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Grants and Non-Bank Finance The Blended Solution Tony Seaton Blue Sky Corporate Finance. Grants and Non-Bank Finance. Types of Finance Grants Debt Equity. Grants. Local Authorities Small amounts Tend to be localised Local Economic Regeneration departments Research & Development
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Grants and Non-Bank Finance The Blended Solution Tony Seaton Blue Sky Corporate Finance
Grants and Non-Bank Finance Types of Finance • Grants • Debt • Equity
Grants Local Authorities • Small amounts • Tend to be localised • Local Economic Regeneration departments Research & Development • National scheme, SMART, administered by TSB • 3 categories: • Proof of Market (max £25k, 60% of costs) • Proof of Concept (max £100k, 60% of costs) • Development of prototype (max £250k, 35-45% of costs) • Bi-Monthly competition
Grants Other Schemes • Regional Growth Fund – round 3 being completed, use of consortia bids, working with LEP’s • Bank finance – Regional Growth Fund – RBS Group, HSBC • NLGS – 1% interest rate rebate • MAS • UKTI • Growth Accelerator
Non-Bank Finance Local Funds • BCRS & similar • BCELF • UK Steel Enterprise • AMSCI P2P • The Funding Circle • Thincats • Wonga
Equity Types of Equity Finance Venture Capitalists • VCT’s • National Fund managers • Business Growth Fund Local Funds • Local Managers – e.g. Midven, Mercia • UK Steel Enterprise • Finance Birmingham Business Angels • Networks, e.g. Minerva, Beer & Partners • High net worth Individuals
Summary • Several types of alternative funding available • No one answer suits everyone • Likely to be a blended solution • Seek advice on presentation / forecasts
Thank You Tony Seaton Blue Sky Corporate Finance Tony@blueskycf.com 07711 622199