An early-stage games developer was working on its first proprietary title while also delivering work-for-hire contracts.

FactorTech arranged three loans supported by different sources of repayment: an R&D tax credit, a UK government innovation grant and the studio’s work-for-hire revenues.

The facilities comprised £350,000 against the tax credit, £750,000 against the grant and a £1 million revenue-based loan with warrants.

This combined structure illustrates how financing can be tailored to a studio’s development cycle and income sources. The revenue-based facility included warrants; it should therefore not be described as wholly non-dilutive.

These examples describe individual transactions. Funding availability, security and terms are assessed separately for each business.