North West gets £15m funding boost
Good news if you're business is in Liverpoo or Manchester today. The Northwest Regional Development Agency announced the launch of a new £15m venture capital and loan fund to boost businesses in the region hit by the crunch.
The Manchester Evening News story reported that the new fund is designed to bridge the wait for a £140m fund announced last year, but yet to launch. Chief executive of the Northwest Regional Development Agency Steve Broomhead said the £15m pot will allow his team more time to finalise details of the Venture Capital & Loan Fund.
Companies set to benefit will be those that have been unable to secure finance from banks, other lenders, angels and VCs. Loans of between £50,000 and £250,000, with equity and mezzanine finance to the level of £2m will be made available.
As if more evidence was needed, the Financial Times today reported that lending levels for May took a hit. Lending to businesses has fallen in seven of the last 12 months. The Bank of England expects it to take between six and nine months before the effect of money pumped into the economy truly starts to kick in.
