Manchester-based Loksys Solutions has the cash it needs to increase its sales and marketing efforts as well as hire additional staff following an equity backing.
The business, which produces a system for securing freight containers, has netted £500,000 from The North West Fund for Venture Capital.
The fund, which is managed by Enterprise Ventures, is a £30 million pot financed by the European Regional Development Fund and the European Investment Bank.
Loksys Solutions was founded by brothers Simon and Ian McDermott, who then spent three years developing the company’s security system Trakalok. The product combines a tamper-proof lock with a GPS tacking system allowing, the business says, containers to be securely locked and monitored throughout a journey.
The Trafford Park-based business will also use the venture cash it has received to invest in further product development.
As part of the deal, Terry Donovan has been appointed to the board as chairman alongside Margaret Llewellyn who has been installed as a non-executive director.
Donovan has held board positions IT sector, Loksys Solutions says, while Llewellyn has experience in the freight industry through owning and operating a container shipping line and port facilities.
More on NWF Venture Capital deals:
- North West Fund backs B2B consultancy
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- Ambitious Minds supported with £350,000
Doug Stellman, investment director at The North West Fund for Venture Capital, comments, ‘Security systems are essential in the freight industry to protect against cargo theft and monitor supply chain integrity, however operating such systems across the globe reliably is technically challenging.
‘We were impressed with the continual progress the company has made in developing the Trakalok system and its success in securing global customers is testament to that.’
Nanoflex was the last business to secure backing from The North West Fund for Venture Capital when, back in June 2012, it received an undisclosed investment.
Enterprise Ventures is a UK-based fund manager which provides venture and growth capital of up to £2million to new or existing SMEs located throughout the UK and trading across technology and non-technology sectors.
The North West Fund’s other funds include its Development Capital, Biomedical, Energy & Environmental and Digital & Creative divisions.