A new £660 million fund has been launched to help businesses grow.
The British Business Bank has launched its new Northern Powerhouse Investment Fund II, which aims to build on the success of the first fund, created in 2017.
The first Northern Powerhouse Investment Fund has delivered over £570m of direct and private sector co-investment into 608 businesses in the North West, creating close to 3,500 jobs.
The Northern Powerhouse Investment Fund II will enable businesses to access the fund to start up, scale up or continue on their growth journey.
NPIF II will drive sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses.
The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for Northern smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.
Three fund managers have been appointed to manage the fund in the North West.
GC Business Finance & River Capital will manage the smaller loans part of the fund (£25,000 to £100,000), FW Capital will be responsible for larger loans (£100,000 to £2 million) and Praetura Ventures will manage equity deals (up to £5 million).
A Cumbria-based business already benefiting from NPIF investment is Citrus Lime, an end-to-end cloud retail solutions provider.
The business is one of the leading suppliers of cloud-based EPOS systems in the UK and supplies its services to retailers internationally.
It provides its technology solutions to independent cycle, outdoor and equestrian retailers. The NPIF investment facilitated further investment in its technology and helped to grow the talent pool at Citrus-Lime.
Neil Wright, director of Citrus-Lime, said: “NPIF investment came at just the right time for Citrus-Lime as we looked to establish ourselves as a reputable name in the retail technology market and develop our services further.
“We’ve gone from a very humble beginning to a multi-million-pound business and we don’t intend to stop there – NPIF has been a springboard for us to take the next step in our growth.”
The Swan Hotel, a luxury hotel and spa in Newby Bridge, also benefitted from NPIF investment, seeing a significant increase in bookings and a 20 per cent growth in team numbers since securing funding.
The hotel has used the investment to add thirty luxury bedrooms and a state-of-the-art spa to its premises and will create an additional 20 full and part-time roles in the process.
