Francis Clark is delighted to present our 9th annual Finance in Cornwall event, which has become an integral part of ‘Cornwall Business Week’. The event looks to bring together people representing the funding and support streams potentially available to SMEs. Therefore, the event is of great relevance to Business Owners and Managers looking to find the best finance options available for their business and the support on offer to help them achieve their aims. This year's event includes presentations from the big banks as well as the "alternative" finance providers. There will also be a number of organisations contracted to provide business support; including the providers of the Growth Hub and an update on 'European Funding'.

1. Finance in
Cornwall 2016
Businesses trading for > 2
years
Scott Bentley - Partner
“Cornwall, we
have lift off!”

2. pkf-francisclark.co.uk
.
Structure of morning
• Background, EU “calls”, grants and Banks
(8:30am to 9:50am)
• LEP, Cornwall Chamber, FSB
• Grants and Banks (intro)
• Funding and Business Support – stratified
by age of business (10:10am to 11:20am)
• Equity, Business Support and Company
presentations (11:40am to 1pm)
• State Aid
• Crowdcube pitch..
• Q&A one to one/ Networking (1pm to 2pm)

3. pkf-francisclark.co.uk
• 8 minute presentations on:
• Invoice financing
• International trade finance
• Peer to Peer (unsecured)
• Peer to Peer (secured)
• Growth Funds - mezzanine
• Growth Funds - equity
• London Stock Exchange…
• Get Set for Growth (Business Support)
Funding and support – for business >2 years old

4. Debt – Invoice Finance
John Hughes – RBS Invoice Finance
10th May 2016

5. What we’ll cover
12/05/2016Presentation information in footer 5
1. Getting paid what you are owed:
reality check
2. What this means to UK businesses
3. What have businesses done?
4. What’s been the benefit?
5. How does Factoring work?
6. How does Invoice Discounting work?
7. How the invoice finance solutions work
in practice

6. Getting paid what you are owed: reality check
52% of British SMEs are owed at least £10,000 each in late payments
British SMEs are owed £67.4 billion in unpaid invoices
60% of businesses have experienced late payments
Two-thirdsof businesses have had to write off payments
Sources:
1 – ABFA, 2 BACS, 3 FSB, 4, Talking Business (All October 2015)

7. 12/05/2016Information is classified as PUBLIC
Security may be required. Product fees may apply.
What this means to UK businesses
 Cash flow problems
 Restricted cash to invest
 Wasted time on resource chasing payments
 Need to write off bad debts
 Limited growth and expansion opportunity
 Reduced ability to secure early settlement or bulk purchase discounts from suppliers

8. 12/05/2016r 8
So what have 43,000 UK businesses done?
 To manage their cash flow
 To support their growth
They have chosen a range of invoice finance solutions as an alternative to traditional funding such as overdrafts:
 Invoice discounting: to free up cash that’s trapped in unpaid invoices
 Factoring: remove the hassle of sales ledger administration
 Credit Protection: works alongside invoice discounting and factoring to lessen the impact of bad debt and
customer insolvency
Information is classified as PUBLIC
Security may be required. Product fees may apply.

9. 12/05/2016 9
What’s been the benefit?
 Flexible funding that grows as the business’ sales grow
 Business owners have more time and resource to focus on running the business
 Protection against bad debt caused by the insolvency of customers
 Businesses are supported if they already trade overseas, or if they’re looking to expand
internationally
 Businesses can access the funds they need to maximise opportunities and realise full potential
 Freed up capital that would otherwise be tied up in unpaid invoices, so funds can be accessed more
quickly
Information is classified as PUBLICInformation is classified as PUBLIC
Security may be required. Product fees may apply.

10. 12/05/2016 10
How does Factoring work?
1 You invoice your
customer as normal
2 Invoice details submitted
using FacFlow
3 We then advance you up to
90% of the value of the invoice
within 24 hours
4 Our experienced collections
department will then chase
the payment from your
customer
5 Your customer will then pay
us 100% of the value of the
outstanding invoice
6 We then give you the remaining
value of the invoice less costs
90
%
100
%
Security may be required. Product fees may apply.
Information is classified as PUBLIC

11. 12/05/2016 11
How does Invoice Discounting work?
1 You invoice your
customer as normal
2 Invoice details submitted
using FacFlow
3 We then advance you up to
90% of the value of the invoice
within 24 hours
4 You run your sales ledger
and credit control
5 Your customer will then pay
us 100% of the value of the
outstanding invoice
6 We then give you the remaining
value of the invoice less costs
90
%
100
%
Security may be required. Product fees may apply.
Information is classified as PUBLIC

12. 12/05/2016 12
Security may be required. Product fees may apply.
How the invoice finance solutions work in practice
South West & Wales: Moduflex
Challenge: Bristol manufacturer, was planning to open
a second production facility in the city and needed
funding to help this.
Solution: Invoice Discounting, Asset Finance and
banking loan facilities.
Benefits: The Invoice Discounting facility has freed up
funds, enabling Moduflex Limited to focus on growth and
expansion without worrying about working capital.
Information is classified as PUBLIC

13. Thank you
For more information contact:
John Hughes
Business Development Manager
M +44 (0)7917 087619
E john.hughes@rbsif.co.uk

15. BACKING YOUR AMBITION
GARETH OAKLEY
Managing Director of SME Banking, Lloyds Bank
15
Our goal is to be the best bank for our clients.
We’ll invest time in understanding your business,
and commit to building a strong
local banking relationship
focused on helping you achieve your goals.

