A Northern finance business is targeting technology companies in Manchester for growth capital product it has developed.
Leeds-based Fresh Thinking Advisory is offering access to various funding options, including venture debt, a form of debt financing specifically designed for high-growth start-ups and technology companies that may not yet be profitable.
Fresh Thinking Advisory has partnered with London-based debt advisory firm, Altenburg Advisory, to provide a premium debt advisory offering to UK trading businesses, lenders and property owners looking to raise debt funding.
Providing loans to support their growth and operations, unlike traditional bank loans, venture debt is typically offered by specialised lenders or venture debt funds that understand the unique needs and risks as a business scales from start-up to fully fledged tech star.
Commenting on the sector, Oliver Reece, managing director of Fresh Thinking Advisory, said: “Manchester’s tech companies have become a focal point for investors seeking high-growth opportunities. However, doing a deal in a timely manner and navigating the different types of funding available can be a challenge. Our team is here to support business owners and help them realise their goals with appropriate, non-dilutive funding.“Venture debt is a less well-known debt product that helps pre-profit or pre-cash generation businesses scale a proven revenue stream without diluting equity value further. It can be particularly attractive in situations where new developers, marketing or other growth spend is required to secure new contracts and customers. The lenders providing these types of facility are sector specialists and understand that traditional lending metrics don’t apply, making them extremely flexible.”
Oliver Reece said: “Manchester has leading companies operating in everything from telecoms to cyber-security and AI. Start-ups and scale-ups must have access to flexible funding to ensure they can continue to focus on building their companies.
“Tech companies need funding partners who are willing to invest in their vision, provide financial and strategic support, and help them grow their business. By demonstrating a strong potential for growth, a clear path to profitability, a well-defined strategy for scaling operations, and transparent communication, tech companies can attract the funding partners they need to succeed.”
Fresh Thinking Advisory advises companies seeking funding of up to £100m. It uses a network of trusted specialists and alternative lenders developed over decades.
