HSBC UK has announced the expansion of its ‘Growth Lending’ fund from £250 million to £350 million to meet increasing demand from high-growth tech scale-ups.
The fund was originally launched last year in response to the UK Government’s initiative for heightened investment in the sector. To qualify for funding, scale-ups need to have strong equity backing, a proven sales track record, and a clear path to profitability. Additionally, the fund offers up to £15 million in financing to support early-stage growth ambitions.
Alongside financial support, HSBC will leverage its international expertise to assist businesses in realizing their global ambitions earlier in their development.
Since its launch, the Growth Lending initiative has significantly contributed to regional economies, with 50% of finalized deals involving firms outside London. Roland Emmans, head of UK tech sector and growth lending at HSBC UK, stated, “The increase to ‘Growth Lending’ reaffirms HSBC UK’s commitment to enhancing the tech ecosystem, ensuring the UK remains one of the best locations to start and operate a technology business. It’s noteworthy that half of the firms benefiting from ‘Growth Lending’ are situated outside of London, highlighting that ambitious digital technology companies no longer feel the necessity to be in the capital and are accessing talent pools across the UK.”