Pictured above: (l-r) Mark Savill (RBS),  Andrew Wagg (Winston Joinery Ltd), Dave Smith (Michelin Development) and Mike Cole (Michelin Development)

North Staffordshire companies have shown themselves to be up to the entrepreneurial challenge issued by Michelin Development by taking the loans fund to the £1m mark.

Having launched the North Staffordshire Business Challenge just over two years ago to new start-ups and existing businesses to become more entrepreneurial, Michelin Development is proud to report firms have responded positively by helping push the figure for approved loans to £1m. Michelin Development originally issued the challenge back in August 2008 after figures then revealed the area as the worst performing region for new business development and start-ups in the four areas where the scheme is offered.

Despite launching the Challenge during one of the worst recessions for decades, North Staffordshire firms have heeded the call, with loans approvals increasing from zero in 2008 to 11 by 2010, 176 jobs being created and North Staffordshire lifting itself up off the bottom of the Michelin Development loans table. The latest £25,000 loan to Newcastle-under-Lyme based Winston Joinery has taken the overall loans total to £1m and in doing so has again helped another company in the region realise its business ambitions.

The £25,000 loan to Winston Joinery has been invested directly into the company to help pay for a range of physical site improvements and development costs to the premises. Michelin Development will also provide expertise and advice to Winston Joinery in helping to start-up their new apprenticeship scheme which has already set on two new apprentices this year and plans to set on a further four apprentices in 2011.

Andy Wagg, Winston Joinery Managing Director, said: "One of the major issues for us when we took over this business was getting finance from the banks. When they were not prepared to support us, we approached Michelin Development and they were happy to provide us with required finance. 

"We have used the money to meet a range of development costs such as new racking for the yard, lighting equipment and marketing software to help enhance our database. The Michelin money has been a great assistance and the help and advice they have provided for our apprenticeship scheme has helped in taking that forward." 

Since taking over Winston Joinery at the end of 2009 and saving the 20 jobs that were in jeopardy, Andy Wagg and his team have gone from strength to strength with a projected turnover of just over £1m set for the end of this year. Working with large companies in the construction sector such as J & S Seddon, the joinery firm is looking next to expand into public sector schemes including housing and office development projects.  

Dave Smith, Michelin Development North Staffordshire Business Development Manager, said: "We issued the challenge two years ago with a view to sparking a North Staffordshire renaissance, getting entrepreneurs and existing businesses in the region to grasp the business nettle and restablish North Staffordshire as one of the best performing regions. 

"The clarion call has been heeded and North Staffordshire has shown itself to be a hotbed of ideas, innovations and business ambition. We are very proud to be approving loans to such forward thinking, go-getting businesses and long may it continue into the future." 

Michelin Development Ltd is dedicated to helping small and medium sized businesses that can create new employment in the areas of the UK, including North Staffordshire, East Lancashire, Dundee and Ballymena, where Michelin has present or historic links with the community. The UK operation, which is part of a European initiative to support entrepreneurs and a cornerstone of Michelin's Corporate Social Responsibility Programme, helps expanding businesses through the offer of unsecured loans at Bank of England base rate (through the Royal Bank of Scotland) and the provision of free business advice. 

0ver the five years since it was formed in the UK, Michelin Development has helped over 100 new enterprises in industries as varied as as engineering, construction, IT and fine china.