Just bumping this as it is coming up to that time of year again!
Anyone find anything worth looking at? Slim pickings atm even on sparkfunding
Is it a function of teh current climate I wonder?
This looks interesting - a lot of EI and seed funding already - any thoughts?
https://fpdrecycling.com/eiis/
They are charging a 4% admission fee, that seems on the high side to me, especially when they appear to be running it themselves and not through a broker.
Agree though to be fair I find this is creeping in more now to cover the accountant fee or whatever.
The 25% annual return is a bit misleading too as this includes the EIIS tax relief (so it's really only 7% p.a. annual coupon - 28% return on the investment itself after 4 years). On the plus side you get preference shares, and it does seem ot have solid credentials and backing so maybe more likely to get your money back at least
Anything else people are looking at? Dairy Concepts have been on the go a few years with it now - still seems not to have really taken off yet, though seem to be stocked in some supervalus now. Did anyone invest in previous years with them?
Think supplements is in the business post on 19th Nov
Quick scan through the business post today
Medpoint.ie
Kinsalespirit.com
Uvmedico.ie
Glycoselect.com
Quintas.ie (fund)
Fpdrecycling.com/eiis
I linked FPD recycling above - looks very interesting! Good site here with some opportunities
https://eiis.investments/eiis-opportunities-direct-investment/
Spark now introducing 6 per cent profit fee on exit
Saw that. Wow. Makes the 3-4% sign-up fee going direct/via brokers look not so bad I guess given Spark also charge a 7% placement fee for successful investments so they get it at both ends
I have yet to find a scheme
They're all terrible! I have yet to find a scheme worth taking a punt on.
Not sure what you're looking for but McKeogh Gallagher Ryan have a €5m windfarm EIIS fund
Do you have a link? The only one I could find is from 2018. TIA!
No link, sorry, you would need to contact them (Limerick Office), prospectus will probably be out next week, was contacted by email, expressions of interest being sought, their expectation is that it will fill quickly. I've no connection with them (other than previous EIIS investor) and not promoting it/them.
Edit: Minimum investment €5k
Thanks for the heads up! I hate it when companies incorporate the tax refund via the EIIS into the expected ROI figures. As an investor, the only reason you would take on the extra risk associated with the type of shares granted under these schemes is for the potential upside. Too often we're seeing the tax refund comprise essentially 95% of one's ROI.
The shares granted are usually entirely illiquid and as far as I know, any losses cannot be carried forward and used against CGT arising from equities traded publicly which is a massive downside. To add insult to injury, I've even seen some companies charge an "exit fee".
Yea I know what you mean, the maximum return on this investment is €1.05 per €1 invested, so it's essentially interest free money for the developer with the investor getting the tax refund. The saving grace is probably that you are getting this tax refund up front. The shares are absolutely illiquid. I haven't invested in any company that had an 'exit fee' and haven't come across it tbh, it would put me completely off.
Investors have zero protection if things go south... One could easily risk throwing €5K at an EIIS for the 40% tax refund, only to lose their entire investment and be €3K worse off than they were at the beginning. The potential ROI needs to be significantly better for it to be worth the risk imo.
Thanks for the info here. 5% over 4 (likely 5-6 in reality) years is very poor. Practically free funding.
I thought 20% was the norm and even that isn't great considering the risk. I guess the demand for them is very high with interest rates so low and a lot of cash around, so they can be much less generous.
I had seen something about All real nutrition looking for funding too in the business post but can't find anything online except this: https://www.quintas.ie/News/quintas-summer-newsletter-2022/ Might be closed now.
Tempted to look at one of the funds now but if it is slim pickings for direct investment the companies the funds invest in may be even worse.
Supplement is in the business post Sunday either tomorrow or next Sunday.
I think FPD recycling looks good to be fair, but the 20k minimum is a blocker as I like to diversify as much as possible with EIIS investments and not be overloaded in one due to the risk.
Akkure
https://www.sparkcrowdfunding.com/campaign/akkure2
Genuine question: if this scheme is so advantageous to companies compared to other financing sources(capped upside & equity risk seems to be the norm), why isn't there more of them taking advantage? I think one explanation is the deal size, there's so much you can raise from retail investors. There's probably some overhead in communicating with so many investors and as well to adhere to the scheme?
Store4U.ie in the business post today
store4u.ie
prospectus:
https://www.flipbookpdf.net/web/site/3b8e825ecb7aebae28783aa19ca878a932aac008FBP26530278.pdf.html
A 10% return after 4 years... I'd sooner buy prize bonds.
Well tbh you get the EIIS relief too which is the only reason anyone invests (so 50% after 4 years) and 10% is better than the 5% somebody mentioned above.
But entry fees of 3.5% on top too. To be fair the prospectus has a bit more financial info than you usually get.
I'd genuinely want 20% after 4 years on top of the EIIS relief to consider anything I think.
Did anyone invest in Busterbox previously? They seem to have done very well so far
It's not really "investing" though, you're essentially lending money to a company for 4 years in return for 10% interest.
What do you mean that it's not investing? You are buying shares in the company to try and earn a return.
My point is that they're not really "shares" in the normal sense. The shares you're allocated are ring-fenced and expire after 4 years.
Noob question here, but is there any website that gives a costing example of the way the scheme works?
That's why you might go through an advisor who can advise on the best choices. Only 60% of the principal is at risk, that's a pretty good deal.
Is there any scope to claim the tax relief over a number of years so you can benefit from the high rate for all of it? E.G. If you only paid €20,000 at the higher rate in 2022 but want to invest €40k in an EIIS - can you claim 20k this year and 20k next year instead of 40k relief this year?
I think the answer is no, as I believe I saw on revenue that you can only claim back the relief in the year the shares were purchased (unless it is over the maximum allowable investment per year of 250k)
Is tomorrow the eii issue of the business post?
