Financial services group Duff & Phelps has launched a new equity match service which will link small- and medium-sized enterprises (SMEs) with more than 70 separate funding providers.
The service was created in response to a growing demand for SME funding in the wake of the coronavirus pandemic.
Through its work in governance, risk and transparency solutions, Duff & Phelps has access to a wide network of potential funders which have a track record of providing smaller amounts of equity funding to SMEs.
“This new offering is about matching the requirements of an enterprise with potential investors who we feel most closely align in terms of cultural fit,” said Paul Reeves, managing director, restructuring advisory, Duff & Phelps.
“We have access to a network of investors who are able to provide equity funding between £100,000 and £2m for growth, stressed and distressed scenarios – an invaluable resource that SMEs can tap into.
“We often come across businesses that need a cash injection over and above their conventional debt facilities, added Reeves.
“Equity Match looks to address a gap in the market where the SME space is often overlooked. We have a carefully chosen network of over 70 separate funders ranging from individual entrepreneurs to family offices to smaller equity houses, all of whom share a common theme—a willingness to invest smaller amounts.”
Duff & Phelps noted that the Equity Match service could also lead to investors taking a more hands-on approach with their support and guidance.
“The right investor partner can help a business achieve its ambitions in a sustainable, considered way,” said Reeves.
“Their strategic guidance and know-how can be invaluable in assisting a business to execute its growth or turnaround plan and stay on track. This adds another crucial level of support for businesses, no more so than during the economic challenge arising from Covid-19.”