This new fund, is part of the Enterprise Capital Funds (ECF) programme - ECFs help small and medium businesses, with high growth potential, to raise equity finance of up to £2m. Such businesses would otherwise struggle to find that level of support from investors.
The Technology Fund will be managed by TTP Ventures and will look to invest development capital in information technology, electronics and instrumentation companies.
Business Secretary Peter Mandelson said: "It is crucial small and medium sized firms looking to invest in and grow their businesses are able to access the finance they need.
"Enterprise Capital Funds provide an important source of capital for SME’s looking for equity investment, and this latest fund further demonstrates Government's commitment to support business through these difficult economic conditions."
The Government has committed up to £60 million a year for investment in Enterprise Capital Funds (ECF’s). Government support provides a foundation for the funds to seek further private sector capital to invest in growing SME’s.
The fund was awarded to TTP Ventures by Capital for Enterprise Limited, the independent company which manages the Department for Business's SME investment programmes.
Further information:£30m Technology Fund for SME’s