Investment product details
The Fund is managed by SIS Ventures Limited, a new wholly owned subsidiary of Social Investment Scotland, which is to operate with an independent board
The fund will invest in mission-driven social enterprises that are UK registered and operate or have a social impact in Scotland. Investments will be made in a mixture of EIS qualifying equity investments and SITR qualifying debt investments. Debt and equity Investments will not be made by the manager in the same investee enterprise.
The maximum aggregate investment in any one investee enterprise by the fund will be the lesser of £500,000 and 25 per cent of the aggregate value of the fund at the time the investment is made, with a minimum investment of £100,000.
In addition, the manager will have the discretion to invest 10 per cent of each investor’s subscription in social enterprises at an earlier stage of business development, potentially prior to the social enterprise generating revenues. It is expected that such investments will carry a higher degree of risk, but the potential for greater returns. The manager will only exercise this discretion in exceptional circumstances. These investments may qualify for SEIS relief.
The manager is a flexible investor and will look to co-invest alongside other mission-aligned investors.
Further details on the investment criteria and case studies are given in Section 3 of the Information Memorandum.