Business Growth Fund Worth £2.5bn Established for SMEs
Business Growth Fund (BGF), an independent fund of up to £2.5bn, has been established to help growing businesses achieve their full potential and play their part in securing Britain’s long term economic recovery. The fund is looking to back Britain’s smaller and medium-sized enterprises with an annual turnover of approximately £10m to £100m, where a funding gap has been identified.
Backed by five of the UK’s main banking groups and working in collaboration with the British Bankers Association, the BGF is one of a range of initiatives designed to forge a new relationship between the banking sector and UK businesses.
Stephen Welton, chief executive officer (CEO) of the BGF, said: “The BGF represents a new collaborative approach to financing growth by investing equity capital in Britain’s most dynamic businesses. This will give businesses the boost they need to create new products and services, sell to new markets and create new jobs.”
The BGF has opened its first office in Birmingham and plans to open other offices in Edinburgh and London, as well as expand in key regions across the UK where it can work closely with the businesses that it backs. The BGF team currently totals 30 people, and is actively recruiting experienced investment professionals.