Gateshead video game developer ToastieLabs is expanding after securing a five-figure investment. The company has received £25,000 from the North East Elevate Fund, managed by FW Capital, to support growth at its premises at 30 Half Moon Lane in Gateshead's Railway Quarter.
The independent studio was founded 10 years ago as a solo venture by Rob Small. Four years later, it was launched as a full-time studio by Small and co-founder Lee Fowles, specialising in puzzles such as Colouring Pixels and WooLoop, as well as creative digital games.
Expansion Plans and New Venue Features
Today, the firm is a member of regional networks including Game Republic and focuses on creating accessible gaming experiences online while championing local game development communities. It was recently shortlisted for Game Republic's Best Small Game Studio 2026 award.
The base serves as the studio's primary development headquarters, but also includes a public-facing retail shop and hobby space. Local gaming fans and tabletop enthusiasts can purchase official merchandise, play board games, and browse a licensed selection of Warhammer products via an official partnership with Games Workshop.
Escape Room and Staff Expansion
ToastieLabs also plans to further maximise its Gateshead venue by rolling out a small-scale escape room experience. Founder Rob Small said: "We've seen great success developing and publishing our own digital games, which has attracted a significant global audience and generated recurring revenue through ongoing game sales and downloadable content."
"Having moved to larger premises at Gateshead's Railway Quarter we can now expand and create our own gaming venue which will incorporates gaming events, tabletop gaming, retail sales and plans to launch our own bomb detonator style escape room. We're also taking on three new members of staff to support myself, Lee Fowles and Jack Dingwall."
Small added: "The support from Ruby Knowles and the team at FW Capital has been spot on. Ruby has been friendly and approachable, taking the time to visit us and understand our business strategy and what we needed to help our expansion plans. The turnaround time from talking to Ruby and receiving the funding was impressive – it was all done in three weeks."
Support from FW Capital
Ruby Knowles, Assistant Investment Executive at FW Capital, said: "The North East Elevate Fund is there to help local businesses seeking smaller loans which are vitally important for their growth. The gaming and tech industry are extremely popular and the team at ToastieLabs have successfully turned their passion into a fantastic business."
"The investment provided is helping them to complete the transformation of its premises into a public facing gaming and events venue. Rob and Lee have demonstrated a clear vision for the business which will support the future development of their gaming brand in the North East."
The North East Elevate Fund is part of the North East Mayor Kim McGuinness' £100m regional investment framework administered by The North East Fund. Along with both the North East Accelerate and North East Spinout Inspire funds, it aims to strengthen access to early-stage finance for start up, scale up and growing companies in North East England, and tackle long-standing market failures that have hampered innovation-led growth in the region.
