Enterprise Investment Schemes

The Enterprise Investment Scheme was devised to bridge a funding gap created by High Street Banks being unwilling to finance small trading firms. Such companies, when approved for EIS status by HM Revenue & Customs, are encouraged to fund their own growth by offering shares to people as a highly tax-efficient investment. 

Income Tax relief...Capital Gains Tax deferral...Inheritance Tax exemption... and EIS Loss Relief to set off against future tax (if required) make an approved Enterprise Investment Scheme the best way of exploiting tax breaks.

Administration is minimal; 30% tax relief is reclaimed through the investor's Self-Assessment Return simply by presenting Form EIS 3 to HM Revenue & Customs.

The cost of acquiring EIS shares is negligible, as no processing fees need apply if an investor deals directly with the company issuing new shares. As in the case of Accolade's Enterprise Investment Scheme which has been approved since 2003.

Accolade EIS - HMRC approved since 2003

Accolade was established in 1980 and, ever since, has operated successfully, under the same personal ownership and management, but mainly in Scotland. 

Having developed a unique website which is faster, better and larger than those of any competitors, Accolade plan to expand profitably as a UK-based, international internet trader. Business to business office supplies is their main marketplace.

Accolade's existing Enterprise Investment Scheme will fund this growth. In effect, their old E.I.S. is an investment in a NEW venture...one that happens to have been trading for more than 30 years! 

You can invest without the spectre of 'cash burn'.

Internet trading now enables small firms to outsmart those dinosaurs who waste money on salesmen and mail marketing. From being a little local company in an area of urban deprivation, Accolade has transformed into a successful UK web trader. 

An Enterprise Investment Scheme permits an investor to participate in running a business and to receive reasonable remuneration for this. Accolade welcomes all assistance when directed to achieve profitable returns and growth in share value.

An EIS investor cannot be 'connected' to a company by owning more than 30%. A trading relationship is allowed, providing transactions are not on preferential terms. 

For instance, an individual purchasing office products for their business could buy from a company in which they hold less than a 30% shareholding. This could be on 60-day credit, or even a consignment stock basis, if those terms were available to other customers. Prices paid would have to be competitive to ensure compliance. 

As a minority shareholder, you can be paid as a Non-Executive Director of a firm that supplies your other business...and benefit from EIS tax reliefs.

Growth, even in a harsh environment

Recently, EIS Tribunals decided against two taxpayers, resulting in tax relief being withdrawn. These HMRC cases (Skye Inns & Benson Partnership) illustrate why it may be prudent to invest in a company that keeps a 'weather-eye' on matters pertaining to Enterprise Investment Schemes.

Accolade's E.I.S. was approved in 2003 and investors have enjoyed tax-free capital growth in addition to tax reliefs.

A key element of Accolade's plan is in realising your EIS investment. Accolade has viable exit strategies which may enable an investor to realise their shareholding every three years...potentially recycling the 30% tax rebate on a triennial basis.

Having been an employee owned company since 1999, there are strong incentives for staff & franchisees to purchase maturing Enterprise Investment Scheme shares. 

No guarantee can be given about purchasing former E.I.S. shares but Accolade's Employee Ownership pre-dates our Enterprise Investment Scheme by four years.

A significant portion of our employees' pay now relates to dividend earnings. Franchisees will be required to buy existing shares as a condition of their licence.

The current Principal Shareholder will be 65 in two years time, so an outright trade sale is also a possibility. Were this to happen, it may inhibit re-cycling of shares. It would help formulate policy if, when subscribing for shares, you would indicate your likely preference for either company sale or re-cycling via staff purchasing shares.

Accolade Office - Enterprise Investment Scheme open to investors - 2016

Phone 0141 774 4600 to check availability of this 30% tax saving EIS

An Enterprise Investment Scheme is by far the best way of exploiting tax breaks

^-<-< Use this Form or the 'Contact Us' page for more information about our EIS

Email a link to this page 'EIS Accolade' 

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EIS relief takes the edge off your tax bill

Inaccessible Pinnacle 
Sgurr Dearg 
Isle of Skye 

Photo taken by Bill Gray, 
Managing Director @ Accolade, 
Sunday May 1st 2011

"He either fears his fate too much,
Or his deserts are small,
That puts it not unto the touch, 
To win or lose it all."

Extract from 'My Dear and Only Love' written in 1643 by James Graham, Marquis of Montrose.

Original text & images are Copyright to Accolade Office- europe Limited © 2016

Original images have been pixellated with a pattern that makes them identifiable as the unique copyright property of Accolade Office- europe Limited. © applicable within all legal jurisdictions, worldwide.

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An Enterprise Investment Scheme is an appropriate venture for UK income tax payers who can self-certify being a sophisticated investor.
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