Launched in January 2020, the Flexible Growth Fund offers loans to businesses in the City of Liverpool area that can raise at least 50% in matching funding and is now receiving an additional £ 6million. Tony McDonough Reports
A fund that offers flexible low-interest loans to businesses in the City of Liverpool area that can raise at least 50% in matching funding must secure a cash infusion of up to £ 6million sterling.
Metro Mayor Steve Rotheram set up the £ 20million Flexible Growth Fund in January 2020 to help jumpstart local investment. Now the Combined Authority (CA) will inject an additional £ 4m into the fund with an additional £ 2m available to meet increased demand.
The fund was able to boost growth, including five expansion projects in Sefton, Wirral, Knowsley and Liverpool which used £ 13.1million of investment to expand, creating a total of 95 new jobs and preserving 89 others.
This latest additional funding will leverage at least £ 6million in private sector funding. Mr Rotheram said: ‘When I launched my £ 75million Business Growth Program in 2019, it was to try to attract new, innovative and growing businesses to our urban area.
“As the pandemic meant that many businesses were concerned about their survival, we were able to use the fund to attract and develop new businesses alongside the tens of millions of pounds we were able to invest to support and protect the local economy. .
“Today, as businesses start to look to the future, we are investing an additional £ 6million through the Flexible Growth Fund to help attract and develop new businesses, jobs and investment in our region. “
The fund aims to create new jobs, improve productivity, remove barriers to expansion and enable a new generation of ‘change makers’ to prepare the urban area of Liverpool for long-term growth. Loan repayments are fed back into the fund, providing new loan capital as part of an “eternal” fund recycling model.