SOCIAL Investment Scotland has unveiled details of its bid to raise a £5 million fund to invest in firms which set out to tackle a social problem – and build an enterprise of scale.

Launched by its SIS Ventures arm, the fund will aim to attract investment for between six and 12 “high-growth potential, high-impact enterprises”.

Investors backing the fund can qualify for both Enterprise Investment Scheme and Social Investment Tax relief, the organisation said.

SIS Ventures is aiming to raise an initial £2m from UK-based private investors, with the capital deployed over a 12 to 18-month period.

It has launched the fund after a study it carried out suggested entrepreneurs believe that existing early stage investors often overlook the social impact of the businesses they back.

Thomas Gillan, director of SIS Ventures, said: “We know there’s appetite on the part of investors and early stage enterprises for such a fund, and we’re confident we’ll receive significant interest. Investors now have a chance to become part of something truly ground-breaking and really move the needle for social impact investing.”