Report reveals SMEs in the East Midlands secured £100m in equity investment in 2023
The annual Small Business Equity Tracker has been published today, revealing that small businesses in the East Midlands received £100m in equity investment across 58 deals in 2023.
It represents a 9% decrease in deal numbers compared to the previous year, reflecting a broader market downturn.
Overall equity investment for smaller businesses has now returned to pre-pandemic levels after record highs in 2021 and 2022.
Since 2014, over 21,000 equity deals in the UK have provided more than £90bn in equity finance to support small businesses.
Despite two years of market contraction, investment values have risen by 182% over the past decade, with deal numbers up by 42%.
Between 2021 and 2023, the British Business Bank supported 15% of UK equity deals and 18% of total investment through its programmes, an increase from the previous period.
Nearly half of these deals were in the technology/IP-based sector, compared to 42% across the overall market.
Lewis Stringer, senior manager of UK Network East Midlands at the British Business Bank, said: “It is extremely positive to see the East Midlands resilience in comparison to the overall market’s equity investment downturn. We believe that this is a testament to the appetite for business success throughout the region and an overall desire for entrepreneurs to become successful.
“The recent launch of the Midlands Engine Investment Fund II shows our commitment to ensuring that efficient funding is available for small businesses who need it and that the East Midlands region continues to flourish.”