UMi unlocks £1billion in investment for UK businesses
UMi has reached a major milestone by unlocking more than £1 billion in investment for British businesses since its launch in 2007.
The funding, which includes grants, loans and private sector investment, has supported ambitious start-ups, growing SMEs and established companies across the UK.
Working in partnership with both public and private sector organisations, UMi has been pivotal in helping businesses access the right support to innovate, expand, and in some cases, survive.
The achievement comes at a key time for the UK’s business community. The Government recently unveiled its Small Business Plan, a landmark package designed to help SMEs access finance, boost digital adoption, and strengthen leadership skills. UMi’s track record of delivering investment and support reflects and amplifies many of these national priorities.
North East impact
In the North East alone, UMi has been at the heart of the region’s growth journey for over 18 years having seen circa £800m of the total £1bn being invested in 5,000+ businesses located from Northumberland down to the Tees Valley. This has played a significant part in SME growth within the regional economy as well as generating circa 44,000 local jobs.
One example is the Business Growth Fund (a programme individually supported by Gateshead, South Tyneside and Sunderland City Councils) and this has enabled Wearside’s TWR Group to secure a £50,000 grant to relocate its entire operation to a new 65,000sq ft facility.
Terry O’Brien, Managing Director of TWR Group, said: “As a family business which started life not far from our existing location, it has been a real labour of love renovating our new site.
“Opening our new facility marked an exciting milestone for the business, ensuring we can continue to meet the increasing demand we’re seeing for our products. It has also allowed us to create two new jobs, with more to follow, while providing the space required to ensure, as we continue to grow, we have the ability and flexibility to expand our operations. It’s key to our future growth plans so it’s a really proud moment for us as both a family and as a business.”
Grants are equally important to unlock and support growth in the region’s businesses and UMi works with firms to raise capital in line with objectives. A great example is Lant Medical based in Northumberland whereby a blended finance and investment package was needed.
The medical solutions specialist received support to secure £500,000 in investment from Innovate UK and two angel investors from the Northern Investor Hub to design a clinical trial for a promising new non-antibiotic treatment, designed to eradicate cancer-causing Helicobacter pylori (H. pylori).
Joanne Lant, Founder of Lant Medical commented: “I’m excited by the possibility this treatment could help a lot of people understand what H.Pylori is, get an early test and treat it without antibiotics to drastically reduce side effects. It will contribute to cost-savings and efficiency for the patient and NHS, saving multiple trips to GPs and reducing the number of costly antibiotics prescribed.
“We are incredibly grateful to Innovate UK for providing grant funding, to our angel investors for their belief and investment, and to UMi for making all this possible. This funding marks a crucial step in our mission to develop a safer, more effective approach to treating H. Pylori and improving global health.”
Scotland impact
Meanwhile in Scotland, more than £150+m being invested in 19,752 businesses, generating circa 500 local jobs. One example is UMi Debt Finance Scotland, an investment programme which aimed at boosting economic growth across Scotland by supporting SMEs with loans. The right funding at the right time can make a significant difference to those receiving support. Hettie’s Tearoom in Pitlochry is a great example of practical finance solutions meeting aspiration.
After being in business for nine years, founder, Clare Pinchbeck, decided it was time to push on with growth plans, pursuing the dream to become ‘the happiest tearoom in the world’. Receiving a £49,000 loan to improve their offering, this saw them develop an ecommerce site, re-brand and purchase new equipment to increase the menu.
Clare commented: “We’d just raised funding to buy the Dunkeld bakery so I ‘d ‘ran out’ of mainstream sources of funding. I met with UMi’s Fund Director, and they understood me so quickly and got behind our business. They even encouraged me to go for more funding to help me realise all the growth plans I had. When you speak to bankers, they see is risk not potential, but UMi’s interest in my business was to help grow it and that was like a breath of fresh air.”
Yorkshire impact
In Yorkshire, UMi has supported the region’s growth journey for over 18 years having seen more than £46m being invested in 1,770 businesses. This has played a significant part in SME growth within the regional economy as well as generating circa 1,080 local jobs.
One example is the Let’s Grow Programme (supported by authorities in the North East, Tees Valley, and the York and North Yorkshire Enterprise Partnership) which enabled Wensleydale Brewery to secure a £30,000 grant to relocate and increase production.
Geoff Southgate, Co-Managing Director of Wensleydale Brewery said: “We both [Geoff and Co-Managing Director, Carl Gehrman] worked for the brewery after leaving school, and when the then owners decided to go on a new path, it was either take it on ourselves or look for other employment. We felt it still had potential to move forward so we took the plunge.
“Thanks to a lot of help and local support, and securing a £30,000 grant from UMi, we managed to get it on the right path pretty quickly. With us being first time borrowers, it would have been very difficult for us to borrow enough to make the project possible, so the grant offered the extra security the bank was looking for and it was a positive outcome on two fronts.
