Equity-based crowdfunding platform Crowdcube has joined forces with the Treasury to make it easier for investors to support early-stage companies.
Crowdcube has been asked to explore ways to refine the application process for the Seed Enterprise Investment Scheme (SEIS) – which is designed to incentivise investment into promising start-ups.
SEIS, which launches in April, offers a range of benefits to investors, including tax breaks of nearly 80% in the first financial year.
Crowdcube’s groundbreaking crowdfunding platform has facilitated early-stage investments of over £2m in its first year, and the Treasury hopes the founders’ expertise can simplify the SEIS application process for individuals investing through crowdfunding.
Crowdcube co-founder Luke Lang told our sister site, Startups: “The government is running a Red Tape Challenge, to ensure that regulatory systems are fit for purpose, and not holding back disruptive new companies.
“They wanted to speak with Crowdcube because one of the key threads is crowdfunding. As crowdfunding becomes established and more commonplace, investors will benefit from a greater choice of investment opportunities.”