Support Package for Innovative Businesses
The Government's £1.25billion support package for innovative businesses has launched today (20 May).
What is the support package?
The £1.25billion support package is open to innovative companies who are not eligible for any of the existing coronavirus rescue schemes and includes the following:
- £500 million investment fund for high-growth companies, made up of funding from both the Government and private investment (“the Future Fund”)
- £750 million of targeted grants and loans from Innovate UK for SME’s that focus on research and development.
The support package seeks to ensure that companies are protected through the crisis to enable them to continue to develop innovative new products and help power UK growth.
To qualify for the Future Fund, a company must:
- be an unlisted UK registered company and
- have raised at least £250,000 privately in the last five years.
The £750 million support is available to SME’s who focus on research and development as follows:
- up to £200 million of grant and loan payments for Innovate UK’s existing customers
- an additional £550 million to increase support for Innovate UK’s existing customers
- £175,000 of support will be offered to approximately 1,200 firms who are not currently receiving funding from Innovate UK.
When is it available?
The Future Fund has launched today (20 May) and will initially be open until the end of September but will be kept under review.
The £750 million support will be available through Innovate UK’s grants and loan scheme.
How to Apply
Companies can check they meet the criteria for funding by visiting the British Business Bank website. If businesses have secured private match funding, then one of their investors can register online to start the application process. Further information can be found here: https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-schemes/
If you have any questions arising from the above please contact your usual partner.