If your start-up is fundraising one of your key objectives must be to make yourself more investible. The Seed Enterprise Investment Scheme (SEIS) will help you do just that.
 

What is SEIS?
 

SEIS is a scheme designed to give the economy a boost and help attract investors. The scheme entitles start-ups to receive considerable funding but there’s a lifetime cap of £150,000.
 

SEIS Eligibility -  to be eligible, a company must:
 

• Have less than 2 years trading history

• Not be quoted

• Not be controlled

• Have a UK permanent establishment
   

What does the investor get?
 

• 50% income tax reducer for the current year and previous tax year

• 50% capital gains reducer if they roll previous gains into an SEIS company from prior investments

• 0% capital gains tax on any rise in market value of their shares

• 50% extra loss relief on the capital at risk if the company fails

• 100% inheritance tax relief 
   

How is SEIS different to EIS?
 

Unlike the EIS, the SEIS is focused on very early-stage of companies and offers significantly greater Income Tax relief of 50% against the amount invested. If you want to find out more about the differences between EIS and SEIS contact us.