North West fund manager River Capital, has announced the launch of a new £8m fund.
The Business Growth Loan Fund (BGLF) will provide loans of up to £300,000 to support SMEs throughout the North West, with a particular focus on the Liverpool City Region.
The BGLF is funded by Merseyside Special Investment Fund (MSIF) as part of its ongoing commitment to support SMEs in the North West and will provide an alternative form of loan finance complementary to more traditional sources such as banks.
Investment manager and BGLF lead Jim Moore said: “Launching the new direct lending fund reconfirms River Capital’s commitment to investing in SMEs in the North West and provides businesses with opportunities when funding from other avenues is challenging to obtain.
“The effects of the last two years have made business lending more complex than ever, and we are pleased to be able to assist qualifying companies in growing, creating, and safeguarding jobs and helping communities in the North West region prosper.
“We encourage businesses from a range of sectors, particularly those with strong social values, to contact us to discuss their financial needs and determine whether we can provide support moving forward.”
Liverpool-based River Capital was previously known as Alliance Fund Managers before undergoing a rebrand in September.
Applications for the new BGLF are particularly welcome from firms demonstrating evidence of strong social values and positive ESG impact, with the fund also targeting the creation of over 320 jobs over its life.
John O’Brien, chairman of MSIF, the investor in the BGLF added: “The Business Growth Loan Fund, managed by River Capital, is a further demonstration of MSIF’s commitment to supporting SMEs with strong social values in the Liverpool City Region and wider North West.
“The BGLF will work with other funders such as the banks but will also fill gaps where those funders are not prepared to lend as it forms a critical part of the region’s business ecosystem.”
MSIF was set up in 1994 to promote economic growth in the region and has since invested funds totalling over £190m in over 12,000 businesses.
River Capital is the FCA-regulated fund management subsidiary of MSIF and manages a variety of funds, including those of MSIF, NPIF Microfinance Fund and the Liverpool City Region’s Growth Platform – Flexible Growth Fund.