16. 16
INTERNATIONALLY – OUR GLOBAL CONNECTIONS
COVERING 100 COUNTRIES
Countries
20
28
30
14
8
100
Continent
Africa
Americas
Asia
Europe
Middle East
Local Network Banks
Standard Bank, Standard Chartered and local regional banks
Scotiabank and local regional banks
ANZ, ICICI and Standard Chartered
Crédit Agricole and local regional banks
Leading local banks
OUR OFFERING
Extensive global connections through
arrangements with key network banks.
In-country expertise and specialist knowledge
of the local legislative environments.
Comprehensive guarantee solutions delivered
with our key network banks.
Indicative and competitive up front pricing,
with individual quotes provided upon request.

17. SUPPORTING INTERNATIONAL TRADE – EFFICIENT BANK SOLUTIONS
17
Our products and services are designed to make international trade as smooth as possible.
Information
Our online solutions
provide information and
fingertip control:
 Lloyds Online
Trade Services – view,
monitor and manage
your trade activity.
 Arena – our
comprehensive
e-solution combining
foreign exchange and
money markets trading
with economic insight.
 TravelLink – order
currency online for
secure delivery to
any UK based office.
Security
To help you trade more
securely internationally,
our services include:
 Urgent and non-urgent
payment mechanisms.
 Documentary credits
or collections.
 Bonds and Guarantee
services.
 Single European
Payment Area (SEPA)
Direct Debits.
 100% of transactions
are processed in the
UK
Efficiency
International accounts:
 Euro accounts for
businesses trading
in Euros.
 Foreign currency
accounts for
businesses making
transactions
in foreign currencies.
 Currency loans for
trading internationally.
Partnership
In March 2015 Lloyds Bank was
the first UK Bank to enter into a
strategic partnership with UK
Trade and Investment (UKTI).
 This two year partnership will
help UK businesses to export
and to attract inward
investment into the UK.
 Its aim is to help UK exports
reach £1trn by 2020.
 It will increase the number of
businesses helped by Lloyds
Bank to trade internationally to
75,000 by 2017.
 It is supporting efforts to double
the UK’s stock of foreign
investment by 2020.

18. 18
OUR INTERNATIONAL PRODUCT CAPABILITIES – OVERVIEW
A simple and cost-effective way to enable payments between key
network banks.
Key capabilities to keep your international trade running smoothly.
Documentary
Collections
Letters
of Credit
Bonds &
Guarantees
Foreign Exchange
(FX) Services
To support you to deal confidently with your suppliers or your buyers,
secure in the knowledge that payment will be made if the transaction
is carried out according to the terms, and is crucially supported by
a bank guarantee of payment.
To support your ability to perform under a contract or meet payment
obligations. They may also be used to underpin any bid to win new
business.
A good way to help manage exchange rate risks and can be tailored
to your specific needs.
To help you to improve your credit management and free up cash flow
to support business growth.
A comprehensive range of finance solutions to help fund your working
capital, whether buying or selling.
Invoice
Financing
Trade
Finance
To support your trade needs
WORKING
CAPITAL
MANAGEMENT
RISK
MANAGEMENT

19. Stage 2.
Tailor financial solutions to meet your needs
Through building the timeline, we can provide
bespoke trade solutions for your needs in both
risk management and working capital.
Stage 2Stage 1
19
TAILORED TRADE SOLUTIONS – EXAMPLE
Putting your needs first, our specialist teams will work with partner networks and use expert trade
knowledge to deliver the right banking solutions.
-30 0 30 45 100
Tendering
Contract Signed
Goods Shipped
Supplier Paid
Goods Arrive
Invoice Sent
Invoice Paid
Letters of Credit
Trade Finance
Invoice
Financing
Letters of Credit
Bonds & Guarantees
Commercial
events and
timelines
Improve
Working
Capital
Mitigate
Risk
Client needs Tailored solutions
Stage 1.
Initial assessment to understand your needs
By conducting an initial timeline assessment, we
get a full understanding of the critical commercial
and geographic events in your trade cycle.
60 70
Documentary
Collections
Documentary Collections
Illustrative purposes only
Foreign Exchange (FX) Services

