Scottish Co-investment Fund
The Scottish Co-investment Fund (SCF) is a £72 million equity investment fund established by Scottish Enterprise, partly funded by the European Regional Development Fund (ERDF), to invest from £100,000 to £1 million in company finance deals of up to £2 million.
The SCF seeks to address the early stage equity gap by introducing additional capital and new investors to the marketplace. Since its introduction in 2003, SCF has invested £32 million in 111 companies, leveraging £76 million of private sector capital from its private sector co-investor partners.
Becoming an SCF investor
An essential condition of the SCF is that applicants be able to demonstrate experience in early stages and more hands-on investments where company creation, expansion and business development skills are critical.
The Scottish Co-investment Fund is designed to be attractive to the Financial Service Authority (FSA) fully regulated funds and experienced syndicates that are not necessarily FSA regulated, but can demonstrate skills and experience in investing at the early stage of the market. All applicants will need to satisfy Scottish Enterprise that they have appropriate governance structures in place to meet acceptable legal and regulatory compliance standards.
Learn more about becoming an SCF investor by visiting our FAQs
For general enquiries about the Scottish Co-investment Fund, please contact our team:
Andy Sloane
Email: andrew.sloane@scotent.co.uk
or Audrey Dawson
Email: audrey.dawson@scotent.co.uk
Assessment process
The Scottish Co-investment Fund Executive team will review your application in detail and if deemed eligible, you will be contacted for an interview. If the SCF team are satisfied that all criteria have been met and any outstanding queries answered, a recommendation will be made to the Scottish Enterprise Investments (SEI) Advisory Board.
Find out more about members on the SEI Advisory Board
If successful, you will be asked to make a presentation to the Advisory Board and answer any questions from members. If approved by the Board, you must sign an Arrangement Agreement with the Scottish Co-Investment Fund that identifies your obligations to SCF as a partner and the SCF’s obligations to you as a partner.
Once you sign as a partner, an allocation of funds is detailed in the Arrangement Agreement; this is a legally binding commitment and is reviewed every 6 months. At the same time, the SCF Executive team reviews your performance, including investment activity and how transactions were conducted.
Scottish Co-investment deals portfolio
Find out more about our Scottish Co-investment deals portfolio
Examples of agreements
Download an example of the Co-investment Arrangement Agreements for corporate partners (Word, 339kb)
Download an example of the Co-investment Arrangement Agreements for syndicates (Word, 349kb)