“Venture Index today launches the UK’s first index designed to lift the lid on investments in small, unquoted UK companies. Venture Index is the first market indicator to accurately and transparently track “equity gap” investments of under £1 million across mainland UK. Updated each quarter, Venture Index will provide a 12 month rolling index of investment activity which gauges investor confidence in UK companies.
Sub £1 million deal information has been collected by Venture Index since October 2003 to provide an accurate historical context for its launch. Over this period, the data gathered shows that both the total number of deals and total amounts invested in smaller, unquoted UK companies has trended downward from a peak of £51 million invested in 287 deals in the twelve months to October 2004 to £40.3 million invested in 264 companies in the year to end of February 2005. This represents a fall of 21% in total value and 8% in volume. The average investment amount for companies raising capital at this end of the market has fallen from just under £178,000 to just under £153,000. However, it is worth noting that although the average investment amount has seen a drop, median investment size in the last quarter rose to £125,000 as opposed to only £118,163 in the last twelve months”