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21 September 2015

#COULD YOUR CLIENTs BE MAKING MORE USE OF BUSINESS PROPERTY RELIEF?For professional advisers only and should not be relied upon by retail clients

#TAX EFFICIENT INVESTING WITH OXFORD CAPITAL

BackgroundOxford Capital has been managing tax efficient investments since 1999.Partnership owned.40 employees split between head office in Oxford and London.Managing assets in excess of 300m.Two core investment strategies Growth and Infrastructure.Experienced investment teams with proven track records.

#TAX EFFICIENT INVESTING WITH OXFORD CAPITAL

Investment expertiseInvestment StrategyGrowthInfrastructureClient MotivationPotential for investment returnTax planning investmentOffering

#TAX EFFICIENT INVESTING WITH OXFORD CAPITAL

The Oxford Capital JourneyInvestor SupportAdvisor SupportDedicated investor services team.Efficient and timely management of EIS3 certificates.Semi-annual cash statements and annual audited valuation reports.Annual investor reporting event for each investment strategy.Online support via Oxford Capitals Investor Centre.Business development support, including workshops with professional partners / introducers and joint presentations to clients.CPD qualifying workshops on how BPR and EIS can be integrated into holistic wealth planning.Regular updates (face-to-face, webinars, conference calls) on offerings.Dedicated investor services team.Parallel reporting.Online support via Oxford Capitals Investor Centre.

#AGENDA1UNDERSTANDING THE IHT PROBLEM2WHAT IS BUSINESS PROPERTY RELIEF AND WHERE DOES IT FIT?3IDENTIFYING SUITABLE CLIENTS4DESIGNING A CLIENT RECOMMENDATION

#UNDERSTANDING THE IHT PROBLEM

#BPR BackgroundUNDERSTANDING THE IHT PROBLEMAssets in excess of 325,000 (the nil rate band) subject to IHT at 40%.The nil rate band is frozen at this level until 2020/21.New main residence nil rate band proposed from April 2017.Over 3.4bn collected by HMRC (2013/14).Generally regarded as a voluntary tax.As asset values recover, the problem will only get worse.Ageing population.

#BPR BackgroundTHE IMPACT OF AN AGING POPULATIONNumber of the UK residents aged 65 and over is 11.1m (representing 17.4% of the population).This age group has increased by 17.3% in ten years.Males over 75 up 26% (women up 6%).

Source ONS 2012.

#BPR BackgroundRISING HOUSE PRICESThe average detached house is now valued at 323,100 (or 99.4% of the nil rate band).House prices are up, on average 11%, in five years.In London and the South East, prices have increased by almost 30%.

Region5 years agoCurrent value% changeLondon524,300672,50028.3%North228,900233,8002.1%Yorks & Humb223,400260,10016.4%N. West251,100267,7006.6%E. Midlands206,700247,20020%W. Midlands266,600249,4006.9%E. Anglia237,000299,20026.2%S. East377,400490,40029.9%S. West345,600377,4009.2%Scotland257,000253,300-1.4%UK average290,200323,10011.3%Source: Halifax Property Index Q3 2014.

#BPR BackgroundESTATES PAYING IHT EXPECTED TO DOUBLEThe number of estates paying IHT is expected to double.Over the next five years 236,000 estates are expected to be subject to IHT.By 2018/19, almost 10% of estates will be subject to IHT.

Tax yearProportion of deaths subject to IHT (%)Deaths (000s)Number of deaths subject to IHT (000s)2013-144.8548.726.22014-156.5547.935.92015-168.0547.643.82016-179.0548.049.12017-189.6549.052.72018-199.9550.654.5Source OBR 2013.

#Business Property Relief (BPR)Background

#BPR BackgroundHistory of bprIntroduced by Finance Act 1976.Designed to prevent a business having to be sold to pay IHT.Provided as a statutory relief, it offers non-contentious tax savings.Relief available at up to 100%, depending on asset.Increasingly used as a wealth management solution.

#BPR BackgroundTHE THREE PILLARS OF ESTATE PLANNING

#BPR BackgroundKEY BENEFITS Access and control retained.No complex trust structures or medical underwriting.FLEXIBILITYSIMPLICITYCan accommodate a change in circumstances.AVAILABILITYTIMELINESSIHT benefits are achieved after just two years and if held on death.

#BPR BACKGROUNDTHE PROBABILITY OF SUCCESSFew estate planning solutions are effective immediately.Gift based solutions typically take seven years to be fully effective.BPR solutions provide freedom from IHT after just two years.

