NI small businesses receive boost from £70m fund

The fund is one of a series of Nations and Regions Investment Funds worth £1.6bn spread across the UK

A £70m fund has been announced by the British Business Bank to support small businesses in Northern Ireland.

The Investment Fund for Northern Ireland aims to help support innovation and create local opportunities for new and scaling businesses who may have struggled to access finance.

Business owner Sarah-Jayne Murray received a start-up loan and said it was invaluable

"It allowed me to get more stock to sell to my customers," she said.

"My finances were all over the place, and I had quite a small fund so it was like pushing limits to try and get the stock to get things going.

"It was a really big struggle. I have to pay for the full order before I can get it delivered to my door.

"With customs and VAT, you were hit with a large sum for that coming into the country. It was a lot of money to pay out before I had a product to sell to my customer."

Ms Murray, who runs sustainable active wear company Vocus Vit, received a £10,000 start-up loan from the British Business Bank.

"You have to pay it back but they're quite helpful with their payment plans," she added.

"I had to wait about three months before the stock arrived and they helped me with the first three months before I got the ball rolling."

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A lifeline

The money is one of a series of Nations and Regions Investment Funds worth £1.6bn spread across the UK.

In Northern Ireland, it will be managed by two local-based fund managers.

Whiterock Capital Partners will manage the debt fund, offering loans of £25,000 up to £2m, while Clarendon Fund Managers will provide equity stakes in smaller businesses up to £5m.

Louis Taylor, chief executive of the British Business Bank, said the funding can be a lifeline for start-ups.

He said: "We know Northern Ireland is home to some excellent business owners who have innovative and brilliant ideas. But we also know that accessing finance for some of these people can be a struggle and that this part of the UK has experienced a funding gap.

"Getting outside Belfast and into more rural areas so there is a levelling up of finance opportunities is something which is very important to the British Business Bank."

Louis Taylor, chief executive of the British Business Bank, said the funding can be a lifeline

Chris Heaton-Harris MP, Secretary of State for Northern Ireland, said: "Northern Ireland has a reputation for innovation and its SMEs are at the forefront of this

"As the recent NI Investment Summit showed, Northern Ireland is home to excellent entrepreneurs and possesses expertise in sectors from tech to businesses at the forefront of our transition to a net zero future.

"This new investment can help them take the next step in their development and boost the wider local economy."