What you need to know to invest in this fund

Our West Midlands Social Investment Tax Relief Fund is the second of a number of region focused funds that Resonance is launching over the next few years, investing in social enterprises in specific city regions around the country.

The West Midlands launch comes after the successful launch and initial deployment of the Resonance Bristol SITR Fund (one of the first investment funds in the country to benefit from SITR) The Resonance Bristol SITR Fund has now raised £2.3m of its £5m target raise, has made its first six investments and has published its first annual social impact report.

Social Investment Tax Relief (SITR) was introduced by Government in April 2014 to encourage investment into social enterprises – that is, businesses dedicated to generating social impact and addressing social issues. It offers similar tax reliefs to those available through the well-established Enterprise Investment Scheme (EIS), which already offers tax relief to those investing in unquoted private companies. You can claim back 30% of the amount invested into a qualifying social enterprise against your income tax bill, either in the year the investment is made, or carried back against the previous year. SITR also makes investment more accessible for social enterprises, enabling them to access the growth capital they need more affordably.

Our experience is showing that there is a real opportunity for these investment funds to address poverty and inequality in our cities where deprivation and wealth exist in close proximity.

For further information and examples of the kind of West Midlands based social enterprises this Fund will invest in, please click the link to watch the short video and download the briefing note below.

Alternatively, watch the short edit of the video here.

Investment Proposition Key Facts:

Who you loan to: PORTFOLIO OF SOCIAL ENTERPRISES in The West Midlands
Impact: Dismantling Poverty in The West Midlands
Target Fund Size: £5m
Expected Returns: 7-8% post tax relief (12% gross equivalent)
Term: 6 - 8 years
Assets: Unsecured loans to social enterprises
Open for Investment: From Jan 2018 - ( NOW accepting in principle investment commitments)

More information

Grace England

The formal Information Memorandum and Application Form will be released in January 2018, and the first financial close will follow shortly after that. If you would like to register interest, find out more or discuss this Fund, please contact Grace.