Andrew Coles' viewpoint on investing in growing businesses
I've already talked to a number of established North East-based
businesses with interesting growth plans. But why should businesses
be investing to expand and what makes a robust plan?
These are interesting times. The current economic climate has
hardened many businesses and made them re-focus their priorities.
Many businesses know what they need to do to grow and in some cases
have been presented with some excellent opportunities.
Capital is crucial
Undoubtedly many businesses need to be better capitalised to
achieve their growth plans. Sourcing growth capital can be an
With the new fund we have a substantial amount of available
capital. Our challenge is to work with businesses to make sure
their growth plans get off the ground and don't end up in the 'too
Practically, turning growth plans into a reality can be complex,
often involving funding from a range of sources. FW Capital is keen
to invest with other funders to work with businesses to leverage
the right level of capital for their needs.
Keys to securing funding
Any business aiming for organic expansion (e.g. by investing in
people, technology or infrastructure) or taking a faster track
approach by acquiring another business must have:
- A robust business plan
- A strong management team
- A clear exit strategy
A business plan must truly reflect what's happening in the
business. We need to believe the management team really understands
how it will grow its revenues and profits and ultimately achieve
its growth plans.
What you should do now
Contact us with details about
your business or your client's business.
FW Capital manages the £20 million North East Growth Plus Fund
which is part of the £125 million fund. Targeted at established
small and medium-sized businesses, the Growth Plus Fund can make
single-round investments of between £350,000 and £1.25 million and
can also invest in subsequent rounds.
Joanne Pratt replaced Andrew Coles as FW Capital Fund Manager in