The founder of a promising British robotics company is in a desperate race against time to save his life's work from collapse. Atif Syed, scientist and head of Wootzano, has issued a public appeal for urgent financial help after a winding up petition was filed by government agency Innovate UK.
A Global Success Facing Sudden Collapse
Founded in 2018 and based on Tyneside, Wootzano had been a remarkable success story in British manufacturing. The company developed automated food packing systems featuring its own sophisticated sensor technology, specifically designed for handling delicate fresh produce. This innovation won the firm multimillion-pound orders from international clients including the United States, Japan, Australia, and Malaysia.
Mr Syed, who serves as one of the Government's Export Champions and has represented the UK on overseas trade missions, told BusinessLive that the situation "feels like a dream". He never imagined having to make such a public appeal for help. The company has more than £570 million of contracts on its books, with numerous jobs now hanging in the balance.
Frozen Assets and Legal Paralysis
The crisis has left Wootzano in an impossible position. The company's bank accounts have been frozen, meaning it cannot pay for legal representation to challenge the winding up petition. Staff at the firm's Cobalt Business Park headquarters continue working on orders, though these have been delayed by the ongoing situation.
After weeks of behind-the-scenes efforts, including approaches to the Supreme Court, Mr Syed has taken the extraordinary step of going public. A crowdfunding campaign has been launched with the immediate goal of raising £10,000 to hire legal experts in Scotland, where Wootzano remains registered. The company has until November 28 to file an appeal against the petition.
"Every hour matters in the fight to keep Wootzano trading," Mr Syed emphasised, warning that "this is not how innovation should die."
Broader Implications for UK Business
The entrepreneur expressed deep concern about the message this sends to international investors. "I wear a hat for Wootzano and for the British economy as part of the Department for Business and Trade," he explained. "I go out to other countries to tell people to invest in the UK. Apart from anything else it is embarrassing."
He added: "Our partners and customers will see this now. It's not just horrible for Wootzano but for the whole country. It says: 'if you invest in the UK, the Government can just come and do something like this'. What message are we giving to the rest of the world?"
Mr Syed stressed that Wootzano is not an insolvent company but rather a fully functioning business that represents British technological excellence on the global stage. "It would be a catastrophic failure if this is allowed to happen," he stated.
The dispute stems from an £838,000 Innovation Loan taken from Innovate UK in 2022, intended for developing a vision-based subsystem for Wootzano's Avarai robots. When the technology wasn't commercialised within the allotted timeframe, Mr Syed says there was an initial agreement to repay part of the loan and convert the remainder to equity in the company, which was then valued at approximately £50 million.
The subsequent winding up petition has left the business stunned. "I have spent years building this with an extraordinary team," Mr Syed said. "I am not giving up, but right now, the company is legally unable to act without help."