Current ageMaleFemaleLife expectancyProbability of surviving two yearsProbability of surviving seven yearsLife expectancyProbability of surviving two yearsProbability of surviving seven years651897%89%2098%92%701496%82%1697%88%751193%71%1295%79%80888%55%991%64%85580%34%684%44%90468%17%473%23%95253%0%358%0%Source: Office for National Statistics

#IDENTIFYING SUITABLE CLIENTS - BPR PLANNING IDEAS

#BPR planning ideassummary Accelerated Estate PlanningLifetime Gifting Making Transfers Into Trust in Excess of the Nil Rate BandStarting the Journey - Reducing the Costs of Estate RestructuringBPR as a Trustee Investment Managing the Periodic ChargeMental Capacity Powers of AttorneyExit Planning for Business OwnersDeath Bed Planning Its Never Too LateThe Holy Trinity

#LIFETIME GIFTING MAKING TRANSFERS INTO TRUST IN EXCESS OF THE NIL RATE BAND

#19Lifetime gifting

A simple exampleTransfers into a relevant property trust are chargeable lifetime transfers (CLT), with amounts in excess of the available nil rate band subject to tax at 20%.Where the person making the gift chooses to pay any liability, the effective rate of tax increases to 25%.

Value of transfer428,000Less annual gifting exemption 3,000Value of CLT425,000Less, available nil rate band325,000Amount subject to tax 100,000Tax due at 20% 20,000

#EIS IN ACTIONLifetime gifting428,000Available to gift328,000DiscretionaryTrust100,000BPR qualifyingassets

#EIS IN ACTIONLifetime gifting428,000Available to gift428,000DiscretionaryTrust100,000BPR qualifyingassetsOption 1After two years, transfer to existing trust

#EIS IN ACTIONLifetime gifting428,000Available to gift328,000DiscretionaryTrust (No.1)100,000BPR qualifyingassets100,000Discretionary Trust (No.2)Option 2After two years, transfer to new trust

#BPR AS A trustee investment Managing the periodic charge

#BPR planning ideasBPR AS A TRUSTEE INVESTMENT MITIGATING THE PERIODIC CHARGERelevant property trusts are subject to periodic charges every ten years.Where the trust assets exceed the nil rate band available, IHT is paid at 6% on the excess.Capital distributions are added back when determining trust assets.

Value of trust fund1,325,000Less, available nil rate band 325,000Amount subject to tax 1,000,000Tax due @ 6% 60,000

#BPR planning ideasBPR AS A Trustee investment mitigating the periodic chargeWithout EISWith EISValue of trust asset not qualifying for BPR1,325,000325,000BPR qualifying trust assetsNil1,000,000Amount subject to IHT1,000,000NilIHT payable @ 6% 60,000Nil

#Mental capacity Powers of attorney

#BPR planning ideasPowers of Attorney - Restrictions on the ability to make giftsSection 12, MENTAL CAPACITY ACT 2005 - SCOPE OF LASTING POWERS OF ATTORNEY, GIFTS

(1) Where a lasting power of attorney confers authority to make decisions about P's property and affairs, it does not authorise a donee (or, if more than one, any of them) to dispose of the donor's property by making gifts except to the extent permitted by subsection (2).(2) The donee may make gifts(a) on customary occasions to persons (including himself) who are related to or connected with the donor, or(b) to any charity to whom the donor made or might have been expected to make gifts, if the value of each such gift is not unreasonable having regard to all the circumstances and, in particular, the size of the donor's estate. (3) Customary occasion means(a) the occasion or anniversary of a birth, a marriage or the formation of a civil partnership, or(b) any other occasion on which presents are customarily given within families or among friends or associates.(4) Subsection (2) is subject to any conditions or restrictions in the instrument.

#BPR planning ideasPowers of Attorney HOW BPR CAN HELPNo need to make a gift / create a trust.Assets are registered in the name of the donor.The donor retains full access to the investment, together with the proceeds.No need to involve the Court of Protection.Saving time and money.Freedom from IHT after just two years.

#EXIT PLANNING FOR BUSINESS OWNERS

#BPR planning ideasEXIT PLANNING FOR BUSINESS OWNERSRESTORING BPR ON THE SALE OF A BUSINESSOn sale, the proceeds will be in the estate of the client as BPR shelter is lost.BPR can be restored immediately by investing the proceeds in to BPR qualifying assets within three years, buying time to consider options and allowing significant amounts to be transferred into trust without lifetime IHT charges.

