British Business Investments Boosts Innovation with £20m Sprk Capital Funding

British Business Investments, a subsidiary of the British Business Bank, has announced a £20 million funding facility with Sprk Capital Limited. The initiative aims to enhance access to alternative finance for UK smaller businesses engaged in innovation and contributes to the UK’s transition to a net zero economy. British Business Investments has committed over £3.8 billion to finance providers for smaller businesses since its inception. Sprk, a specialty lender, provides non-dilutive cashflow solutions to support early-stage businesses in the innovation sector, offering R&D advance funding and innovation grant funding. Since its launch in 2021, Sprk has funded innovation projects totaling over £150 million, with a focus on the UK innovation market including manufacturing, IT & communication, and professional scientific and technical sectors. This collaboration marks the first time British Business Investments has funded a lender in the innovation sector. In 2024, British Business Bank and Innovate UK solidified a memorandum of understanding to foster new investment pathways and promote business growth through innovation, aligning with national economic goals.