At Kin, we offer a range of investment products. Please note, investments should only be made on consideration of the full IM and the detailed risk factors contained therein. Such investments are not right for everyone.
Investment may not be suitable for all investors. Investors should be aware that investments in unquoted early stage companies and funds that invest in these smaller companies, including but not limited to, the Enterprise Investment Scheme (EIS), Venture Capital Trusts (VCT) and the Seed Enterprise Investment Scheme (SEIS) carry a high level of risk. The value of an investment may go down as well as up, and investors may lose all funds invested. These investments are highly illiquid and as such, there may not be a readily available market to sell such an investment. As such, investors should not invest if likely to require the capital in the near term. Tax reliefs are dependent on individual circumstances, and are subject to change in the future. The availability of tax reliefs depends on companies invested in maintaining their qualifying status. Past performance is not a reliable indicator of future performance. Investee companies forms part of a wider portfolio of investee companies, and any decision to invest should be made only on the basis of the relevant Information Memorandum. Investors should review the further risks and Risk Factors section contained within the Information Memorandum. Investee companies may not achieve targets, may incur unexpected costs and may be subject to economic, legal, regulatory or other factors which could result in the Company’s failure.
Please note, investments should only be made on consideration of the full fund documentation (including the Investment Memorandum) and the detailed risk factors contained therein. Investments in venture capital are by their nature high risk and are not appropriate for many investors.
Your shares lose all their value, however, you will not lose everything you invested! Investing in an EIS allows you to claim 30% Income Tax Relief and 45% Loss Relief on at risk capital (capital invested after 30% EIS income tax relief). For example, if you invested £10,000, and you dispose of your shares for nothing, you still receive £3,000 income tax relief and Loss Relief of £3,150 (risk capital multiplied by 45% income tax rate). Thus making your actual loss only £3,850 or 38.5% of your investment.
You dispose of your shares for 30% less than you purchased them for. However, under the EIS you have received 30% of your investment rebated through Income Tax Relief and therefore you break even! For example, if you invested £10,000 and you dispose of your shares for £7,000, together with £3,000 (30% of £10,000) income tax relief, you still breakeven!
You dispose of your shares at the price you purchased them. You will not lose any of your investment, nor will you make any profit. However, by investing in an EIS you have gained an Income Tax rebate of 30% of your investment!
Your shares were sold with a considerable uplift on purchase price and 175% of your original investment was returned. (E.g. You invested £10,000 and sold your shares for £17,500. You will have received an Income Tax rebate of 30% of your investment, thus making your total return £20,500 (£10,500 not including the original investment). Under the EIS Scheme all profits made are Capital Gains Tax Free!
Your shares were sold with a considerable uplift on purchase price and 250% of your original investment was returned. (E.g. You invested £10,000 and sold your shares for £25,000. You will have received an Income Tax rebate of 30% of your investment, thus making your total return £28,000 (£18,000 not including the original investment). Under the EIS Scheme all profits made are Capital Gains Tax Free!