Future Fund: when does the loan convert and when is the loan repaid?

Many tech companies have already tapped into the UK government’s Future Fund, and last week the deadline for applying was pushed back to 30 November.  The Future Fund scheme works using a convertible loan note agreement, which houses the mechanics determining whether the loan is repaid or whether it converts into equity and then it also determines what happens to the redemption premium and the interest.

Here’s an HLaw flow chart visualising the moving parts (although this is no substititute for a close reading of the convertible loan agreement itself of course)…

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