Company Checklist
The following table summarise the requirements under SEIS/EIS. If you think your business qualifies then please contact us with your Business Plan.
Question | Yes | No | Explanation |
---|---|---|---|
Are you a UK company? | Still possible if you do not comply – see next question | ||
Do you have a UK establishment? | Must be trading in the UK even if markets are overseas | ||
Have you been trading for less than two years? | Whilst the incorporation date is relevant, the concern here is the date trading started | ||
Are your gross assets £350,000 or lower? | Aggregate of you fixed assets, stock, trade debtors, cash etc. | ||
Are your gross assets £15 million or lower? | EIS only | Aggregate of you fixed assets, stock, trade debtors, cash etc. | |
Do you have less than 25 employees? | This is full-time equivalents | ||
Do you have less than 250 employees but greater than 25 employees? | EIS only | This is full-time equivalents | |
Are you an independent company? | Still possible | Still possible – Dormant subsidiaries are okay | |
Are free of any subsidiaries? | You cannot have a holding company | ||
Have you not received any previous EIS or VCT investment? | Still possible under EIS | You cannot have received any before but can receive after | |
Are your shares unquoted? | AIM and PLUS are unquoted | ||
Is your business activity not one of the excluded activities? | You cannot exclusively supply excluded businesses either |
Additional criteria your company needs to meet:
No employee investors – neither the investor nor an associate of the investor may be an employee of the issuing company
No substantial interest in the issuing company – the investor must not have a substantial interest in the issuing company at any time
No related investment arrangements – the investor must not subscribe for the relevant shares as part of an arrangement which provides for another person to subscribe for shares in another company in which the investor, or any other individual who is party to the arrangement has a substantial interest
No linked loans – no linked loans are to be made by any person to the investor or an associate of the investor
No tax avoidance – the relevant shares must be subscribed for by the investor for genuine commercial reasons and not as part of a scheme or arrangement of which the main purpose or one of the main purposes is the avoidance of tax