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1
18 April 2023
Cosgrove Hall40 years of success
Our Past
Our past
Our Present
Our Present
Funding Pip!
The budget to make 52 x 11 minute episodes was £5.1 million
The man behind the credits!
The CHF Media Fund
The CHF Media Fund
*Tax relief will depend on individual personal circumstances and may be subject to change in the future.
Walt Disney
The Creative Commercial Committee
• Creative• Producer• Director• Composer• Human Resource• Finance• Distribution• Toyeticness• Licensing
How a show can make moneyGlobal broadcast licensesToys and merchandisingEducation material Computer games/appsMusicBooks/comicsClub membershipLive showsTheme parks
Potential
Danger Mouse was watched by over 21 million viewers
Jakers generated over $18 million in global broadcast sales
Thomas and Friends has produced over£200 million in merchandising saleseach year for the last 14 years
Bob the Builder has brought in over$4.5 billion in revenues since 1999
Peppa Pig generates 150 times its original production budget in merchandising sales every year in the UK alone
Source: Company Sources*
Key Features
• Up to 50% Income Tax Relief*
• 100% Investment Allocation
• Up to 5% Adviser Charge (any combination)
• 3 to 5 year exit Strategy
• Studio Tours, Unique Material, Privileged Access
• *Tax relief will depend on individual personal circumstances and may be subject to change in the future.
Key Risks
• Liquidity
• Production overrun
• Audience appetite
• Merchandise Sales
• Talent issues – Actor/Actress
• For details of all key risks please refer to the information memorandum
Sir David Jason OBE
Sir David Jason OBE
Questions
22
18 April 2023
A Golden Opportunity to Invest in Film & Media
Our VisionGoldfinch Entertainment represents a gold standard in entertainment and media investment.
Structuring each in a bespoke manner, selecting only the most commercially appealing with the best returns.
Revolutionising film and media investment.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 2
Goldfinch■ Goldfinch Entertainment was founded in
January 2014 with the backing of leading independent Entertainment accountants Nyman Libson Paul.
■ Acting as Executive Producers on all projects.
■ Raised and deployed over £25 million to our projects across the Film, TV, Kids TV, Animation, Video Games and Theatre sectors.
■ Maximising revenues.
■ Variety of Investment Vehicles.
■ Industry leading personnel.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 3
Our Leadership Team
Goldfinch Entertainment is backed by Nyman Libson Paul; Chartered Accountants, Tax and Business Advisors to the Entertainment Industry for over 80 years.
Founded in 1933
Traditional accountancy services plus much broader commercial, tax and financial management advice;
Underpinned by vast experience and knowledge of the Entertainment Industry.
Experts in processing and claiming Creative Industry Tax Relief (CITR)
Kirsty Bell, MD and Founder, is both a successful film producer and a tax specialist who has spent much of her career at top-ten accountancy firms.
Focus on structuring film companies
Raised over £100m for the industry.
Among her many credits, Kirsty produced the 2013 feature film Harrigan,
First-hand knowledge of film production and experience in all aspects of film finance –
Joel Newman, Chairman, Joined NLP in 1991 and is the current Managing Partner of the practice.
Led the practice to its position as an industry leader within the UK entertainment
Director and founding member of The Movies Begin ltd.
Associate of the Chartered Institute of Taxation and a Member of the Faculty of Taxation of the Institute of Chartered Accountants.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 4
Why Invest in Film & Media?
■ Creative industries are now worth £76.9 billion a year to the UK economy.
■ UK entertainment industry is predicted to grow annually by 3.1% until at least 2018.
■ Demand for British television and film content is high across the globe.
■ 2015 has been a dramatic year for British video game producers.
■ UK’s position as the global theatre capital is ongoing.
■ UK government support of the sector every increasing.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 5
Why Invest in Goldfinch?■ Demand for tax-efficient investments is growing.
■ £1.5bn in 2013-14 was invested in EIS alone.
■ Very few alternatives for Government backed tax planning.
■ EIS & SEIS fully Government approved in plain vanilla format further commitment in Budget announcement.
■ Insurance backed Goldfinch EIS provides option for previous ‘Solar investors’
■ Track record of raising £25 million to date.
■ Industry leading team from tax, finance, and entertainment backgrounds.
■ High quality pipeline and projects delivering returns.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 6
Our Fundamentals▪ Industry leading team and experience.
▪ Strict criteria for projects to be taken on.
▪ Innovative structuring.
▪ Investors sit in first position in many cases and if not their position is NOT marginalised
▪ Where appropriate HMRC Advanced Assurance will be attained and the projects may be Government backed through the UK CITR to minimise investor risk.
▪ Projects chosen for their commercial potential.
▪ DIstribution is at the centre of all decisions made.
▪ Transmedia approach to maximise project revenue.
▪ Holistic service from project inception to distribution.
▪ Organic growth of Goldfinch through key collaborative partnerships.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 7
EIS■ Flagship EIS investment vehicle, Goldfinch I, has been
created to support the production and distribution of a number of film and television projects.
■ Goldfinch I focuses on sales advances acting a sales agent and distributor.
■ “Last in, first out” policy for investors.
■ 70% of the project's investment is underwritten by UK Creative Industry Tax Credits and/or pre sale agreements,
■ Allenbridge describing the company as ‘Low Risk’.
■ Stand-alone EIS projects.
■ Also a number of our SEIS projects that have chosen to raise more than their £150k limit and thus morph into an EIS investment opportunity.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 8
OUR PRODUCTS
Insurance Backed EIS Goldfinch Completion and Goldfinch Distribution
The FT Adviser even went as far to say ‘Could films present the next EIS solution?’ (FT Adviser 17.11.14).
70% of the invested amount is insured through a specialist media insurer direct with the Producer, and with investors claiming their 30% income tax relief on top of this investor's capital risk can be effectively reduced to zero.
The return for investors is estimated at 125% over three years, excluding tax relief.
OUR PRODUCTS
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 10
SEIS companies can raise up to £150k with generous income tax, capital gains and inheritance tax relief for investors as in the summary below. We have a wide range of SEIS projects covering all the entertainment sectors, many genres, and a varying returns for investors.
■ All projects are chosen for their commercial promise and tangible end product; we do not create SEIS companies that are merely black holes and development funds.
■ Goldfinch’s wide range of SEIS companies means that there is not only something for all tastes, but that investors’ risk can be spread across many of them in a portfolio style approach.
