EIS and VCT on a Downward Slide?

The Enterprise Investment Scheme (EIS) appears to be losing popularity with entrepreneurs, if the dramatic decline in firms making offers under the scheme is anything to go by

EIS and its sister scheme the Seed EIS (SEIS) are popular with startup investors because they offer tax breaks on profits and losses. But investment opportunities are thin on the ground in 2016-17. Venture Capital Trusts (VCTs) appear to be affected, too, with investors being turned away.

Advanced Questions For Equity Crowdfunding

coloured speech bubbles asking questions

Investors in startup equity need to be prepared to ask question before they put their money in - and if you don't like the answers, be prepared to wait for a better offer.

The typical 'Crowdfunding For Beginners' questions revole around:

  • What the company does to make money
  • Who the competitors are
  • How long it will take to that it will become, and stay, profitable