New family-backed fund targets revenue acceleration through AI and digital marketing for mid-market businesses as 68% of UK SMEs do not use AI technologies.
Fair Aim Capital, a newly formed family-backed investment firm, today announced the launch of its £30 million fund dedicated to acquiring and transforming UK small and medium-sized enterprises through AI implementation and digital marketing optimisation. The fund addresses a critical market gap as ONS research reveals 68% of UK SMEs do not use artificial intelligence technologies, despite SMEs representing 99.8% of all UK businesses and employing 60% of private sector workers. Furthermore, 69% have no plans to do so in the next 3 months.
The investment firm will target profitable UK businesses generating £1-3 million EBITDA, acquiring majority stakes and working alongside management teams to implement AI-first operating models that accelerate revenue growth.
"We're witnessing a concerning divergence in the UK economy," said Andrew Harkness, CEO of Fair Aim Capital. "Large enterprises are investing heavily in AI transformation and pulling ahead, whilst the backbone of our economy, SMEs that employ three in five workers, risk being permanently left behind. This isn't about lacking ambition; it's about lacking the capital, expertise, and bandwidth to execute meaningful change."
Recent data from LinkedIn shows that amongst early AI adopters, 76% report substantial time savings and 50% achieve revenue growth exceeding 10% within 24 months, gains that successful businesses are reinvesting in innovation and customer relationships rather than workforce reductions.
Fair Aim Capital plans to invest in 3-5 assets over the next 3-4 years, working as transformation partners rather than traditional financial investors, with target exits in 3-5 years.
"AI transformation isn't about replacing people, it's about freeing talented teams to focus on creativity, strategy, and high-value client work that drives revenue acceleration," explained Alan Lipschitz, Founder of Fair Aim Capital, who previously led marketing technology company Incubeta to global scale before its successful exit to Carlyle in 2023. "AI-enabled businesses will command premium valuations compared to traditional operations."
The fund targets business services and professional services sectors where AI applications can deliver immediate improvements to customer acquisition, customer experience and operations.
"The window for transformation is closing rapidly," added Harkness, who brings 15+ years of private equity-backed leadership experience. "SMEs that act decisively in the next 12-18 months will establish competitive advantages that compound for years."
About Fair Aim Capital
Fair Aim Capital is a family-backed investment firm focused on acquiring and transforming UK lower mid-market businesses through AI and digital marketing driven growth. Founded by serial entrepreneur Alan Lipschitz and led by CEO Andrew Harkness, the firm combines capital with hands-on operational expertise to create long-term value for all stakeholders.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250715645659/en/
Contacts:
Media Contact: Andrew Harkness, andrew@fairaimcapital.com, fairaimcapital.com
