Government-backed fund passes £2m investment mark

The South West Investment Fund, a government-backed initiative launched in July by the British Business Bank, has passed the £2m investment mark.

With completed debt and equity investments totalling £2.4m, the fund aims to enhance financial support for small and medium-sized businesses across the South West region.

Last month, the fund announced its first equity investment of £500,000 in Binit, a tech-led commercial waste and recycling business. In addition to equity investments, the South West Investment Fund has concluded various debt funding deals ranging from £26,000 to £500,000.

These investments, totalling over £2.4 m, have benefited businesses in various sectors, including a specialist eyewear manufacturer in Devon, a landscape and garden design business in Bath, a Thai restaurant group and a nursery in Dorset, a book publisher in Cornwall, and a creative filmmaking business in Bristol.

Covering the entire South West region, the fund provides loans ranging from £25,000 to £2m and equity investment up to £5m, supporting small and medium-sized businesses in starting up, scaling up, or staying competitive.

Ken Cooper, managing director, of Venture Solutions, at the British Business Bank, said: “Within weeks of launching the South West Investment Fund our appointed fund managers had received hundreds of enquiries from businesses across the region, so we’re delighted to see these first investments coming through and supporting businesses that might otherwise not receive investment.”

The South West Investment Fund is managed by a team of four fund managers who have been appointed by the British Business Bank. They are SWIG Finance, FW Capital, Maven and the FSE Group.

Many of the fund’s initial investments have come from the smaller loans part of the fund (£25,000 to £100,000), which is managed by SWIG Finance across the region.

John Peters, managing director of SWIG Finance, said: “I’m really pleased with the positive impact the fund is already having. We’re continuing to experience high demand and want to support as many viable small businesses as we can, from all corners and communities in our region.”