Small companies seeking finance under the corporate venturing scheme can now obtain advance clearance that an issue of shares will meet the conditions of the scheme.
Details are contained in two new statements of practice, SP1/00 and SP2/00 of 2000.
Corporate venturing was introduced in the last Budget with effect from 1 April 2000. Details are contained in Schedule 15 to Finance Act 2000. It allows companies to obtain up-front tax relief when they invest in smaller businesses. These are companies with gross assets no greater than £15 million and whose activities are not disqualified.
[2000]