New data from the managers of the North East Angel Fund has shown that companies in Middlesbrough are more successful in applying for angel investment than those from other areas of the North East.
Rivers Capital Partners, which manages the £10.5 million North East Angel Fund, found that applications for loans from companies based in Middlesbrough had an approval rate of 19.1%, more than two and a half times the regional average.
Rivers Capital Partners, which manages the £10.5 million North East Angel Fund, found that applications for loans from companies based in Middlesbrough were accepted more than two and a half times more often than the region average, with 19.1% being successful.
Rivers Capital has managed the Angel Fund since it was established in 2010, and through it has invested in 67 North East companies, including nine in Middlesbrough. The fund is part of the £142 million Finance for Business North East programme, which is funded by the European Investment Bank, the Regional Growth Fund, and the European Regional Development Fund.
When making investments from the fund, Rivers Capital Partners have been able to attract £9.4 million of additional public and private capital for the companies it has funded. Rivers Capital Partners also manages the North East Microloan Fund, which to date has supported 82 businesses across the Tees Valley.
Jonathan Gold, Managing Director of Rivers Capital Partners, said: “By making these investments the North East Angel Fund has helped to create more than 360 jobs and safeguard at least 281 more. In addition to what we have invested we have brought an additional £9.4 million of funding from other sources to the companies we have invested in with the Angel Fund.”
“We’re delighted to see that such a high percentage of applications made by Middlesbrough companies have been successful. Help from the local council in pointing businesses towards finance has undoubtedly helped with this. We’re have an office in Teesside University’s Launchpad, which gives new and growing businesses direct access to us if they are looking for funding.”