Key Fund takes over three funds after voluntary centre went bust
Key Fund has taken over three social investment funds formerly managed by Greater Manchester Centre for Voluntary Organisations (GMCVO) after it entered administration in 2024.
The organisation will now manage the GMCVO’s Growth Fund, Enterprising Communities Fund and Proper Good Investment Fund.
Key Fund, a social impact company investing in community and social enterprises with a particular focus on disadvantaged areas, has taken over management of the funds after sustained work between GMCVO’s funders and administrators.
Key Fund has been investing in the Greater Manchester area for over 15 years so are well placed to support.
Proper Good Investment provides loans for social businesses based in Wigan, Stockport, Oldham and Bolton; the Enterprising Communities Fund offers blended finance up to £100,000 for social businesses looking to grow their trading.
In a statement, GMCVO’s main funders and investors, Access – The Foundation for Social Investment, Better Society Capital, Greater Manchester Combined Authority and the National Lottery Community Fund said they are “grateful to all parties involved in finding a solution and to Key Fund for their willingness and efforts to make this a reality.
“This outcome will ensure continued support for local social enterprises, and that any existing loans are managed by an investor with an understanding of the sector and a commitment to impact.”
Key Fund says will continue to work with funders and local partners to support enterprises in the region to generate impact moving forward.
Matt Smith, CEO of Key Fund
Matt Smith, CEO of Key Fund, said: “We were saddened to hear of the challenges at GMCVO and the impact on the social enterprises in the area, we have worked with funders to find a solution and look forward to engaging with partners and funders over the coming months as we explore new opportunities to further support Greater Manchester. We note with regret this has been a difficult time for former staff and stakeholders, but hope that the outlook is now more positive for the sector in the region.”
In November, theBusinessDesk.com reported that Emma Mifsud and Charles Turner of Opus Restructuring LLP were appointed as administrators of GMCVO on 27 November 2024 and they hoped to be able to rescue parts of the operation by transferring them to other partners.
In its last accounts for the financial year ending 31 March 2023 filed at the Charity Commission, GMVCO’s total income was £3,324,605, including £1,850,233 from 17 government grants and total expenditure of £3,653,164. Its accounts are 84 days late.
Opus said they worked closely with all stakeholders to make sure the services and funding were able to continue. Emma Mifsud told TheBusinessDesk.com that in the run up to Christmas she and Charles Turner also worked with grant funders to honour the delivery of significant grant funding.
She also said Opus secured the transfer of the lease and business of the St Thomas Centre to another Charity – “allowing it to continue operating as a conference venue and office space. Latterly, we have also collaborated with stakeholders and Key Fund to successfully transfer the social investment service line, enabling ongoing funding and support for the Greater Manchester community.”
She added: “All parties involved have acted diligently and at pace to minimise the impact of this challenging situation, prioritising the needs of the community throughout the process.”
