A UK-based investment fund, Angel CoFund, currently focused around Bristol, is to be extended across the UK to support startups, spin-outs and small-to-medium enterprises (SMEs).
The fund typically makes investments between £100k ($150k) and £1m in a range of sectors, and collaborates with syndicates of business angels in order to support its investments. The fund has support 27 companies since its launch in 2011, and made £10m in investments which has been matched by a further £40m from its associated angels.
To support its expansion, Angel CoFund has secured UK Government backing with an additional £50m investment in the 2013 budget coming from the Business Bank programme.
The fund made a £600k investment in Micrima, a spin-out of the University of Bristol which is commercialising breast cancer-fighting research, in September of last year.
Business and Enterprise Minister Michael Fallon, who announced Angel CoFund’s escalation, said: “The government is determined to encourage investment in enterprise and unlock access to the capital firms need to grow. Thanks to their hard-won experience in business, business angels can be savvier than banks at spotting winners. By reinforcing their commitment with government support, the CoFund will support the most promising and entrepreneurial businesses, giving growth and jobs a kick-start.”