20. 20

21. IMPORTANT INFORMATION
This presentation is for information purposes only. It is intended as a summary only and whilst it contains some information about the potential risks and
benefits of various products and services it should not of itself form the basis for any investment decision. Whilst Lloyds Bank plc has exercised
reasonable care in preparing this presentation and any views or information expressed or presented are based on sources it believes to be accurate and
reliable, no representation or warranty, express or implied, is made as to the accuracy, reliability or completeness of the information with other information
which you have received from us, you should refer this to your Lloyds Bank relationship team for clarification.
If you have a hearing or speech impairment you can use Text Relay (previously Typetalk) or if you would prefer to use a Textphone, please feel free to call
us on 0345 601 6909 (lines open 7am-8pm Monday-Friday and 9am-2pm Saturday).
Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service.
Please note any data sent via email is not secure and could be read by others.
Lloyds Bank plc registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 2065. Telephone 0207 626 1500.
Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under
Registration Number 119278. We subscribe to The Lending Code; copies of the Code can be obtained from lendingstandardsboard.org.uk
Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service
(FOS). Please note that due to FSCS and FOS eligibility criteria not all Business customers will be covered.
Invoice Finance, Asset Finance, Asset Based Lending and Debtor Protection facilities are provided by Lloyds Bank Commercial Finance. Payroll Finance
facilities are provided by Cash Friday. Lloyds Bank Commercial Finance and Cash Friday are trading names of Lloyds Bank Commercial Finance Ltd.
Registered office: No.1, Brookhill Way, Banbury OX16 3EL. Registered in England and Wales no.733011. Lloyds Bank Commercial Finance Limited is
part of Lloyds Banking Group and is authorised and regulated by the Financial Conduct Authority for activities relating to certain types of consumer credit
which are regulated under the Consumer Credit Act 1974 and by the Financial Services and Markets Act 2000. We are not deposit takers and are not
regulated by the Prudential Regulation Authority. The provision of credit or leasing services by us is subject to your meeting our Credit approval. Please
ensure that you only apply for credit or leasing services that you can comfortably afford.
Lloyds Bank Private Banking Limited. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales No. 2019697.
Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under number
122626.
Lloyds Bank plc is an introducer to Arthur J. Gallagher Insurance Brokers Limited who arrange and administer Lloyds Bank Business Insurance Services
and source products from a panel of insurers.
Introductions will be made to selected companies within the Lloyds Banking Group. The Lloyds Banking Group includes companies using brands
including Lloyds Bank, Halifax and Bank of Scotland and their associated companies. More information on the Lloyds Banking Group can be found at
lloydsbankinggroup.com 21

22. Funding Circle
Jeremy Crinall
Business Development Manager South West
Simple, affordable business loans

23. “At present the largest four banks account for over 80% of UK SMEs’ main
banking relationships.
Many SMEs only approach the largest banks when seeking finance…in the
case of the first time SME borrowers the rejection rate is 50%.”
Gov.uk, 2014
“ Over 50 per cent of business owners have used or considered using
alternative finance such as peer-to-peer (P2P) lending, crowdfunding,
invoice finance, property finance and asset finance. ”
lsbf.org.uk, 2016

24. What's the difference?
Traditional lending
Market place lending

25. A simple model: Lenders can spread risk by lending small
amounts to hundreds of businesses
Business loan
Loan parts
Loan parts
Loan parts
Loan parts
Loan parts
Loan parts
Loan parts
Loan parts
Loan parts

26. The global leader in marketplace lending
for small businesses
12 14 14 21 27 33 43 55 64
80 83
111
150
167 170
222
248
1
6
17
11
25
32
56
81
106
18
1 3 4 4 6 12 14 14
21
27
33 43
55
65
86
99
122
175
199
226
0
50
100
150
200
250
300
350
400
Q3
2010
Q4
2010
Q1
2011
Q2
2011
Q3
2011
Q4
2011
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
Q2
2013
Q3
2013
Q4
2013
Q1
2014
Q2
2014
Q3
2014
Q4
2014
Q1
2015
Q2
2015
Q3
2015
Q4
2015
UK US CE Total
August 2010
Founding of
Funding Circle
October 2015
Launch in Germany, Spain &
Netherlands (acquisition)
October 2013
Launch in the US
(acquisition)
Originated over $1.85 BN to thousands of small businesses since
2010
• £531 million lent in the UK in 2015 giving 90% YoY growth
• # 1 player in the UK with ~50% market share
• c. 500 employees globally
March 2015
Series E round with $150M funding
from DST, Temasek, Blackrock,
Baillie Gifford, Sands Capital
FCQuarterlyNewLending($m)2

27. In Q1 the Funding Circle platform was the 5th largest net
lender to SMEs in the UK
Q1 Net lending
to UK SMEs
£m
22
27
37
38
88
96
111
125
157
232
United Trust Bank
Santander
OneSavings Bank
Yorkshire Building Society
Arbuthnot Latham
Funding Circle
Close Brothers
Metro Bank
Aldermore
Lloyds Banking Group
Source: Bank of England - Funding for Lending Scheme Extension

