Kickstart Your Startup with Commission-Free SEIS Power
Raising capital is often the biggest mountain for a fledgling business. Thankfully, the UK government’s SEIS and EIS schemes can help you fund your growth without hefty platform fees. With a commission-free SEIS approach, you keep more of every pound invested—giving you breathing room to scale, pivot or hire.
In this guide, we break down how to harness SEIS and EIS on a truly commission-free SEIS platform. You’ll learn eligibility criteria, practical application steps and how a subscription-based investment marketplace can be your secret funding weapon. Discover commission-free SEIS with Oriel IPO
Understanding SEIS and EIS: Essential Tax-Relief Schemes
What Is SEIS?
The Seed Enterprise Investment Scheme (SEIS) offers early-stage businesses sizable tax breaks to attract angel investors.
– 50% Income Tax Relief: Investors can claim half of their investment back as an income tax credit (up to £100,000 per tax year).
– CGT Exemption: Any profits on the sale of SEIS shares are free from Capital Gains Tax, provided shares are held for at least three years.
– Loss Relief: If things go south, investors can offset losses against their income, cushioning the downside risk.
How EIS Complements SEIS
For companies beyond the SEIS limits, the Enterprise Investment Scheme (EIS) steps in:
– 30% Income Tax Relief: On investments up to £1 million per year.
– CGT Deferral & Exemption: Defer tax on other gains or enjoy CGT-free profits after three years.
– Inheritance Tax Relief: Shares held for two years may qualify for relief against IHT.
Together, SEIS and EIS form a powerful one-two punch. SEIS is perfect for the very early days; EIS can then support your next growth phases.
Why Commission-Free SEIS Platforms Matter
Most crowdfunding sites and finance brokers take a percentage of funds raised—often 5% or more. That cuts directly into your runway. A commission-free SEIS model removes that burden entirely.
Key benefits of a
commission-free SEIS approach:
– You keep every penny investors commit.
– Predictable subscription fees replace variable commissions.
– Transparent costs build investor confidence.
Oriel IPO’s subscription-based investment marketplace focuses on curated SEIS and EIS deals, ensuring quality and compliance without hidden charges.
Qualifying for SEIS & EIS: Practical Checklist
Before you dive into paperwork, make sure your startup ticks these boxes:
- Incorporated as a UK company, trading for less than three years.
- No more than £325,000 in gross assets (SEIS), or £15 million (EIS).
- Fewer than 25 full-time employees (SEIS) or 250 (EIS).
- Unlinked from larger corporate groups; maintain autonomy.
- Carry out a genuine trade (certain sectors like property development or financial activities are excluded).
Remember: any de minimis government aid received in the last three years reduces your SEIS ceiling. Timing is crucial.
Step-by-Step: Applying for Commission-Free SEIS
- Advanced Assurance
Apply to HMRC to confirm eligibility before you pitch to investors. This optional step adds credibility. - Secure Investors
Use a commission-free SEIS platform to showcase your proposal to angel networks. - Issue Shares
Once funds clear, grant SEIS shares and file the SEIS1 compliance statement with HMRC. - Receive SEIS3 Certificates
Pass these on to investors so they can claim their relief. - Maintain Records
Track your spending and milestones. HMRC may audit your compliance over the next three years.
Stick closely to qualifying activities—no funding non-UK operations or paying dividends with SEIS money.
How Oriel IPO Simplifies Commission-Free SEIS
Navigating SEIS and EIS rules alone can be a headache. Oriel IPO’s platform brings everything under one roof:
- Curated, vetted investment opportunities.
- Educational guides, webinars and tax-relief insights.
- Transparent, subscription-only pricing—no commissions on funds raised.
- Direct connection to angel investors looking for tax-efficient deals.
With these tools, you can focus on refining your pitch and hitting milestones, not wrestling with fees or complex spreadsheets.
Comparing Oriel IPO with Conventional Platforms
Platforms like Seedrs or Crowdcube charge commission on successful raises. You might get great exposure, but you lose a slice of your funding. Other equity marketplaces focus less on tax relief and more on volume.
In contrast, a commission-free SEIS marketplace:
- Keeps your funding intact.
- Prioritises SEIS/EIS compliance over general crowdfunding.
- Offers a dedicated community of tax-savvy investors.
Now that you’ve seen the mechanics of commission-free SEIS and how Oriel IPO stands out, why wait? Explore commission-free SEIS funding today and get your startup on the fast track.
Combining SEIS & EIS Capital for Growth
After maxing out SEIS, you can transition smoothly into EIS. Here’s how:
- Plan your fundraising rounds: align SEIS first, then EIS.
- Sequence any grants or loans to avoid de minimis aid issues.
- Use advanced assurance for both schemes to maintain investor confidence.
A balanced SEIS-EIS strategy can extend your tax relief and boost your capital pool by millions.
Real-World Example: A Tech Startup’s Journey
Imagine a SaaS startup with a simple MVP and a team of four. Year one, they raise £200,000 under SEIS—no platform commission means they invest every pound into development. Year two, having hit product-market fit, they leverage EIS to secure a further £500,000, again via a commission-free SEIS & EIS specialist marketplace. They retain runway and equity, ready for scale.
Final Thoughts and Next Steps
Building capital without losing chunks to platform fees is a game of careful planning—and the right partner. A commission-free SEIS solution gives you more control over your finances and sharper appeal to investors.
Ready to revolutionise your funding rounds? Join the commission-free SEIS ecosystem with Oriel IPO and focus on what you do best—growing your business.
