Our strategy

  • Industry leading team and experience
  • Strict criteria for projects to be taken on
  • Projects chosen for their commercial potential
  • Innovative structuring
  • Trans-media approach to maximise project revenue
  • Holistic service from project inception to distribution
  • Where appropriate HMRC Advanced
  • Assurance will be attained and the projects may be Government backed through the UK CITR to minimise investor risk
  • Organic growth of Goldfinch through key collaborative partnerships
  • Distribution strategy set at start

Types of investment

  • EIS – Enterprise Investment Scheme

    Our flagship EIS vehicle, Goldfinch I, has been created to support the production and distribution of a number of film and television projects which are poised for commercial success.

    Goldfinch I focuses on sales and distribution advances, providing projects with the final part of their finance raise – an approach which means investors are backing projects which are close to fruition and which lends itself perfectly to Goldfinch’s “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, further reducing investor risk in a truly innovative manner. The income tax, capital gains tax and inheritance tax relief available to EIS investors are detailed in the summary below. This led to Allenbridge describing the company as ‘Low Risk’ for EIS investors in their report.

    We aim to support a minimum of eight projects over three years, so far this has included ‘My Feral Heart’, ‘Le Mans 3D’, and ‘Hector’ with a targeted return on investment of 123% over this time period. These projects do, and will continue to encompass a variety of genres and potential audiences for diversification purposes and each will be rigorously vetted by Goldfinch I’s expert panel to ascertain their commercial viability.
    We also have a number of other EIS vehicles setup for specific whole projects such as Goldfinch XXI – Goldfinch Australia and Goldfinch XXXVI – Goldfinch Bumblebee. There are 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, such as Goldfinch XX – Under Milk Wood (Captain Cat Limited).

    SUMMARY TAX RELIEFS: EIS

    • Income Tax relief of 30% on a maximum investment of up to £1,000,000 per tax year (with ability to carry back relief to prior tax year).
    • Profits on sales are Capital Gains Tax Free (versus 28%) provided that shares are held for at least three years.
    • Investors can take advantage of CGT deferral relief by investing in EIS companies.
    • Capital loss relief of up to 45% of net investment after income tax relief of 30%, representing total tax reliefs of 61.5% of the original investment.
    • Combined with CGT deferral relief of 28% the total relief can be 89.5%.
    •  Full Inheritance Tax Relief after 2 years.
  • SEIS – Seed Enterprise Investment Scheme

    SEIS companies can raise up to £150k by way of SEIS shareholders 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 purely for the development of unknown projects.

    Goldfinch’s 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.

    SUMMARY TAX RELIEFS: SEIS

    • Income Tax relief of 50% on a maximum investment of up to £100,000 per tax year (with the ability to carry back relief to the previous tax year).
    • Profits on sales are Capital Gains Tax Free (versus 28%) provided that shares are held for at least three years.
    • Investors can take mitigate 50% of their CGT liability from 28% down to 14%.
    • Capital loss relief of up to 45% of net investment after income tax relief of 50% representing total tax reliefs of 72.5% of the original investment.
    • Combined with CGT mitigation of 14% the total relief can be 86.5%.
    • Full inheritance tax relief after 2 years if applicable.
  • SEIS – Fund

    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 Funds
    • Retail investors return of capital prioritised over other investors

    It 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.

  • GAP

    ‘GAP’ investment is typically the last piece of finance into a project making up around 5-35% of the total budget. GAP investors will always sit in first place in the recoupment schedule and will lend against the pre-sales for a project. At Goldfinch we perform the due diligence on projects to offer them as pure investment opportunities for GAP financiers and source commercial opportunities in media investment for offshore and onshore funds and individuals alike. We are adept at negotiating and structuring these deals to ensure both our projects and investors benefit from GAP financing. We also have experience and contacts providing ‘Supergap’ financing for the final 10-15% of the production budget.

    Whilst GAP investment comes with higher risks for investors, these can be mitigated through the involvement of experienced advisors such as ourselves, and the potential returns can be extremely lucrative.
    For a Producer, having the knowledge and ability to source GAP finance can literally be the difference between the project being created or not.

  • Private Equity

    This comes in the form of direct investment into projects by an institution or individual.
    As with GAP we perform the due diligence on projects to offer them as pure investment opportunities for private investors and source commercial opportunities in media investment for offshore and onshore funds and individuals alike. We are adept at negotiating and structuring these deals to ensure both our projects and investors benefit from the investment.

    Direct investment can be seen as higher risk however this can be mitigated through the involvement of experienced advisors such as ourselves, in knowing how to structure the investment and also how to match and leverage this against the numerous sources of soft money available for creative industry producers.
    For a project owner, the ability to understand and accept as many sources of non-conflicting and cost effective finance is key to achieving the end goal of a completed product which can then be distributed across a variety of differing distribution platforms and media channels in order to become commercially successful.

  • BIR – Business Investment Relief

    UK resident non-doms taxed on the remittance basis are generally chargeable to UK tax on overseas income and gains when remitted to the UK. However, non-doms, along with their related offshore trust structures, are now able to bring overseas income and gains to the UK free of UK tax for the purposes of making a commercial business investment in an unlisted trading company. Funds need to be invested within 45 days of the remittance and a claim needs to be made in the tax return for the year the investment is made.

    Business Investment Relief can be combined with investments under the Enterprise Investment Scheme (EIS) or Seed Enterprise Investment Scheme (SEIS) where the relevant conditions are met. All Goldfinch companies fit these conditions and are able to take BIR investments from UK resident non-domiciled individuals looking to repatriate their offshore wealth into the UK in a tax efficient manner.

    Many long term UK resident non-doms who have claimed the remittance basis will have built up substantial amounts of overseas income and gains over the years which would give rise to UK tax liabilities if remitted to the UK. Business Investment Relief provides a valuable opportunity to bring some of that money tax free to the UK to invest in UK businesses, whether their own business or that of a third party. Combining this opportunity with other tax incentives, such as EIS relief, could be a very attractive and tax efficient proposition.

  • Tier 1 Investment

    A Tier 1 investor visa is for those willing to invest a minimum of £2m in the UK economy for residency and/or citizenship. Providing the conditions set out by the UK Home Office are met, there are relatively few requirements set out for applicants.

    The Tier 1 UK Entrepreneur Visa is aimed at applicants who have a minimum of £200,000 to establish a business in the UK, or join and invest into an existing business. There are more requirements to fulfil than the Investor Visa and applicants must be interviewed. Both visas move applicants substantially closer to the residency criteria for full citizenship in the UK, which currently sits at five years.

    All Goldfinch companies are eligible for Tier 1 Investment and many fulfil the criteria necessary for investors to come on board through the Tier 1 Entrepreneur Visa scheme also.

    For more details about Tier 1 Investment and Entrepreneur visa schemes visit https://www.gov.uk/tier-1-general