#BPR planning ideasEXIT PLANNING FOR BUSINESS OWNERSBUSINESS SALE DUE TO ILL HEALTHWhat if the client is forced to sell a BPR qualifying business as a result of a terminal or critical illness? The illness may significantly reduce life expectancy. While sale may qualify for Entrepreneurs Relief, any gains will be taxed at 10%*.An investment into an EIS offers a potential solution given it attracts BPR qualifying status after two years.*Assumes sale qualifies for Entrepreneurs Relief at 10%.**Subject to meeting qualifying criteria.***Income tax relief of up to 300,000 could also be claimed.Without EISWith EIS***Gain on sale of business1,000,0001,000,000CGT payable immediately*100,000NilProceeds net of CGT900,0001,000,000IHT arising on death360,000Nil**Balance passing to beneficiaries540,0001,000,000

#DESIGNING A CLIENT RECOMMENDATION

#Designing a client recommendationOverview of client objectivesFreedom from IHT in the near termTypically seeking capital preservationA desire to balance the need for access with the opportunity to achieve a real returnFlexibility to accommodate a change in circumstancesThe ability to access capital, either as a lump sum or a regular income

#Designing a client recommendationBalancing risk with the need for investment returnsMany clients will be risk averseDiversification at an asset level can help manage specific riskConsider spreading the investment across a number of providersImportant to achieve a blend of liquidity options in order to allow the required level of access whilst also providing the potential for returns.

#Designing a client recommendationConsiderations when assessing a clients need for ACCESSNot all clients will have the same need for accessArranging a suitable contingency fund remove the need to redeem investments at least in the short termA diversified portfolio can offer a range of access optionsHigh level of access can impact on potential returnsMany clients who request higher levels of access rarely utilise it.

#Designing a client recommendationStructuring the investmentImmediate:Review accumulation or income optionsNeed to consider the clients tax positionDetermine frequency of any withdrawalsShould the application be in joint or single names

Future:Consider how the clients circumstance may change over timeWill this necessitate rebalancing a clients portfolio?What are the costs and tax implications of making changes?

#ESTATE PLANNING SERVICE

#ESTATE PLANNING SERVICE

SUMMARYClient motivationTax planning investment.StrategyDiscretionary investment management service investing in companies that qualify for BPR. Focus on capital preservation.StructureSubscriptions invested in one or more holding companies depending on portfolio selected. Configurability5 investment options, offering the choice of access, income and growth.FlexibilityAd hoc and/or regular access to capital, the option of a regular income, plus opportunity to switch option if circumstances change.SubscriptionsMinimum of 50,000. Minimum for top up 25,000. Subscriptions are invested monthly.

#ESTATE PLANNING SERVICE

Understanding the Investment OptionsCHOICE OF FIVE OPTIONS

Investment OptionTarget dividend Income (p.a.)Target capital growth (p.a.) Target access to capitalIncome4%6 monthsGrowth, with access3%1 monthGrowth, with return5%6 monthsGrowth, balanced access and return4%Up to 50% within 1 month, with the balance after 6 monthsGrowth and Income2%2%6 months

#Q&A

#Regulatory Notice

We invest in companies for which there is no established or ready market for their shares. Capital is at risk and investors should only invest if they can afford to lose their capital.Investment is of a long term and illiquid nature.Past performance is not a reliable indicator of future results. Any tax advantages associated with investing are subject to change and depend on the individual circumstances of each investor. This financial promotion is issued and approved by Oxford Capital Partners LLP (Oxford Capital) 201 Cumnor Hill, Oxford, OX2 9PJ. Authorised and regulated by the Financial Conduct Authority under number 585981. Applications for investment in funds/portfolios managed by Oxford Capital may be made only on the basis of the relevant Information Memorandum and application form, copies of which are available from Oxford Capital. No reliance is to be placed on the information contained in this document in making any such application. This material is directed only at persons in the UK and is not an offer or invitation to buy or sell securities. This document is not an offer or invitation to invest in products managed by Oxford Capital nor does it solicit any such offer or invitation.

#21 September 2015

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A Golden Opportunity to Invest in Film & Media

Our VisionGoldfinch Entertainment represents a gold standard in entertainment and media investment.

Structuring each in a bespoke manner, selecting only the most commercially appealing with the best returns.

