Finance Yorkshire obtains further $6m

The respective local enterprise partnerships of Leeds City Region and Sheffield City Region have injected $6m into Finance Yorkshire, following the fund’s full investment last June.

UK-based investment fund Finance Yorkshire has received a £5m ($6m) cash injection from Leeds City Region Local Enterprise Partnership (LEP) and Sheffield City Region LEP.

Finance Yorkshire previously achieved the full investment of its £113m vehicle in June 2016. That money had come from EU-owned financial institution European Investment Bank and the European Regional Development Fund as well as the UK government.

The additional capital allows Finance Yorkshire to continue its current activities until March 2017 when the Northern Powerhouse Investment Fund is expected to launch.

Launched in 2010, Finance Yorkshire provides seedcorn, loan and equity investments to small and medium-sized enterprises. The £5m in fresh capital are expected to go towards businesses requiring gap funding and to boost employment.

Finance Yorkshire has backed more than 470 SMEs to date, leveraging an additional £286m in funding from the private sector as well as creating and guaranteeing more than 13,400 jobs.

Alex McWhirther, chief executive of Finance Yorkshire, said: “We know that many companies are in good shape but nonetheless find it difficult to access funding. Our investments play an important role in filling that funding gap.

“The full investment of our original fund was an exceptional achievement but we are mindful of the need to provide continued support for regional SMEs.

“We look forward to talking to regional businesses about their funding requirements and will continue to work closely with business advisers to highlight the investment opportunities available.”

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