WRAP extends waste prevention fund
Resource efficiency news - by GreenWise Staff
12th June 2012
The Waste and Resources Action Programme (WRAP) has announced more funding for businesses that are seeking to bring to market innovative products and services that prevent waste creation.
launched the £1 million Waste Prevention Loan Fund
(WPLF) last year
to help businesses introduce green business models and processes that make more efficient use of material resources, but following little success with it, WRAP said it was extending the WPLF today with a further £500,000 of funding
and a new remit.
New opportunity to invest in reuse and repair
The initial WPLF targeted retail businesses that sell electrical and electronic products, clothing and furniture. The new funding will be available to any type of business and of any size and will represent a new opportunity for companies and organisations looking to invest in "reuse, repair and recovery operations", WRAP said.
All material streams will be eligible for application and funding will range from grants of up to £50,000 to loans of between £100,000 and £1 million. Business development support such as financial planning and marketing
will also be available.
However, WRAP said that it would only consider projects where the concepts had been proven and required finance to scale up to a commercial level.
"In the first year we found that loans for start-up businesses seeking to prove a concept were not the best way to stimulate the market, so this fund has a wider application and scope," a WRAP spokesperson said.
WRAP said the aim of the funding was to help innovative businesses set up new business models where their traditional sources of finance may not see the commercial case. Examples may include a company changing from being a product sales-driven business to one that delivers services such as leasing, or one looking to introduce customer incentives to return products for re-manufacture, re-use or recycling
In addition to the loan fund, WRAP said it might also be able to help identify new finance partners who are better placed to understand and finance new business opportunities.
Loans for reuse and repair
Loans for reuse and repair will start at £100,000. They will cover items that are required to increase capacity for reuse, repair and recovery of electricals, textiles or furniture.
Items in these categories that could be eligible funding might include electronic diagnostics equipment, tools such as drills, required for repair, refurbished electrical and electronic items, internal storage fittings and systems and equipment for the recovery of critical raw materials.
"These are the things with the greatest environmental benefit in terms of reuse and repair," a WRAP spokesperson said.
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