Business secretary Peter Mandelson has announced a new £30m fund to invest in small and medium-sized technology enterprises looking to expand their business.
The fund, part of the Enterprise Capital Funds (ECF) programme, will be managed by TTP Ventures, part of Hertfordshire-based TTP Group, and will look to invest development capital in information technology, electronics and instrumentation companies.
Mandelson said: ECFs provide an important source of capital for small and medium-sized enterprises (SMEs) looking for equity investment, and this latest fund further demonstrates the government’s commitment to support business through these difficult economic conditions.’
According to the Department for Business, Enterprise and Regulatory Reform (BERR), ECFs help SMEs with high growth potential raise equity finance of up to £2m.
The fund was awarded to TTP Ventures by Capital for Enterprise Limited (CfEL), the independent company that manages the Department for Business’s SME investment programmes.
CfEL has established more than 22 funds in the last six years.
These funds have delivered approximately £600m of equity finance to SMEs in the UK, 12 per cent of the £5bn total to the sector since 1996.