Expo to make £2bn available for firms seeking investors

The event, which will be the first of its kind to be held in the north of England, will offer funds to manufacturing, engineering and technology firms in the region.

The first “Investor Pitch” expo, which will be held at the Royal Armouries in Leeds on September 21, is targeted at established businesses with annual turnover of over £5m.

Around 50 venture and development capital firms and over 100 business angels, with a combined war chest of over £2bn funds to invest, have committed to attend the event.

Serial entrepreneur Martin Penny, who founded Leeds-based hair care brand ghd (Good Hair Day) with two friends in 2001, is backing the new initiative.

“I think this is a great opportunity for businesses who are finding it increasingly difficult to secure traditional bank funding to explore other avenues of investment,” said Mr Penny.

“There are many solid well performing businesses whose growth is being hampered by the UK banks’ current intransigent attitude towards lending. Not only are the individual businesses suffering but this is having a knock on effect on the economy as a whole.”

The one-day investment fair is being organised by Ethos Corporate Finance, a corporate finance advisory and fund raising boutique based in Leeds.

Chris Silverwood, a partner at Ethos Corporate Finance, said: “There is a wall of money out there in the equity funding market, but for a whole host of reasons some very good businesses that have huge growth potential aren’t receiving the investment that they require to become truly world beating businesses.

“So we’re trying something radically different,” he added.

Up to 50 manufacturing, distribution and engineering firms, each seeking a minimum £500,000 investment, will exhibit at the expo.

The individual companies will physically put their management teams, concepts, products and credentials on display, enabling potential investors to meet them face to face and have initial conversations regarding their businesses and plans.

“The idea is simple,” said Mr Silverwood.

“We put very investable firms into the same room as the investors who have capital to invest and are awaiting the right opportunity.

“We are going to bring established businesses with potential together with investors, with a view to fast tracking the whole pitching and fundraising process that can often waste months.”

Mr Penny said the exhibition will provide the opportunity for high net worth individuals and venture capital funders to achieve higher levels of returns than are currently being offered by the banks.

He added there will be less risk than investing in a start-up business which has no track record and an unproven business model.

If companies and investors agree that there could be potential for a funding match, they will be able to arrange terms of confidentiality while at the expo.

The organisers said any interested parties can move to private breakout rooms if they want to hold more discreet and specific conversations.

Mr Silverwood said that within the increasingly difficult and slow moving corporate fundraising process, such meetings can often take weeks to arrange.

“As experienced corporate financiers, we know that this type of investment is a sensitive and confidential matter,” he said.

“We have provided safeguards in the format of the event to ensure that confidentiality can be maintained, whilst also accelerating the usually very slow process of initial meetings, credentials and outline pitches.”

The organisers are inviting corporate financiers and accountants to get involved and bring along existing clients with funding requirements.

Businesses wishing to attend will need to pay a £995 charge to cover the cost of their space in the hall at the Royal Armouries.

Mr Silverwood said all other expenses will be met by the event’s investors and sponsors.

Ethos Corporate Finance represents management teams that want to undertake equity fund raising, corporate restructuring, asset based lending and management buyout transactions.

Mr Silverwood founded the firm in June 2010, with the intention of creating a leading independent corporate finance house.

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