“Without the new brew plant, it would have been impossible for us to grow, and with the increased capacity, we began to expand on our existing sales.”
Grants are equally important to unlock and support growth in the region’s businesses and UMi works with firms to raise capital in line with objectives. A great example of this is The Tofoo Co based in Malton, who successfully applied for a £25,000 grant to work towards a larger capital plan.
David Knibbs, Director of The Tofoo Co, said: “With sales growing at a rapid rate, we didn’t have enough processing capacity. We had developed a capital plan that needed a further £250,000 of investment but unfortunately, we didn’t have all the funds to be able to complete the plan so needed support from UMi to help us meet the demand we were seeing from our customers.
“Having developed the plan, we worked together with the UMi team to refine a proposal to gain support. Lydia and I (David’s wife and co-owner) made a presentation to the grant panel and our application was successful. This allowed us to make the investment to double capacity at the site and add further staff to our payroll. It also looked likely that we would have to double capacity again to keep up with sales.”
Wales impact
One of UMi’s most recent project’s has spread their reach to North Wales, having helped launch the region’s Clean Energy Fund, a £24.6m flagship Growth Deal project led by Ambition North Wales. The fund is designed to unlock £100m investment and 150 new jobs, with UMi delivering a £15m private sector finance pot. This will enable North Wales businesses to access repayable loans from £25,000 to £2m, supporting projects that reduce carbon emissions, create jobs and attract matched-funding investment.
Meghan Davies, Energy and Net Zero Project Manager at Ambition North Wales, the organisation delivering the Growth Deal, commented: “We’re delighted to be working with UMi to manage and deliver the commercial loan element of our new Clean Energy Fund. They bring a wealth of experience in successfully running funds of this kind and have a proven track record of creating real impact for businesses and communities.
"This fantastic £1bn milestone is strong evidence of the difference UMi makes, not only helping to unlock investment on a national level, but also in generating lasting benefits closer to home which will help us simulate jobs, growth, and opportunities across the region.
“The fund will act as a catalyst, enabling green energy projects to be set in motion and help to unlock private and community investment. This will make a huge and positive difference to North Wales.”
UMi’s reflection
Nicki Clark OBE, Chief Executive of UMi, expressed her appreciation and enthusiasm for achieving this milestone by saying: “This is a fantastic achievement and a significant milestone for UMi as we continue to support businesses up and down the country and across all industries.
Our teams do an amazing job working hand in hand with our customers to ensure they access the right funding solutions tailored to their needs. Reaching this milestone underscores our commitment to supporting businesses from the very start of their journey and helping them succeed. “Since 2007, we have seen so many businesses go on to achieve great things because of the funding they have received. From launching and scaling up to delivering new products, services or driving forward innovation, we’ve witnessed first-hand the incredible impact these small businesses have had (and continue to have), and with UMi helping navigate the funding landscape, driving growth on a local, regional and national level too – it’s great to see.”
According to British Business Bank, 60% of SMEs struggle to access the right funding simply because they often don’t know how to navigate the process or what finance options are available in the marketplace. Whether grants, loans or investments, it can often be seen as ‘daunting’ and so dedicated services like UMi’s ‘Get Funding’ and ‘Sat Nav’ are vital to offer expert, step by step guidance and tailored ‘one-stop-shop’ support.
Nicki added: “Over the last 18 years, our teams have advised (and/or supported) close to 680,000 businesses which is remarkable, and it is this initial guidance that can make all the difference to business owners. We’ve purposely launched our own service - Get Funding, so that companies can easily navigate their funding journey and obtain expert advice and tailored one-to-one support as and when required.
“This one-stop-shop approach helps align our expert knowledge with a client’s specific needs, meaning funding solutions can be found and informed decisions made in line with their objectives and growth plans. Our Sat Nav platform then compliments this, providing business owners with tools and resources on many other business challenges, including funding, so the support doesn’t end once the money is in the bank.”
As part of the UK Government’s recent Small Business Plan, Minister for Small Business and Parliamentary under Secretary of State, Gareth Thomas MP, highlighted a boost for SMEs with new start-up loans and the most ‘comprehensive support package in a generation’ being launched to give businesses the tools they need to do more and drive economic growth.
UMi believes the move will further strengthen its offering too by encouraging more SMEs to seek advice and funding routes to help generate growth, create new jobs and deliver a sustainable economy where people thrive.
Since 2007, UMi has supported more than 680,000 businesses across the UK, investing £335m in grants and loans, unlocking £670m in private investment, creating or protecting 46,000 jobs and enabling contract wins worth £200m.
Across the UK, UMi’s work has not only helped businesses secure investment but has also created wider economic and social impact. From ambitious start-ups to established blue chip companies, the organisation helps businesses do more and go further by simplifying their journey and connecting them to the support they need.
Watch the video below to see how UMi makes a difference: