ASK & DISCUSS INDEX

8 years, 5 months ago - Paddy Robinson-Griffin

You need a company to embody the film alone, really - an SPV - although EIS isn't free money, it comes with constraints. Roughly what's your budget? If you want a chartered accountant for advice for film finance I can suggest one, he offers great rates to filmmakers if you're at a stage where that's helpful.

8 years, 5 months ago - sabina jay

thank you Paddy that would be helpful

8 years, 5 months ago - Marlom Tander

You also need to be aware of the FCA Financial Promotions rules. Broadly speaking you can do what you like (so long as clear and honest ESP about the RISK FACTORS) if you will promote to less than 100 people.

Key word - promote. That doesn't mean email 500 people, or twitter 10,000, in the hope of getting investors, it means only talk to 100 people.

If you want to promote more widely then it needs to be an authorised promotion - basically you need an FCA person to umbrella it and ensure legally compliant. (This why the packaging firms exist, so if you don't have tame investor lined up, you'll need one. A good one will also promote your scheme hard and because they are putting their name on it, will ask tough questions esp about "and how will you monetise this?")

8 years, 5 months ago - Adrian Bracken

The rules for EIS and its smaller brother SEIS changed last year. I have just spent 3 months preparing an SEIS/EIS scheme for submission to HMRC for "advance approval". It was submitted in late January, and I should know 8 weeks later (mid-late March) if it has been approved, then a pre-approval letter arrives and you can start collecting investment money and issuing shares.. The SPV (Single Project Vehicle) is now no longer allowed. The EIS scheme must have an on-going trade. Also you cannot have a pre-planned exit for investors. The 30% tax break for Income tax is sill there, but the rules governing Capital Gains Change ave changed.
I would certainly use an accountant to submit the scheme, but it depends on your budget for the film. If it is £150,000 or less than SEIS (Seed Enterprise Investment Scheme) would suffice. You can have both.
It's a complicated topic, I spent 3 months getting my head around the new rules, I paid a media accountant to help prepare and submit. the application.
You may find you need more than one "project" in your EIS to qualify, in mine I have two full length feature UK movies - I'm sourcing £2.25m.
Good Luck, but my suggestion is get professional advice.

8 years, 5 months ago - sabina jay

8 years, 5 months ago - Parvez Zabier

I am a film accountant with eis experience. ...what is the budget ?

8 years, 5 months ago - Jamie Gamache

Hi Shobina,

I have also been doing this for the last 6 months and once you've cracked it and got your head around anything, the scheme can really set you on the right path to getting your film/s made (that's one of the big differences between SEIS and EIS, for EIS you now have to be able to show to HMRC that the monies will be used for 'entrepreneurialship' and to invest in a steady business. In our case, a slate of films rather than just the one. There are many ways to achieve EIS AA so it depends which route you taylor your IM around.

Feel free to drop me an email if you have any questions at jamie@lowkeyfilms.co.uk. I have an accountant and lawyer who are incredibly patient and experienced and both I would highly recommend.

Speak soon.
Jamie

8 years, 5 months ago - Glyn Carter

Hi Shobina

I'm a small independent producer, and I recently put together an investor package for a £160,000 feature. This included a summary budget (backed up by a detailed budget), revenue waterfall, estimated returns for profit, breakeven and "worst case" scenarios with SEIS, as well as production info and director statement.

One potential investor said it was one of the best such documents he'd seen.

By all means contact me glyn@storiesintolight.co.uk, and I'll share more info. Are you in the same budget ball-park?

8 years, 5 months ago - Ian Mansfield

Hi Shobina,

I have done a number of these documents over the past few years both for SEIS and EIS or just SEIS alone. I often work in conjunction with accountant Philip Gambrill (http://www.pgandco.co.uk/) who is very familiary with these tax relief schemes as he does the accountants for Raindance.

If you or anyone else need any further assistance please email me directly ian@projectionpictures.com. Projection Pictures Ltd is SEIS and EIS advanced assured.

Naturally we charge a fee for our services but our rates are very competitive and can suit even the most modest budgets being discussed on this thread.

Br,
Ian Mansfield.