Real Assets
We build future energy systems and resilient infrastructure, backing emerging opportunities in technology, land and water.
Enterprise Investment Schemes
Get relief on Income Tax, Capital Gains Tax and Inheritance TaxExplore how our EIS investments can help you support early-stage UK businesses while offering the potential for significant tax advantages and long-term growth.
Don't invest unless you're prepared to lose all the money you invest. This is a high-risk investment. Take 2 mins to learn more.
Overview
Overview
An Enterprise Investment Scheme (“EIS”) is a government initiative that provides a range of tax reliefs for investors who subscribe for qualifying shares in qualifying companies. It was first introduced by the UK Government in 1994 to incentivise investment into smaller UK companies. Investors are incentivised with relief on Income Tax, Capital Gains Tax and Inheritance Tax.
Who could benefit from an EIS?
An individual who:
- Has a medium to long term investment horizon and accepts the increased risk profile
- Wants to reduce their Income tax liability
- Looking for portfolio diversification and capital growth
- Has paid a CGT bill in the last three years, or who owns property, land, shares or other investments and wants to defer CGT – and subsequent inheritance tax - on disposal
- Is close to the annual allowance for pension contributions
- Is a non-domiciled individual wishing to remit overseas income and gains to the UK, tax-efficiently
- Has a combination of tax issues that they would like to address
- Has IHT issues, but is not attracted to trusts
The risks
- Tax rules are subject to change If you sell your shares early you may lose the tax relief
- Your capital is at risk; you may not get back as much as you put in and in the worst case scenario you could lose all of your capital
- Investing in small companies is inherently risky, these companies may not perform as hoped and in some circumstances may fail completely
- EISs should be considered longer term investments
What are the three types of EIS?
Government scheme designed to encourage investment into SMEs, which can be larger, more mature companies. Although qualifying rules determine the companies that can be held, a range of risk is available.
What are the benefits of an EIS?
Due to the benefits that smaller businesses bring to the UK economy, HM Treasury offers a range of tax advantages to incentivise you for investing in these businesses through an EIS. You must hold your investment for a minimum of three years to take full advantage of the tax reliefs.
Foresight EIS funds
Foresight Technology EIS
Investing into early-stage, unquoted companies that are developing disruptive technology and pioneering innovation.
Client planning scenarios
Our planning scenarios illustrate how tax-efficient investments can be used to address the diverse needs of clients.
Contact us
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Important information
Capital is at risk. The value of an investment, and any income from it can fall as well as rise and investors may not get back the full amount they invest. Enterprise Investment Schemes (“EIS”) should be considered longer-term investments and may be higher risk and more difficult to realise than an investment in listed securities. Investments will be made in small unquoted companies, which carry a higher risk than many other forms of investment. These investments will be illiquid and may expose you to a significant risk of losing all of the money you invest. Tax reliefs are dependent on investee companies maintaining EIS qualifying status and investors’ individual circumstances. Current tax rules are subject to change.
Past performance is not a reliable indicator of future performance. Foresight Group LLP does not provide investment, legal, tax or other advice and the information on this website should not be construed as such. We recommend investors seek advice from a regulated financial adviser.
Investors should only invest in Foresight EIS funds on the basis of information contained in the applicable Documentation (including any Brochure, Fund Prospectus, Offer Documents, Key Information Documents and Disclosure Documentation) or Terms and Conditions of Investment as appropriate.
Please refer to our Risk Warnings page for full general and specific risk information.
