The Bright Ideas Trust, founded by Tim Campbell, will support 16- to 30-year-olds' businesses through advice and investment in return for equity. It is supported by £600,000 from the Bank of America Charitable Foundation.
Campbell said: "We want to help young people get involved in business. The way we do this is not through grants, handouts or patronising words but by having confidence in them, by investing money and expertise into their enterprise and by taking an equity stake in their business in return."
He added: "If you put your hand up for assistance then Bright Ideas Trust can help you to achieve your goals but if you're looking for a hand-out then we're not for you."
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