A new fund to support ambitious start-ups in Cornwall and the Isles of Scilly has opened for applications.
The Beacon Fund is designed to address a critical market gap for early-stage equity investment in the region. The long-term funding vehicle will offer targeted investments of between £20,000 and £200,000.
Investment firm Oxford Innovation Finance has been commissioned by the Cornwall and Isles of Scilly Good Growth Programme to deliver the fund, which is initially being backed by the government’s Shared Prosperity Fund.
It is hoped the fund, which is designed to be continuous, will help nurture Cornwall’s next generation of high-growth businesses, with realised exits recycled back into the pot.
The reinvestment model will make sure that capital continues to support new applicant companies and strengthen the region’s entrepreneurial ecosystem, according to Oxford Innovation Finance.
Chris Oliver, investment principal at Oxford Innovation Finance and fund lead, said the Beacon Fund represented "a significant step change" in early-stage equity investment for Cornwall & the Isles of Scilly.
"For some time we have been aware of this significant market need that is currently underserved by the market, and we are thrilled that Cornwall Council, through the Good Growth Programme, has embraced such an innovative and forward-thinking model in the Beacon Fund," he said.
"With their support, we are ready to help shape generations of high-growth Cornish start-ups, alongside our partners, and contribute to a more resilient, dynamic and prosperous regional economy in Cornwall and the Isles of Scilly.”
It is understood the fund’s long-term objective is to grow beyond proof of concept and sustain a revolving pool of capital that will continuously reinvest in local innovation.
The fund will work alongside existing investors across the Duchy, including the South West Investment Fund (SWIF), Cornwall Angel Network (CAN) and wider Ƶ private investment communities.
Funding will also be coupled with expert investment readiness advice which will be delivered through The Founders Collective, Oxford Innovation Advice’s established accelerator programme.
Cllr Tim Dwelly, Cornwall Council’s cabinet member for economic regeneration and investment, said: “The Beacon Fund is a great example of how we can move beyond traditional grants and pilot more targeted investment that meets the real needs of our high-growth sectors. It’s about backing ambition, unlocking private investment, and building a stronger local economy.”
