Supporting the next generation of British businesses
Many companies that started off with venture capital trust (VCT) funding have become household names in their own right. Some have listed on the London Stock Exchange, while others have been sold to global brands, such as Microsoft and Twitter, delivering excellent returns for VCT investors. And of course, VCTs offer several tax incentives to help compensate investors for the risk they take with their money.
Some risks to keep in mind
Investing in a VCT puts your client’s capital at risk. Shares in VCTs should be considered higher risk and may be harder to sell than those listed on the main market of the London Stock Exchange. Tax treatment depends on individual circumstances and may change in the future, and tax reliefs depend on the VCT maintaining its qualifying status. You’ll find more detail on the risks in the ‘What risks should your clients be aware of’ section of this page, as well as on the VCT pages we link to below.
What is a venture capital trust?
Take a look at our client-friendly guide to venture capital trusts, and watch this video. Please bear in mind the risks above.