■ Our SEIS companies either provide the full finance for smaller budget productions, or can be a part of a jigsaw of finance put together for a project that can include various soft money sources and private investors.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 11
OUR PRODUCTS
SEIS
As stated above our range of SEIS companies lends itself to a portfolio approach for investors or IFAs, however for those wishing to benefit from this approach but executed and managed by an experienced fund manager can now invest in our Goldfinch SEIS Fund managed by Kin Capital.
The main benefit of this as with normal SEIS investment is the 50% income tax relief and other tax benefits although the fund delivers this with a diverse portfolio of entertainment sector businesses. Other key features of our fund include:
■ Strong investment pipeline (adviser funded 34 SEIS projects in 2014)
■ Low investment minimum & costs relative to other SEIS Funds
■ Retail investors return of capital prioritised over other investors
It should also be noted that the fund will be allotting shares throughout the current tax year. It is therefore possible to invest and offset the income tax benefits against the 2014/15 tax year through the use of SEIS ‘carry back’. More information on how this is possible is available here on the gov.uk website; www.gov.uk/seed-enterprise-investment-scheme-background.
For more information on Kin Capital visit their website at www.kincapital.co.uk.
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 13
SEIS FundOUR PRODUCTS
EIS & SEIS Summary Benefits
EIS SEIS
Income Tax Relief
30p for £1 invested 50p for £1 invested
CGT Relief 28p for £1 invested - deferred 14p for £1 invested
IHT ReliefBusiness Property Relief; after 2 years the investment sits completely outside
your estate
ROI Each project is different ranging from 10-75%*
Potential Investor Benefits
Film premieres, VIP treatment, attend film festivals, Exec producer credits available,
involvement in development process, meet the cast and crew, appear as an extra,
exclusive previews, pre-release screenings
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 14
Projects of NoteGoldfinch XX - Under Milk Wood (Captain Cat Limited)
Goldfinch XVI - KidsCave Entertainment
Goldfinch XVII - Burn Burn Burn
Goldfinch XXXV - Three Headed Eagle Limited
Goldfinch L - The Eichmann Show
Goldfinch LIII - Building Jerusalem
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 15
Goldfinch L - The Eichmann Show
What People Have Said...
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 16
EISA Awards :‘Best Newcomer‘Shortlisted 2014
Allenbridge :
‘Low Risk for EIS’
HMRC :‘Gold
Medal’
Coutts:‘The Gold Standard’
Growth Investor Awards : ‘Industry Game Changer’ Shortlisted 2015
Key Points■ Completely unique
■ Something to suit all investors
■ Healthy returns
■ Expert team
Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media
Goldfinch Entertainment 17
38
18 April 2023
39
COULD YOUR CLIENTS BE MAKING MORE USE OF BUSINESS PROPERTY RELIEF?
For professional advisers only and should not be relied upon by retail clients
40
TAX EFFICIENT INVESTING WITH OXFORD CAPITALBACKGROUND
• Oxford Capital has been managing tax efficient investments since 1999.
• Partnership owned.
• 40 employees split between head office in Oxford and London.
• Managing assets in excess of £300m.
• Two core investment strategies – Growth and Infrastructure.
• Experienced investment teams with proven track records.
41
TAX EFFICIENT INVESTING WITH OXFORD CAPITALINVESTMENT EXPERTISE
Investment Strategy Growth Infrastructure
Client Motivation
Potential for investment
returnTax planning investment
Offering
42
TAX EFFICIENT INVESTING WITH OXFORD CAPITALTHE OXFORD CAPITAL JOURNEY
Investor Support Advisor Support
• Dedicated investor services team.• Efficient and timely management of EIS3
certificates.• Semi-annual cash statements and annual
audited valuation reports.• Annual investor reporting event for each
investment strategy.• Online support via Oxford Capital’s ‘Investor
Centre’.
• Business development support, including workshops with professional partners / introducers and joint presentations to clients.
• CPD qualifying workshops on how BPR and EIS can be integrated into holistic wealth planning.
• Regular updates (face-to-face, webinars, conference calls) on offerings.
• Dedicated investor services team.• Parallel reporting.• Online support via Oxford Capital’s ‘Investor
Centre’.
43
AGENDA
1 UNDERSTANDING THE IHT PROBLEM
2 WHAT IS BUSINESS PROPERTY RELIEF AND WHERE DOES IT FIT?
3 IDENTIFYING SUITABLE CLIENTS
4 DESIGNING A CLIENT RECOMMENDATION
44
UNDERSTANDING THE IHT PROBLEM
45
BPR BACKGROUNDUNDERSTANDING THE IHT PROBLEM
• Assets in excess of £325,000 (the nil rate band) subject to IHT at 40%.
• The nil rate band is frozen at this level until 2020/21.
• New main residence nil rate band proposed from April 2017.
• Over £3.4bn collected by HMRC (2013/14).
• Generally regarded as a ‘voluntary tax’.
• As ‘asset values’ recover, the problem will only get worse.
• Ageing population.
46
BPR BACKGROUNDTHE IMPACT OF AN AGING POPULATION
• Number of the UK residents aged 65 and over is 11.1m (representing 17.4% of the population).
• This age group has increased by 17.3% in ten years.
• Males over 75 up 26% (women up 6%).
Source – ONS 2012.
47
BPR BACKGROUNDRISING HOUSE PRICES
• The average detached house is now valued at £323,100 (or 99.4% of the nil rate band).
• House prices are up, on average 11%, in five years.
• In London and the South East, prices have increased by almost 30%.
Region5 years
agoCurrent value
% change
London £524,300 £672,500 28.3%
North £228,900 £233,800 2.1%
Yorks & Humb
£223,400 £260,100 16.4%
N. West £251,100 £267,700 6.6%
E. Midlands
£206,700 £247,200 20%
W. Midlands
£266,600 £249,400 6.9%
E. Anglia £237,000 £299,200 26.2%
S. East £377,400 £490,400 29.9%
S. West £345,600 £377,400 9.2%
Scotland £257,000 £253,300 -1.4%
UK average
£290,200 £323,100 11.3%Source: Halifax Property Index Q3 2014.
48
BPR BACKGROUNDESTATES PAYING IHT EXPECTED TO DOUBLE
• The number of estates paying IHT is expected to double.
• Over the next five years 236,000 estates are expected to be subject to IHT.
• By 2018/19, almost 10% of estates will be subject to IHT.
