Credit, Collections & Insolvency News
The British Business Bank publishes Future Fund data that gives a detailed picture of the 590 companies that have been approved for £588.3m worth of Convertible Loan Agreements since the scheme was launched on 20th May. There have been 902 applications in total in the first three months of operations.
This data shows where companies are based across the UK and the composition of the senior management teams by gender and ethnicity. This data is self-reported by the companies applying to the Future Fund.
The data reveals, 41% of funding approved to companies for Convertible Loan Agreements worth £242.1m have their headquarters located outside of London. Of the total amount of £588.3m, 17% is to companies headquartered in the South (South East and South West), 10% in the North (North West, North East and Yorkshire and the Humber), 8% in the East of England, 3% in the Midlands (East Midlands and West Midlands) and 3% in the Devolved Nations (Scotland, Wales and Northern Ireland). London accounts for 59% of companies, in-line with the wider market trends for equity investments. The British Business Bank’s 2019/20 Small Business Finance Markets report showed that London received 66% of equity investment by value in 2019.
Of the 590 companies that have been approved and received their Convertible Loan Agreements for signature, 82% of funding is to companies with mixed gender senior management teams. Since the launch of the Future Fund more than 30 venture capital firms and angel groups have become signatories to the Government’s Investing in Women Code, alongside the Future Fund.
As part of its commitment to sign HM Treasury’s Investing in Women Code, the Future Fund will supply HM Treasury with statistics on founder gender. HM Treasury intends to publish the inaugural Investing in Women Report later this year.
Black, Asian and minority ethnic (BAME) only and mixed ethnicity management teams account for 64% of funding to companies that have been approved for Convertible Loan Agreements so far, worth £344.2m.
The British Business Bank will publish a report examining the state of Entrepreneurship in the UK in the autumn. This will include data on ethnicity in addition to gender and location.
Future Fund data by gender of company senior management team (self-reported by applicant)
| Management
Team |
No. of
convertible loans approved |
Value of
convertible loans approved |
| All female | 8 | £7.2m |
| All male | 147 | £94.1m |
| Mixed gender | 410 | £463.1m |
| Chose not to provide data | 25 | £23.9m |
| Total | 590 | £588.3m |
Future Fund data by ethnicity of company senior management team (self-reported by applicant)
| Management
Team |
No. of
convertible loans approved |
Value of
convertible loans approved |
| All BAME | 28 | £21.8m |
| All white | 224 | £192.9m |
| Mixed ethnicity | 287 | £322.4m |
| Chose not to provide data | 51 | £51.3m |
| Total | 590 | £588.3m |
Future Fund data by location where company applying to Future Fund is based
| No. of
convertible loans approved |
Value of
convertible loans approved |
|
| Scotland | 11 | £4.1m |
| Wales | 12 | £6.1m |
| Northern Ireland | 5 | £5.0m |
| North West | 29 | £27.6m |
| Yorkshire and the Humber | 19 | £14.6m |
| North East | 21 | £19.5m |
| West Midlands | 17 | £15.6m |
| East Midlands | 4 | £2.1m |
| East of England | 43 | £45.0m |
| South West | 21 | £12.9m |
| London | 332 | £346.3m |
| South East | 76 | £89.5m |
| Total | 590 | £588.3m |