http://www.techcelerate.ventures - Trusted Advisor for Series A InvestmentThis guide provides information about the Venture Capital Trust (“VCT”) scheme. If you are a UK tax-payer who is considering investing in a VCT, this short guide will assist you.
Venture Capital
Trusts
T H E S A P P H I R E G U I D E T O
Author: Boyd Carson, Partner, Sapphire Capital Partners LLP
Date Published: 21 May 2018
Version: 1.2
Contents
The Sapphire Guide to Venture Capital Trusts
Page 2
01 Introduction
02 What is a VCT?
03 How large is the VCT market?
04 What are the different types of VCT?
05 Why invest in a VCT?
06 What are the tax reliefs?
07 What can a VCT invest in?
08 VCT or EIS?
09 Want are the risks?
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10 Want to find out more?
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The Sapphire Guide to Venture Capital Trusts
Page 3
Meet the author
Boyd Carson is a partner at Sapphire Capital
Partners LLP and specialises in Venture Capital
Trusts.
Boyd previously worked as a Director of PwC
corporate finance in New York, is a Fellow of the
Institute of Chartered Accountants and is
authorised by the Financial Conduct Authority to
conduct investment business. He also provides
advice on other venture capital schemes, such as
the Seed Enterprise Investment Scheme ("SEIS")
and the Enterprise Investment Scheme ("EIS").
Boyd can be contacted by email at
boyd@sapphirecapitalpartners.co.uk or by
calling 08 707 348 912.
01 Introduction
This guide provides information about
the Venture Capital Trust ("VCT")
scheme.
If you are a UK tax-payer who is
considering investing in a VCT, this short
guide will assist you.
02 What is a VCT?
The Sapphire Guide to Venture Capital Trusts
Page 4
A VCT is a
professionally
managed investment
company that is listed
on the London Stock
Exchange.
A VCT's purpose is to invest in small companies in order to
provide them with capital and expertise to help them grow.
VCTs were launched by the UK government in 1995 and offer
qualifying investors generous tax incentives. Reliefs include
30% income tax relief, tax-free investment growth and tax-
free payment of dividends.
02 In addition to being listed on the London Stock Exchange, a
VCT m