The Business Growth Fund (BGF) has now reached a new milestone seeing them over the last four years having invested some £500m in entrepreneurial companies across the UK, £85m of which is committed to businesses across the Midlands.
Formed in 2011 the remit of The Business Growth Fund was to fund growing small and medium-sized businesses.
The fund is backed by the likes of Barclays, HSBC, Lloyds, Royal Bank of Scotland and Standard Chartered, have over the time all contributed to towards the £2.5bn pot.
To date, the fund has developed a portfolio of 100 companies, which includes manufacturers, retailers and restaurants.
A total of 14 businesses in the Midlands have benefitted from BGF investment, including Northamptonshire’s TCL Group and historic carpet manufacturer Victoria, which secured a £10m investment.
Business Growth Fund proud of achievements
“BGF is proud to work with some of Britain’s most exciting and ambitious entrepreneurs,” said chief executive Stephen Welton.
“When The Business Growth Fund launched in 2011, smaller and mid-sized companies were largely overlooked by equity investors, access to long-term capital was scarce, and the perception was that demand was non-existent. That was completely wrong and we have seen a dramatic change over the last three years.
“The £500m that BGF has rapidly invested would not have been provided without us. That has driven not only investment but created thousands of more jobs in our portfolio companies and unlocked tens of millions of additional debt capacity.”
The £500m milestone comes after BGF experienced its “strongest ever” quarter, investing £71m in the first months of 2015.
BGF Midlands regional director Gavin Petken, added: “It was great to see the investment in Midlands-based Bulldog Hotel Group take BGF through the £500m invested mark, with continued evidence of a huge surge in demand across the region.
“As well as new investments, Midlands businesses that we have already backed are taking material follow-on capital from BGF, growing fast, gaining market share and demonstrating that they are capable of competing on a national and international stage when given the right backing and support.”