SEIS/EIS For Business Funding
The SEIS/EIS schemes should be considered by all growth focused start-ups for both proving investment potential and to attract cash-ready equity investors
What is the SEIS/EIS Scheme?
The (Seed) Enterprise Investment Scheme, (S)EIS is a win-win for both businesses looking to raise capital at an early stage and for investors looking for tax efficient benefits in return for investment.
Designed to boost economic growth, (S)EIS investors can receive up to 50% SEIS and 30% EIS tax relief in the tax year the investment is made, or even carry the tax relief back to the prior year. This is great news for start-up companies looking for finance at a time in their business journey where other financial institutions are reluctant to invest at such a risky time.
The Seed Enterprise Investment Scheme (SEIS) is a win-win for both businesses looking to raise capital at an early stage
Benefits to businesses looking for finance
Lots of (S)EIS service providers talk about the benefits to the investor of (S)EIS and as a side note the business receives funding to help its growth. We always view it from the point of view of the business looking to utilise the (S)EIS scheme to help fuel growth.
Criteria for (S)EIS scheme applications
It is important to note the limitations of the (S)EIS scheme before applying as these rules need to be adhered to throughout the time period otherwise the investor could lose access to the tax saving benefits of the scheme. There are limitations on who can apply to the (S)EIS scheme:
Most businesses will meet the qualifying trade condition, some don't such as: farming, land ownership, legal, accounting & financial services, leasing, property development, hotels & nursing home management, shipbuilding, coal & steel production, electricity generation and export.
Next Level Business can support your (S)EIS strategy
We’re more than just a (S)EIS application company, we support you before you submit your application, during negotiations with investors, and post investment award. We’re always by your side.
Get in touchDo you have a mindset for growth?
Get in touch with the Next Level Business team. We have offices in Berkhamsted, Hertfordshire and London, or we can visit you at your premises. Take the first step by filling out the form down below.
talk to us about (s)eis fundingAre you looking for tax incentivised investment?
Speak to our ICAEW qualified business advisors and see what your (S)EIS investment options are whether investee or investor.