Growth Capital
1 minute read
What is growth capital?
Growth capital, also referred to as growth equity or expansion capital, is a form of equity finance provided to fast growing or established companies with proven business models and meaningful market traction. Unlike venture funding for early-stage businesses, growth capital supports organisations that are ready to scale.
Why growth capital is important
Growth capital is a key area of Maven’s private equity activity. It provides ambitious businesses with the financial backing to accelerate expansion plans, often much faster than would be possible using reinvested profits or traditional debt finance alone.
Typical uses of growth capital
• Enter new geographies or market segments.
• Launch new products or services.
• Invest in technology or infrastructure.
• Strengthen leadership teams with key hires.
• Support bolt-on acquisitions as part of a growth capital strategy.
How growth capital works in practice
Private equity firms such as Maven provide growth capital in exchange for a minority or majority equity stake. Alongside the funding, they bring sector expertise, operational support and access to networks, helping management teams deliver sustainable, long-term growth.