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This particular one was £50k investment for 9% equity, plus they send an additional £50k to the company, which is transferred immediately as a "service charge".
by wolfer 12y ago
This particular one was £50k investment for 9% equity, plus they send an additional £50k to the company, which is transferred immediately as a "service charge".
Writes off £50k of your SEIS allowance as a business, which as I'm sure you know is like gold dust for the first £150k, as 50% of the investment can be written off against investors income tax, then a further 30% if the company fails.
If the company succeeds, the investors pay no capital gains on sale of shares.
- wolfer 12y agoTo further add to this, it's not necessarily the fact that they take a service charge that I take issue with. It's the complete lack of transparency up-front and only once you're close to getting on the program that it's ever disclosed.
- solve 12y agoThe transparency for accelerators is terrible now. Every founder presumes that the new accelerators are at least trying to follow the template of the best accelerators. Surprisingly often that's not the case whatsoever, down to the smallest meaningless details. A good start might be submitting those details to (http://accelerat.io/ http://accelerat.io/). They seem to be tracking this.
- sjaakkkkk 12y agoFounder of http://Accelerat.io http://Accelerat.io here. This is exactly why we started our project, we hear a lot of these stories of second and third tier accelerators doing these kinds of shenanigans. Would love to put up the accelerator you're talking about with clear information so future entrepreneurs applying can know about this upfront. If you contact me at hello at accelerat.io I'll set it up for you. Rest assured, it will all be 100% anonymous.