Tax year
Proportion of
deaths subject to IHT
(%)
Deaths (‘000s)
Number of deaths subject to IHT (‘000s)
2013-14 4.8 548.7 26.2
2014-15 6.5 547.9 35.9
2015-16 8.0 547.6 43.8
2016-17 9.0 548.0 49.1
2017-18 9.6 549.0 52.7
2018-19 9.9 550.6 54.5
Source – OBR 2013.
49
BUSINESS PROPERTY RELIEF (BPR)BACKGROUND
50
BPR BACKGROUNDHISTORY OF BPR
• Introduced by Finance Act 1976.
• Designed to prevent a business having to be sold to pay IHT.
• Provided as a statutory relief, it offers non-contentious tax savings.
• Relief available at up to 100%, depending on asset.
• Increasingly used as a wealth management solution.
51
BPR BACKGROUNDTHE THREE PILLARS OF ESTATE PLANNING
ESTATE PLANNING
Solutions that utilise BPR Lifetime gifting Creating a fund to pay the IHT liability
52
BPR BACKGROUNDKEY BENEFITS
Access and control retained.
No complex trust structures or medical underwriting.
FLEXIBILITY
SIMPLICITY
Can accommodate a change in circumstances.AVAILABILI
TY
TIMELINESS
IHT benefits are achieved after just two years and if held on death.
53
BPR BACKGROUND
THE PROBABILITY OF SUCCESS
• Few estate planning solutions are effective immediately.
• Gift based solutions typically take seven years to be fully effective.
• BPR solutions provide freedom from IHT after just two years.
Current age
Male Female
Life expectancy
Probability of surviving two
years
Probability of surviving
seven years
Life expectancy
Probability of surviving two
years
Probability of surviving
seven years
65 18 97% 89% 20 98% 92%
70 14 96% 82% 16 97% 88%
75 11 93% 71% 12 95% 79%
80 8 88% 55% 9 91% 64%
85 5 80% 34% 6 84% 44%
90 4 68% 17% 4 73% 23%
95 2 53% 0% 3 58% 0%
Source: Office for National Statistics
54
IDENTIFYING SUITABLE CLIENTS - BPR PLANNING IDEAS
55
BPR PLANNING IDEASSUMMARY
‘Accelerated’ Estate Planning
Lifetime Gifting – Making Transfers Into Trust in Excess of the Nil Rate Band
Starting the Journey - Reducing the Costs of Estate Restructuring
BPR as a Trustee Investment – Managing the Periodic Charge
Mental Capacity – Powers of Attorney
Exit Planning for Business Owners
Death Bed Planning – It’s Never Too Late
The ‘Holy Trinity’
56
LIFETIME GIFTING – MAKING TRANSFERS INTO TRUST IN EXCESS OF THE NIL RATE BAND
57
LIFETIME GIFTING
A SIMPLE EXAMPLE
• Transfers into a ‘relevant property’ trust are chargeable lifetime transfers (CLT), with amounts in excess of the available nil rate band subject to tax at 20%.
• Where the person making the gift chooses to pay any liability, the effective rate of tax increases to 25%.
Value of transfer
£428,000
Less annual gifting exemption
£3,000
Value of CLT £425,000
Less, available nil rate band
£325,000
Amount subject to tax £100,000
Tax due at 20% £20,000
58
EIS IN ACTION
LIFETIME GIFTING
£428,000
Available to gift
£328,000
DiscretionaryTrust
£100,000
BPR qualifyingassets
59
EIS IN ACTION
LIFETIME GIFTING
£428,000
Available to gift
£428,000
DiscretionaryTrust
£100,000
BPR qualifyingassets
Option 1
After two years, transfer
to existing trust
60
EIS IN ACTION
LIFETIME GIFTING
£428,000
Available to gift
£328,000
DiscretionaryTrust (No.1)
£100,000
BPR qualifyingassets
£100,000
Discretionary Trust (No.2)
Option 2
After two years, transfer
to new trust
61
BPR AS A TRUSTEE INVESTMENT –
MANAGING THE PERIODIC CHARGE
62
BPR PLANNING IDEASBPR AS A TRUSTEE INVESTMENT – MITIGATING THE PERIODIC CHARGE
• Relevant property trusts are subject to periodic charges every ten years.
• Where the trust assets exceed the nil rate band available, IHT is paid at 6% on the excess.
• Capital distributions are ‘added back’ when determining trust assets.
Value of trust fund
£1,325,000
Less, available nil rate band
£325,000
Amount subject to tax £1,000,000
Tax due @ 6% £60,000
63
BPR PLANNING IDEASBPR AS A TRUSTEE INVESTMENT – MITIGATING THE PERIODIC CHARGE
Without EIS With EIS
Value of trust asset not qualifying for BPR £1,325,000 £325,000
BPR qualifying trust assets Nil £1,000,000
Amount subject to IHT £1,000,000 Nil
IHT payable @ 6% £60,000 Nil
64
MENTAL CAPACITY – POWERS OF ATTORNEY
65
BPR PLANNING IDEASPOWERS OF ATTORNEY - RESTRICTIONS ON THE ABILITY TO MAKE GIFTS
Section 12, MENTAL CAPACITY ACT 2005 - SCOPE OF LASTING POWERS OF ATTORNEY, GIFTS
(1) Where a lasting power of attorney confers authority to make decisions about P's property and affairs, it does not authorise a donee (or, if more than one, any of them) to dispose of the donor's property by making gifts except to the extent permitted by subsection (2).
(2) The donee may make gifts• (a) on customary occasions to persons (including himself) who are related to or connected
with the donor, or
• (b) to any charity to whom the donor made or might have been expected to make gifts, if the value of each such gift is not unreasonable having regard to all the circumstances and, in particular, the size of the donor's estate.
(3) “Customary occasion” means—• (a) the occasion or anniversary of a birth, a marriage or the formation of a civil partnership,
or
• (b) any other occasion on which presents are customarily given within families or among friends or associates.
(4) Subsection (2) is subject to any conditions or restrictions in the instrument.
66
BPR PLANNING IDEASPOWERS OF ATTORNEY – HOW BPR CAN HELP
• No need to make a gift / create a trust.
• Assets are registered in the name of the donor.
• The donor retains full access to the investment, together with the proceeds.
• No need to involve the Court of Protection.
• Saving time and money.
• Freedom from IHT after just two years.
