OXFORD CAPITAL
Pre-Seed Investors

Investing in UK’s entrepreneurs since 1999

What is the Enterprise Investment Scheme?

The Enterprise Investment Scheme (EIS) was first introduced by the UK Government in 1994 to encourage investment in to early-stage businesses. We have championed the scheme for over 20 years and have pioneered fund investing via EIS.

While EIS qualifying businesses are high risk, for those investors comfortable taking on this risk, the tax reliefs (such as 30% income tax relief) are an incentive to invest.

INVESTING IN THE OXFORD CAPITAL GROWTH EIS

The Oxford Capital Growth EIS enables investors to build a portfolio of shares in early-stage UK technology companies that have the potential for rapid value growth with the benefit of potential EIS tax reliefs.

It invests in sectors such as fintech, digital health, and AI & machine learning.

 

our pre-seed investment opportunities

The pre-seed investment stage is typically the first institutional monies a company will receive, albeit from specialised, pre-seed venture capital funds. Before this, companies are typically funded by the founders themselves, friends and family, angel investors, and start up loans. Pre-seed funding will usually occur before the company has generated any revenue, so there will be little evidence of product market fit. However, there will be potential to achieve these. A VC will determine the value of a business, and provide capital in return for an equity stake in the business. At the pre-seed stage, it is possible to benefit from SEIS tax reliefs, which help incentivise investors to invest in such deals by offering some very attractive tax reliefs. Although Oxford Capital invests in EIS qualifying deals, we do sometimes invest in companies that have some SEIS capacity remaining, and if available, we will take on this capacity to provide our investors with additional tax reliefs.

Sectors we invest in

Fintech

Heath Tech

Cyber Security

E-Commerce

AI & Machine Learning

DELIVERING STRONG RETURNS

0 % - IRR*

7 years of strong performance

0 x DEEP

tech exits

x

multiple on invested capital

£ bn

of EV across portfolio

*Data for 7 years to 5.10.2022 (since inception). Current valuation as at 5.10.22. Multiple shows gross performance and does not include the effect of commissions, fees or other charges. Past performance is not a reliable indicator of future results.

HOW WE INVEST – BACKING PROGRESS

Portfolio construction model

Key:

size of investment

We invest at an early stage (seed and series A) and will typically make follow on investments at a later stage once a company has hit specific milestones and shown strong growth.

We look for two types of companies: ‘high potential’ – have developed a ground-breaking product or IP that could disrupt the market and ‘early growth’ –have launched their product and achieved early success.

Our Portfolio

moneybox
red sift logo
attest logo
ose logo for eis investors
hoxton ai eis investment
log my care eis fund
spoke logo 1
helloSelf
bower collective
scan logo for website 2
hometree logo
curve
outplay logo
wrisk logo
26
zamma
8
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Hear From Our founders

BROWSE OUR GUIDES

What is the EIS?

Growth EIS for Beginners

A guide to EIS Investments

What are the rules of EIS invesments?

SPEAK TO A MEMBER
OF OUR TEAM

REQUEST INFORMATION PACK

Estimated reading time: 2 min

 

Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk.

What are the key risks?

  1. You could lose all the money you invest
    1. If the business you invest in fails, you are likely to lose 100% of the money you invested. Most start-up businesses fail.
  2. You are unlikely to be protected if something goes wrong
    1. Protection from the Financial Services Compensation Scheme (FSCS), in relation to claims against failed regulated firms, does not cover poor investment performance. Try the FSCS investment protection checker here.
    2. Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA-regulated firm, FOS may be able to consider it. Learn more about FOS protection here.
  3. You won’t get your money back quickly
    1. Even if the business you invest in is successful, it may take several years to get your money back. You are unlikely to be able to sell your investment early.
    2. The most likely way to get your money back is if the business is bought by another business or lists its shares on an exchange such as the London Stock Exchange. These events are not common.
    3. If you are investing in a start-up business, you should not expect to get your money back through dividends. Start-up businesses rarely pay these.
  4. Don’t put all your eggs in one basket
    1. Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well.
    2. A good rule of thumb is not to invest more than 10% of your money in high-risk investments. https://www.fca.org.uk/investsmart/5-questions-ask-you-invest
  5. The value of your investment can be reduced
    1. The percentage of the business that you own will decrease if the business issues more shares. This could mean that the value of your investment reduces, depending on how much the business grows. Most start-up businesses issue multiple rounds of shares.
    2. These new shares could have additional rights that your shares don’t have, such as the right to receive a fixed dividend, which could further reduce your chances of getting a return on your investment.

 

If you are interested in learning more about how to protect yourself, visit the FCA’s website here.