Setgo, a Liverpool studio formed by ex Sony Liverpool staff, has received £50,000 in funding from Northwest Regional Development Agency branch MSIF.
Founded by Christian Lavoie, Clemens Wangerin and Jason Chown, the studio currently has one released title, Facebook game Castaways. More titles are planned for open and social platforms.
"2010 figures show that virtual goods are an established market worth $6bn globally," said MD Wangerin. "Most of the games selling virtual goods, including ours, operate a free-to-play business model. The virtual goods are purchased in micro transactions of £1 to £2 each.
"We closely monitor user behaviour through the Setgo Metrics Browser, our own analytics tool. This is a vital part of developing games for an online audience as the titles are never considered 'finished' in the traditional sense of a boxed product and are continually updated and improved.
"MSIF have been very supportive and had a good understanding of our sector which enabled us to get the funding through quickly. The loan has enabled us to secure additional finance as well as fund the continuing development, marketing and revenue of our existing title. We are also looking to penetrate new markets abroad particularly in South America and Europe."
Currently, Setgo employs six people, but expects to hire a further ten over the next five years.