67
EXIT PLANNING FOR BUSINESS OWNERS
68
BPR PLANNING IDEASEXIT PLANNING FOR BUSINESS OWNERS
RESTORING BPR ON THE SALE OF A BUSINESS
• On sale, the proceeds will be in the estate of the client as BPR ‘shelter’ is lost.
• BPR can be ‘restored’ immediately by investing the proceeds in to BPR qualifying assets within three years, buying time to consider options and allowing significant amounts to be transferred into trust without lifetime IHT charges.
69
BPR PLANNING IDEASEXIT PLANNING FOR BUSINESS OWNERS
BUSINESS SALE DUE TO ILL HEALTH
• What if the client is forced to sell a BPR qualifying business as a result of a terminal or critical illness? The illness may significantly reduce life expectancy. While sale may qualify for Entrepreneurs Relief, any gains will be taxed at 10%*.
• An investment into an EIS offers a potential solution given it attracts BPR qualifying status after two years.
*Assumes sale qualifies for Entrepreneurs Relief at 10%.**Subject to meeting qualifying criteria.
***Income tax relief of up to £300,000 could also be claimed.
Without EIS With EIS***
Gain on sale of business
£1,000,000 £1,000,000
CGT payable immediately*
£100,000 Nil
Proceeds net of CGT £900,000 £1,000,000
IHT arising on death £360,000 Nil**
Balance passing to beneficiaries
£540,000 £1,000,000
70
DESIGNING A CLIENT RECOMMENDATION
71
DESIGNING A CLIENT RECOMMENDATION
OVERVIEW OF CLIENT OBJECTIVES
• Freedom from IHT in the near term
• Typically seeking capital preservation
• A desire to balance the need for access with the opportunity to achieve a real return
• Flexibility to accommodate a change in circumstances
• The ability to access capital, either as a lump sum or a regular ‘income’
72
DESIGNING A CLIENT RECOMMENDATION
BALANCING RISK WITH THE NEED FOR INVESTMENT RETURNS
• Many clients will be risk averse
• Diversification at an asset level can help manage specific risk
• Consider spreading the investment across a number of providers
• Important to achieve a ‘blend’ of liquidity options in order to allow the required level of access whilst also providing the potential for returns.
73
DESIGNING A CLIENT RECOMMENDATION
CONSIDERATIONS WHEN ASSESSING A CLIENT’S NEED FOR ACCESS
• Not all clients will have the same need for access
• Arranging a suitable contingency fund remove the need to redeem investments – at least in the short term
• A diversified portfolio can offer a range of access options
• High level of access can impact on potential returns
• Many clients who request higher levels of access rarely utilise it.
74
DESIGNING A CLIENT RECOMMENDATION
STRUCTURING THE INVESTMENT
Immediate:
• Review accumulation or income options
• Need to consider the client’s tax position
• Determine frequency of any withdrawals
• Should the application be in joint or single names
Future:
• Consider how the client’s circumstance may change over time
• Will this necessitate rebalancing a client’s portfolio?
• What are the costs and tax implications of making changes?
75
ESTATE PLANNING SERVICE
76
ESTATE PLANNING SERVICESUMMARY
Client motivation Tax planning investment.
Strategy
Discretionary investment management service investing in companies that qualify for BPR. Focus on capital preservation.
Structure
Subscriptions invested in one or more holding companies depending on portfolio selected.
Configurability5 investment options, offering the choice of access, income and growth.
Flexibility
Ad hoc and/or regular access to capital, the option of a regular income, plus opportunity to switch option if circumstances change.
Subscriptions
Minimum of £50,000. Minimum for top up £25,000. Subscriptions are invested monthly.
77
ESTATE PLANNING SERVICEUNDERSTANDING THE INVESTMENT OPTIONS
CHOICE OF FIVE OPTIONS
Investment Option
Target dividend Income (p.a.)
Target capital growth (p.a.)
Target access to capital
Income 4% 6 months
Growth, with access 3% 1 month
Growth, with return 5% 6 months
Growth, balanced access and return
4%
Up to 50% within 1 month, with the balance after 6 months
Growth and Income 2% 2% 6 months
78
Q&A
79
REGULATORY NOTICE
We invest in companies for which there is no established or ready market for their shares. Capital is at risk and investors should only invest if they can afford to lose their capital. Investment is of a long term and illiquid nature. Past performance is not a reliable indicator of future results. Any tax advantages associated with investing are subject to change and depend on the individual circumstances of each investor.
This financial promotion is issued and approved by Oxford Capital Partners LLP (“Oxford Capital”) 201 Cumnor Hill, Oxford, OX2 9PJ. Authorised and regulated by the Financial Conduct Authority under number 585981. Applications for investment in funds/portfolios managed by Oxford Capital may be made only on the basis of the relevant Information Memorandum and application form, copies of which are available from Oxford Capital. No reliance is to be placed on the information contained in this document in making any such application. This material is directed only at persons in the UK and is not an offer or invitation to buy or sell securities. This document is not an offer or invitation to invest in products managed by Oxford Capital nor does it solicit any such offer or invitation.
80
18 April 2023
INHERITANCE TAX PLANNINGEIS, SEIS and other IHT efficient investments
October 2015
Disclaimer
This Presentation is an exempt financial promotion for the purposes of section 21 Financial Services and Markets Act 2000, by reason of article 16(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, which has been issued by Kuber Ventures Limited, an appointed representative of Sturgeon Ventures LLP, which is authorised and regulated by the Financial Conduct Authority. The presentation has been approved by Sturgeon Ventures LLP
The attention of prospective investors is drawn to the fact that amounts invested in Enterprise Investment Scheme (EIS) Funds will be committed to investments which are of a long term and illiquid nature and are therefore not suitable for all investors. Neither the EIS Funds nor the companies in which they invest will be quoted on any regulated exchange or market and, accordingly, there will not be an established or ready market in participations in the EIS Funds or the underlying investments. An investment in the EIS Funds will therefore not be easily realisable before maturity.
This Presentation does not constitute an offer or solicitation in any jurisdiction in which such an offer or solicitation is not authorised or in which the person making such offer or solicitation is not qualified to do so or to any person to whom it is unlawful to make such an offer or solicitation. It is the responsibility of each recipient (including those located outside the UK) to satisfy itself as to full compliance with the applicable laws and regulations of any relevant territory in connection with any application to participate in the EIS Funds including obtaining any requisite governmental or other consent and observing any other formality presented in such territory.
