The Low Carbon Innovation Fund (LCIF) is a venture capital fund, providing equity finance for SME’s based wholly or partially in the East of England. LCIF co-invests alongside private sector investors such as founders, angel investors and/or other funds to provide finance to early and growth stage businesses in a variety of sectors to enable them to develop.

Low Carbon Innovation Fund Eligibility

  • The fund is for small and medium sized enterprises (SMEs) in the East of England. These can be start-ups, early stage or more established SMEs from a wide range of sectors (see FAQ’s for more details).
  • The company must be wholly or partially based within the region or re-locating to the region.
  • The economic impact of the investment must be felt within the region.

The company must have an impact on carbon reduction by:

  • Providing products that are more resource/energy efficient
  • Providing products or services that reduce carbon emissions for customers
  • Reducing carbon emissions through improvements to operational activities

What do we mean by low carbon?

The fund can invest in companies that are:

  • Developing low carbon products or components
  • Selling services to support carbon reduction
  • Contributing to carbon reduction through a focus on resource efficiency, process efficiency and waste reduction.

What are the minimum and maximum investments?

LCIF is split into two streams, the Smaller Investments Scheme (SIS) invests between £25k and £75k and the Main Fund invests between £75k and £1M.

LCIF monies must always be invested alongside private sector co-investment (e.g. Business Angels, High Net Worth Individuals, other Funds or trade investors)

LCIF can invest up to 50% of the amount a company is seeking.

How does LCIF differ from grant funding?

LCIF is a venture capital fund which provides investment to the company in return for a stake in that company. Low Carbon Innovation Fund therefore typically becomes a shareholder. In contrast, grant funders do not hold equity or another stake in the company.

Further information can be found via details on the right hand side.

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