Apply for SEIS/EIS Advance Assurance

Frequently asked questions

• Do I need advance assurance?

  No, but companies with advance assurance stand a better chance of getting the investment they need. 

  Advance assurance is HMRC’s way of checking whether your company meets the conditions of SEIS and EIS and whether the investment itself will qualify for tax reliefs.

  As such, many investors will only invest in companies that have received advance assurance. Learn more.

• How long does it take to get advance assurance?

  SEIS/EIS advance assurance applications can take up to 8 weeks for HMRC to approve. However, most simple applications can be turned around in as little as 3-4 weeks.

• What's the difference between SEIS and EIS?

  The key difference is that SEIS is designed to help very-early stage businesses, whereas EIS is for businesses that have been trading for a little longer. Learn more.

• How do I know if my company is eligible for SEIS/EIS?

  Vestd customers can check whether their company is eligible for EIS and SEIS on the app before applying for advance assurance. Otherwise, click here to view the eligibility criteria for EIS or here for SEIS.

• Can I apply for both SEIS and EIS?

  Yes, but only if you raise funds with the SEIS first. Your company can't issue shares under EIS, and then go back and issue shares under SEIS.

• I'm a customer. How do I get started?

  If you’re already a Vestd customer, log in to your account and go to 'SEIS/EIS' to start your advance assurance application. If you'd like to join Vestd, book a free consultation with our team today. 

• What is SEIS tax relief?

  SEIS tax relief is a government incentive that allows investors to claim up to 50% income tax relief on investments made into qualifying early-stage startups. It also offers other benefits such as capital gains tax relief and loss relief.

• What’s the difference between EIS and SEIS tax relief?

  SEIS offers higher tax reliefs but is limited to earlier-stage companies and smaller investments. EIS tax relief is available for more established businesses and provides up to 30% income tax relief, plus CGT deferral.

• How does SEIS capital gains tax relief work?

  If investors sell SEIS shares after three years, they can qualify for 100% capital gains tax (CGT) relief on any gain. Reinvesting capital gains into SEIS shares may also qualify for SEIS reinvestment relief.

• Is there a SEIS time limit?

  Yes, you must apply for SEIS advance assurance before issuing shares, and investors must hold shares for at least three years to claim full reliefs. Applications should be made within the SEIS time limit to avoid missing out.

• What is the SEIS maximum investment?

  A company can raise up to £250,000 under SEIS. Individual investors can invest up to £100,000 per tax year and still claim full SEIS income tax relief.

• Do I need a SEIS business plan to apply?

  Yes. HMRC expects a detailed SEIS business plan outlining your business model, growth strategy, and how the funds will be used. Vestd helps you prepare and submit this with your advance assurance application.

• What is a SEIS round?

  A SEIS round refers to the investment round in which a company raises money under the SEIS scheme. It’s typically the first funding round for startups looking to offer generous tax incentives to investors.

• Are there SEIS investment funds I can access?

  Yes, some investors use SEIS investment funds UK-based firms manage to spread risk across multiple early-stage businesses. These funds can be a valuable source of capital during your SEIS round.