Investment Fund for Scotland surpasses £10 million investment milestone in its first year – Scottish Business News

The British Business Bank’s Investment Fund for Scotland has committed over £10 million of funding to smaller businesses in Scotland during its first 12 months, supporting firms across a range of sectors and specialisms to thrive and grow.

A total of 26 businesses have received support through the fund to date, involving a mix of both debt and equity funding deals to enterprises across the country. Launched in autumn 2023, the Investment Fund for Scotland aims to improve access to finance and boost the Scottish economy, with loans from £25,000 to £2 million and equity investment up to £5 million available to help small and medium sized businesses to start up, scale up or stay ahead.

Dental biotechnology firm Calcivis, luxury skincare treatments provider The Aesthetics Club, and dog-friendly Stockbridge café Sip & Bark are just some of the businesses that have been supported by the fund over the past year.

Three dedicated fund managers – DSL Business Finance, The FSE Group and Maven Capital Partners – were appointed to manage separate parts of the £150 million fund.

Mark Sterritt, Director, Nations and Regions Funds, at the British Business Bank, said: “Scotland has a thriving small business community, and it is fantastic to see the impact that our fund has made for so many businesses in just 12 months. Reaching £10 million of equity and loan funding is a significant milestone, and it has helped to unlock significant opportunities for business owners, from expanding teams and developing additional products to securing new premises.

“The fund was established to improve access to finance and support growing businesses with investment strategies that best meet their needs, regardless of who they are or where they are based. So far, we have supported firms in technology, life sciences, professional services, hospitality, and more, but this is only the tip of the iceberg. The £150 million fund has the potential to unlock even more opportunities for the businesses underpinning local jobs and economies all over Scotland, and we look forward to building on this promising start.”

The anniversary comes as Edinburgh-based Ingenza Ltd, a leading biotech research business, has secured funding to double its capacity and create up to 20 new jobs.

Delivered via The FSE Group, the £2 million loan will support the fit-out of new commercial premises, enabling Ingenza to double its office and lab space and meet the growing demand in the pharmaceutical research and development market.

Ingenza engineers biological systems for a diverse range of applications, including therapeutics, enzymes, and consumer products, addressing challenges in human health and the global environment.

Ian Shott, Chairman of Ingenza, said: “This investment enables a crucial step forward for Ingenza. The pharmaceutical R&D market is growing rapidly, and we are well-positioned to capitalise on this growth. By doubling our capacity, we can enhance our offerings, especially in the area of ‘First In Human’ drug development testing.”

Mark Sterritt added: “There has been growing momentum around life sciences in Scotland for some time, and it is great to support a key player such as Ingenza with funding to implement its growth strategy. Innovation is one of the priority areas of the fund, and Ingenza is a welcome addition to the portfolio of high-growth businesses that we are already working with, all at the forefront of cutting-edge science and technology.”