NW Fund to ramp-up investment and launch new sub-fund
THE North West Fund, which aims to boost small business growth in the region and woo companies from other parts of the country, is expecting to lend more than £40m this year, after its busiest year of deals in 2013.
The fund topped the 50% investment mark in December, and has so far invested £79m in 235 business since its launch in late 2011. It says this has created or safeguarded more than 2,000 jobs.
Private sector co-funding has contributed a further £46m, bringing the total value of investments into North West businesses to £125m.
With two years still to invest and a strong pipeline, bosses are confident the fund will achieve investment levels of £41m this year 2014. It is expected that investments will reach pass £100m towards the end of the summer.
It will soon be launching a new sub-fund, aimed at smaller investments. Called The North West Fund for Micro Loans it will offer businesses finance starting from £25,000 up to £50,000. A fund manager has not yet been announced, but this will be revealed soon.
Cliff Maylor, chief executive of North West Business Finance, which manages The North West Fund, said: “We hope that The Fund’s strong investment performance sends out a positive message to entrepreneurs across the region. Although the economic environment remains challenging, we believe that business confidence is building and the appetite for growth is impressive.
“We are extremely pleased to have invested over half of our capital, but we know there is still a lot of work to do over the next two years of this investment cycle.
“We anticipate reaching the £100m investment mark in August this year and although we are confident we will achieve this, we would encourage all business owners in the region to think about their growth plans and speak to their advisers or contact our fund managers directly.”
The North West Fund is a £155m evergreen fund is backed by the European Investment Bank and European Regional Development Fund. It invested £32m in 2012 rising to £36m in 2013.
