Seedcorn Fund Case Study
Vapour Cloud merged with another cloud services provider, EveryCloud, a year ago to further consolidate its offer to businesses. The company provides services to SMEs via a partner network of resellers as well as working direct with clients.
Finance Yorkshire involvement
Vapour Cloud’s growth has been supported by investment from Finance Yorkshire’s seedcorn fund totalling £1.3 million. In three years, the business has increased job numbers from three to 26 and quadrupled its turnover.
CEO and co-founder Tim Mercer said: “We have developed and built our business because of the potential we recognised in cloud-based services from an early stage. More companies are changing their technology policies and moving to cloud or an element of it and we are anticipating further growth on the back of this trend.
“With Finance Yorkshire’s backing we have grown from being a start-up to a fully-fledged business with an excellent team and solid reputation for what we do. Our clients recognise we have the knowledge to deliver the right solutions for their businesses supported by unrivalled levels of customer care and service.”
The Investment Rationale
David Best, investment manager at Finance Yorkshire, said: “Earlier this year, Vapour Cloud was able to attract £1m of third party support from new funders who share our belief in the team’s ability to offer differentiated, bespoke solutions to clients’ varying data, voice and cloud requirements. We are pleased our investment has enabled Vapour to grow year on year, creating valuable jobs in the region.”
Vapour Cloud has enjoyed a major contract win with Egton, one of the UK’s leading providers of healthcare technology and solutions. Vapour is supporting Egton in delivering next-generation voice services to its client base using cloud-based technology.
Vapour has also partnered with Leeds-based education technology company ICT4Collaboration to roll out a cloud-based voice network to schools and other education organisations.