The strategy is to protect the Client’s capital whilst targeting a 3% to 6% annual return by subscribing for shares in one or more Trading Companies. The Trading Companies will provide short-term debt to UK SMEs: Trade Ventures provides debt finance to UK SMEs to finance their national and international trade by using outstanding invoices as collateral and Digital Ventures provides debt funding to UK tech-enabled businesses for the purpose of financing digital media expenditure for the acquisition of new users. Loans will typically be between 30 and 180 days and diversified across multiple borrowers and obligors. Each loan or portfolio of loans will be insured against credit default (except where the obligor is a state entity). The Trading Companies should qualify for Business Relief providing relief from IHT after two years.
The service is evergreen. Clients can elect to withdraw in whole or in part at any time. We expect to be able to fulfil requests within 90 days. Clients’ shares will either be sold to an in-coming client or bought back by the Trading Company.
The Investment Manager is Sapphire Capital Partners LLP (“Sapphire”), a multi-award-winning investment management firm and who are authorised and regulated by the Financial Conduct Authority (FCA Reference: 565716).
Sapphire is a specialist investment management firm established to provide investment management services and bespoke fund solutions.
The Investment Advisor is Velocity Credit Advisors Limited and which is the appointed representative of Sapphire. Velocity Credit Advisors Limited has a senior team with a track record and experience across a wide business spectrum including finance, marketing and law. Velocity Credit is a subsidiary of Velocity Capital Advisors which was set up in 2015 as a vehicle to facilitate, via SEIS and EIS Funds, participation in exciting companies which have technology at their core. The Velocity Capital Advisors founders come from entrepreneurial backgrounds, which we believe is a real asset to our business and the investee companies. Velocity has been operating for over four years now, and in those years the SEIS and EIS funds have achieved an investee company cash exit of 6.5x, and the overall current performance of the funds is estimated to be 3.5x to 1.3x.
Fees charged to Investor (including VAT)
Fees charged to Investee Companies (including VAT)
4% (+ VAT if app.)
Annual Management Fee
2% (+ VAT if app.)
A dealing fee of 1% (+ VAT if app.) on withdrawal (but includes any stamp duty up to 0.5%)
1% (+ VAT if app.) on subscription
Kuber Special Arrangements
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