Investing in Business

RSA Cymru Wales(Regional Selective Assistance)

andAssembly Investment Grant

Julia HughesInvest Wales

RSA and AIG

• Discretionary grants• Notified (not de minimis)• Capital investment in Wales that will improve profitability, efficiency and quality• Expansion, modernisation, restructuring or start-ups• RSA – Assisted Areas only• RSA – must create/safeguard jobs• AIG – SME’s only, all Wales

Who can apply

• Manufacturing companies, unless EC restrictions

• Service sector, except those serving local areas

• Not retail

• Projects that cause over capacity and/or job losses elsewhere are unlikely to qualify

Eligible capital spend

• Plant and machinery

• Office equipment

• Fixtures and fittings

• Intellectual Property Rights (IPR)

• Vehicles essential to the project

• Land & buildings if part of the project

Job Grant

• Exceptional at our discretion

• New jobs must be linked to capital investment

• Low capital investment, ie R&D, IT, CRM

• Unusual to apply to manufacturing project

• Has to meet the criteria

Criteria

• Location

• Additionality/need for grant

• Viability

• Efficiency

• Quality

Quality Assessment

• Value for money• Introduction of competitive products• Good salary levels• Good management practices• Training plans to support skilled jobs• Equality of opportunity• Use of technology• Innovation/R&D activity• Economic and environmental sustainability

ProcessAIG

• ROI• Application form and supporting information• Appraisal• Offer

RSA• Initial contact• Meeting(s)• Business plan• Application• Appraisal• Offer

Information Required• Completed forms• Cash flows, p&l, balance sheets• Business plan –

General background Products/process Market information Financial results The project Management and labour Sustainability Innovation Financial forecasts & funding Need for grant

RSA Refocus

• Productivity

• Competitiveness – quality innovation training• Higher value added

• Equal opportunities

• Sustainability – economic and environmental

RSA moving forward

• Move away from culture of grant dependency• One stop shop approach• RSA just one part of the resources available• More flexible & innovative packages tailored to the needs of the company• More emphasis on training & training support• Evidence based policies and interventions – quality assessments and GVA tests• Single source of investment funding

New Assisted Areas

• WWV retains Tier 1 status from 2007 to 2013• Level 30% Gross Grant Equivalent• SME’s – 30 % ceiling increased by 20% GGE for small enterprises, 10% for medium

• Tier 2 areas – 10% GGE• SMEs – 20% and 10% increases

Key changes affecting RSA

• Gross grant , not net

• Motor vehicle sector no longer subject to tighter aid ceilings for larger projects

Contact details

Julia Hughes 02920 823693

General Enquiry: 08454 10 10 10

www.wales.gov.uk./investmentfunding