£75 Million Fundraise for British Smaller Companies VCTs

YFM Equity Partners has successfully closed the fundraising for its British Smaller Companies Venture Capital Trusts (VCTs), securing an impressive £75 million in just 11 weeks. Originally targeting £50 million, the initial goal was surpassed within the first month, prompting the fund to utilise an overallotment facility to meet strong investor demand.

This success underscores the growing confidence in YFM’s track record of supporting high-growth businesses and delivering value for investors, while providing essential growth capital to some of the UK’s most dynamic companies.

The British Smaller Companies VCTs, managed by YFM, are dedicated to providing critical growth capital to small businesses across the UK. Each year, the funds back 12-15 high-potential businesses spanning diverse sectors, enabling them to scale through team expansion, technology development, and sales growth.

Recent investments illustrate the innovative businesses the fund supports, including:

• Integrum ESG: A SaaS platform offering advanced ESG benchmarking solutions using AI and machine learning.
• Spotless Water: A national leader in ultra-pure water solutions, offering eco-friendly dispensing stations powered by proprietary technology.
• Ohalo: A cutting-edge data governance company specialising in unstructured data discovery and classification.

These businesses represent the type of transformational ventures YFM seeks to empower—organisations that are innovating in their fields and contributing to the UK’s economic resilience.

The achievement of raising £75 million in just 11 weeks highlights the increasing demand for growth capital in the UK’s entrepreneurial ecosystem. This fundraise captured approximately 30% of all VCT funds raised nationally during the same period, underscoring YFM’s position as a leader in the VCT market.

The successful close brings the total amount of growth capital raised by the British Smaller Companies VCTs to £500 million, with £150 million currently available for new investments. These resources will be directed toward identifying and supporting ambitious businesses ready to scale and innovate.

YFM Equity Partners is committed to fostering regional growth and unlocking the potential of ambitious entrepreneurs across the UK. With a strong presence in Leeds, Manchester, Reading, Birmingham, and London, YFM has a unique ability to identify opportunities in regions where growth potential is often underutilised.

This commitment is particularly evident in regions like the Northwest, where YFM sees entrepreneurial spirit and a vibrant ecosystem. However, to fully unlock the region’s potential, there is a need to raise awareness about the transformative role private equity can play in enabling growth.

VCT investments are more than just financial support—they are strategic partnerships that help businesses overcome barriers, achieve scale, and thrive in competitive markets.

With nearly 30 years of experience managing the British Smaller Companies VCTs, YFM has consistently delivered strong returns for its investors while fostering innovation in its portfolio companies. The funds have been frequently ranked among the top-performing VCTs in the market, cementing their reputation as a trusted choice for investors seeking to back high-growth businesses.

This latest fundraising success reflects the growing appetite among investors to support UK businesses that are driving innovation and creating long-term value. As YFM continues to identify and partner with ambitious businesses, the funds raised will ensure these companies have the resources they need to scale effectively.

For entrepreneurs, the British Smaller Companies VCTs represent an opportunity to collaborate with an experienced partner, one that understands the challenges of growth and offers the guidance and resources needed to succeed.

YFM Equity Partners remains committed to empowering UK businesses, creating economic impact, and delivering value to both investors and communities. This milestone fundraise demonstrates the trust placed in YFM’s expertise and vision, paving the way for another exciting chapter in the growth of innovative small businesses across the UK.