Why SEIS/EIS Matters for Your Marketplace
You’ve built a budding marketplace. You’ve tested your MVP. Now comes the tricky part: how to fund your next sprint. In the UK, SEIS (Seed Enterprise Investment Scheme) and EIS (Enterprise Investment Scheme) are golden tickets. They let investors claim up to 50% tax relief on their investment. That means less risk for them and more appeal for your startup.
- Tax relief: Up to 50% (SEIS) and 30% (EIS).
- Capital gains exemption: Sell shares free from CGT after three years.
- Loss protection: Offset losses against taxable income.
But schemes vary. You need to tick all the boxes. And you must know how to approach investors primed to attract SEIS funding rather than traditional VCs.
The Gap in General Guides
Take popular guides like Arateg’s “How to find investment for your online marketplace startup.” They cover seed rounds, Series A, crowdfunding and more. Solid overview. But:
- They gloss over SEIS/EIS criteria.
- They ignore commission fees charged by most platforms.
- They skip dedicated tax-incentive strategies.
You can read hundreds of blogs on general VC funding. Yet they rarely dive deep on commission-free, tax-focused marketplaces. Oriel IPO steps in right here.
How Oriel IPO Makes It Easier
Oriel IPO is a commission-free online investment marketplace. We specialise in SEIS/EIS. Here’s how we stand out:
- Curated listings of SEIS/EIS-eligible startups.
- Detailed educational resources to demystify tax relief.
- Subscription tiers for real-time deal alerts.
- Community support so you learn from peers and experts.
Plus, check out Maggie’s AutoBlog, our AI-powered content tool. It auto-generates SEO and GEO-targeted blog content to keep your startup in the spotlight. Better visibility means more investors knocking to attract SEIS funding opportunities.
Step 1: Confirm Eligibility Early
Before you chase investors, get your ducks in a row.
- Company age: Under two years for SEIS (three years for EIS).
- Gross assets: Must be under £200k for SEIS; under £15m for EIS.
- Permanent UK base.
- No “control” by other companies.
- Qualifying trade: Marketplace startups often qualify in e-commerce, education, services.
Get professional advice or use Oriel IPO’s compliance tools. Early clarity helps you target the right audience and save time.
Step 2: Build Irresistible Documentation
Investors keen to attract SEIS funding expect crisp, clear docs.
- Business plan – 10-page max. Focus on your USP, market size, and exit plan.
- Financial model – Show revenue forecasts, margins, break-even.
- Pitch deck – Keep it under 15 slides. Highlight SEIS/EIS tax benefits for them.
- Risk analysis – Be transparent about customer acquisition costs and competition.
Use platforms like Oriel IPO to store and share docs securely. And if content creation drains you, flip on Maggie’s AutoBlog for polished blogs and updates. You’ll look like a pro, every time.
Step 3: Craft a SEIS-Focused Pitch
A generic pitch won’t cut it. Here’s how to attract SEIS funding:
- Lead with tax relief: “Invest £100k, get £50k back in year one.”
- Illustrate runway impact: “Your investment extends our runway by 12 months.”
- Use real case studies: “Marketplace X raised £200k via SEIS, grew 300% in 6 months.”
- Show investor ROI scenarios: Net cost over three years, projected exit multiple.
Remember: investors have to apply for HMRC advance assurance. Guide them through that process. It’s a win-win if you make it simple.
Step 4: Tap into SEIS/EIS Networks
Once your pitch is polished, it’s time to find the right tables.
- Angel networks: Angels Den, Angel Investment Network.
- Syndicates: SyndicateRoom.
- Tax-focused platforms: Oriel IPO — no commission, targeted listings.
- Accountant referrals: Partner with tax advisors who send you clients.
Don’t spam. Build genuine rapport. Attend events like UK Business Angels Association (UKBAA) meetups. Showcase your marketplace in short demos.
Mid-Article Boost
By now, you’ve got the basics to attract SEIS funding. Ready for a smoother path?
Step 5: Streamline Compliance and Reporting
SEIS/EIS isn’t a one-and-done. You must:
- File SEIS1/EIS1 forms within two years of share issue.
- Keep records of share certificates and minutes.
- Report annual milestones to investors.
- Ensure no major changes in your trade or control structure.
Oriel IPO’s dashboard tracks important dates and document deadlines. Avoid nasty penalties and keep investors happy.
Step 6: Leverage Content to Keep Momentum
Investors love progress. Frequent updates signal traction.
- Blog monthly on growth metrics, new partnerships, user stories.
- Post short videos on social media: your team, your product.
- Use SEO-optimised keywords to appear in searches like “attract SEIS funding.”
Here’s where Maggie’s AutoBlog really shines. It’ll generate fresh, on-brand content in minutes—no headache. More content. More inbound interest. More chances to attract SEIS funding.
Step 7: Plan Your Next Round Early
After securing SEIS/EIS, you’ll aim bigger—maybe a Series A. Keep these in mind:
- Maintain 10–20% equity buffer for future investors.
- Keep your cap table clean.
- Document all safety rounds (simple agreements for future equity).
Your SEIS/EIS investors often become champions in later rounds. Nurture those relationships.
Wrapping Up
If you want to attract SEIS funding without paying commissions or wrestling with paperwork, Oriel IPO is designed for you. From compliance modules to curated investor networks and AI-powered content with Maggie’s AutoBlog, we’ve covered every angle.
Ready to power your fundraising journey?
