AN e-commerce firm has set up a new home in York - and simultaneously announced a massive order for its business management software from a major US brokerage.

MS2M, otherwise known as Management Services 2000 Ltd, today moved out of smaller premises at Howsham, near Malton, and into Tower House, the serviced offices at Fishergate, York.

From there, the company will service the new £200,000 contract with the London office of US-based JP Morgan, which recently bought out Chase Manhattan Flemings, the US brokerage - and more huge orders are expected.

Already JP Morgan is talking to its New York, Hong Kong and Tokyo outposts about the potential of the internet-based TrackRecord software, which keeps a "big brother" eye monitoring personal transactions in stocks and shares then registering them online, thereby safeguarding against the possibility of insider dealing.

Now David Alderson, managing director of MS2M, is hoping to expand the ten on the MS2M payroll and by occupying the large General's Room and the Captain's Loft in Tower House - relics from the days when it was the army's Northern Command HQ - he believes he has the space to do it.

He said: "It's very exciting. We have developed the internet software over the past year and now large organisations are looking at us and saying, 'Wow, we can use this anywhere in the world.'"

The arrival of MS2M in York is taken as another sign of the city's growing reputation as a centre for e-commerce by both York Inward Investment Board and leaders of Science City York.

Mr Alderson said: "York has the future-proof communications infrastructure and cutting-edge technology we need and Tower House is so flexible. Our systems are simply linked on top and connected through to the world outside.

"Howsham simply could not offer us the same fibreoptic links and new wide band width which has been promised to the city by BT."

He said that another reason for the move was that in York the firm would be able to attract the right calibre of technical staff. "We have some excellent people from the University of York and I know that's where we can get the skills in SQL Server, VB and ASP to innovate and deliver top-quality management solutions."

Dave Taylor, marketing director of York Inward Investment Board, said: "This is another top quality employer arriving in York. MS2M achieved the Investor in People accolade in April and as a growing enterprise the company is a welcome addition."

Anna Rooke, project manager of Science City said: "MS2M's confidence in York's telecommunications infrastructure is welcome news.

"Already York can boast better-than-average broadband coverage compared with other UK cities, but we are working continually to improve this to benefit local and in-moving companies."