Crowdfunding platform Crowdfinders has launched a new £100m funding drive aimed at remedying the £1bn UK SME funding gap.
The initiative, entitled Race to Scale, invites scaling businesses to pitch for a share of the £100m debt and equity finance up for grabs sourced by private equity firm IW Capital and its range of partners including Seedrs, Crowdcube and the UKBAA.
Targeted specifically at scale-ups in any sector, successful applicants will be invited to pitch to a room of 500+ angel and private investors across a series of Crowdfinders’ live events, for a chance to secure an investment or loan of between £100k and £5m.
The first Crowdfinders live event will take place on 21 April at The Royal Institution in Mayfair, with a further three to follow throughout the year.
Luke Davis, Chairman and Co-founder of Crowdfinders, said: “It’s really reassuring to see the appetite that investors have for British business and the confidence they place in SME progression, but the lack of available information is something that could significantly obstruct small and medium businesses from scaling up.
“The scale-up phase is notoriously difficult to get right but with greater access to funds and targeted mentorship, we could witness more business success stories – something I’m keen to see happen across the UK.“
Jenny Tooth, Chief Executive Officer of the UKBAA, added: “As the trade body for angel and early stage investing across the UK, we are aware that there remains a huge untapped amount of financial capacity to invest in growth oriented small businesses.
"We are delighted to support the Race to Scale initiative and enable investors to access our new nationally validated programme of investor education and accreditation.
"This will enable investors to gain the knowledge and skills they need to make effective decisions about which businesses to back and ensure that we can effectively mobilise this capital to support great growth businesses in Britain.“