28. • We are not a Bank - Funding Circle do not lend our own money
• Funding Circle are an online market-place – where investors lend directly to SME
businesses
• £147m lent to SME’s in South West (May 2016)
• £24.9m Lent to SME’s in Cornwall since 2010 increase from £5.2m in May 2015 (5 X
increase in 12 months)
• Liquidity depends on both the ‘Fractional Retail’ and ‘Institutional Whole Loan’ market-
place
• Institutional investors agreed to invest £127m & $434m in our ‘Whole Loan’ market-place –
UK & US & CE
Market-place lending

29. • The Government lent an initial tranche of £20m
through Funding Circle in 2013
• A further £40m has been committed in late 2014
• Forms part of the Business Finance Partnership
scheme (British Business Bank)
• 10% of every loan on the platform is financed by
Government
The Government’s commitment to Funding Circle

30. Unsecured Loan
£5k - £250k
Suitable for a wide range
of purposes
6 months to 5 year term
Fixed interest rates from
6%
Arrangement fees
between 3-4% of loan
amount
No ERP’s
Secured Loan
£150k - £1m
 All asset security
agreement
 Charge on specific
properties or assets
Types of borrowing
£150k-£3m
 Development
 Commercial
 Investment
 Fixed interest rates
 No early
repayment fees
 Circa 8% pa.
Property Finance
Asset finance
£20k - £1m
 Suitable for a wide
range of hard assets
 Hire purchase
 Flexible on LTV–100%
considered
 Individual deals up to
£250k, credit lines of
up to £1m

31. Any business, any purpose……
Loan Purpose
Working capital
Expansion/growth Capital
Asset purchase
Other
Residential property
development
Asset finance
Refinancing a loan
Tax payment
Tax liability
Annual purchase
Commercial mortgage
Sector
Automotive
Finance
Leisure & Hospitality
Education & Training
I.T and Telecommunications
Agriculture
Consumer Services
Healthcare
Manufacturing and
Engineering
Other
Professional and Business
Support
Property and Construction

32. Minimum FC criteria includes
Companies:
History:
Directors:
Accounts:
Ownership:
Guarantees: Loan supported by PG
Beneficial ownership in UK
Min turnover £50,000, Upward growth trend and no consecutive
losses.
Trading for 2+ years with at least 2 years of filed accounts
A good credit history – no CCJs, CVAs, CVLs or liquidated companies
within 3-4 years. UK resident.
Limited companies, limited liability partnerships & non limited

36. Thank you for listening
Jeremy Crinall
Business Development Manager
jeremy.crinall@fundingcircle.com
0203 667 2250

37. Secured Lending
David Brown – Managing Director

38. 38
We look at things
differently
What do we do?

39. We are an ENABLER
• Simple
• Mobilising money in the countryside
• Enabling people to utilise property assets
• People Power
• Fair deal
• Help local community
39

40. 40
Secured Lending
• All loans secured against land or property.
• Not your primary residence (or a property in which you
reside in more than 40%).
• 60% Loan to Value

41. What We Offer Lenders
The ability to support and invest in their local community
whilst receiving a competitive interest rate
* Based on the amount lost by a lender (excludes temporary delays in interest repayments)
• Minimum lending value of £25,000
• Secured return of 6.5% paid
monthly
• Zero defaults to date*
• Lending can be to a specific
borrower as a sole Lender, or as part of a ‘Lender Pool’

42. What We Offer Businesses
The ability to utilise property assets to help business
grow or boost working capital
• Interest-only repayment at 6.5%
• All lending secured against property
• Offer up to 60% LTV
• Loans of 3 months - 5 years
• We take a holistic view: choosy but
fair

43. Best Lending Platform for SMEs
• Secured
• Straightforward
• Fast Enabler
• Attractive rate 6.5%
• People business
• Local focus
• Award winning
43

44. Proudly Cornish
• £93m invested in the South West.
• Provide a way to keep local money local
• Provided funding to kick-start major Cornish projects
i.e. Truro development project resulting in Stadium for
Cornwall.
• Head Office in Launceston.
* Source: BRDC SME Finance Monitor Q3 2015

45. www.folk2folk.comTwitter.com/Folk2FolkUK
Facebook.com/folk2folk
Linkedin.com/company/folk2folk

46. INTRODUCTION TO GROWTH CAPITAL
Paul Julian
Relationship Director

47. GROWTH CAPITAL HELPS FILL THE FUNDING GAP

48. COST EFFICIENT ALTERNATIVE TO EQUITY / UNIQUE
BANK PRODUCT
Debt product
Not equity risk
Interest only loan
Preserves cash within
the business
Cash flow lending
Not limited to tangible
security
Structured loan
Flexible
Low cost alternative
Hands on approach
Experienced team
Strong relationship
All banking Santander
Unique bank product

