GROWING firms are being offered a chance to share in an 8m prize fund in a competition being run by venture capital company 3i.

The 3i technology Catapult Competition will provide up to 2m of investment capital to four management teams double the prize money available last year.

The competition is open either to technology start-ups or for businesses building an enterprise which has been trading for less than three years where growth is dependent on developing technological skills.

A previous winner was mondus.com, set up by two Oxford University students, which has developed into a leading electronic marketplace for small to medium-sized businesses.

More than 17,500 businesses have registered since its launch last October.

Co-founder Rouzbeh Pirouz said the Technology Catapult award had "propelled mondus into horizons that only existed as visions".

Other winners have included Coventry-based Oxford Fiber Optics which has developed a series of products including a website allowing home shopping for pet owners.

Jo Taylor, director of 3i's UK technology investing business, said: "Technology is a rapidly growing sector and technology companies contribute significantly to the UK economy.

"However, they are faced with an ever-changing market where there are barriers to growth and the opportunities to develop are often held back by lack of investment. It is integral to be internationally focused from the outset and from this the potential of success is far greater.

"The competition is designed to release the potential of technology companies by converting good ideas into great businesses, by providing the financial muscle to turn business plans into reality."

Competition entries close on May 23. More information is available on the 3i website www.3i.com/catapult or by calling 0800 015 2444.