Revolutionising film and media investment.Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 2GoldfinchGoldfinch Entertainment was founded in January 2014 with the backing of leading independent Entertainment accountants Nyman Libson Paul.Acting as Executive Producers on all projects.Raised and deployed over 25 million to our projects across the Film, TV, Kids TV, Animation, Video Games and Theatre sectors.Maximising revenues.Variety of Investment Vehicles. Industry leading personnel.Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 3Our Leadership TeamGoldfinch Entertainment is backed by Nyman Libson Paul; Chartered Accountants, Tax and Business Advisors to the Entertainment Industry for over 80 years.Founded in 1933 Traditional accountancy services plus much broader commercial, tax and financial management advice; Underpinned by vast experience and knowledge of the Entertainment Industry.Experts in processing and claiming Creative Industry Tax Relief (CITR)

Kirsty Bell, MD and Founder, is both a successful film producer and a tax specialist who has spent much of her career at top-ten accountancy firms.Focus on structuring film companiesRaised over 100m for the industry. Among her many credits, Kirsty produced the 2013 feature film Harrigan,First-hand knowledge of film production and experience in all aspects of film finance Joel Newman, Chairman, Joined NLP in 1991 and is the current Managing Partner of the practice. Led the practice to its position as an industry leader within the UK entertainment Director and founding member of The Movies Begin ltd.Associate of the Chartered Institute of Taxation and a Member of the Faculty of Taxation of the Institute of Chartered Accountants.

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 4

Why Invest in Film & Media?Creative industries are now worth 76.9 billion a year to the UK economy.UK entertainment industry is predicted to grow annually by 3.1% until at least 2018.Demand for British television and film content is high across the globe. 2015 has been a dramatic year for British video game producers.UKs position as the global theatre capital is ongoing.UK government support of the sector every increasing.Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 5Why Invest in Goldfinch?Demand for tax-efficient investments is growing.1.5bn in 2013-14 was invested in EIS alone.Very few alternatives for Government backed tax planning.EIS & SEIS fully Government approved in plain vanilla format further commitment in Budget announcement.Insurance backed Goldfinch EIS provides option for previous Solar investorsTrack record of raising 25 million to date.Industry leading team from tax, finance, and entertainment backgrounds.High quality pipeline and projects delivering returns.Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 6

Our FundamentalsIndustry leading team and experience.Strict criteria for projects to be taken on.Innovative structuring.Investors sit in first position in many cases and if not their position is NOT marginalisedWhere appropriate HMRC Advanced Assurance will be attained and the projects may be Government backed through the UK CITR to minimise investor risk.Projects chosen for their commercial potential.DIstribution is at the centre of all decisions made.Transmedia approach to maximise project revenue.Holistic service from project inception to distribution.Organic growth of Goldfinch through key collaborative partnerships.

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 7

EISFlagship EIS investment vehicle, Goldfinch I, has been created to support the production and distribution of a number of film and television projects.Goldfinch I focuses on sales advances acting a sales agent and distributor. Last in, first out policy for investors. 70% of the project's investment is underwritten by UK Creative Industry Tax Credits and/or pre sale agreements, Allenbridge describing the company as Low Risk. Stand-alone EIS projects.Also a number of our SEIS projects that have chosen to raise more than their 150k limit and thus morph into an EIS investment opportunity.

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 8OUR PRODUCTS

Insurance Backed EIS Goldfinch Completion and Goldfinch Distribution The FT Adviser even went as far to say Could films present the next EIS solution? (FT Adviser 17.11.14).70% of the invested amount is insured through a specialist media insurer direct with the Producer, and with investors claiming their 30% income tax relief on top of this investor's capital risk can be effectively reduced to zero.The return for investors is estimated at 125% over three years, excluding tax relief.

OUR PRODUCTSGoldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 10

SEIS companies can raise up to 150k with generous income tax, capital gains and inheritance tax relief for investors as in the summary below. We have a wide range of SEIS projects covering all the entertainment sectors, many genres, and a varying returns for investors.All projects are chosen for their commercial promise and tangible end product; we do not create SEIS companies that are merely black holes and development funds. Goldfinchs wide range of SEIS companies means that there is not only something for all tastes, but that investors risk can be spread across many of them in a portfolio style approach.Our SEIS companies either provide the full finance for smaller budget productions, or can be a part of a jigsaw of finance put together for a project that can include various soft money sources and private investors.

