Raising business finance — share capital | Tax Guidance

Raising business finance — share capital

Produced by a Tolley Owner-Managed Businesses expert

Owner-Managed Businesses

Guidance

One of the most pressing issues for most types of business is the raising of sufficient finance to commence, continue or expand activities. However this is done, the business ought to consider the tax implications of the various options. In addition, there are specific tax reliefs which investors may actively seek or encourage a business to adopt. Tax advice at an early stage can maximise the effect of existing investment as well as encourage external investors.

Where the business is incorporated and the company is seeking additional funding this can be provided through equity funding, there are various options including share capital being held by family and friends, tax relief schemes such as enterprise investment schemes (EIS and SEIS) through to private equity funding. This guidance note summarises the implications of equity funding for an OMB company with links to further details.

For more details on raising finance through loans see the Raising business finance - loans guidance note.

Types of share

Access this article and thousands of others like it
free for 7 days with a trial of TolleyGuidance.

TAKE A FREE TRIAL

Popular Articles

Corporation Tax

Overseas property businesses for companies

Overseas property businesses for companiesOverviewReal estate income is generally taxed where the property is located; the UK tax treaties generally allow the jurisdiction where the land is located to tax income from the land.Therefore, a UK company with overseas property may be subject to tax in

14 Jul 2020 12:22 | Produced by Tolley in association with Rob Durrant-Walker of Crane Dale Tax Read more

Exemption ― insurance ― overview

Exemption ― insurance ― overviewThis guidance note provides an overview of the VAT treatment of insurance products and should be read in conjunction with the Insurance ― specific transactions and Exemption ― insurance ― brokers and agents guidance notes.Is insurance exempt from VAT?Supplies of

Corporation Tax

Terminal trading loss relief

Terminal trading loss reliefTerminal loss relief for trade losses in the final 12 monthsTrading losses incurred by a company in the final 12 months leading up to the discontinuance of trade may be carried back for up to three years from the period beginning immediately before that 12-month period.

14 Jul 2020 13:49 | Produced by Tolley Read more

UU��ֱ��