Can I continue to invest in my future wife’s company?—The Financial Times
Partner Guy Wilmot has been featured in The Financial Times’ Your Questions column, responding to a reader who asks if being married to their entrepreneur partner will affect their eligibility to invest via the Seed Enterprise Investment Scheme (SEIS.)
Acknowledging the rules around SEIS are complex, Guy advises the reader it is likely that once they are married the previous relief will be disapplied and they will not be able to make SEIS or EIS investments in their partner’s company.
He explains that, for the purposes of SEIS or EIS, a married couple is treated as a single unit, and if that unit holds more than 30% of the company’s shares, relief is not available. He suggests that becoming a part owner of the business is one workaround, given gifts of shares between spouses do not attract Capital Gain’s Tax (CGT.)
It is natural and common for entrepreneurs to turn to friends and family when getting their business ventures off the ground. But entering into a marriage does change the nature of the relationship, not only with the entrepreneur, but also with the business.
The full article is available to read at The Financial Times, online and in print, by subscription only.
Guy Wilmot is a partner in the corporate and commercial team. He advises clients on corporate affairs, startups, intellectual property and technology, e-commerce and IT, and is frequently sought out by clients looking to grow their businesses.
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