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 11OUR PRODUCTSSEIS

As stated above our range of SEIS companies lends itself to a portfolio approach for investors or IFAs, however for those wishing to benefit from this approach but executed and managed by an experienced fund manager can now invest in our Goldfinch SEIS Fund managed by Kin Capital.The main benefit of this as with normal SEIS investment is the 50% income tax relief and other tax benefits although the fund delivers this with a diverse portfolio of entertainment sector businesses. Other key features of our fund include:Strong investment pipeline (adviser funded 34 SEIS projects in 2014)Low investment minimum & costs relative to other SEIS FundsRetail investors return of capital prioritised over other investorsIt should also be noted that the fund will be allotting shares throughout the current tax year. It is therefore possible to invest and offset the income tax benefits against the 2014/15 tax year through the use of SEIS carry back. More information on how this is possible is available here on the gov.uk website; www.gov.uk/seed-enterprise-investment-scheme-background.For more information on Kin Capital visit their website at www.kincapital.co.uk.

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 13SEIS FundOUR PRODUCTSEIS & SEIS Summary BenefitsEISSEIS Income Tax Relief30p for 1 invested50p for 1 invested CGT Relief28p for 1 invested - deferred14p for 1 invested IHT ReliefBusiness Property Relief; after 2 years the investment sits completely outside your estate ROIEach project is different ranging from 10-75%*Potential Investor BenefitsFilm premieres, VIP treatment, attend film festivals, Exec producer credits available,involvement in development process, meet the cast and crew, appear as an extra,exclusive previews, pre-release screenings Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 14Projects of NoteGoldfinch XX - Under Milk Wood (Captain Cat Limited)Goldfinch XVI - KidsCave EntertainmentGoldfinch XVII - Burn Burn BurnGoldfinch XXXV - Three Headed Eagle LimitedGoldfinch L - The Eichmann ShowGoldfinch LIII - Building Jerusalem

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 15

Goldfinch L - The Eichmann Show

What People Have Said...Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 16EISA Awards :Best NewcomerShortlisted 2014

Allenbridge :Low Risk for EIS

HMRC :Gold Medal

Coutts:The Gold Standard

Growth Investor Awards : Industry Game Changer Shortlisted 2015Key PointsCompletely uniqueSomething to suit all investorsHealthy returnsExpert team

Goldfinch Entertainment A Golden Opportunity to Invest in Film & Media

Goldfinch Entertainment 17

22 September 2015

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Recent and pending changes in legislation

Mercia Fund Management 20141EIS LandscapeThe age limit will be 7yrs, not 12yrs (10yrs for knowledge intensive companies)

The lifetime limit will be 12 million, rather than 15 million (but 20 million for knowledge intensive companies)

EIS or VCT money cannot be used to acquire shares in another company or the trade of another company

Removal of the requirement that at least 70% of funds raised from SEIS investments must be spent before any follow-on EIS investment can be made

Follows changes to qualifying trades including removal of key renewables

Mercia Fund Management 20141Our Journey

Mercia Fund Management 20141Our Foundations

Four pillars support Mercias investment model

1234Complete Capital Solution single investment partner solutionDeep sector expertise primary experience borne from industryGeographic focus strategic targeting of Midlands, North and ScotlandInvestor transparency timely, accurate and consistent communication

Mercia Fund Management 20141Complete Capital Solution

1

Mercia Technologies vision is to become a leading national player in the creation, funding and development of high growth technology businesses in the UK

Development and expansion capital for selected companies from established and expanding portfolio of 36 companies in high growth sectors

Regional growth - organic and through selective complementary acquisitions

Enhancements to scalable platform and working capital

Recruitment of CIO and experiencedsector/commercialisation professionals

expansion of university partners

70m AIM IPO to fund:Mercia Fund Management 20142Deep Sector ExpertiseDr Mark PaytonMDTim HazellAdvanced Materials

Mike HayesDigitalRob JohnsonElectronics & Hardware

Peter DinesLife SciencesDr Nicola BroughtonTechnology TransferDr Brijesh RoyInvestment ManagerJosh LevyInvestment Manager Alex HoppenbrouwersInvestment Associate2

Matthew MeadCIO

Focus on the Midlands, the North and Scotland

Mercia Fund Management 20141Geographic FocusSignificant opportunities across technology led sectors with key emphasis on the abundance of leading academic, scientific and research institutions in the regions

Oversupply of venture capital to Golden Triangle leading to high valuations

Dedicated team to support university investment partnership network

Significant government and EU grant funding into early stage enterprise across key technology led sectors in these areas

Mercia maintains extensive industry connections across the Midlands, the North and Scotland which enhances the support we can provide portfolio companies

3

Agreements with nine universities in the Midlands aloneWarwick and Birmingham ranked 7th/12th in UK for research quality. Combined grant income of 180m+ pa.

