The Hub advises and supports its members and the wider life sciences community within Wales to access funding and finance for future growth and investment plans. The Hub partners with you to identify and match the right opportunities to your needs.
Connecting all types and sizes of private and public sector partners in life sciences to stimulate innovation and enable growth, the Hub can assist you by:
Understanding your future investment plans and matching these to appropriate sources of funding or finance
Advising and supporting you to identify and connect with partners across the UK and internationally
Connecting you to specialist service providers who can support you through the process of applying for funding or finance
There are millions of pounds available on an annual basis to support the development of businesses in Wales and the rest of the UK – from capital expenditure to research & development and training, funding is available to support life sciences innovation and growth.
Identifying the appropriate scheme, developing a compelling application and complying with the requirements for managing a funded project can be complex and time consuming. The Hub can help you navigate through the process and secure the funding your business needs.
The starting point is to consider your medium-term investment plans. For example:
Plant and machinery, fixtures and fittings, land and buildings.
Research & Development
Development of new products or services, either on your own or with third party involvement.
Efficiency improvements, energy, carbon footprint.
It’s important to remember that support for your project could come from a number of different sources depending on the nature and scale of the project. Discover the latest opportunities from the Hub, its members and partner organisations, and share your own via our virtual noticeboard.
Equity finance is a way of raising finance from external investors. You receive funding for a business in return for a share of the business. It can be suitable for a business if it has: fast growth potential and a clear growth strategy; an innovative product or service; strong intellectual property; a clear and achievable exit strategy (e.g. Initial Public Offering).
There are typically four types of equity finance:
1. Business Angels
Business angels invest in businesses in exchange for a share of the business’ equity. They are high net worth individuals (or syndicates) that usually invest in start-ups or young businesses to fund activities such product development or market expansion. The Hub has partnerships with various angel networks, including Angels in MedCity, the UK Business Angels Association and xénos.
2. Venture Capital
Venture Capital (VC) is long-term funding in exchange for a share of equity in the business. It is mainly used by new businesses and start-ups with high growth potential. Different types of investment are available. The Hub is networked with VC organisations including the IP Group, SV Life Sciences, Nesta and Finance Wales, enabling us to match you with the finance that’s right for you.
Crowdfunding is funding from a number of investors, where each investor gives you relatively small amounts, which are added together to help reach a funding target. It is typically an online process where websites allow pitches to potential investors. The Hub is networked with various crowdfunders including Crowdcube, Seedrs, and the Syndicate Room.
4. Investment Bank / Loans
A loan is an amount of money borrowed for a set period within an agreed repayment schedule, normally sourced from an investment bank. Repayment amounts depend upon the size and duration of the loan and the rate of interest. Sources include high street banks, investment banks, Finance Wales and the EIB.
Discover the latest opportunities from the Hub, its members and partner organisations, and share your own via our virtual noticeboard.
Before approaching anyone organisation for funding it is important to make sure the business is ready for financing. Important questions to ask include:
Why do you need funding?
Is your business plan up to date?
How much funding do you need and for how long?
Which funding options are right for your business needs?
How much of your own money can you contribute?
Are you prepared to give up a share of your business to an investor?
Make your business attractive to funders and investors (‘value proposition’):
Innovative product or service
Ambitious but credible financial information
Strong management team
Good market knowledge
Clearly-defined exit route