing business and the region.

How it works

For every £1 a company contributes to innovation and growth, the initiative will match it with a £1 contribution from its own coffers.

The typical value of an Innovation Voucher is £2,500, which means eligible businesses can unlock a total business innovation fund of £5,000.

Those businesses can then use these funds to leverage previously inaccessible external expertise. They will find knowledge base organisation partners, such as research institutes, ready and willing to extend their expertise into the brick and mortar world.

Innovation Voucher Scheme

What SMEs can use Innovation Vouchers for?

Once all parties agree a figure for an applicable Innovation Voucher, SMEs can then use the funding to go towards activities like:
• developing a new product or process;
• testing a product or service;
• managing supply chains and logistics;
• developing a new business model.

Successful applicants can also use the funding, with limitations, to:
• leverage advances in web technologies for the region and/or industry;
• execute critical market research;
• source equipment, capital items, or software to develop prototypes.

Getting down and dirty with academia in tailored innovation workshops

Selected SMEs will also have access to the latest technical expertise through free business innovation workshops.

Academics from the collaborative universities will exemplify practical means of additional funding utilisation.

The aim of the workshops is to encourage competitiveness in the relevant marketplace. By offering practical advice on how to manage business innovation and growth effectively, the project will be all the more effective.

Workshops on offer include, but are not limited to:
• Envisioning for Growth through Innovation;
• Strategy and Leadership for Innovation;
• Marketing and Finance for Innovation.

In summarising the project, Professor Gilman added: “The Innovation Voucher Scheme and the Workshops are a key means of kick starting this process in a very understandable and practice driven environment. We don’t tell you what to do, but rather work with you and your business to achieve growth.”

What to do next

The voucher scheme is open until April 2019 to all SMEs who want to use innovation to grow their business.

How do you know if your business qualifies for help with funding?

Well, you will never find out if you don’t apply.

So, to get you on your way, we have collated:
• a video;
• a general guide
• an eligibility guide
• access to the application form download.

You can find them all on BCU Advantage’s dedicated Innovations Vouchers resource page.