A select group of innovative businesses in the UK planning for rapid expansion in world markets are being given access to a new funding package from Clydesdale and Yorkshire Banks.
The banks’ Growth Finance programme is designed for companies with rapid sales growth and which are expecting to deliver profits in the next 9 – 24 months.
Growth Finance was introduced to respond to business demand for bank funding which would provide companies with the confidence to make the investments required to fulfil their longer term business plans. The scheme is not intended for start-ups but will benefit businesses with solid governance and existing support from venture capital investors. These companies will combine healthy revenue growth from patent protected innovations and are expected to operate as world leaders in their field with an active focus on export markets.
Head of Growth Finance at Clydesdale and Yorkshire Banks, Graeme Sands (pictured), says: “The roll out of Growth Finance across the UK sends a positive message to specialist companies looking to grow on the world stage. Banks have traditionally avoided businesses with historic losses because these are typically due to a series of unplanned events which threaten longer term viability – but this is not always the case.
“The Growth Finance facility will work for the small number of businesses which make a loss while they fund the expansion of their product in the early stages but that have sound plans for long term growth. After looking at the market we think we have taken an intelligent step to provide much needed funding to a niche market.
“Growth Finance is aligned with the wider aims of the banks’ Investing for Growth initiative – which offers a dedicated planning service and a flexible approach to investment finance for businesses, including payment holidays or interest only loan periods. The aim is to help support businesses cashflow while easing debt commitments.”
To support the new UK remit of the Growth Finance programme Clydesdale and Yorkshire Bank has made three key appointments to complete the team. Graeme Sands will be joined by Sandra Hope, Mark Taylor and Jon Turner. These appointments provide extensive senior experience from the venture finance and advisory fields and will allow the pilot programme to expand.
