Investment levels continue to rise at Finance Wales

 

Matthew Pugh with UESinvest bulletin: issue 1, 2010

 

Finance Wales has invested over £24 million so far in 2009 – 2010 and more than £10 million in the last quarter alone - a significant increase on the same period last year.

 

See our recent deals.

 

Investing for growth

 

Finance Wales has been encouraged by the number of businesses looking to secure growth investment funding and is working with more and more business owners, managers and their advisors to structure suitable investment packages.

 

As the uncertain business climate is making businesses refocus their priorities, businesses need to secure growth funding. Many are looking at improving efficiency, reducing costs and some are even considering expansion or acquisition. Others are investing to develop new products and expand into new markets, or perhaps move premises; while others are investing in staff training to develop their businesses’ skill base.

 

“Finance Wales has the funds to invest in growing businesses, even if others are reluctant to do so,” explains investment director, Peter Wright. “We believe it’s an excellent time for Welsh business owners and managers to think about investing for the future.”

 

Structured investment is crucial

 

Finance Wales is keen to invest in its existing clients and the structure of these packages (equity, debt or a mixture of both) is crucial if your business is to make the most of any investment.

 

“Our existing clients understand the positive impact investment from Finance Wales can have,” Wright explains. “We can look at your needs and structure an investment package of equity or debt investment or perhaps a mixture of both to give you the best chance to achieve your goals.”

 

Cash-flow is key

 

If you’re thinking about expansion, a debt investment might not be the only option, depending on cash-flow. An investment combining debt and equity could help with capital costs: you may need to relocate as part of your plans or there are costs associated with your expansion into new markets.

 

“We structure deals to take account of businesses’ individual circumstances and consider a range of factors,” Wright continues. “Cash-flow is an overriding consideration because we structure deals based on a business’s ability to service debt.”

 

Planning for growth in 2010

 

With the right business plan Finance Wales can invest in your business in 2010. We need to know you have a real understanding of how you’ll achieve your growth plans and grow your revenues and profits. We’ll also be there for the long-term to invest further rounds.

 

“More and more owners and managers want to grow their businesses beyond the £2 million turnover ‘glass ceiling’,” Wright continues. “So, be courageous and embark on a growth path in 2010 – write that new business plan.”

 

Contact us if you think your business can join the ranks of businesses growing with Finance Wales' investment.