Severn Seed Finance (SSF) is a private limited company based in Cardiff, Wales. We are specialists in raising start up and early stage finance, and also have access to succession funding for owners wishing to sell and MBO’s. The SSF Team has over 60 years business and equity funding experience, and raised over £100M of equity and leveraged investment. SSF's USP is its ability to prepare start up and early stage businesses to meet the specific requirements of the funds it works with, secure introductions to these Funds, and provide access to alternative funding sources throughout a business' growth cycle.
Fees and charges apply should you be accepted onto the Severn Seed Finance's programme
Registration Fee
Success Fee
PRIVATE INVESTOR
AN INVESTMENT FUND
Severn Seed Finance adopts a four-stage, fintech-based process to identify suitable companies to go forward for investment.
Stage 1 - Enquiries
Enquiries – businesses approaching SSF for funding are required to complete an on-line evaluation app which assesses the stage in the investment readiness process the business is at.
Stage 2 - Register
If the business meets the necessary level of investment criteria it will then be invited to formally register with SSF. Registered companies will need to have a range of supporting information including a business plan, pitch deck and pitch video.
Stage 3 - Engagement/Introductions
Companies will be entitled to enter the SSF online deal platform to engage with members of the SSF Investment community. The community comprises of investment funds and individual High Net Worth investors. This stage is live until investment is received or the expiry of the company’s registration (12 months).
Stage 4 - Investment
Following completion of investment success fees will be due and the company will be invoiced accordingly.
Companies seeking early stage funding must complete an on-line business evaluation app to assess how ready they are to raise investment. Following registration client companies enter the first stage of an on-line engagement process. Following feedback, companies can then progress to the final stage where SSF’s funding partners can view in a closed on-line environment all investment proposals currently registered at that time and at their discretion decide which investment opportunities they wish to take further. SSF have sole discretion to select the companies they invite to register and take forward to introduce to their funding partners.
Entrepreneurs – Founders and individuals that can demonstrate elements of innovation, commercial viability and market traction for interesting business proposals that require external equity investment. These proposals must be scalable and capable of providing adequate returns for investors plus have a viable exit route at some point in the future. Exact requirements can vary depending on the preferred source of risk funding.
Fund and Investors – Those seeking innovative potentially high growth businesses requiring risk investment but that have been through an initial evaluation and preparation process. SSF clients will be at a very early stage or start up position in the business cycle. They will carry fairly high risks given the understandable failure rates of businesses at this stage in their life cycle. They will therefore appeal to tax efficient investment funds that qualify for SEIS or EIS tax relief to mitigate risk, and to private HNWI investors that understand the level of risk but are seeking potentially high growth investment opportunities that also benefit from tax relief.
SSF provides the additional opportunity for Funds and HNWI private investors to syndicate together and benefit from the hands-on aspects of a lead investor to mitigate risk.
SSF client companies will typically require from £100K to £1m equity investment. The minimum single investment amount accepted is from £10,000.
Yes, tax relief is available on those client companies that qualify for HMRC SEIS, EIS or SITR tax relief schemes. SSF specialises in these types of companies and evaluate potential client’s proposals against the qualifying criteria for these schemes.
SSF seeks businesses from all sectors, but some sectors such as property and financial services may not be eligible for HMRC tax relief schemes or other funding sources.
SSF client companies are advised to seek specialist professional advice in the following key areas:
Severn Seed Finance Business Summary
Seed Enterprise Investment Scheme
New Start up and Innovator Visas Announced by UK Government
UK Business Angels Association
https://www.ukbusinessangelsassociation.org.uk/
HMRC – Enterprise Investment Scheme (EIS)
https://www.gov.uk/government/publications/the-enterprise-investment-scheme-introduction
HMRC – Seed Enterprise Investment Scheme (SEIS)
https://www.gov.uk/guidance/seed-enterprise-investment-scheme-background
Financial Conduct Authority