In this competition we are looking for investor partners. To join as an investor partner you must be an equity provider with a UK office. This can include charities and trusts.
The Innovate UK Investment Advisory Board will create a pool of investor partners for this competition. We want to ensure that we have good and appropriate geographic coverage across the whole of the UK, focusing on the most relevant areas.
We are particularly interested in investors who:
- are prepared to deploy capital with a patient and long-term view
- can add other value to companies, such as leadership, market access, skills or resources
- can follow their investment and syndicate to provide more capital when required
- can commit to helping the company grow and scale up
- can invest in early-stage companies, including university spin-outs and pre-seed investment
- have relevant sector and technology-specific expertise
The process for becoming an investor partner is competitive and applications will be assessed by Innovate UK’s Investment Advisory Board. By submitting an application to become an investor, each applicant agrees to be bound by the terms and conditions of the competition, including the memorandum of understanding and the non-disclosure agreement. Both documents are available on the secure website once you register to apply.
SME project phase
The second competition will be open to projects from UK small and medium sized enterprises (SMEs). This includes:
- new deal flow for you
- SMEs already in your portfolio who are looking for further investment and grant funding for a specific project
We plan to open phase 2 in May 2019. SMEs’ projects must start by 1 Jan 2020 and can last up to 1 year. Total eligible project costs submitted in the second phase, including grant and investment, must be between £150,000 and £300,000.
We will cover 100% of successful applicants’ eligible project costs by matching grant funding with direct equity investment or convertible loans from an investor partner.
The SME applicant must choose either to have their application sent to a single preferred investor partner in the programme, or to have it sent to all the investor partners in the programme. You must therefore provide an email address to allow SME applicants to discuss their project and company with you, with a view to agreeing heads of terms for investment.
Innovate UK will pass all eligible applications to expert and independent assessors and rank the assessed applications as fundable and non-fundable.This will be independent from any discussions between investor partners and applicants.
There will be a meeting on 26 July 2019, after which we will inform investor partners which SMEs have been assessed as grant fundable.
You must inform Innovate UK by 23 August 2019 if you want to pursue the investment opportunity with any of the successful SMEs.
If any of the SME projects you have partnered with are assessed as fundable, you must agree heads of terms with each SME by 30 September 2019. Innovate UK will issue the grant to the SMEs on final investment contracts signed no later than 1 January 2020.