Braveheart fund help for firms
The Scottish group, which bought Yorkshire investment firm Inkopo last year, said the launch of its new tax-efficient fund could prove attractive to investors with the income tax upper limit set to rise to 50 per cent.
Braveheart currently has stakes in 48 portfolio companies, including avionics analysis firm Rapita Systems, spun out of the University of York, and inkjet printing specialist Diamond Digital, based in Sheffield.
The Enterprise Investment Scheme fund will be put into technology-based firms which have potential to make significant capital gains over the next five years, Braveheart added.
Geoffrey Thomson, chief executive of Braveheart, said: "We have interests in 48 companies and within this portfolio there are some outstanding businesses in which the Beta EIS Fund may invest.
"Alongside this we have a strong pipeline of new opportunities. Beta investors will benefit from a portfolio that is diversified in terms of sector and stage."
The EIS fund is structured so that investors can back high risk/high reward companies in a tax-efficient way.
If the investment fails, investors can set the loss against tax. If the investment succeeds, investor can realise gains usually without paying tax on the profits.
Braveheart bought Normanton-based Inkopo in June last year in a deal worth up to 1.31m.