You should be aware that investment values and any income from them may go down as well as up and you may not get back the amount you originally invested. No person has been authorised to give any information or make any representation concerning the EIS Funds other than the information contained in this Presentation or in connection with any material or information referred to in it and, if given or made, such information or representation must not be relied upon. In accordance with COBS 2.4 of the FCA Handbook the information has been verified to the best our ability. All statements of opinion or belief contained in this Presentation and all views expressed and statements made regarding future events represent Kuber Ventures Limited’s own assessment and interpretation of information available to them as at the date of this Presentation.
Kuber Ventures Limited is not a tax adviser and you should independently verify the financial planning strategies outlined in this presentation
For Intermediaries and client discussion purposes only
My background
Dermot Campbell APFS Chartered FCSI
Chief Executive,
Kuber Ventures
22 years industry experience• Snr Client Adviser, UBS• Chartered Financial
Planner• Former Independent
Financial Adviser
Learning Objective
To understand inheritance tax
efficient investing using EIS, SEIS, AIM listed and other IHT
efficient investments.
How do investments qualify for IHT benefits
Relevant Business Property
100% Business Relief
Trading businesses
Unlisted cos AIM listed Partnership interests
50% Business relief
Controlling interests in Listed cos
Equipment Land and buildings
Non EIS investments with IHT benefits (BPR portfolios)
• Relevant Business property includes lower risk businesses
• EIS excluded activities
Trading businesses
• No established market so not guaranteed• May be a liquidity facility built in
• Matching funds• Liquidity reserve• Saleable assets
Liquidity
Interaction with Capital Gains Tax
1st Dec 2012 30 Nov 20161st Dec 2015
3 Calendar years 1 year
No CGT on deathN.b. Post death profits subject to CGT
Replacement PropertyDate of death
Relevant business property
Short period of ownershipRelevant business property2 years ownership
Look 5 calendar years back
Cash (not qualifying)
Investment Investment
Investment Investment
Investment Investment
Portfolio
Investment
Spend
Investment
Investment
Cant Spend
Replacement Property
Look back 5 years
• 2 years ownership in 5 years
Must invest all of the proceeds in replacement investment• OK to pay fees out of proceeds but cant spend• Lots of smaller investments better than 1 big
one
Investment Options
• Unlimited CGT deferral• Maximum income tax claim £300k• - £600k if carrying back
• Carry back available for income tax
Enterprise Investment Scheme
• Formally known as BPRIHT efficient investments
• £200,000 per annumAIM ISAs
• £100,000 per annum for income tax and CGT• Carry Back
Seed Enterprise Investment scheme
Comparison of investment structures
IHT relief Liquidity Valuation post investment
Income Other tax reliefs
EIS Yes AIM only Normally book cost
Occasionally but usually no
Income taxCGT deferral
SEIS Yes No Could be £0 immediately post investment
Unlikely Income tax 50% CGT relief
Relevant property
Yes Yes with caveats
Normally book cost
Normally None
AIM Yes Matched bargain
Market value Sometimes ISAs and EIS portfolios
VCT NO Yes - discounts
Discount to book cost
Yes – tax free but not guaranteed
Income tax only
AIM listed investments
• No guaranteed liquidity• Order matching service
Matched Bargain system
• Promotion to main marketInvestments cease to qualify
• Non trading companies• Too much cash or investments on
balance sheet
Some AIM investments do
not qualify
SUITABILITY CONSIDERATIONSTax Efficient Investing
KUBER VENTURES LIMITED
Multi-Manager Tax Efficient investment Platform Why a platform for EIS?
Kuber Ventures: platform solution
Custodian account
Fund
Nominee holds EIS shares on your behalf
Fund Fund Fund Fund
Cash
Adding value to your business
Diversification
Due diligence
Manager of managers
Operational
efficiency
Adviser charging
Administration management
Funds under
influence
Diversification
Tax structure
Sector
Funding stage
Underlying company
Provider/ Manager
Vintage
What next?
Consider opportunities within your client bank
45% tax CGTIHT LTA
Sols and
accts
Decide on strategy and carry out due diligence
Meet Kuber
Panel
020 7952 6685
Approach potential clients and introducers
Marketing strategy
CPD workshops
www.kuberventures.com
Further information
Helpline• 020 7952 6685
Online resources• www.kuberventures.co
m• http://
www.theaic.co.uk• http://
www.hmrc.gov.uk
18 April 2023
Mariana Post Budget EIS Planning
Disclaimer…
102
This presentation is prepared by Mariana Distribution LLP.
Mariana Distribution LLP is an appointed representative of Mariana Capital Markets LLP (Mariana) which is authorised and regulated by the Financial Conduct Authority (FRN 551170).
This presentation has been prepared for information purposes only. It has not been approved by Mariana as a financial promotion under s21 of the Financial Services & Markets Act 2000. It does not and is not intended to constitute or form part of an offer, recommendation or solicitation to buy or sell a financial product.
Any potential investor in a product referred to herein should satisfy themselves about the terms of the investment, the related risks and its suitability having regard to their individual circumstances.
• Introduction to Mariana
• EIS Refresher
• The Government Subsidy Gap
• The Mariana Water Turbines EIS
• Planning Ideas
Agenda
103
Who are Mariana?
104
Initially established as a brokerage firm, Mariana now employ approximately 60 people with offices in London and San Francisco. As the business has expanded we have developed a broad range of complementary functions, including: • Interbank broking• Asset Management• Market Strategy• Tax Advisory
• Structured Investments & deposits• Tax-efficient Investments
We’re not alone…
105
Enterprise Investment Partners are the investment manager, advised by Mariana
They have raised over £200 million of funds in the tax-efficient investment space
Established in 2010, the founders have over 25 years experience investing in BPR and EIS qualifying companies; with a particular focus on EIS
Sector focus on renewable energy and infrastructure
EIS Tax Reliefs
106
1. Income tax relief
• Up to 30% income tax relief available on EIS investments of up to £1 million in any tax year
• Also available on £1 million carried back to the previous tax year
2. Unlimited Capital Gains Tax (CGT) deferral
• Gains can be deferred that crystallised 36 months prior and 12 months post investment in to the EIS
3. IHT shelter
• EIS companies qualify for Business Property Relief
• As long as the shares have been held for 2 out of the last 5 years, and at the time of death, the value of the EIS investment will be exempt from IHT
The Government Subsidy Gap
107
£626 million raised in the 13/14 tax year, with 62% going to renewable energy projects
Since 2011 the most popular EIS qualifying trade has been renewable energy – namely solar and anaerobic digestion
The Government offer favourable subsidies for the production of renewable energy
Budget changes state that any EIS company benefiting from a Government subsidy will no longer qualify under the EIS rules
£388 million opportunity – the ‘renewables gap’
The Government haven’t attacked renewables; by 2020 20% of UK energy consumption must come from renewable energy sources, and there must be a 34% reduction in UK CO2 emissions
The Government Subsidy Gap
108
Why were renewables so popular?
