Investing in growth businesses and start-ups

Growth businesses and start-ups can offer attractive investment opportunities to entrepreneurial individuals, particularly given the tax incentive schemes on offer. However, as with all investments, these types of transactions come with their own risks and challenges. Having an experienced and knowledgeable team of advisers can be invaluable in protecting your investment.

Here at BBS Law, we take a collaborative approach to advising on investments. We understand that key to many of our clients will be availability of SEIS relief or EIS relief and we have considerable experience of working with tax advisers to ensure that all of the necessary steps are taken to ensure compliance with the relevant legislation in this respect.

We recognise that where you are investing in smaller growth businesses and start-ups, there may well not be scope to carry out a full financial and legal due diligence exercise of the type which would be carried out when purchasing a company. We work with your financial advisers to determine an appropriate level of due diligence to strike a balance between protecting you and taking into account the type of business you are investing in.

Similarly, we realise that individual investors will not ordinarily be looking for the same level of investor protection that a VC investor might be. We take the time to understand our clients’ reasons for making investments and the protections which will be important to them, to allow us to negotiate documentation including an appropriate and proportionate level of protection on each individual transaction.

We advise from the start to the finish of the investment and offer a commercial and client-led service on a fixed fee basis.

We have considerable experience in assisting our clients with investments of all sizes in a wide variety of sectors and would be delighted to discuss with you any assistance we can offer in this respect.