EIS recent experience

  • Posted

Our work ranges from considering whether the business can qualify for SEIS or EIS through to, dealing with the initial investment and further fund raising.

We are then often instructed on the sale of the business. We are also consulted after investment when companies are looking to structure loans or equity incentives and not risk any of the SEIS or EIS investors losing their relief.

To help you decide if we can help you we have set out some of the examples of our recent work.

We have helped businesses and investors from a wide range of sectors with their EIS investments.

EIS investment for App developer

We worked with an app developer seeking EIS investment to enable it to become one of the leading providers of download games from the app stores.

EIS status for the business was obtained.

It was important to explain to HMRC that the licence fee income was obtained only from assets developed by the app developer themselves. The business raised £5 million via EIS.

SEIS and EIS investment for a technology company

We worked with a technology company seeking both UK and US investors.

We structured a deal to offer the EIS and SEIS investment to the UK investors only.

It was important to get the timing right on the issue of shares. This ensures that no single investor ever exceeded a 30% shareholding. It was also important to issue the EIS shares at least one day after the SEIS shares to make sure that the investors were fully entitled to their relief.

SEIS and EIS for a craft brewery

We worked with a team setting up a craft brewery and seeking SEIS and EIS investment. The founders needed to work through the new requirements that advance assurance requests made to HMRC can no longer be speculative. This means that a company must have some certainty as to where the funds are coming from before sending in the forms to HMRC.

We worked with the founders to address this in the advance assurance application.

Further EIS investment rounds for a restaurant

We initially worked with a restaurant business raising investment under the SEIS scheme.  We were then asked to work with them when the time came to raise further investment via a crowd funding platform under the EIS scheme to support their plans for expansion into a second and third site.

Rejected EIS compliance statement

We assisted a client with a rejected compliance statement. The cause of rejection was due to shares being issued on difference days and the inclusion of ‘put’ or ‘call’ option clauses in shareholders’ agreement.

Outcome achieved

We advised on how to correct rejected compliance statements and we assisted with their re-submission. We worked with our client to restructure so that the qualifying part of their business can receive EIS relief.

EIS fund raise for No Agent Technologies

No Agent Technologies is a leading property rental platform led by a serial entrepreneur Calum Brannan. On the latest round of equity fundraising the company raised close to £1 million from the existing shareholders.

The company has previously successfully raised capital via crowdfunding platform Seedrs and is currently preparing for Series A funding round. Calum Brannan is a former founder of CrowdControlHQ. Find out more about No Agent Technologies here: https://www.noagent.co.uk/. 

EIS fund raising for Karamu on the second round of equity EIS financing.

The fund raise attracted prominent angel investors from the food and drinks industry.  Karamu, trading as Feast it! is a leading online platform providing food and drinks catering led by two charismatic co-founders Digby Vollrath and Hugo Campbell. Find out more about Karamu at https://feast-it.com/

  • Having walked us through the SEIS share issue we knew we were in safe hand with the team at Gannons when we wanted to secure further investment under EIS.