The Government has unveiled plans for a new “Future Fund”, this scheme is designed to ensure innovative companies remain viable during the Coronavirus pandemic.
To be eligible for a loan from the Government under this scheme, a business must be an unlisted UK registered company and have a substantive economic presence in the UK.
- This scheme will issue convertible loans between £125,000 to £5 million,
- Businesses should be able to attract the equivalent match funding from third-party private investors and institutions;
- Businesses should have previously raised at least £250,000 in equity investment from third-party investors in the last 5 years; and
- Businesses will have been unable to access other government business support programmes, such as CBILS, because they are either pre-revenue or pre-profit and typically rely on equity investment.
How to apply
- The Government scheme, which will be developed in partnership with the British Business Bank, should open for applications in May 2020;
- It is intended that the scheme will initially be open until the end of September 2020; and
- Further details about this scheme will be published shortly.