South Yorkshire-based business lender Finance For Enterprise has secured investment from Big Society Capital and European bank Triodos.
Secured through match-lending, the £15m funding will be used to support SMEs based in South and East Yorkshire as well as the Midlands.
Commenting on the new funding, Finance For Enterprise’s managing director Arthur Foreman said: “SME businesses are the backbone of Britain’s economy, yet many are unable to secure the vital funds needed to realise their growth ambitions.
“The funding we have secured will help us to make more money available to viable businesses, enabling barriers to growth to be overcome.”
Finance For Enterprise, which has already pledged £3m in business loans as a result of the funding, is the first alternative business lender in the UK to secure funds from this joint source.
Arthur continued: “It’s a fantastic honour for Finance For Enterprise to become the first alternative lending provider in the UK to be successful in securing access to the funding available from both Big Society Capital and Triodos Bank UK.”
The funding will be used over the next three years to offer funding solutions to SMEs that have been unable to access traditional high-street lending, working alongside other tailored lending options including the Northern Powerhouse Investment Fund and the Start Up Loans programme.
Matt Boggan, relationship manager at Triodos Bank UK, added: “Making money work for positive social, environmental and cultural change is central to the bank’s ethos.
“We’re proud to be supporting Finance For Enterprise, alongside another like-minded organisation. Its aim to make finance more accessible and inclusive aligns closely with our own values, and we look forward to hearing more about the impact that these SMEs have in their locality.”