1. Known cost baseThe installation and operational costs are fairly well known from the outset
2. Proven technologyRenewable energy projects often involve well-established technology
3. Long term predictable revenue streamsThe Government subsidies allowed the EIS company to earn a long-term, RPI linked, predictable revenue stream, improving:
a) Valuations: Most providers valued these EIS companies on a discounted cash flow basis. The fact that there was strong visibility over future returns contributed to stable valuations.
b) Exit: Investors can exit their EIS investment after three years. To provide liquidity, the renewable energy assets have to be sold to a third party. Banks, pension funds and renewable energy companies, for example, were attracted to these assets because of the long-term predictable revenue streams that they generate.
Mariana Water Turbines EIS
The Mariana Water Turbine EIS
110
The headlines
Strict capital preservation mandate
Target return of 5-7% per annum
Liquidity after 3 years, with the option to retain
Looking to ‘plug the gap’ left by budget changes
Mariana have exclusivity over the use of this trade
The Mariana Water Turbine EIS
111
The Trade
EIS companies will own hydro-electric water turbines installed in the UK’s water pipe network
Co-operation of some of the largest water companies in the UK
The natural water pressure in the pipe turns a turbine to create electricity
20+ year PPA (Power Purchase Agreements) are in place which allow the host utility company to purchase the electricity produced. The energy will be 30% cheaper than buying it directly from the grid (7p per KWh)
In addition to the energy savings, the water company enjoys reduced carbon emissions and improved social and environmental impact
The EIS company enjoys a long-term, predictable revenue stream
The Mariana Water Turbine EIS
112
EIS Company
1
Water Utility
Company
• Energy (7p per KWh) • Reduced CO2 emissions• Improved social impact
• Long term PPA agreement• 20+ year predictable
revenue stream
The Mariana Water Turbine EIS
113
Does it plug the gap?
Proven technology – this technology has been around for many years and more than 20 active sites (with multiple turbines per site) are in place around Europe. It is simple technology which is easy to install and maintain
Non-weather dependent – unlike many forms of renewables our trade does not rely on certain weather conditions
Predictable revenue stream – the contractual agreement between the water company and the EIS company providers an RPI linked return over the long term. By removing the need to sell the power to the National Grid at a subsidised level, our trade will continue to qualify under EIS legislation
Credible counterparties – in selling the electricity output directly to the host utility companies, we will only be dealing with companies that are well established and of good credit quality
Not affected by power outages – electricity is still generated when there has been a power outage on the external grid network making the facility more resilient
EIS Planning Ideas
Year 1
Recycling EIS investments – school fees planning
115
£50K
£15,000 of income tax
relief
£50K
£15,000 of income tax
relief
£50K
£15,000 of income tax
relief
Year 2 Year 3 Year 4
*Assumes each investment preserves its value and the investor continues to have over £15,000 of income tax paid in each tax year
Selling an asset pregnant with gain
116
£500K propertywith £300K gain
£84K tax bill
*Assumes investor is a higher rate tax payer
£300K EIS investment £200K cash
• £84K CGT saving • £90K income tax
relief• Potential £120K
IHT saving
Tax efficient profit extraction
117
£50K dividend
Option 1 Option 2
*Assumes investor is a higher rate tax payer**From April 2016 taxation of dividends will change
£37.5K net of tax
£50K dividend
invested in EIS
£15,000 income tax
relief
£52.5K; £50K EIS investment£2.5K extra tax relief
£12,500 income tax
liability
What next?
118
• CPD sessions & technical support
• Professional connection support
• Client meetings
• Tax advisory:- Non doms- Trusts- Offshore companies- Corporate restructuring- Inheritance tax- R&D tax credits- Capital allowances- Withholding tax
Thank you for your time
18 April 2023
EIS MAGAZINE EVENT October 2015
Presentation by:
John MarsdenFounder and Managing DirectorInnvotec Ltd
This presentation is approved by Innvotec Limited which is Authorised and
Regulated by the Financial Conduct Authority (FCA).
The presentation is for Professional Advisers only.
Innvotec Limited is registered in England and Wales Company Number 02030086.
Innvotec is a small authorised UK AIFM “Alternative Investment Fund Manager”
regulated by the FCA (FRN: 122365).
EIS MAGAZINE EVENT
A WORD OF WARNING
THIS PRESENTATION IS INTENDED STRICTLY FOR AUTHORISED PROFESSIONAL FINANCIAL ADVISERS ONLY AND MUST NOT, UNDER ANY CIRCUMSTANCES, BE DISTRIBUTED TO ANY DIRECT INVESTORS.
The investments and opportunities featured in this presentation place investor’s capital at risk and investors may not get back the full amount invested.
Tax treatment may be subject to change and the value of the tax benefits in this presentation depends on the individual circumstances of each investor. The availability of tax reliefs also depends on the individual investee companies complying with regulations and maintaining their qualifying status for EIS/SEIS purposes. Neither past performance nor forecasts are reliable indicators of actual future results and should not therefore be relied upon.
Unquoted shares are likely to have significantly higher volatility and liquidity risks than other types of quoted shares.
This presentation is not intended to constitute investment, taxation, legal or financial planning advice. We recommend all investors seek independent financial advice before investing in any our products.
EIS MAGAZINE EVENT
TAX AND INVESTMENT PLANNING USING:
ENTERPRISE INVESTMENT SCHEME (EIS)
&
SEED ENTERPRISE INVESTMENT SCHEME (SEIS)
CAPITAL APPRECIATION THROUGH INVESTING IN A PORTFOLIO OF HIGH GROWTH BUSINESSES
EIS MAGAZINE EVENT
Innvotec Background / History
• Independent - ownership in hands of directors / staff.
• Clients - traditionally pension funds, corporates, ERDF (European money).
• Focus-capital appreciation via investment in fast-growth businesses.
