EIS rules and benefits for investors explained
Invest in EIS-eligible companies to get generous tax relief. We set out the rules and benefits for investors.
You’re a VC or fund. You’d like to invest in a startup and either the founder has said they want to use SeedLegals for their round, or you’ve heard about us and want to try our services yourself. In this article, we’ll explain how you can use Seedlegals for your investments and also answer other frequently asked questions.
What is SeedLegals?
SeedLegals is the leading legaltech platform where founders and investors come to close a funding round. You and the founder agree the terms of your investment deal, select them on the platform and we build all the commercial and legal docs instantly.
Our intuitive workflow and guide text make every step simple, and our customer support team are close at hand if you or your investee need any further support.
Quick intro to SeedLegals
- We launched in April 2017
- In April 2019, we closed a £3M Series A deal with Index Ventures as the lead investor (on SeedLegals of course)
- Based in Holborn, we’re 152 people and growing fast
- The tax return for the accounting period of your R&D claim
- We’re now the largest closer of funding rounds in the UK (closing around 1-2 rounds every day)
- We also help companies do their SEIS/EIS Advance Assurance and Compliance. In fact, around 1 in 6 of all SEIS/EIS applications in the UK come through SeedLegals
- 35,000+ startups and 25,000+ investors use SeedLegals
- We’re active in the UK, France, Hong Kong, Singapore, Northern Ireland and the Republic of Ireland
Does SeedLegals have actual lawyers?
Yes. We’re not a law firm, but our extremely experienced legal team creates and reviews all the documentation available at SeedLegals. They’re also on-hand to assist with wording, deal points or unforeseen complications as and when needed.
We do separately offer a funding round advisory service for larger, more complex rounds. This gives you a bank of hours with a qualified lawyer who can give you specific legal advice on your round. Get in touch at advisory@seedlegals.com to see if your round is eligible.
Does SeedLegals have professional indemnity insurance?
Yes, our PII covers claims up to £2 million.
Do you just do ‘seed’ deals?
No – our automated workflows speed up the back and forth in any funding round. More seed deals take place in the UK than later-stage rounds, and our customer data reflects that. But we also support many larger rounds of £1M+ and Series A and beyond.
Which jurisdictions do you support for funding rounds?
We currently support the UK, France, Hong Kong, Singapore, Northern Ireland and the Republic of Ireland.
How can I use SeedLegals as an investor?
If you’re keen to save yourself – and your investees – time and money when drafting and reviewing legal documents, SeedLegals is the place to do your deal.
See our Investor page for more information on how we can support investors, including:
- finding deals and promoting your cohort
- managing the documents and negotiation on platform
- getting SEIS/EIS certificates
- keeping track of your portfolio through our cap table and exit modelling tools
Many VC investors manage their whole portfolio of investment deals through SeedLegals so get in touch to discuss how we can help.
Talk to an expert
Want to know more about how you can use SeedLegals as an investor? Book a call to chat with one of our experts.
