Santander to launch £40m business fund
Enterprise Ventures-backed fund will provide loans of up to £1m to UK's small and medium companies
Santander has announced plans to launch a £40m investment fund to support the UK’s small and medium-sized enterprises, in partnership with Manchester-based Enterprise Ventures and the Greater Manchester Pension Fund.
Santander’s involvement is part of its Breakthrough programme to help Britain’s “most ambitious businesses” access knowledge, talent, connections, funding and advice for international trading.
The loans will provide up to £1m to fuel growth for small and medium businesses in all sectors, with current or anticipated profits of £100,000, and a minimum turnover of £1m.
Loans will be available for everything from acquisitions and asset purchases, to operational improvement and business development.
Jonathan Diggines, chief executive of Enterprise Ventures, commented: “Enterprise Ventures Small Business Loans represents a significant new institutional source of investment into the small business market, one which is not subject to the constraints of other government and European funds.
“We recognise the important role that small businesses play in providing services and employment within local communities, developing new ideas and technologies, and strengthening regional economies.
“The backing by Santander UK and Greater Manchester Pension Fund supports our aim of providing better access to finance for small businesses and their commitment is highly innovative.”
Damian McGann, divisional managing director – north of England, at Santander UK Corporate & Commercial, added:
“Small business need access to multiple sources of finance, our support of Enterprise Ventures allows us to fill a gap in the market and provide a breadth of innovative solutions for all ambitious small businesses.”