EIS and my business: an adviser interview
Whether you’re new to the Enterprise Investment Scheme (EIS), or you’ve been writing EIS cases for years, you’ll want to consider:
- Whether you have clients who could benefit from the high growth potential of EIS
- How you would present the opportunities available with EIS to suitable clients.
- The best way to integrate EIS into your advice proposition.
In this short clip, these points and more are touched on by Stephen Hedges of Orchard House. He has more than 25 years’ experience advising clients.
Stephen talks to Tim Dickens, Investment Specialist at Octopus Ventures, about his experience and learnings from advising on EIS. You’ll hear how Stephen uses EIS to support clients’ planning, the positive impact on his business, and how he approaches suitability and due diligence.
Register your interest in EIS from Octopus Investments
Interested in helping your clients access the growth opportunities in early-stage companies? Provide your details below and we’ll send you everything you need to take the next step when our next EIS fundraise opens.
Risks to bear in mind
Capital at risk
The value of an EIS investment can fall as well as rise. Investors might not get back the full amount they invest.
Tax treatment
Tax treatment depends on individual circumstances and might change in the future. Tax reliefs depend on companies maintaining their EIS-qualifying status.
Long term investments
Investors need to hold shares for three years to keep any tax reliefs claimed. However, investors should be prepared to hold their shares for significantly longer to allow time for growth and exit.
Volatility and liquidity
Investments in smaller companies can fall or rise in value much more sharply than shares in larger, more established companies. They can also be harder to sell.
Octopus Enterprise Investment Schemes
Octopus Ventures EIS Service
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A portfolio of around 10 -15 early-stage businesses with high growth potential, selected by one of Europe's most established venture capital teams, that offers a number of valuable tax reliefs which offer some compensation for taking on high risk.