St Mary’s Bike Hire is the latest business to receive funding via the Isles of Scilly Voucher Scheme.
Owners Chris and Jo Evans wanted to expand the company's bike hire fleet to include electric bikes and add an online booking system to its website.
Chris said: "Receiving Voucher Scheme funding has enabled us to diversify our business. We wouldn’t have bought the electric bikes without the funding and they are proving really popular, especially with our older, less able visitors."
The firm, which operates from Porthmellon Business Park, also plans to start offering guided bike tours in the coming months.
Other applicants to benefit from the Voucher Scheme recently include St Mary's resident and incoming Councillor Joel Williams, who received EDRF funding to start up his new business Scilly Property and Gardening Services.
Local chef Phil Fallows also received help to set up his gourmet mobile food business 28 Mile Grill.
Find out more about the Isles of Scilly Voucher Scheme here.