49. OUR BROAD CRITERIA
Privately owned
business, annual sales
typically £2m - £50m
Growing businesses that
are profitable and cash
generative
Proven management
team. Good finance
function
Investment in opex /
capex / bolt-ons.
Proven product or service
to roll out
At least 3 years of
financial history

50. A STRUCTURED PRODUCT
 3.0% arrangement fee
 2.5% commitment fee
 L+5% plus 5% rolled up
 5 year maturity
 Comprehensive security
package
 Full banking
 No change of control
 No annual fees
 No prepayment fees
 No penalty for early
prepayment
 External due diligence
 No automatic requirement
for PGs
 Integrated Financial Model
 Restrictions on use of cash
/ distributions
 No further indebtedness
 Subordination of other
loans
 Financial covenants
 Quarterly testing
 Monthly MI

51. £1.5m Growth Capital
Childcare and education
60 new jobs
September 2014
£1.35m Growth Capital
Vibration monitoring
62 new jobs
July 2014
£1m Growth Capital
Engineering consultancy
95 new jobs
July 2014
£0.75m Growth Capital
Cloud brokerage services
35 new jobs
May 2014
£1.6m of Facilities
Bakeries
45 new jobs
December 2014
£1.8m of Facilities
Services
43 new jobs
September 2014
£2.4m of Facilities
Supplier & Manufacturer
19 new jobs
December 2014
SOME RECENT SMEs WE HAVE SUPPORTED….
£6.0m of Facilities
Trampoline parks
February 2016
£5.8m of Facilities
Fulfilment & global delivery services
October 2015
£10.9m of Facilities
Clothing retailer
400 new jobs
£0.8m of Facilities
Sea salt retailer
25 new jobs
£4.2m of Facilities
Taxi service operator
30 new jobs
March 2015
August 2015 August 2015 April 2015
£undisclosed
Credit reporting agency
£0.5m Growth Capital
Healthy fast food chain
40 new jobs
October 2014

52. Breakthrough:
Helping Your Business Go Further
Breakthrough
Knowledge
Meet British business
legends face to face
and soak up their
expertise at exclusive
events.
Breakthrough
Talent
Support to find and
keep the best talent,
including access to
2,000 subsidised
graduate interns.
Breakthrough
International
Connect with the pick
of 190,000 international
contacts who can help
you break into new
markets.
Breakthrough
Connections
Keep one step ahead
by joining our exclusive
network of
entrepreneurs and
business leaders.
Breakthrough
Finance
Funding beyond the
ordinary, including a
unique financing
solution to fuel your
growth ambitions

53. CUSTOMER ADVOCACY
“It is mind-blowing that a bank would be that
entrepreneurial and supportive. They are a
breath of fresh air.”
Paul Bradford, Southern Communications, CEO
“Santander gets close to you in terms of
understanding the business and our Relationship
Director really understands the nuts and bolts of
what we’re doing and the issues we have.”
Mike Bishop, Finance Director and CoFounder, YourVets
“I think the Growth Capital investment is a really
well thought-out product. It allows us to draw
down funds as the company grows without having
to keep going back to the bank.”
Tim Hobbs, CFO, Vital Ingredient
“Before the deal we had 35 employees but only
one sales person. Now we have the resources to
grow the team and hire people to manage direct
sales, partners and channels.”
Mat Atkinson, CEO, ProofHQ
“It’s fascinating to see that entrepreneurship is
a genuine objective of Santander and not just words.”
Geoff van Sonsbeeck, co-founder,Isabella Oliver
“The Santander team got to know us individually
and we felt the approach of the team was
sensible and pragmatic.”
Graeme Scott, CEO, Bertram Nursery Group
“The expertise of the people who came in from
Santander was completely different from the
other banks... They could see the frustrations of a
small business. They also understood that a small
business needs time to do things.”
Andy Hill, CEO, I Like Music

54. DISCLAIMER
The information and opinions in this document have been compiled by
Santander Corporate Banking in good faith from sources believed to be reliable.
The information and opinions contained in this document are published for the
assistance of the recipients but they should not be relied upon as authoritative
or definitive and should not be taken into account in the exercise of judgements
by any recipient. Distribution of this document does not oblige us to enter into
any transaction. Any offer would be made at a later date and subject to contract,
satisfactory documentation and market conditions. Nothing in this document
constitutes investment, legal, tax or accounting advice and we recommend you
do not make a decision based on this information without first taking the
appropriate advice. This document is intended for recipient only, should not be
disclosed to retail clients, and should not be distributed to others or replicated
without the consent of Santander Corporate Banking.
Santander Corporate Banking is the brand name of Santander UK plc, Abbey
National Treasury Services plc (which also uses the brand name of Santander
Global Banking and Markets) and Santander Asset Finance plc, all (with the
exception of Santander Asset Finance plc) authorised and regulated by the
Financial Services Authority, except in respect of consumer credit products
which are regulated by the Office of Fair Trading. FSA registration numbers:
106054, 146003 and 423530 respectively. Registered offices: 2 Triton Square,
Regent’s Place, London NW1 3AN and Carlton Park, Narborough LE19 0AL.
Company numbers: 2294747, 2338548 and 1533123 respectively. Registered
in England. Santander and the flame logo are registered trademarks.

