 PKF expects Business Growth Fund to significantly increase capital available to SMEs
19 May 2011: The Business Growth Fund was launched today with the aim of supporting growing businesses throughout the UK with a turnover of between £10m to £100m. The Fund will provide companies with a capital injection in return for an equity stake of at least ten per cent.
Commenting on the launch, Stephen Bayfield - a partner in the Corporate Finance team at PKF Accountants and business advisers - said: “Any sensible measure that improves access to capital for SMEs has to be welcomed – particularly at a time when businesses cite difficulties in obtaining funding as their primary concern."
"It will be interesting to see how the BGF will differentiate itself from existing private equity and other funds that provide investment in the £2m to £10m range. However, regardless of that, the fund will significantly increase the pool of funding available to eligible businesses. Some companies are reluctant to give away any of their equity and will prefer to join the queue outside the bank manager’s door, waiting for the major lenders to resume activity in a meaningful way. However, it can make sense to hand over some equity in order to fund a growing business – especially when the alternative is standing still.”
ENDS
For further information, please contact:
Andy Konieczko, PR Manager, 020 7065 0537, andrew.konieczko@uk.pkf.com
Notes to Editors:
1. PKF (UK) LLP is a leading firm of accountants and business advisers with more than 1,500 partners and staff operating in 23 offices in the UK mainland firm, incorporating a wholly-owned financial planning company and associated offshore practices. The firm specialises in advising growing and entrepreneurial/owner-managed businesses, AIM and fully listed companies, and also has extensive experience in the public and not-for-profit sectors. Principal services include assurance and advisory; taxation; consultancy; corporate recovery and insolvency; corporate finance and forensic. The firm has particular expertise in advising sectors such as hotels and leisure; mining and resource; public sector; real estate and construction; professional practices; not-for-profit; and medical. The firm’s web site is www.pkf.co.uk
2. PKF (UK) LLP is a member firm of the PKF International Limited network of legally independent firms. The PKF International Limited network has around 17,600 people operating in 120 countries around the world.
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