Enterprise Investment Scheme (EIS)

Enterprise Investment Schemes (EISs) are single companies which, by fulfilling certain criteria, qualify for EIS status. The purpose of the EIS is to assist smaller companies in raising capital, whilst providing attractive tax reliefs for investors subscribing for new shares.

Since 2004 the EIS has been virtually the only available vehicle to shelter capital gains (up to three years old). In addition, the availability of 20% income tax relief and the potential for holdings to qualify for IHT exemption makes the EIS a very tax efficient investment.