Investment Criteria 

 

Longbow is restricted under the scope of its FCA authorisation to dealing with professional investors who can be classified as Elective Professional Clients (EPC) and other FCA authorised counter parties.

 

An organisation regulated and authorised by the FCA may classify a client as an EPC if it has take reasonable care to determine that the client has sufficient experience and understanding to be classified as an EPC.

 

Longbow offers investors the ability to either:

 

  • Directly co-invest and hold securities purchased in the investors’ own name, on a non discretionary basis. There is no minimum or maximum investment other than under the limitations of the amount of investment a qualifying company will accept, or

  • Invest through a Portfolio account, where the investor can opt to provide Longbow with authority and discretion over their investment. Under the investment agreement of the Longbow Portfolio Service II, which is subject to a minimum commitment of £25,000

  • Longbow can also offer the flexibility for investors to hold some investments directly and others through the Longbow Portfolio Service II

 

All investors are subject to anti money laundering checks, required under law when making investment in private companies or through a Portfolio account.

 

Longbow can offer investors the opportunity to invest directly into any one or more of the companies which it selects for investment. Longbow strongly advocates that an individual investor spreads the risk of unquoted and illiquid investments through developing a portfolio of investments in different companies.

 

 

Offer

 

The Longbow Portfolio Service II (LPS II) provides high net worth private investors (HNWIs) with a discretionary managed bespoke portfolio of unquoted investments that can offer valuable tax reliefs and which are carefully monitored and supported to drive absolute capital growth based returns at the point of exit. Longbow is experienced in working with small emerging companies seeking to achieve substantial growth and understands the risks of Investment within this sector. By holding a range of investments in different companies in a portfolio, the stock-specific risk is significantly reduced. LPS II will normally invest subscriptions within one year of receipt of funds and the expected term of the underlying Investments is between 3 and 5 years.

 

Tax reliefs are received through investment in Qualifying Companies under the Enterprise Investment Scheme (EIS), with Business Property Relief (BPR) for Inheritance Tax Purposes (IHT); or, alternatively through investment via a Self Invested Pension Plan (SIPP). These reliefs reduce tax liabilities; mitigate risk, by reducing the cost; as well as enhance potential returns, where gains are tax exempt.

 

Subscriptions to LPS II received before 31 March in one tax year will be eligible for investment across up to three different tax years, according to the preference of the investor and subject to the availability of Investments selected by Longbow.

 

 

Features

 

  • Value Growth: focus on generating exceptional and absolute capital returns

  • Tax Efficiency: reduce income tax and defer CGT under EIS, exempt from IHT and BPR, achieve tax free capital gains either under EIS or within a SIPP

  • Deliver: positive returns with exits commencing after 3 years from the point of first investment