At Green Crowd, we aim to make a difference by offering ethical and socially beneficial EIIS investments that contribute to a green economy.
We let you invest directly in a range of businesses and projects that put your money to work in a tax efficient manner and help build a green economy.
Green Crowd conducts and manages private placements on behalf of our clients in the EIIS fundraising and private placement markets. We specialise in early-stage equity with a focus on renewable energy and sustainable infrastructure projects.
We have designed Green Crowd to allow a wide range of investors to directly invest in start up and growing businesses and do so a tax efficient manner achieving high returns.
Businesses Seeking Funding
If you are a small business seeking investment, we can offer you the opportunity to secure start up and development investment directly from a wide range of investors.
We will conduct and manage the EIIS Private Placement on your behalf. We provide a full, turnkey solution, from preparing the Information Memorandum, raising the capital, issuing Share Certificates and Statement of Qualifications and the implementation of appropriate exit mechanisms.
We work directly with companies seeking to raise capital by way of a Private Placement and therefore the process is uniquely designed to meet each company’s specific requirements.
What is Crowdfunding?
Crowdfunding finances people, projects or businesses by raising contributions from a large number of people, usually via the internet on a ‘platform’. In return, you receive shares in a company or earn interest.
The sector is often associated with early-stage equity investments in start-ups, but in fact some 97% of the money raised in mature markets like UK has been debt-based. Much of the market is now lending to more mature businesses with established revenue streams.
What are Green Crowd EIIS Shares?
Green Crowd EIIS Shares allow you to invest directly through private placements in start up or growing businesses and receive tax relief of up to 40%* on your investment. You will also receive a nominal return on your money typically 2% – 4% p.a; often giving combined returns after tax relief of 15% – 20%.
To benefit from the full tax relief you will need to hold your Green Crowd EIIS Shares for the full four year term.
The investee companies tend to be relatively small or growing businesses and thus have higher risk profiles. EIIS funding provides them with much needed finance to help them grow in the early part of their business lifecycle. For this risk EIIS investors get rewarded with tax relief. Investors need to be aware that while the returns are attractive, they can lose all of their capital and should take independent financial advice before investing.
A common criticism of crowdfunding and peer-to-peer finance is the lack of transparency from platforms on what due diligence they have done on behalf of investors.
We place high importance on making sure you have all the information you need to make an informed decision. While we believe that we carry out due diligence to an appropriate level, we use certain assumptions and request certain assurances from the Project Owner, including that all documents and historical details provided to us by the borrower are accurate and genuine and that no material information has been withheld from us.
Due diligence can include reviewing any contracts, warranties or insurance policies that are in place, checking the Project Owner has any relevant permissions or licenses required and reviewing third-party valuations of the underlying assets.
To make it clear where your money is going, a full offer document is provided to you for each Green Crowd EIIS Investment.