Why SEIS/EIS Are a Target for Scammers
SEIS and EIS offer:
– Generous tax incentives
– Up to 50% income tax relief (SEIS)
– Capital gains tax exemptions
But with opportunity comes risk. Scammers mimic legitimate firms to match you with “exclusive” deals. They’ll:
- Build trust fast (think “love bombing” in dating scams)
- Pressure you to transfer money quickly
- Disappear once they’ve got your funds
The result? Lost capital. No tax relief. And a wasted 30 minutes filling in paperwork.
What Are Investment Matchmaking Scams?
Investment matchmaking scams promise curated introductions to startups hungry for cash. You pay a fee. You get a “hot” deal. Then…nothing.
Here’s their playbook:
1. Fake Profiles
– Slick websites and LinkedIn pages
– Photos stolen from real investors
2. Urgent “Opportunities”
– One-time windows to save your taxes
– Countdown timers and “spots running out” alerts
3. Upfront Fees
– Introduction fees, admin fees, “due diligence” fees
– Payments via untraceable crypto or offshore accounts
Scammers bank on your fear of missing out. Don’t fall for it.
Common Scam Tactics and How They Mirror Romance Scams
Ever heard of romance scams? Scammers court victims online, build false trust, then ask for cash. Investment scammers borrow the same tricks:
- Trust Building: Friendly calls, tailored emails, flattery.
- Urgency: “Invest now or lose the tax relief!”
- Isolation: Discourage you from seeking external advice.
Spotting one helps you spot the other.
Think of a romance scammer confessing “love” to get your money. An investment scammer confesses “exclusive deal.” Same bait. Different pond.
How to Identify a Scam Before It’s Too Late
- No Verified Track Record
– Check Companies House for official filings.
– Search online reviews—real investors leave footprints. - Pressure to Sign Immediately
– Legitimate SEIS/EIS deals don’t expire in 24 hours. - Lack of Transparency
– No clear cap table or valuation.
– Vague business plans. - Upfront, Non-Refundable Fees
– Curated, tax-efficient platforms charge subscription or success-based fees—never hidden intro fees. - Unregulated “Advice”
– Ask if they’re FCA-regulated for investment advice.
– If the answer is unclear, walk away.
Best Practices for Protecting Your Investments
The road to safe startup investments is paved with due diligence. Follow these steps:
- Do Your Homework
– Review official SEIS/EIS guidance on GOV.UK.
– Verify startup founders on LinkedIn or industry events. - Seek Independent Advice
– Talk to an accountant or solicitor familiar with SEIS/EIS.
– Avoid “one-stop” advisers who handle everything in-house. - Use Commission-Free, Curated Platforms
– Platforms like Oriel IPO remove hidden costs.
– You only pay for the subscription tier you choose. - Demand Full Disclosure
– Cap table, financials, milestones.
– Clear exit strategies. - Communicate Securely
– Use encrypted email or certified document exchange.
– Avoid sharing personal details via public chat services.
Why Choose Oriel IPO for Safe Startup Investments
You deserve peace of mind. Oriel IPO is built on three pillars:
- Commission-Free Funding: No hidden match-making fees. You pay a flat subscription, not a percentage of your investment.
- Curated, Tax-Efficient Opportunities:
Our team vets every SEIS/EIS deal. You’ll only see startups that meet strict criteria for growth potential and regulatory compliance. - Comprehensive Educational Resources:
From step-by-step guides on claiming tax relief to webinars with industry experts, we give you the knowledge to invest confidently.
Here’s how Oriel IPO fills gaps left by other marketplaces:
| Feature | Seedrs / Crowdcube | Oriel IPO |
|---|---|---|
| Upfront Fees | 7–10% commission on funds raised | Flat subscription |
| Curation | Open to many, mixed track records | Handpicked SEIS/EIS, quality over quantity |
| Educational Support | Limited articles and blogs | Dedicated webinars, live Q&A and toolkits |
| Community & Networking | Broad community, less focus on tax incentives | Exclusive forums for SEIS/EIS investors |
| Regulatory Transparency | FCA-regulated for crowd offers | Platform not FCA advisory, but full disclosure |
The result? A transparent, cost-effective environment for safe startup investments—without the matchmaking scams.
Step-by-Step: Safely Investing via Oriel IPO
- Sign Up for a Free Trial
– No credit card required.
– Explore platform features risk-free. - Browse Curated Deals
– Filter by sector, stage, and risk profile.
– View detailed company profiles and due diligence packs. - Dive into Educational Resources
– Watch bite-sized tutorials on tax claims.
– Download checklists: “What to ask founders.” - Network in Exclusive Forums
– Share insights with fellow investors.
– Ask direct questions to startup teams. - Upgrade to a Subscription Tier
– Basic, Professional, or Premium—choose what fits your style.
– Enjoy priority deal notifications. - Complete Your Investment
– E-sign documents via secure portal.
– Track tax relief claims through our dashboard.
No hidden fees. No middlemen. Just safe startup investments made simple.
Conclusion
Don’t let scammy matchmakers steal your peace of mind—or your money. With clarity, due diligence and the right platform, you can confidently invest in early-stage businesses under SEIS and EIS. Oriel IPO offers a transparent, commission-free marketplace designed for investors who value safe startup investments and real support.
Ready to shield your portfolio from fraud and tap into genuine, tax-efficient deals?
Start your free trial with Oriel IPO today →
https://orielipo.com/