55. Growth Capital Investors
Introduction to BGF
Ned Dorbin
10 May 2016

56. Growth Capital Investors
BGF isan investment firm
that provides growthcapital
of £2m - £10m to UK
businesseswithturnover of >
£5m.
Who we are.
Funding for growth and equity release
Investment of £2m – £10m for a minority
stake
Long-term and patient capital, no forced
exit
Access to huge network and support
Fast and focused investment process

57. 109
£20m
88£5.5m£2.6bn
£700m 19,300
11
£100m
8
£17m
£15m
companies backed by BGF
average turnover of companies at
time of investment
experienced non-executive chairmen
and directors introduced to investee
companies
average first
investment
combined turnover of all
companies in portfolio
Total amount committed
people employed across
the portfolio
different
sectors
Amount of
follow-on investment
offices across the UK
the most invested in a
single company
Realised gains (from exits)
(£250m in 2015)

58. Growth Capital Investors
58

59. Growth Capital Investors
Investment of £2m-
£10m
Cash-in: to support long term growth
Cash-out: for existing shareholders
Equity stake of up to
40%
Always a minority partner – you retain
control
No closed fund
pressures
Patient capital. No drag rights, no forced exit
What we offer.
Workingalongsidethe
banks,BGF provides growth
capitalin awaythat meets
companies’needs.

60. Growth Capital Investors
Flexible structures –
equity / loan notes
Meets the needs of the company and
shareholder
Fair legal approach Less onerous investor legal protections
Fast and focused
investment process
Minimises disruption and fees
More than money Access to impressive network and support
What we offer.
Workingalongsidethe
banks,BGF provides growth
capitalin awaythat meets
companies’needs.

61. Growth Capital Investors
BGF contactsin the SouthWest
61
James Austin
Investor
james.austin@bgf.co.uk
07872 819093
Alex Garfitt
Investor
alex.garfitt@bgf.co.uk
07770 582021
Greg Norman
Investor
greg.norman@bgf.co.uk
07557 747302
Edwin Davies
Investor
edwin.davies@bgf.co.uk
07880 384983
Paul Oldham
Regional Director
paul.oldham@bgf.co.uk
07887 657697
Sarah Ledwidge
Investor
sarah.ledwidge@bgf.co.uk
07557 232034
Dan Tapson
Investor
dan.tapson@bgf.co.uk
07964 904443
Ned Dorbin
Investor
ned.dorbin@bgf.co.uk
07800 682195
Alex Snodgrass
Investor
Alex.snodgrass@bgf.co.uk
07766 781293

62. Growing your business on the public equity
markets
Claire Dorrian
London Stock Exchange
10th May 2016

63. 63
A Choice of Routes to Market
Private Equity
Venture Capital
Seed Capital
Business
Angels
Friends
Family
Start - Up Early Stage Expansion Consolidation & further
capital raising
Diversification of investors, M&A and
International Expansion
Concept &
seed stage
Fundingrequirement
£500k
£1m
£100k
£50k
£150m
£1bn
Strategic consideration

64. 64
AIM - A market for smaller companies
Market Cap Profile of AIM Companies
104
124
130
191
155
119
106
45
17
5
£0 - 2m £2 - 5m £5 - 10m £10 - 25m £25 - 50m £50 - 100m £100 - 250m £250 - 500m £500 - 1bn £1bn+
Source: London Stock Exchange statistics, 31 March 2016
*23 companies either suspended or undetermined value

65. 65
Diverse Sector Representation
*ICB industry classification
Oil & Gas, 113
Basic Materials, 156
Industrials, 173
Consumer Goods, 59Health Care, 86
Consumer Services,
109
Telecommunications, 15
Utilities, 13
Financials, 182
Technology, 114
Source: London Stock Exchange statistics, 31 March 2016
*23 companies either suspended or undetermined value
The sector diversity of AIM has contributed to its success and robustness through sector and economic
cycles.
113
Oil &Gas
156
Basic
Materials
173
Industrials
59
Consumer
Goods
86
Health Care
109
Consumer
Services
15
Telecom
13
Utilities
182
Financials
114
Technology

66. 66
AIM Admissions Activity
Source: London Stock Exchange statistics, 31March 2016
*23 companies either suspended or undetermined value
123
145
107
75
102
277
177
160 162
355
519
462
284
114
36
102 90
71
99
118
61
15
0
100
200
300
400
500
600
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
YTD
International UK
The number of admissions has reduced post financial crisis, as other private sources of capital emerge and
companies take longer to prepare for IPO. However, the median fundraising amount at admission has doubled.