Close relationshipsMercia Fund Management 20143University Partners

Our award winning portal is the hub for investor communication

Mercia Fund Management 20141Investor Transparency

Quick view dashboard including portfolio analytics

Instant PDF portfolio reports

Quarterly Advisory Committee Reports

Live investment papers

EIS & SEIS certificate digital copies

Adviser logins with access to all clients

Co-investment opportunities in EIS qualifying companies

Virtual share exchange providing the opportunity, where offers are available, for investors to sell EIS/SEIS shares

4

Mercia Fund Management 201417

Investor CentreCompact, efficient, low cost solutionThe market needGlobal antenna market worth $15.1bn forecast to grow at 5.7% CAGR

Mercia Fund Management 201417

Investor CentreCompact, efficient, low cost solutionThe market need

Mercia Fund Management 201419

Virtual Share ExchangeThe market need

Mercia Fund Management 201415

Industry Awards 2015Compact, efficient, low cost solutionThe market needGlobal antenna market worth $15.1bn forecast to grow at 5.7% CAGR

Our 7th EIS & SEIS hybrid fund

Mercia Fund Management 20141Mercia Growth Fund 5

Open to new investment January 2016

Information Memorandum and DD pack available October 2015

Independent Manager review October 2015

Independent Fund review October/November 2015

Fund size 8-12m

1.5% AMF (max 6 years)

Portfolio exits years 3-7

Full investment within 2016/17 tax year

HMRC unapproved fund structure

Mercia Fund Management 20144The Hybrid ModelMFM Investment Advisory PanelMaximising chances of success within portfolio.Optimising tax advantages available.

Standard split 25% SEIS, 75% EIS

Follow-on capital to stars in the portfolio

Balance capital growth, portfolio risk and time horizon

Investments spread across different funds and led by performance based tranches to reduce riskMercia funds made up of an EIS fund and a Seed EIS fundAllow management to focus on growing the business

Develop strong, long term relationships with portfolio companies

Access the most innovative new enterprise in the UK

Protect investors from later stage investors

Mercia Fund Management 20147Investment ProcessDeal flow sources

Primary investment criteria

Sector specialist Mercia exec to assess business plan, meet management and prepare summary review

Independent Investment Panel to evaluate review and management pitch. Panel approval required.

Full due diligence carried out

Mercia work with management to develop business plan and agree key objectives and timeframes

Mercia takes directorship or board position to ensure Mercia maintains a hands-on approach to help accelerate growth

Core business services available to allow management to focus on achieving business objectives

Governance & oversight independent Advisory Committee to meet quarterly and scrutinise portfolio and ensure investment objectives are being met

Additional resources including access to further capital

Exit strategyPre-investment processPost-investment process

Mercia provides a blend of early stage, development and growth capital and critically, can follow its investments

Mercia Fund Management 20148Balanced PortfolioProfitable and/or cash generativeRevenue growth

Seed and earlystage investments

First revenues

Mercia Fund Management 20149nDreams

Mercia Fund Management 201410nDreamsSamsung, Sony, Oculus MicrosoftGrowth supported by relationships & experience

Relationships with major players in VR

Patrick OLuanaigh (CEO) ex-Eidos Creative DirectorMike Hayes - ex-SEGA CEONicholas Lovell Gamesbrief; industry analystBoard with strong experienceLaunch c. 8 products per year Scale to 50 employees Bolt-on acquisitions Co-development and publishing arrangementsAmbitious growth plan

Mercia Fund Management 201411

Smart Antenna TechnologiesCompact, efficient, low cost solutionThe market needGlobal antenna market worth $15.1bn forecast to grow at 5.7% CAGR Management

Mercia Fund Management 201414

Smart Antenna TechnologiesNext generation mobile antenna

Replaces all existing antennas with one Potential to reduce the antennae cost in phones by up to 50%Up to 70% saving in spacePotential to increase battery life by up to 28%Compact, efficient, low cost solutionHandset manufacturers seeking solution for next generation (4G LTE)Performance and sizeCurrent implementations typically employ six antennasThe market need

Global antenna market worth $15.1bn forecast to grow at 5.7% CAGR ManagementColin Tucker, ChairmanPreviously:CTO and COO of OrangeFounding CEO of Hutchinson 3GNon-executive director of Jersey Telecom and Monitise

Dr Sampson Hu, CTO & FounderUniversity of Birmingham post doc and key inventor

21 September 2015

#21 September 2015

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