NOTPIF – Mercia Debt Finance, which is managed by Mercia and part of the Northern Powerhouse Investment Fund (NPIF), has lent more than £50m since its launch five years ago.
During this period, the fund has provided loans to nearly 200 businesses in Yorkshire and the Humber and helped to attract a further £31 million in co-investment from the private sector.
He has supported a wide range of businesses, from traditional manufacturers to rural businesses and technology companies. They include Tinsley Bridge Group of Sheffield, a leading supplier of truck suspension parts and industrial steel products; Rosehill Polymers of Sowerby Bridge, which manufactures rubber products including crash barriers, level crossings and signal islands; Wold Top Brewery in North Yorkshire; Adventoris, a Huddersfield software company; and Sheffield animation studio Red Star.
One of the first companies to benefit was STEPS, a bespoke rehabilitation center in Sheffield founded by sisters Toria Chan and Jules Leahy. He provided early investments in the business to help it develop and grow. Since then, STEPS is now one of the leading facilities of its kind in the region, employing around 140 people.
NPIF – Mercia Debt Finance can provide loans from £100,000 to £750,000 and is accredited under the government’s Recovery Loans Scheme (RLS), which aims to support businesses in the post-pandemic period and improve conditions for SMEs looking to borrow, including lower interest rates than would otherwise be the case.
Paul Taberner, Managing Direct, Debt at Mercia, says: “NPIF – Mercia Debt Finance has played a key role in bridging the financing gap between the amount that banks and other lenders are able to provide to a business. and the amount it needs for growth. Over the past five years, the fund has supported large parts of the regional economy. He has helped companies undertake new projects, invest in equipment, develop new products, adapt to changing markets and meet the challenges of the pandemic.
“While many lenders will assess a business solely on its business history, we are prepared to consider what it might achieve in the future – which is particularly important as businesses recover from the pandemic. A key benefit is that instead of having to fill out an online form or deal with a call center, companies have their own investment manager who understands their business and will work with them to achieve their goals.
Sean Hutchinson of the British Business Bank said: “The work the Northern Powerhouse Investment Fund and Mercia have done over the past five years has been transformational for businesses across Yorkshire and the Humber. Since its launch five years ago, companies have been able to grow and achieve their goals, using investment to create jobs, launch new products and expand into new markets. I am excited about the future opportunities this fund will support and create, creating a stronger North.
The Northern Powerhouse Investment Fund project is financially supported by the European Union through funding from the European Regional Development Fund (ERDF) under the European Structural and Investment Funds Growth Program 2014-2020 and the European Bank of investment.