The Future Fund: Breakthrough scheme will help innovative technology companies grow and bring new products to market in the wake of the coronavirus pandemic, the Government has suggested.
The report comes after the initiative opened to new applications last week.
If your business is seeking investment, here’s what you need to know.
What is the Future Fund: Breakthrough scheme?
The £375 million scheme is designed to “drive investment” in the UK’s “most high growth, innovative and Research & Development (R&D) intensive firms”.
It comes after research suggested that breakthrough companies “typically require more capital than other technology companies to fuel the later stages of their growth”.
How does the scheme work?
The Future Fund: Breakthrough scheme is a co-investment scheme. This means the Government will co-invest with private investors to help scale up innovative companies that usually lack the capacity to secure all of the funding they need.
To be eligible, businesses must have commitments of 70 per cent of an investment round from private investors with a track record of financing innovative companies – such as venture capitalists.
What is the minimum level of investment?
Firms must be seeking to raise at least £30 million of investment.
If your business is seeking more or less investment, please get in touch with our team to discuss viable alternative funding options.
What types of firms are eligible?
Successful firms will be those who are developing technologies capable of “transforming major industries” or supporting the UK’s transition to a net-zero economy.
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