Angel investment programme launches

A pioneering angel investor network has been launched in Lancashire to support early-stage business growth.

The programme, called ‘fhunded angels’, has been launched by Lancashire County Council and is thought to be the first network of its kind in the UK to be led and managed by a local authority at such a scale.

The aim is to bring ambitious startups to the attention of private investors looking for exciting ground-floor investment opportunities.

Such investors – often referred to as ‘angels’ – are typically a mix of successful entrepreneurs, exited founders, and sector specialists, with personal money to invest.

They are also all certified as either a high net worth individual, or a certified sophisticated investor, as defined by the UK Financial Promotion Order (FPO).

Those behind the initiative see angel investment as a way for Lancashire to address the chronic lack of early-stage finance available to startups more generally in the UK, especially outside London.

The amount of individual angel investments – which are usually made in return for shares in the business – are often within the £50,000-£150,000 range, but angels can also band together and invest jointly.

Co-investing with other finance providers, such as VC funds, is another way angels can help create larger investment pots.

The county council has already welcomed several investors to the network. Most have a strong connection with Lancashire, and share an interest in wanting to help boost the County’s innovation economy.

One such angel is Jeremy Gidlow, a highly successful tech entrepreneur based in Lancaster.

He said: “As someone interested in early-stage investment opportunities, especially in Lancashire’s growing tech sector, I was eager to get involved in the project.

“Now that it’s live, I am excited to work with my fellow angels to discover those dynamic and disruptive Lancashire startups that are currently under the radar.”

Any Lancashire entrepreneurs seeking angel investment – and any investors meeting the FPO’s criteria who are interested in joining the fhunded angels community – can contact the fhunded team via the fhunded website – www.fhunded.co.uk.