Funding chiefs have pledged to further fuel the North East business community’s appetite for growth after striking a landmark first deal in the region.
Tyneside-based marketing agency B7 has secured investment from the Northern Powerhouse Investment Fund II (NPIF II).
And in accessing the NEL Smaller Loans Fund, B7 becomes the North East’s first beneficiary of a £660m fund launched earlier this year.
Susan Snowdon, investment executive at NEL Fund Managers, said: “B7 has a robust growth plan in place which our investment will enable them to put into action and we’re excited to see how this ambitious business develops from here.
“The two elements of the Northern Powerhouse Investment Fund II that we’re managing provide regional businesses with a fantastic opportunity to develop new products, launch new services and create new North East jobs.
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“We’re keen to hear from as many firms as possible about how this growth capital could help them achieve their commercial ambitions.”
Building on the first Northern Powerhouse Investment Fund, businesses across the entire North of England can now access between £25k and £2m debt finance with NPIF II to start up, scale up or continue their growth journey.
Newcastle-based B7 pitches itself as a ‘dynamic storytelling brand agency’ and will use the investment to recruit three new members of staff — doubling its team size.
The increased headcount will allow the business to specialise in specific marketing functions and capitalise on new business opportunities.
And B7 plans to create specialised offerings in construction as well as doubling down on its work within the recruitment, retail technology and financial services sectors.
David Broom, CEO of B7, said: “Our business has grown organically so far but the NPIF II funding will enable us to scale up our ambitions much more rapidly.
“This investment will not only help us expand within the UK sector but also adapt and venture into new industries like AI and advanced technologies. We are excited to unlock a new realm of potential for B7, now made possible thanks to the support of NPIF II.
“Our business has grown organically so far, but the NPIF II funding will enable us to scale up our ambitions much more rapidly.
“As a Glaswegian, I relocated to Newcastle and have been truly impressed by how much opportunity the North East business community has provided.
“Partnering with NEL and NPIF II marks a significant milestone for us. NEL Fund Managers are synonymous with the region and hold an incredible reputation and we are excited for our future.”
Founded in 2020, B7 began as a solo practice that focused on management and business growth consultancy for business owners.
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The firm has since grown to include in-house integrated marketing services — enhancing the range of solutions it can provide to clients.
Ken Cooper, Managing Director at British Business Bank said: “Since expanding NPIF II to cover the entirety of the North East, there has been significant interest in accessing the Fund.
“It’s evident that the appetite for growth from business owners is there, with people like David recognising NPIF II as a valuable source of funding to kickstart their growth plans.
“The North East has a rich manufacturing history and a thriving low-carbon sector but this latest investment also showcases the demand for creative services. David has built an impressive agency and, as our first deal in the region, it shows that NPIF II is there to support ambitious founders across the North East.”
The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire north of England.
It was launched to increase the supply and diversity of early-stage finance for the north’s smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.
