Multinational law firm Pinsent Masons has advised Lloyds Bank on the launch of a £62 million investment fund to help small businesses across England and Wales access finance to support local jobs and economic activity.
The Community Investment Enterprise Fund (CIEF) aims to invest in around 800 small businesses, supporting around 10,500 jobs.
The Fund will initially invest into three Community Development Finance Institutions (CDFIs) – BCRS Business Loans, Business Enterprise Fund and Finance For Enterprise. CDFIs are socially motivated lenders which already lend around £100 million every year to creditworthy businesses which traditional and challenger banks, and fintechs cannot serve. They lend disproportionately more to businesses led by women, ethnic minority entrepreneurs and almost 50% of CDFI lending is to areas in the UK’s most deprived regions.
The Pinsent Masons team advising Lloyds Bank on this latest investment fund was led by finance partner Nick Gavin-Brown alongside associates Annabel Davey, Sara Segura and Daniel Cooke.
Commenting on the announcement, Nick Gavin-Brown said: “With this investment fund, Lloyds Bank has become the first mainstream lender to invest in the CDFI sector. We are proud to support our client in its commitment to investing in sustainable business and regional development, and to contribute to this latest success that is close to our own values.”
