The Greater Manchester region is set to receive a substantial boost to its burgeoning tech ecosystem with a newly announced £15 million investment fund. This initiative targets early-stage technology and innovation businesses, aiming to invigorate the local economy.
Designed to de-risk investments for private angel investors, the fund is a collaborative effort seeking to unlock the potential of emerging tech enterprises. Administered by Business Finance Solutions, it represents a significant commitment to the region’s growth.
A New Era for Tech Investments in Greater Manchester
The GM Co Investment Fund aims to infuse up to £150,000 in capital per project, complemented by funds from angel investors and approved partners. This collaborative approach seeks to combine forces to fuel funding rounds typically ranging from £200,000 to £2 million. Over the next three years, the initiative anticipates delivering a total of £15 million in investments across Greater Manchester.
Strategic Partnership and Risk Sharing
By involving private angel investors, the GM Co Investment Fund lowers investment risks through shared funding responsibilities. This strategy not only attracts potential investors but also stimulates interest in the local tech market.
Paul Breen, BFS director, explains, “We understand the challenges that early-stage businesses face in securing capital, and we’re here to bridge that gap with innovative solutions and support.”
The Backbone of Greater Manchester’s Business Support
This fund forms part of a broader £47 million business support programme coordinated by the Greater Manchester Combined Authority.
The initiative integrates resources from multiple sources, including the Growth Fund, ERDF, and local authority contributions, ensuring comprehensive support for local enterprises.
Acknowledged as the evolution of the Co Angel Investment Service, the new fund builds on a legacy of supporting high-growth companies.
By enhancing the foundation laid by the Co Angel Investment Service, which previously facilitated over £15.6 million in investments, the fund represents a strategic shift in supporting nascent businesses.
The approach aims to balance investor confidence with business needs, allowing for sustained growth within the tech sector.
Supportive Infrastructure for Business Growth
Greater Manchester’s business landscape benefits from extensive support infrastructure, which encompasses financial assistance and strategic guidance.
The GM Co Investment Fund plays a crucial role in connecting emerging businesses with expert advice and follow-on funding, strengthening their capacity to succeed.
Unlocking Value in Early-Stage Equity Markets
The Co Investment Fund is set to transform the early-stage equity market by providing necessary financial injections where they are most needed.
This targeted investment model ensures that local tech companies can develop innovative solutions and compete on a national and international stage.
Through proactive engagement with the investor community, the fund creates an environment where risk-taking is met with backing and encouragement.
A Collaborative Vision for the Future
This partnership between business and investment communities is a clear demonstration of commitment to the future of Greater Manchester’s tech industry.
The fund’s approach to leveraging both private and public resources illustrates a forward-thinking strategy focused on sustainable growth and innovation.
As businesses thrive under this scheme, a ripple effect is expected to boost the wider regional economy.
Commitment to Innovation and Growth
The £15 million investment fund is a testament to Greater Manchester’s commitment to fostering innovation and growth in the technology sector. By aligning support with emerging business needs, the initiative is set to catalyse a new wave of technological advancement and economic prosperity.
By strategically aligning with private investors and leveraging public resources, the £15 million fund is poised to transform Greater Manchester into a leading hub of innovation.
Such initiatives not only elevate the regional tech landscape but also set a new standard for collaborative investment approaches in the UK.