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How do I carry out a EIS or SEIS?

The Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) are initiatives that help your business attract investment. SEIS is designed to help raise funds when your business is just starting to trade by giving tax reliefs to investors who purchase shares in your company. EIS works in much the same manner but is also open to established businesses. However, there are many rules that you’ll need to comply with if you want to take advantage of these schemes. The shares that are issued need to meet specific requirements. For instance, they need to be paid up in full, in case, on issue. These shares also need to be nonredeemable full-risk ordinary shares that carry no special rights to your business assets. You must use the money invested in your company to grow and develop your business, and the investment needs to involve risk. There must be a chance the investor could lose more than they gain as a net return.