• Regulated - from the outset in 1989, currently FCA as a small authorised Alternative Investment Fund Manager (AIFM). Can hold and control client money and assets.
• Early 2000’s - business modus operandi review resulted in working with knowledgeable Strategic Partners.
• 2009 - launched initial EIS Fund with Anglo Scientific as its first Strategic Partner.
• 2013 – launched initial SEIS Fund with SUFC as its second Strategic Partner.
• 2015/16 - 7 EIS/ SEIS Funds in conjunction with 5 Strategic Partners.
• 2016 – Crowdfunding platform and Bermuda subsidiary (Offshore money into Innvotec portfolio companies).
EIS MAGAZINE EVENT
EIS MAGAZINE EVENT
Recap on benefits accruing to EIS / SEIS investing
• Set off against income tax.
• Capital gains tax deferral (50% total exemption for SEIS).
• Carry back facility.
• Capital gains tax exemption on exit-3 year holding period.
• IHT reliefs- 2 year holding period.
• Loss Relief (to include negligible value claim) with amount of loss (less initial tax relief received) offset against income – helps protect the downside.
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Income Tax Benefits
EIS SEIS
Relief 30% 50%
Annual Limits £1m £100k
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Capital Gains Tax Exemption / Deferral
EIS SEIS
Annual Limit Unlimited £100k
Deferral 100% 50%
Exemption 0% 50%
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Carry back facility
Against Income Tax CGT Reinvestment
EIS 1 year 3* years
SEIS 1 year 0** years
*Qualifying investment must be made one year before or three years after gain on which relief is sought.** Qualifying investment has to be made in same tax year.
EIS MAGAZINE EVENT
IHT benefits of investing in EIS / SEIS companies
• Investments outside of IHT net if held for more than 2 years.
• This is due to Business Property Relief (BPR).
• The investor will still retain access (subject to liquidity) and control of the funds invested if needed.
• Various IHT planning opportunities (mostly asset backed).
EIS MAGAZINE EVENT
✔ ✖
An on-going hard-line approach to what type of company tax reliefs will apply A company can’t apply for reliefs for the first time if it has been trading for more than 7 years or 10 years in the case of knowledge intensive companies and there is a £12m aggregate EIS limit (£20m for knowledge intensive companies).
Real Capital Growth businesses
Investments with a degree of risk
Tax Reliefs to go where intended
Businesses dependent on things
like feed-in tariffs
Investments with little or no risk
Closing of “loop holes
EIS MAGAZINE EVENT
HMRC Reviews & Budget Changes
• Broadly speaking Fund Managers will continue to build EIS portfolios that will be classed as either capital “preservation” or “growth/appreciation” but the type of business to be targeted will revert to the more conventional trading company and it will be evaluated on its risk and trading profile (is it profitable / cash generative), where it is on its valuation growth “curve”, time to and ease of exit.
• SEIS portfolios by the very nature of the target companies have to be focused on growth/ capital appreciation.
• Occasionally there are “hybrid” funds appearing offering investors the prospect of investing in both SEIS / EIS opportunities in the same tax year. NB the same portfolio company can be in receipt of both SEIS and EIS in the same tax year.
EIS MAGAZINE EVENT
Value Graph
EIS MAGAZINE EVENT
• Perceived to be more risky given nature and status of target companies and they are but:
• Risks need to be analysed, known and understood and then matched against potential upside.
• Risks within a Fund lie in the business risks inherent in the individual companies and the accompanying probabilities.
• The “upside” potential and time to “exit” depends on where the individual companies are on their growth curves.
Capital Appreciation Funds / High Growth Opportunities(typically with a technology-bias)
EIS MAGAZINE EVENT
Capital Appreciation Funds / High Growth Opportunities(typically with a technology-bias)
• Investors / advisers have no way of knowing anything about the type and stage of companies being invested in and depend on the expertise of the Fund Manager.
• Less understanding on the advisers’ part of the sector and type of target company leads to less inclination to recommend.
• The conundrum being that investors themselves want to support emerging UK-based companies and make a decent gain for so doing.
• So the more advisers know and understand about the portfolio composition, trading status, level of risk and how risk is being handled the more confident they are.
EIS MAGAZINE EVENT
Risk mitigation in capital appreciation (EIS/SEIS) Funds
How to address this?
The intention is to address as far as is possible the risk within each portfolio company and hence within the Fund using the expertise of Innvotec and their Strategic Partners.
STRATEGIC PARTNERING
Avoids the need for costly specialist
in-house expertise and specialist due diligence
Provides quality deal flow
Helps evaluate any technologies,
business strategies, opportunities and
risks
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Startup Funding Club Innvotec’s Strategic Partner for SEIS Some Case Studies
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STARTUP FUNDING CLUBAn eco-system of services focused on early stage investment and post investment support for “startups”
Portfolio Adviser to SEIS Funds
Angel Investment Network
Support Services
100+ active angel investors
Provide expertise and follow on funding to companies
Strategy & Mentoring
Accounting & Bookkeeping
Marketing & PR
Legal Support
EIS MAGAZINE EVENT
Startup Funding Club’s Model
SFC blends angel and fund investments and then mentors/supports companies
SEIS Funds Angel Network
£5 million invested in startups in total
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Portfolio Approach
• Objective: building diversified portfolios across various sectors
Technology
• Consumer Products
• Food and Drink etc.
• SFC leverages a large network of Experts with extensive sectoral experience
• Deal selection
• Post investment support
14%
29%
342%
Consumer Goods25%
520%
Sector Breakdown of our Previous SEIS Funds
EIS MAGAZINE EVENT
Pariti
Their proprietary software enables unique credit assessment and helps actively build borrowers credit worthiness. They offer credit scoring as a service and give appropriate third party product referrals based on a user’s Pariti score and financial situation.
Ixty.io
People play games worldwide on their mobile phones and tablets. They are usually free until you are invited to for example buy a sword to slay a dragon. Prices for the sword are typically identical worldwide. Ixty software allows games developers to optimise pricing depending on affordability in various countries.
GarbanzoAn innovative UK based healthy snack food company. Launched the first low calorie (88kcal) snack made from Dry Roasted Chickpeas. Developed several flavours including Sun Dried Tomato, Garlic & Herb, Thai Chili and Bombay Firecracker. Other product lines are available and being developed. Now available in major retailers like Holland & and Barretts and Boots etc.
