The Growth Hub is a point of contact for advice, funding and support for any business across Greater Birmingham.
The funding, from the Department for Business, Innovation & Skills (BIS), will enable the hub to expand its support programme and provide more specialists in sectors such as manufacturing.
Run by the Greater Birmingham & Solihull LEP, the hub has assisted more than 2,000 companies across the region since launching five months ago. During the past month alone, it has received more than 500 enquiries – around 25 per day.
Ian Mclaughlan, manager of the Growth Hub, said: “The number of enquiries we are receiving has really started to gain momentum, so it is great news that the Growth Hub’s future has been confirmed for another two years.
“We are planning to use the funding from BIS to develop the amount of support available – enabling our partners to offer greater levels of expert knowledge to local businesses.
“The Growth Hub is frequently contacted by businesses wanting access to finance or funding, and this will be a priority for us in the coming months.
“I am also keen to ensure that key industries in Greater Birmingham, such as manufacturing, are provided with more support.”
The funding starts in April and will finance the Growth Hub and its support programmes until March 2018.