Full Investment Fund

Loans-based investment above £50,000, which may also include grants and professional support. The Full Investment Fund is our main product. The majority of our investments are made from this Fund.

Our Full Investments are made up of loans, grants and professional support. We will work closely with you to create a package that best meets your organisation?s needs and circumstances. There is no upper limit to our Full Investments but they are always above £50,000.

Loan element

The largest part of any investment will always be a loan. We will never lend you more than you can realistically afford to repay and we will work with you to design a repayment plan that suits your organisation. This may include interest-free periods or repayment holidays.

  • The minimum loan is £30,000 (within a minimum investment package of £50,000)
  • The loan period will vary in length depending on your circumstances
  • We do not impose penalties for early repayment
  • Trustees are not held personally liable  for loans (unless they have acted recklessly or imprudently)
  • Loans can be performance-related, where the timing of repayments, or the amount to be repaid, depends on the success of your scheme

Try our loan repayment calculator

Loans will cover either capital asset costs (for example building purchase, construction or refurbishment) or development capital (the money needed to support an organisation through the early stages of a scheme, before it can generate income).

Interest rates

Our Investment Officers will work with you to understand the consequences of each interest rate option but the ultimate decision will lie with you. Your investment package will be tailored to meet your particular needs and circumstances. Our standard interest rate is 6% for the duration of the loan term and is available for all investments.

Grant element

Grants are always the smaller part of a Full Investment. They can be used for time-limited revenue funding while your new project is being set up. This could include start-up costs, staff costs or other transitional costs incurred before you start earning from a contract.

Grants can also be used for capital funding to help you meet all or part of the costs of buildings, vehicles or equipment. This would often be in cases where a loan would be premature as you have not yet earned any income to pay it back.

Professional support

Every Full Investment includes professional support. This will come from a Futurebuilders investment officer who will often work with a business consultant to provide specific advice depending on the project.

Eligibility

  • You must be a third sector organisation committed to winning public sector contracts
  • You must need the Futurebuilders investment to help you win new, or secure ongoing income from public sector bodies
  • At least 51% of your project?s (as opposed to your organisation?s) long term income must come, directly or indirectly, from public funds
  • You must be willing and able to take on a loan
  • Part or all of your project must be unbankable (in other words, you would be unable to secure a loan for this project from a commercial bank)
  • You must need at least £50,000
  • Your service must mainly benefit people living in England

How to apply

There is no application form for this fund. If you want to find out more or apply for an investment:

  • Submit an enquiry (please note that applications for Futurebuilders have now closed so no furthur enquiries will be accepted)
  • Call our enquiry line on 0191 261 5200
  • Send an email to [email protected]

What we need from you

We will assess your application mainly by phone, although we may arrange to come and meet you if necessary.

In all cases, we will ask you to:

  • Be available to discuss the application on the phone
  • Brovide historic financial information quickly (annual accounts and up to date management accounts)
  • Provide a breakdown of the costs an investment is needed to cover
  • Provide contact details for your potential purchaser, if appropriate

During the phone conversation we will ask you to:

  • Explain how your organisation is constituted and confirm that it is willing and able to take on a loan
  • Explain the details of any existing contracts and/or contracts you are planning on bidding for
  • Explain why you need investment and what costs you need an investment to cover
  • Explain how you plan to repay the loan

What next?

Want to read some examples of what your Futurebuilders investment package might look like? Ready to begin the application process?

Resources

Our application resources are designed to help you get investment from us.