Cash for expanding firms

New and expanding Hull companies can tap into £30m over the next 10 years. The Business Development Fund will be launched in September to bring in a new package of support, including grants, loans and equity participation. It is intended to stimulate economic growth, encourage entrepreneurs and put Hull on the map as a business-friendly city.

A key aim is to encourage start-ups and back the expansion of small and medium enterprises, particularly ones unable to access funding through conventional sources. The Fund comes as a result of a partnership between Hull City Council and Hull and Humberside Chamber of Commerce. The latter will be responsible for distribution of the money provided by the council and European Union.

Dr Ian Kelly, the Chamber's chief executive, said: "The fund is not there to replace or duplicate other forms of business finance but to add value. It will support existing businesses in difficulty, as well as those seeking to relocate or expand within the city, or trade out of a situation. "In fact, there are few scenarios where the fund will not be able to offer support."