Palatine Impact Opens Second Impact Fund by Backing Leading Inclusion & Diversity Specialist

We have made our first investment from Impact Fund II by taking a significant stake in Inclusive Employers, the UK’s first and leading membership organisation focused on creating inclusive workplaces.

Inclusive Employers works with more than 500 major businesses, organisations and sporting associations, providing consultancy, training, advice and learning resources through a dynamic and scalable membership model to help create workplaces where all employees are valued and can contribute fully to their success.  This is supported by the Inclusive Employers Standard which measures clients against best practice and informs their ongoing strategy

Inclusive Employers also founded and organises National Inclusion Week, a week-long programme of events dedicated to celebrating inclusion and taking action to create inclusive workplaces. The 10^th annual event was held a week ago with a theme of ‘Time to Act: The Power of Now’ with over 4,000 businesses participating in 2022.

With a team of around 35, Inclusive Employers was founded by Richard McKenna, currently the company’s Chair, Managing Director Claire Williams and Rupert Moyne, MD of Corporate Services.  Having led the business as it has scaled quickly since its inception, Richard will be exiting the business over the coming weeks while experienced non-executive director John Zafar will be joining the board as Chair.

Working with our Impact team the business will look to accelerate its strong recent membership growth, by scaling its teams, investing in its business development capability and building on its programme of market leading materials, training, consultancy and events.

Matt Coles, Impact Investment Director at Palatine, said: “Inclusive Employers is at the forefront of a mission to help businesses thrive by attracting and retaining the best available talent and creating a truly inclusive culture.

“We are excited to be working with the team, with whom we share so many common values and look forward to using our experience in helping similar-sized organisations scale-up, establish the necessary systems and to also identify potential opportunities in what is a fast-growing and very fragmented sector.”

The investment is the first from our returns-focused Impact Fund II, which invests up to £30m in companies that are creating social or environmental change and tackling some of the biggest issues in society.

We were advised by FRP (banking), Gateley (legals), DSW (FDD), and Fairgrove (CDD). Debt was provided by ThinCats. The shareholders were advised by Grant Thornton (Corporate Finance) and Stephenson Harwood (legals).