Growth Fund — Loans & Equity
Up to £1.5m
- Aimed at SMEs seeking to develop their business model in a transformational way
- Investment provided for capital expenditure to improve productivity, product development and new market penetration
The Growth Fund provides both growth loan and equity investments of up to £1.5m to selected businesses, management teams and entrepreneurs.
We provide investments to growing SMEs that are profitable or approaching profitability and have a gap in funding where conventional sources of finance are insufficient or unavailable.
Investments are aimed at companies seeking to develop their business model in a transformational way, such as capital expenditure to improve productivity, product development or to restructure their capital base through a change of ownership.
We anticipate that some investments through this fund will attract additional private sector funding.
Our Growth Fund is managed on behalf of Finance Yorkshire by Anticus Partners.
For profitable companies with an established track record and generating turnover of £5m or more, we offer Loans with Profit Participation.
Such investments benefit companies and owners by linking repayment terms to the financial success of the business, without any dilution of equity.
For businesses generating a turnover of less than £5m with a shorter track record, we offer a mix of Loan and Equity investment, structured to suit your company’s requirements.
For businesses at an earlier stage in their life cycle, with plans for rapid growth but with a small capital base, we typically invest in Equity only.
We invest in larger transactions alongside other finance providers, where eligible. For any Equity investment, the size of the equity stake will depend on a number of factors including the size of the investment, the perceived level of risk and the valuation of the company.
As shareholders, we have a vested interest in ensuring that the company succeeds, as we share in the company's success. Our aim is to achieve a suitable mixed return from loan income (eg interest) and from any capital gain on equity at exit. As part of an equity-linked investment, we may appoint a non-executive director to work with the company.
Examples of equity-linked investment deals:
- Gaps in funding growth capital where commercial funding sources (eg commercial mortgages, asset finance and business loans) cannot provide the full requirement. Examples include expansion of capacity, supporting new products or markets.
- Gaps in funding working capital where commercial funding sources (eg overdrafts and invoice finance) cannot provide the full requirement. Examples include investment in stock, work in progress or new customers.
- Gaps in funding for capital expenditure where commercial funding sources (eg overdrafts and invoice finance) cannot provide the full requirement. Examples include investment in new machinery or equipment.
- Relocation (for businesses wishing to move into the region)
Interested? Here’s how to apply:
Send us an enquiry
Use our online contact form to get in touch or give us a call. Send us a summary of your business and funding requirements and our fund managers will check your eligibility.
Finance Yorkshire will contact you
A Finance Yorkshire investment manager will contact you to discuss your enquiry and provide any guidance you need to fill out the application form.
Submit an application form
When asked by the investment manager, you will need to submit a formal application form.
We will normally give a formal decision within 21 working days from receiving the full application and the supporting information we require.
If you have any questions about making an application phone us on 0300 030 6060 or email email@example.com.