Final Future Fund final data shows scheme completed £1.14bn of Convertible Loan Agreements
Today the British Business Bank publishes data that gives a final comprehensive picture of how the Future Fund has supported businesses during the pandemic. The data shows that 1,190 companies have had their applications completed to access £1.14bn (£1136.7m) worth of Convertible Loan Agreements funded by the Future Fund since the scheme was launched in May 2020. There have been 1,851 applications in total since the scheme was launched and the scheme closed to new applications on 31 January 2021.
This final release of data shows where companies are based across the UK and the composition of the senior management teams by gender and ethnicity. This data is self-reported by the companies applying to the Future Fund.
It also gives an overall sector breakdown of investment and the size range of investments.
Data by region
The data reveals, 41% of completed funding through Convertible Loan Agreements worth £463.7m have their headquarters located outside of London. Of the total amount of £1,136.7m, 14% is to companies headquartered in the South (South East and South West), 11% in the North (North West, North East and Yorkshire and the Humber), 8% in the East of England, 4% in the Midlands (East Midlands and West Midlands) and 3% in the Devolved Nations (Scotland, Wales and Northern Ireland). London accounts for 59% of companies, in-line with the wider market trends for equity investments. The British Business Bank’s 2020/21 Small Business Finance Markets report showed that companies outside London received 44% of equity investment by value in 2020.
Data by gender mix of senior management team
Of the 1,190 companies that have been have completed their funding through Convertible Loan Agreements, 78% of funding is to companies with mixed gender senior management teams. As a consequence of investing alongside Future Fund, 31 venture capital firms and angel groups have become signatories to the Government’s Investing in Women Code.
Data by ethnicity of senior management team
Senior management teams consisting solely of team members from a Black, Asian or Other Ethnic Minority background and those with team members from a Black, Asian or Other Ethnic Minority background and White team members account for 61.6% of funding received through Convertible Loan Agreements, amounting to £646.5m.
Data by sector
Of the 1,190 companies that have completed their Convertible Loan Agreements, 38% are technology and IP-based businesses with a value of £382.8m (34%) in funding and 35% are Business and Professional services firms with a value of £471.1m (41%).
Data by size of investment
Over 50% of convertible loan agreements were valued between £125, 000 and £500,000.
Future Fund data by gender of company senior management team (self-reported by applicant)[1]
| Management Team | No. of convertible loans completed |
Value of convertible loans completed |
| All female team | 16 | £15.1m |
| All male team | 314 | £219.1m |
| Mixed gender team | 811 | £850.2m |
| Chose not to provide data | 49 | £52.2m |
| Total | 1190 | £1136.7m |
Future Fund data by ethnicity of company senior management team (self-reported by applicant)
| Management Team |
No. of
convertible loans completed |
Value of
convertible loans completed |
| Solely from Black, Asian or Other Ethnic Minority background | 62 | £55.7m |
| All White team | 481 | £403.7m |
| Black, Asian or Other Ethnic Minority background & White team | 553 | £590.8m |
| Chose not to provide data | 94 | £86.5m |
| Total | 1190 | £1136.7m |
Future Fund data by location of company receiving convertible loan
| No. of
convertible loans completed |
Value of
convertible loans completed |
|
| East Midlands | 18 | £17.1m |
| East of England | 89 | £95.7m |
| London | 660 | £673.0m |
| North East | 31 | £28.0m |
| North West | 84 | £61.6m |
| Northern Ireland | 13 | £11.6m |
| Scotland | 23 | £8.3m |
| South East | 132 | £125.7m |
| South West | 47 | £30.8m |
| Wales | 25 | £18.7m |
| West Midlands | 33 | £27.2m |
| Yorkshire and the Humber | 35 | £39.0m |
| Total | 1190 | £1136.7m |
Future Fund sector breakdown compared to the wider market[2]
| Sector split by
CLA number |
Sector split by
CLA investment amount |
|||
| Wider Market | Future Fund | Wider Market | Future Fund | |
| Technology/ IP-based businesses | 40% | 38% | 46% | 34% |
| Business and Professional services | 24% | 35% | 29% | 41% |
| Industrials | 16% | 11% | 10% | 9% |
| Leisure and Entertainment | 5% | 3% | 2% | 4% |
| Retail | 3% | 5% | 2% | 4% |
| Personal Services | 4% | 5% | 2% | 4% |
| Media | 3% | 2% | 2% | 2% |
| Other | 6% | 1% | 6% | 1% |
Future Fund sector breakdown
| Sector
|
No. of
convertible loans completed |
Value of
convertible loans completed |
| Technology/ IP-based businesses | 452 | £382.9m |
| Business and Professional services | 414 | £471.1m |
| Industrials | 129 | £107.9m |
| Leisure and Entertainment | 32 | £43.0m |
| Retail | 60 | £48.7m |
| Personal services | 60 | £48.3m |
| Media | 26 | £19.8m |
| Other | 17 | £15.1m |
| Total | 1,190 | £1,136.7m |
Future Fund breakdown by size of Convertible Loan Agreement (Future Fund amount)
|
Investment Range |
No of companies | |
| £125,000 – £500,000 | 600 | |
| £500,001 – £1,000,000 | 260 | |
| £1,000,001 – £2,500,00 | 190 | |
| £2,500,001 – £5,000,000 | 140 | |
| Total | 1,190 |
[1] Official statistics report senior management team composition because Future Fund is available to many companies beyond early stage. Our analysis of the company founder data, where available, shows it tracks above market figures for gender diversity.
[2] Wider market references all announced UK SME equity deals tracked by Beauhurst over an equivalent time period to Future Fund as per BBB analysis in Small Business Equity Tracker 2021.
