Raising finance can be daunting but we can help Scotland's oil and gas companies find the right approach for their growth ambitions says our energy director, Maggie McGinlay.
Over the last 18 months the Scotland's Energy Jobs Taskforce has provided intensive support to the oil and gas sector to help it respond to the significant challenges brought about by the global downturn.
As a result of this support, we’re seeing a real shift in collaboration between operators and the supply chain, companies looking at new and more efficient ways of working and a recognition of the importance internationalisation plays in the future of the industry.
Scottish Enterprise support alone has reached around 700 companies to date in areas such as business resilience, leadership and innovation. For example, our innovation support has contributed £7 million towards 70 research and development projects worth £16 million in total.
One of these was East Coast Oil and Gas which received £1.2 million towards its £3.9 million research and development project.
A young subsea engineering company which was set up in 2013, East Coast believes this investment will help it not only create efficiency savings in the oil and gas sector but will support the creation of 14 new jobs over the next three years.
How to access finance
As the downturn continues, we recognise a growing need for oil and gas companies to have access to finance to invest in areas such as innovation, internationalisation or diversification opportunities, all of which are critical to the future success of the oil and gas sector in Scotland.
We aim to help companies understand the different types of financial support available and how to access it.
Whether it’s applying for bank finance, pitching to investors or satisfying grant criteria, identifying what the actual needs are and deciding on the most appropriate type of finance will be important.
As daunting as raising finance can be, capital is an essential ingredient for business growth.
Through the Scottish Investment Bank (SIB), our investment arm which works in partnership with Highlands and Island Enterprise, we invested over £5 million through our co-investment funds in three oil and gas companies last year.
Supporting financial readiness
In addition, our financial readiness programme which aims to help companies articulate their funding requirements, develop their investment propositions and increase their chances of securing the most appropriate package of finance for their needs, helped 39 companies.
And 10 oil and gas companies were also supported through UK Export Finance to prepare to secure export finance guarantees.
These are just a few of the investment options we have available to support companies to grow.
Our financial readiness specialists can help you find the right approach for your growth ambitions.
Talk to a financial readiness expert