Understanding SEIS and EIS
The UK Government created the Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) to encourage investment into early-stage, high-growth UK businesses like The Rally Club. These schemes provide generous tax incentives to investors who support innovative companies during their growth journey.
What is SEIS?
SEIS is designed for very early-stage businesses raising their first investment capital. Under the scheme, eligible investors can receive:
- 50% income tax relief on investments up to £200,000 per tax year
- Capital Gains Tax (CGT) exemption on profits made from SEIS shares if held for at least three years
- Potential loss relief if the investment does not perform as expected
- The ability to reinvest certain capital gains for additional tax advantages
What is EIS?
EIS is aimed at slightly more established growth businesses following the SEIS stage. Under EIS, eligible investors may benefit from:
- 30% income tax relief on investments up to £1 million per tax year (or up to £2 million for knowledge-intensive companies)
- Capital Gains Tax exemption on qualifying shares held for at least three years
- Capital gains deferral relief in certain circumstances
- Potential loss relief against income or capital gains
Why this matters
SEIS and EIS help reduce the financial risk associated with investing in early-stage companies, making it easier for startups to secure funding and accelerate growth. For investors, the schemes provide access to innovative UK businesses while benefiting from attractive tax incentives.
As The Rally Club continues building the future of fantasy tennis, SEIS and EIS support can play an important role in helping us grow our platform, expand our community, and continue developing innovative features for tennis fans around the world.
Interested in learning more?
Register your interest and we'll be in touch with further information about investing in The Rally Club.
Tax treatment depends on individual circumstances and may be subject to change. Investing in early-stage companies carries risk, including the loss of capital. This page is for information only and does not constitute investment advice.
