The Seed Enterprise Investment Scheme (SEIS) and the Enterprise Investment Scheme (EIS) are two popular schemes which encourage investment in new businesses by giving generous tax relief to investors.
We help investors and the companies they invest in take full advantage of all tax reliefs available under SEIS and EIS. Our advice to companies covers:
- Obtaining Advance Assurance from HMRC
- Ongoing compliance with SEIS and EIS rules
- Best practice when engaging with crowdfunding intermediaries
- Applying for HMRC compliance certificates.
We can advise investors in respect of:
- Income tax relief
- Disposal relief of Capital Gains Tax
- Loss relief in the event of poor performance
- Carry back relief on the purchase of the shares
- Reinvestment relief from Capital Gains Tax (SEIS)
- Deferral relief of Capital Gains Tax (EIS).
Our accounting, tax and company secretarial team work seamlessly together to offer a fully tailored service with support every step of the way: pre, during and post fundraising.
Pre-Fundraising
Advanced assurance is not legally required, but we strongly recommend it as a way of checking that your business qualifies for SEIS or EIS. Advance assurance will be essential if you wish to raise investment via crowdfunding platforms.
Our service is comprehensive, and we will advise you through the whole process. We can:
- Provide tailored guidance on the advance assurance requirements
- Review your business plan, financial forecasts, and latest accounts for any potential issues.
- review and explain the HMRC excluded trades rules
- Prepare and submit the Advance Application form on your behalf
- Provide ongoing liaison with HMRC on your behalf, responding to any queries and chasing for a response
- Review any existing shareholder agreements
- Assist with Advance Subscription Agreements.
Fundraising
Our accounting, tax, and company secretarial colleagues work together to cover all elements of the share issuance. We can:
- Check your articles of association to ensure shares can be issued
- Draft Subscription letters
- Prepare Advance sub-agreements
- Draft Director Resolution
- Submit Companies House filings (SH01 form)
- Draft bespoke shareholders agreements if required.
Post Fundraising
Following share issuance:
- We will submit the compliance statement to HMRC
- We will respond to any queries from HMRC
- When approved, we will create the certificates your investors need to claim tax relief.
