Open for Business: The Scottish National Investment Bank

Susan Campbell, Director of Market Creation (Place) at the Scottish National Investment Bank, laid out a clear call to action for delegates at the inaugural Perth and Kinross Economic Summit: "We're open to having conversations about how the Bank’s commercial investment can help to unlock projects and business growth. The door is open."

As the Keynote Speaker her brief was to demonstrate how the national investment perspective connected to opportunities for Perth and Kinross businesses. She explored this in detail, offering advice on how to build investor confidence, and encouraging local businesses to think beyond the traditional routes to finance as they plan for growth.

She highlighted four key pillars for attracting investment, but her over-riding counsel was on collaboration. "That ability for public sector, private sector and third sector to work together — that's one of the most critical things in it all, and it is definitely something that investors look for."

1. Vibrant, thriving places

"Investors look for clear evidence that the local economy is successful. It's about being able to see that strong business base, that entrepreneurial spirit, that growth.

“It's also about having availability of skilled workforce, talent — and importantly, that link between industry, education and training. Connectivity is also important, both in terms of physical connectivity and transport, and digital connectivity too. And then, more generally, that sense of quality of life in a place — quality of housing, services, and placemaking generally."

2. A compelling, evidence-backed story

"Investors don't just invest on good vibes and hearing buzz about a place. You also need data and evidence to support a vision for the future. Evidence of business growth, evidence of skilled workforce availability, evidence of population growth, housing needs; whatever the investment sector demands. Data is crucial.”

3. Pro-investment leadership

"Having pro-investment leadership and messaging is absolutely critical. Investors look for places and people that will be easy to do business with and capital flows along the path of least resistance. That means local government, public sector, partners, and local stakeholders who work to remove barriers, reduce friction, and create stability and confidence for investment.

"And reputation matters. Having a reputation of being easy to work with matters just as much as being easy to work with, as investors talk to each other."

4. Confidence in delivery

"You then need confidence in delivery. We sometimes see a gap here. The ambition is there but you need to nurture confidence across the piece and create investment ready propositions. So, investors want to be confident that infrastructure opportunities align well with growth strategies; and confident in the likelihood of planning outcomes and the time it will take to arrive at those outcomes. It all matters."

What is the Scottish National Investment Bank?

The Scottish National Investment Bank was capitalised with £2 billion by the Scottish Government at launch in November 2020. Since then, it has invested around £1.2 billion of its own capital into Scottish businesses, unlocking a further £1.9 billion of private investment alongside it. Together, that's over £3 billion of impact that simply "wouldn't have been created" without the Bank's involvement.

A national bank, backing local ambition

As the film demonstrates, the Bank's backing has had a direct impact on businesses across Scotland and its local relationships and partnerships can often support a project as much as the funding itself.

Speaking directly to the opportunity for Perth and Kinross, Campbell described being struck by the alignment between the region's strapline — innovative, sustainable, connected — and the Bank's three key missions — net zero, innovation and place.

Making the call: What businesses need to know

The Bank invests commercially through debt and equity directly into businesses and projects, and through funds, with typical investments ranging from £1 million up to around £50 million. Every opportunity is assessed on a bespoke basis to explore how the Bank’s investment can help to unlock impact and crowd in additional private capital. Importantly, as a development bank it can have a different risk appetite to other lenders and investors in the market. It can take a different place in the capital stack, or a more patient, longer-term view; whatever it takes to unlock growth and bring other investors in alongside it.

During her speech, Campbell described Perth and Kinross as “having no shortage of ambition.” What we must do now is make that ambition investment ready.

A first enquiry to the Bank should set out which of its three missions the business or project supports, the type and amount of investment being sought, and a clear summary covering the business background, market potential and the investment opportunity itself.

Visit thebank.scot to explore more.

Further Support

If your business has growth plans that could align with the Bank's missions and you’d like help in realising the opportunity, speak to the team at Invest In Perth who can direct and support you to become investment ready. Programmes and services including Angel’s Share, Business Gateway and Growbiz are all available now and can be found on our Business Support page.