67. 67
Fundraising activity on AIM
Source: London Stock Exchange statistics, 31 March 2016
*23 companies either suspended or undetermined value
0
2
4
6
8
10
12
14
16
18
Moneyraised(£bn)
Further New
AIM investors support companies at IPO and throughout their life on market, as evident from the £55 billion raised
through further fundraisings since 1995, compared to £41 billion at admission.

68. 68
Benefits for companies
6868
Diverse & deep pool of
capital
Strong support from
institutions
Funding for acquisitions
& expansion to new
markets
Access to capital Wide support network
Nominated advisers
Accountants
Lawyers
Banks/Brokers
Analysts
Financial PR / IR
Media
Profile
Visibility
Bargaining power with
customers & supplier
Access to incremental
research coverage
Marketability of stock
Global peer group
Balanced regulatory
approach
Disclosure requirements
tailored to growing
companies
Based on EU FSAP
Directives & UK
Prescribed Market Regime
Local & International
investor confidence in
regulatory framework

69. 69
Prepare Ahead
Early Investor
Engagement is
Key
 Early preparation is critical - very hard to accelerate an IPO process
 Increasingly common practice to meet investors early (12 months ahead) – therefore need to work on key
financials, KPIs for the business, equity story well in advance
 The practice of “early look” engagement with a number of the key investors has been very valuable:
 Feedback for the Company and owners at an early stage on the business model, the management team
and likely valuation parameters
 Investors get an opportunity to build a rapport with management at this early stage, enhancing their likely
participation at the IPO
Demand Patterns
are Shifting
 Maximising demand means understanding the dynamics within the investor community:
 Long only vs hedge funds
 UK vs. Europe vs. US vs. Asia
 Retail participation
 Consider complementary distribution platforms in IPO syndicates to tap all of these pockets
Current Investor
Appetite
London - Lessons from Recent IPOs
 Recent ITFs indicate broad interest across sectors (tech, fintech, industrials, support services)
 With plenty of potential IPO supply into 2016, investors will continue to be selective and differentiation of equity
story has become even more important – size, simplicity of story and valuations matter!
 Seeing more structures to de-risk IPO execution - shortening timetables, stealth marketing (no intention to float)
anchor / cornerstone orders, reverse into shells (e.g. BCA, Iglo) etc.

70. 70
ELITE – a business support programme for private
companies
78 companies have joined the UK programme since April 2014 ranging in size and sector.
£1bn +
Aggregate
revenue
9,700
Aggregate
employees
38
Locations
19
Sub sectors
Industrial Goods and
Services
Technology
Media Retail
Telecomms
Oil and GasTravel & Leisure
Food & BeverageHealthcare
10 companies 20 companies
7 companies 12 companies
2 companies
3 companies 2 companies
12 companies 2 companies
Fintech / Financial
Services
4 companies
Chemicals
1 company
Property
2 companies

71. 71
A Structured Engagement Over 3 Phases
Delivered in partnership with Imperial College Business School in the UK, ELITE will enhance the growth prospects of
member companies through a unique three-part package.
Continued access to the entire ELITE community across Europe via the online platform
PHASE 1
Stimulates company review
A comprehensive programme,
delivered with entrepreneurs,
investors and advisers, to stimulate
organisational review and change.
Readiness Survey Diagnostic Interviews
PHASE 2
Plan for change
Practical and technical workshops
designed to reflect on company-
specific issues and plan for change
with the support of the ELITE Partner
network.
PHASE 3
Capitalise on the benefits
Utilise the ELITE community and
learnings from the first two phases to
access new business opportunities
and consider funding options and
processes to explore in more detail.

72. 72
A Vibrant Ecosystem Across Europe
+ Others
+ Others
+ Others
+ Others
+ Others
150+
ELITE Partners
100+
ELITE Investors
380+
ELITE companies

73. 73
LSE’s Equity Primary Markets Team
Global Head of Primary Markets John Millar +44 (0)20 7797 1586 jmillar@lseg.com
Relationship Management
Region Telephone Email
UK Marcus Stuttard
Tom Attenborough
Mark Fahy
Claire Dorrian
James Clark
+44 20 7797 3364
+44 20 7797 3747
+44 20 7797 6396
+44 20 7797 2074
+44 20 7797 1863
mstuttard@lseg.com
tattenborough@lseg.com
mfahy@lseg.com
cdorrian@lseg.com
jclark@lseg.com
Russia, CIS, Asia – Pacific Jon Edwards (Beijing)
Ayuna Nechaeva (London)
Yi Xie (HK)
+44 20 7797 1599
+44 20 7797 4386
+852 3555 6395
jedwards@lseg.com
anechaeva@lseg.com
yxie@lseg.com
India, Middle East, Africa Ibukun Adebayo
Jasmine Arora
+44 207 797 1085
+44 20 7797 1868
IAdebayo@lseg.com
jarora@lseg.com
Americas
Sarah E Baker (New York)
Chris Mayo
+1 917 582 1815
+44 20 7797 3134
sebaker@lseg.com
cmayo@lseg.com
Continental Europe Luca Peyrano (Milan)
Axel Kalinowski
+39 0 272 426291
+44 20 7797 4108
lpeyrano@lseg.com
akalinowski@lseg.com
Research and Product Development
Market Telephone Email
Main Market, AIM, PSM, SFM, ELITE
and ATT Only
Darko Hajdukovic
Umerah Akram
Sarah J Baker
Emma Titmus
Louis Davies
ShengYuan Wu
Hetal Patel
+44 20 7797 3306
+44 20 7797 4707
+44 20 7797 1542
+44 20 7797 1464
+44 20 7797 1633
+44 20 7797 4096
+44 20 7797 1043
dhajdukovic@lseg.com
uakram@lseg.com
sbaker2@lseg.com
etitmus@lseg.com
ldavies@lseg.com
swu@lseg.com
hpatel2@lseg.com
For further information refer to www.lseg.com

