Technology investment specialist Sigma Technology has launched a £6m fund targeting small-to-medium sized businesses. It will provide seed funding for start-up and early stage technology businesses located in the East of Scotland. The fund has attracted both public and private sector funding with contributions from Bank of Scotland (£3m), The European Regional Development Fund (£2.225m) and Scottish Enterprise Fife (£125,000). In addition to its role as manager of the fund, Sigma has invested £650,000.
The fund will also have the opportunity to invest alongside Sigma’s UK-wide Sigma Technology Venture Fund, which currently has £17m under management and is aimed at later stage projects with the same sector focus.
The fund will invest between £20,000 and £300,000 per investment and is able to provide a mixture of debt and equity packages. It will be looking for investments in the technology, media and telecommunications sectors. Companies eligible for investment should demonstrate the capacity for high growth and job creation in the region.
The fund has already made two investments in Securivox, a biometric company based in Dundee and SFX Technologies, based in Rosyth and a further three investments are nearing completion.