Published: May 09, 2022
Q/ Has Covid-19 continued to impact the North West investment market in 2022?
A/ Covid-19 continues to underline the importance of SME funders such as Maven to the investment ecosystem, both in the North West and the UK as a whole. Private equity has an even more critical role than usual in fuelling economic recovery because banks alone simply do not have the dry powder to meet demand for funding, and private equity firms are often able to provide wider support beyond purely finance.
This is not necessarily an ill omen for the business community; many of those companies driving demand for support are SMEs born of the pandemic that now need funding and critical strategic input to build on their early success. Facilitating accessible funding for these companies will be key to sustaining the long-term vitality of the regional (and national) business ecosystem.
Q/ What key growth areas should we be keeping an eye out for over the next twelve months?
A/ The cost of living crisis will exert a considerable impact on both businesses and consumers in the coming months. However, in the longer term, we expect sustainability to remain on top of the business agenda as the drive to achieve Net Zero by 2050 continues apace.
This trend will be seen across a wide range of sectors. Accordingly, Maven has this year invested in companies as diverse as Cryoniss (life sciences), Pura (baby care) and Intelligent Building Group (proptech), all of which will use part of their funding to realise their sustainability goals.
Similarly, sustainability concerns are now understandably embedded in the thoughts of many investors. This means businesses seeking investment must demonstrate that these concerns are central to their own business models and growth strategies.