74. 74
This document has been compiled by the London Stock Exchange plc (the “Exchange”). The Exchange has attempted to ensure that the information in this document is
accurate, however the information is provided “AS IS” and on an “AS AVAILABLE” basis and may not be accurate or up to date.
The Exchange does not guarantee the accuracy, timeliness, completeness, performance or fitness for a particular purpose of the document or any of the information in it.
The Exchange is not responsible for any third party content which is set out in this document. No responsibility is accepted by or on behalf of the Exchange for any errors,
omissions, or inaccurate information in the document.
No action should be taken or omitted to be taken in reliance upon information in this document. The Exchange accepts no liability for the results of any action taken on the
basis of the information in this document.
All implied warranties, including but not limited to the implied warranties of satisfactory quality, fitness for a particular purpose, non-infringement, compatibility, security and
accuracy are excluded by the Exchange to the extent that they may be excluded as a matter of law. Further, the Exchange does not warrant that the document is error free
or that any defects will be corrected.
To the extent permitted by applicable law, the Exchange expressly disclaims all liability howsoever arising whether in contract, tort (or deceit) or otherwise (including, but not
limited to, liability for any negligent act or omissions) to any person in respect of any claims or losses of any nature, arising directly or indirectly from: (i) anything done or the
consequences of anything done or omitted to be done wholly or partly in reliance upon the whole or any part of the contents of this document, and (ii) the use of any data or
materials in this document.
Information in this document is not offered as advice on any particular matter and must not be treated as a substitute for specific advice. In particular information in the
document does not constitute professional, financial or investment advice and must not be used as a basis for making investment decisions and is in no way intended,
directly or indirectly, as an attempt to market or sell any type of financial instrument. Advice from a suitably qualified professional should always be sought in relation to any
particular matter or circumstances.
The contents of this document do not constitute an invitation to invest in shares of the Exchange, or constitute or form a part of any offer for the sale or subscription of, or
any invitation to offer to buy or subscribe for, any securities or other financial instruments, nor should it or any part of it form the basis of, or be relied upon in any connection
with any contract or commitment whatsoever.
London Stock Exchange and the London Stock Exchange coat of arms device are registered trade marks of London Stock Exchange plc. Other logos, organisations and
company names referred to may be the trade marks of their respective owners.
© May 2016
London Stock Exchange plc
10 Paternoster Square
London EC4M 7LS
Telephone +44 (0)20 7797 1000
www.lseg.com
Legal Disclaimer

75. 75
DAVE LEAMAN
BUSINESS SUPPORT

76. 76
A FULLY FUNDED INVESTMENT READINESS
AND GROWTH SERVICE FOR AMBITIOUS
BUSINESSES
ACROSS THE SOUTH WEST

77. 77
WHO DO WE SUPPORT?
S.M.E. BUSINESSES
ANY AGE
WHO HAVE AMBITIONS TO GROW

78. 78
• Financial appraisal
• Cashflow forecast
• Profit & Loss forecast
• Business plans
• Identify appropriate funding sources
• Funding application assistance
• Investor presentation/pitches
ACCESS TO FINANCE EXPERTS

79. 79
ACCESS TO SALES/MARKETING EXPERTS
• Sales & Marketing Diagnostic
• Access to your Market
• Customer Needs
• Value Proposition
• Marketing Strategy
• Sales Pipeline

80. 80
DELIVERED VIA…
Workshops / 1:1s / Masterclasses / Drop-in sessions
Finance
Help you get the
money you need to
take your company
forward
Sales &
Marketing
Skills &
Knowledge
Create, develop
and strengthen
marketing and
sales strategy
Develop world-
class skills and
knowledge

81. 81
• Already supporting: 1,103 clients
• Already raised: £3.2million
• Jobs created/safeguarded: 120
Success so far this year – Q1 2016…

82. 82
- Visit our stand
- getsetforgrowth.com
- Tel 0800 587 7707
GET IN TOUCH

83. pkf-francisclark.co.uk
Break
Session 3 start time
11.40am