EIS MAGAZINE EVENT
Anglo Scientific Innvotec’s Strategic Partner for EIS A Case Study
EIS MAGAZINE EVENT
Found & build companies that disrupt large markets with groundbreaking new technologies.
Combine high-potential intellectual property with disciplined risk mitigation.Companies founded by Anglo Scientific:
Communications
Life Sciences Security and Resilience
EIS MAGAZINE EVENT
Anglo Scientific (AS) summary
Solid Businesses
AS has built a portfolio of substantially risk mitigated growth companies that are based on disruptive scientific breakthroughs with defendable IP, which address clearly identified needs in large markets
Company Building
AS is a team of entrepreneurs that sets the vision for its companies, often defining new strategies, business models or market applications, or rolling together multiple opportunities to deliver a proposition worth much more than the sum of the parts
TeamsAS principals typically serve as the initial executive management of the companies, and then recruit world class talent as the businesses grow, proven executives who share AS’ vision for the disruptive potential of the company and have the skills to deliver growth and shareholder returns
Global Perspective
AS has offices in the UK, USA and Singapore, and a team with business experience around the world, enabling it to pursue global opportunities for both AS and its portfolio companies
Deal SourcingAS has a track record of sourcing high-potential opportunities from universities, research institutes and corporates from around the globe - its unique model of entrepreneurial leadership and hands-on management allows it to capture opportunities that are initially too incomplete for most investors
EIS MAGAZINE EVENT
high quality, diverse relationships fuel pipelineProven and sustainable network built over many years to source new opportunities and to validate, de-risk & complement portfolio companies
Plus active network of 100s of professors, scientists, government agencies, executives, board members, investors, etc.
Expanding from UK’s world-class research base across geographies…
Leverage UK core with office in Boston and entry in Singapore/Asiaan
d ty
pes o
f ins
tituti
ons
EIS MAGAZINE EVENT
summary
High-potential assets
1
2 Management, product, market, customers, IP
Risk mitigation
3Extensive range of validated sources
Proven track record
Robust pipeline
EIS MAGAZINE EVENT
thecompanies
BETTERFOOD
PATHOGEN TESTING
ALLERGY TESTING
RE-IMAGINED
SAT-COMM ON THE MOVE
DETECTING CONCEALED
THREATS
STROKE TREATMENT
TRANSFORMED
SYNTHETIC “DESIGNER” MOLECULES
CCTV VIDEO
ANALYTICS
HIGH SPEED
INTERNET TO TRAINS
The world's first low profile, high gain antenna for satellite communications on the move. Enables fast internet connectivity onboard moving vehicles. www.phasorsolutions.com
Solving crimes and saving lives by finding people in video datawww.seequestor.com/
Systems that can search crowds for concealed threats such as guns and hidden explosive devices.www.rpssys.com
World leading provider of high speed internet to trainswww.21net.com
Synthetic antibodies for Rx and Dx - spun out of Fujitsuwww.aptabiosciences.com
Faster, more affordable food pathogen testing (salmonella and listeria)www.solusscientific.com
The world’s first fully automated, affordable system to detect a person’s complete allergy profile.www.microtestdx.com
World’s only clinically proven treatment for dysphagia, transforming the lives of people with swallowing dysfunctionwww.phagenesis.com
Anglo Scientific creates one or two new high potential companies per year.www.angloscientific.com
+PIPELINE
EIS MAGAZINE EVENT
Radio Physics Solutions A Case Study
EIS MAGAZINE EVENT
THE PROBLEM: GUN CRIME AND BOMB ATTACKS
526,000 people die violently every year- 75% in non-conflict areas - 25% of all violent deaths in 14 countries
60,000 people killed or maimed in last 3 years world wide
- Over 80% are civilians- Targets from Boston to Bahrain
EIS MAGAZINE EVENT
WHY NOW?THERE IS NO EXISTING SOLUTION ON THE MARKET YET: $BILLIONS ARE SPENT ON THE PROBLEM
47% p.a
GLOBAL STANDOFF TERRORIST MARKET
• $4bn (source from Homeland Security) in 2014
• 47% p.a. growth
TRENDS
• increase in terrorism and crime rate worldwide have driven growth
• Asia and Middle East - fastest growing regions
EIS MAGAZINE EVENT
IMPACT!
IT WORKS: CASE STUDY: US ARMY TRIALS - VIRGINIA JUNE 2014
~100% detection
PBIEDS
Detection in 1 sec
Network enabled
Portable
EIS MAGAZINE EVENT
VALIDATION…
EXTENSIVE TESTING TO CREATE A SUPERIOR SOLUTION
Successful field trials with independent experts underpins product launch
4 trials 4 trials 6 trials (endorsed)
6 trials
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An Extraordinary Investment Opportunity…
• Huge market opportunity with big gaps to fill
• Building $100m/yr business on defensible IP
• Sales traction in multiple market verticals and Territories
• Great team to execute - built this sort of technology all their working lives
• Typical exit value in this space measured 20x EBITDA
• Targeting 10x return to investors
EIS MAGAZINE EVENT
Number 1 priority when advising clients is performance
Past performance no guarantee to future performance but:
• 7 annual EIS Funds, average uplift on cost 30%* (before tax benefits) average FTSE comparative movement 25%.
• SEIS Funds, average uplift on cost of funds 29%* (before tax benefits).
*Based on standard valuation criteria of most recent 3rd party transaction in the shares
EIS MAGAZINE EVENT
EIS / SEIS Investment Approach-Conclusions
• Working with knowledgeable specialists provides Fund Managers working for capital appreciation with a means of addressing higher levels of risk.
• Despite the risk, good and sustained performance from capital appreciation funds can be obtained.
• Investors like their money to be safe above all but are prepared to seek and support “spectacular” returns.
• Investors do see the “bigger picture” and like to feel that their tax reliefs can be used to make a difference.
• Working with specialists provides for a lean cost structure and results in charges being competitive, results driven and with no need for “hidden” add-ons.
EIS MAGAZINE EVENT
Thank you for your time
Any questions are welcome?
Alternatively, I would be delighted to speak on a one to one basis after the talk.
Tel: +44(0) 207 630 6990
Email: [email protected]
PLEASE NOTE THAT OUR TEAM ARE DELIGHTED TO MEET WITH YOU AND TO PROVIDE ANY SUPPORT NEEDED. ALTERNATIVELY, WE CAN ATTEND CLIENT OR INTRODUCER MEETINGS WITH YOU.
EIS MAGAZINE EVENT
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18 April 2023