The Investment Fund for Scotland has invested \u00a343.6m in 95 businesses since launching in October 2023, reaching every region of the country.<\/p>\n
The \u00a3150m fund has leveraged \u00a333.3m of private sector investment, securing \u00a31.05 for every \u00a31 invested, according to an independent evaluation by research company SQW.<\/p>\n
The evaluation found strong evidence the fund is supporting companies that may otherwise have struggled to secure investment.<\/p>\n
Adam Kelly, managing director of debt and regional funds at the British Business Bank, said: “The findings demonstrate that the fund is helping businesses access the finance they need to invest, innovate and grow, whilst also helping to attract additional private sector investment into the Scottish economy.”<\/p>\n
He added: “While the fund is still at an early stage, it is encouraging to see strong evidence that it is supporting businesses that might otherwise struggle to secure finance and helping to create the conditions for long-term economic growth.”<\/p>\n
The fund comprises three options: smaller loans of \u00a325,000 to \u00a3100,000 managed by DSL Business Finance, debt finance of \u00a3100,000 to \u00a32m managed by The FSE Group, and equity finance of up to \u00a35m managed by Maven Capital Partners.<\/p>\n
By September 2025, the fund had provided \u00a331.6m across 81 investments to 75 businesses.<\/p>\n
Professional, scientific and technical activities accounted for 17% of firms supported, followed by wholesale and retail trade at 16% and manufacturing at 13%.<\/p>\n
Glasgow-based Fretronics Engineering secured a \u00a340,000 loan from DSL Business Finance to scale up production of its audio switching device.<\/p>\n
The company, which operates from Govan, supplies equipment to artists including Harry Styles, Sabrina Carpenter and Coldplay.<\/p>\n
Olly Warner, founder and director of Fretronics Engineering, said: “It’s meant we can double our output and meet the demand we’re seeing from artists and retailers around the world. Our products are trusted by leading names in the industry for their performance, reliability, and build quality, and it’s been great to have the opportunity to work with some of the biggest names in the business.”<\/p>\n
The fund was launched to address gaps in the supply and diversity of finance available to businesses across Scotland.<\/p>\n
Across the British Business Bank’s wider \u00a31.6bn Nations and Regions Investment Funds programme, 81% of surveyed businesses reported they would either have been unable to secure finance without the funds or would have secured funding on a smaller scale or over a longer timeframe.<\/p>\n","protected":false},"excerpt":{"rendered":"
Independent evaluation finds scheme is addressing regional finance gaps<\/p>\n","protected":false},"author":26,"featured_media":8164,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,120667],"coauthors":[160],"class_list":["post-8163","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-deals","category-smes","tag-edinburgh-lothians","tag-featured-story","tag-greater-glasgow","tag-highlands-islands","tag-north-east-scotland","tag-south-of-scotland","tag-tayside-fife"],"yoast_head":"\n