SMALL BUSINESSES FUNDING

1. Title: SMALL BUSINESSES FUNDING2. Awarding Authority: North East Local Enterprise Partnership, GB. Web: 3. Contract type: Service contract4. Description: The COVID19 crisis has forced thousands of small businesses to close their premises.Crowdfunder UK has launched Pay it Forward to enable small businesses to keep trading by pre-selling goods and services.The North East LEP will match pound for pound the money raised by eligible North East small businesses through Pay it Forward, awarding up to £5,000.Crowdfunder has scrapped all platform fees and is covering transaction charges to make the scheme 100% free.Match funding is to be distributed by the North East LEP to small businesses through Crowdfunder’s small business support scheme Pay it Forward. Small businesses, employing no more than 10 full-time equivalent employees, will be able to secure up to £5,000 in match funding to boost their own crowdfunding efforts.Pay it Forward provides the infrastructure and coaching for small businesses topre-sell goods and services,adapt and ‘pivot’ their business into new ways of working andstay connected to their customer base.There are 45,800 small businesses employing 10 or fewer full-time equivalent employees across the North East, many are in urgent need of financial support. The funds released by North East Local Enterprise Partnership (LEP) will provide urgent relief for those small businesses most in need and who do not qualify for other Government schemes. The match funding is being sourced from the North East Investment Fund and will total up to £1 million.Eligible businesses must generate a minimum 25% of their target from crowdfunding before they can apply for match funding from the North East LEP. If their application is successful, half the grant will be pledged right away, and the other half when they reach their 75% of their fundraising target. Businesses that don’t reach their full crowdfunding target will still receive match funding, up to a total of £5k.5. CPV Code(s): 79996000, 79410000, 794000006. NUTS code(s): UKC, UKC2, UKC227. Main site or location of works, main place of delivery or main place of performance: North East (England), Northumberland And Tyne And Wear, Tyneside.8. Reference attributed by awarding authority: Not provided.9. Estimated value of requirement: North East Local Enterprise Partnership (LEP) makes up to £5,000 in match funding available to any small businesses continuing to trade through Crowdfunder’s Pay it Forward.10. As no deadline date has been specified please contact the awarding authority for further information.11. Address to which they must be sent: For further information regarding the above contract notice please visit: 12. Other information: How it works:Small businesses can set-up a Pay it Forward campaign here: Once set-up the small business can pre-sell their goods or services and adapt their offer to engage existing customers and potentially reach new customers as well.The small business sets a financial target to meet and throughout the process, coaching is provided by Crowdfunder to support the small business to meet their target.Once the financial target is met, match funding is released from the Crowdfund North East LEP monies.The total sum of the money is then released to the small businessThe North East LEP is leading the North East COVID-19 Economic Response Group, a partnership that includes the CBI, North of Tyne and North East Combined Authorities. The group was launched, with the support of industry, to provide maximum support for businesses in the immediate term and plan for long-term economic recovery following the COVID-19 outbreak.For more information about the North East LEP and the North East COVID-19 Economic Response Group, visit www.northeastlep.co.uk.For more information about Crowdfund North East LEP, visit ENDSFor more information, images or interview requests, please contact david@astute.work or call 07948 563 612.Notes to editorsThe North East Local Enterprise Partnership (LEP) is a public, private, and education sector partnership that covers Durham, Gateshead, Newcastle, Northumberland, North Tyneside, South Tyneside and Sunderland local authority areas.Crowdfund North East LEP may pledge up to 50% of a project target, up to a £5,000 maximum pledge.A pledge of grant support from the North East LEP will be triggered if:The business has reached 25% of its funding target from crowdfundingAt least 10 unique backers have pledged towards your targetAn application for North East LEP pledge is approvedOnce 25% of your target is reached, a match funding pledge of 25% (max £2,500) will be made. When the appeal reaches 75%, the second pledge of an additional 25% (max £2,500) will be made.To access the match funding businesses must:Be a small business with no more than 10 full-time equivalent employeesBe a) an existing registered business, charity or b) sole trader operating for at least 12 monthsBe able to demonstrate the business has been adversely affected by COVID-19Be seeking to raise a minimum of £2,000 (i.e. seeking a minimum match fund contribution of £1,000)Those businesses not eligible for the Small Business Grants Fund or Retail, Hospitality and Leisure Grant Fund will be given priority.Full eligibility criteria can be found at About Crowdfunder’s small business support scheme, Pay it Forward,Small businesses fighting for survival can set-up a Pay it Forward campaign to pre-sell their services and diversify trading now to ensure continuous cash flow throughout the crisis. Crowdfunder is covering all platform and transaction fees making it 100% free to small businesses. Over the course of four weeks, £4 million has been raised by small businesses across the UK through Pay it Forward.# funding opportunity# COVID-19