British Business Bank – Supporting business growth in Scotland

Whether you’re a start-up, an established business or looking to grow, finding information and guidance around finance that can help you on your business journey can be complex and challenging.

We understand those challenges. We’re here to make them easier for you to not only understand but overcome. We do that in a number of ways:

• We work with Governments, finance providers and institutions to make finance markets work better for smaller businesses.
• We talk to businesses, trade bodies and industry experts – alongside the industry-leading research we’re carrying out – to make sure we’re giving information and guidance that’s fully relevant.
• We provide independent and impartial information – including guides, checklists, animations and articles – so you can benefit from what we know and find the right path for your business’ development.
• We help drive sustainable growth and prosperity in Scotland and the rest of the UK, and enable the transition to a net zero economy, by supporting access to finance for smaller businesses.

We don’t lend or invest directly. Instead, we work with more than 180 partners such as banks and venture capital funds. Businesses apply for finance through our partners who, because they work with us, can lend and invest more.

The Bank’s programmes have delivered £361 million of finance to 3,923 smaller businesses in Scotland (Bank core programmes as of December 2022). Since 2012, our Start Up Loans programme has provided 6,900 loans in Scotland, worth over £63.5 (figures as of August 2023). Our programmes help to provide both equity and debt for businesses at all stages of their development.

In Scotland, Barry McCulloch is Senior Manager in the UK Network team and is working with a range of organisations to help smaller businesses access finance – as well as monitor developments in the access to finance market.

We believe it is essential that smaller businesses like yours are helped at every stage of their development to understand the financial landscape they are operating in and make informed choices regarding financing their business. It’s why we created a Finance Hub, to provide independent and impartial information on finance choices and a series of guides, checklists, and articles for your business.

Investment Fund for Scotland

The British Business Bank has launched its new £150 million Investment Fund for Scotland, unlocking additional funding to help smaller businesses to prosper and thrive.

The new fund will drive sustainable economic growth by supporting new and growing businesses across the whole of Scotland through investment strategies that best meet the needs of these firms. It includes a range of finance options with loans from £25,000 to £2 million and equity investments up to £5 million to help small and medium-sized businesses start up, scale up or stay ahead.

The Bank’s Investment Fund for Scotland will be the first solely UK government-backed investment fund for smaller businesses in Scotland, helping to increase the supply and diversity of early-stage finance by providing options to firms that might otherwise not receive investment. Funding is designed to help businesses with activities including expansion, product or service innovation, new processes, skills development, and capital equipment.

Three fund managers have been appointed to manage the fund. DSL Business Finance will manage the smaller loans part of the fund (£25,000 to £100,000), The FSE Group will be responsible for larger loans (£100,000 to £2 million) and Maven Capital Partners will manage equity deals (up to £5 million).

For further information please visit www.investmentfundscotland.co.uk.