Factonomy Ltd
TRI Cap part of second round funding deal for Factonomy Ltd
Factonomy, a software company based in East Lothian, is to expand after raising the best part of £1 million in second round funding. The firm, which licences products to companies which it claims will dramatically cut the cost of developing IT applications, secured £860,000 from a range of investors including members of TRI Cap. Funding was led by Sigma Innovation Fund – a fund managed by Sigma Technology Management – which invested £300,000 – and also included Barwell and Scottish Enterprise's Co-Investment Fund.
Nigel Hedley led TRI Cap’s involvement with this funding round for Factonomy. Robert Dick, TRI Cap’s chairman, commented:
“Factonomy is an exciting technology business based here in Scotland which has been successful in carving a niche for itself in a global market. It has also coped effectively with the stresses and strains involved in growing a young business and, for TRI Cap members, is an attractive prospect. We are delighted to be involved in this funding round.”
The cash injection comes just two years after Factonomy raised a six figure sum in its first fundraising round. The company plans to use the money to expand its sales and marketing functions and increase the headcount at its Musselburgh headquarters.
The firm added that it has a number of new contracts in the pipeline, coming just weeks after extending its contract with Standard Chartered to supply the bank with a web based "carbon calculator".
With a current workforce of eight, Factonomy plans to grow its staff numbers to at least 16 within the next 18 months as a result of the funding. Factonomy chief executive Geoff Kell, a former senior director of mobile software company Psion, said: "We want to beef up our commercial efforts. The technology is there and is ready for the market.”
In August 2006, Kell invested £100,000 of his own money into the business – taking a stake of around 10 per cent.
www.factonomy.com