Puma Alpha VCT
Puma Alpha VCT is a Venture Capital Trust (VCT) that invests in growing businesses with experienced management teams. Investors in Puma Alpha VCT will be supporting the UK economy by providing growth funding to small and medium-sized companies, whilst benefitting from a range of tax reliefs and an investment that aims to produce attractive returns.
Key details
Minimum investment
£5,000
Tax benefits
30% upfront income tax relief on an investment of up to £200,000 per tax year; 100% tax-free dividends from the VCT; 100% tax-free capital gains if selling the shares
25-year track record
Puma Investments has a 25-year track record of investing in small and mid-sized companies
Experienced VCT manager
Since 2005, 14 Puma VCTs have been launched, raising more than £260 million
Alpha investment strategy
Puma Alpha VCT is our fourteenth VCT and builds on our 25-year track record of investing in small and medium-sized companies. Our Alpha investment strategy – across both Puma Alpha VCT and Puma Alpha EIS – is to invest in growing UK businesses with strong management teams that operate in sectors providing structural support for growth.
We choose established companies with proven commercial models, clear expansion plans and experienced leadership. And we seek to reduce risk by diversifying our investments across different regions and sectors. For example, some of our Alpha investments range from educational technology providers to food and beverage operators, high-performance sports apparel producers, carbon wheel manufacturers and garden centre businesses. We choose businesses that investors can support proudly, whilst sharing their success.
In addition to the potential tax reliefs below, Puma Alpha VCT seeks to generate positive returns for investors, initially through capital growth and then through annual dividends averaging 5p per share within four years.
Why invest in a VCT?
VCTs provide vital growth funding to small and medium-sized businesses, which are the backbone of our economy. In addition to supporting British enterprises and economic growth, investors who hold VCT shares for at least five years can receive a number of tax benefits, including:
- 30% upfront income tax relief on an investment of up to £200,000 per tax year
- 100% tax-free dividends from the VCT
- 100% tax-free capital gains if selling the shares
Example Alpha investment
Investment
£7.75 million(of which Puma Alpha VCT invested £1.65 million)
Sector
Human Resources Technology
Trading locations
London
Why we invested
- Connectr has an extensive client base in both the public and private sector, delivering solutions for employees, candidates and early talent.
- The company has robust plans to expand its offering, supported by the scalability of its solutions when addressing a range of retention issues.
- Connectr has an award-winning digital delivery platform making it well-placed to capitalise on the increasing shift towards digitilisation and integrated automation in the employee and candidate engagement sector.
- The company has an expert management team with an established reputation in the market as thought leaders, as well as significant technical and commercial experience.
Summary of fees
| Initial: | INITIAL FEE | 3% | of amount subscribed |
| Ongoing: | ANNUAL MANAGEMENT FEE | 2% (plus VAT) | of net asset value p.a. |
| ADMINISTRATIVE FEE | 0.35% (plus VAT) | of net asset value p.a. | |
| PERFORMANCE FEE | 20% | of amounts in excess of 120p per Ordinary Share |
Risk factors
An investment in Puma Alpha VCT carries risk and you should take your own independent advice. You should only invest in Puma Alpha VCT on the basis of the prospectus which details the risks of the investment. Below are the key risks:
Tax reliefs: Tax reliefs are not guaranteed, depend on individuals’ personal circumstances and a five-year minimum holding period, and may be subject to change.
Liquidity: It is unlikely there will be a liquid market in the ordinary shares of Puma Alpha VCT and it may prove difficult for investors to realise their investment immediately or in full.
Capital at risk: An investment in Puma Alpha VCT involves a high degree of risk. Investors’ capital may be at risk.
General: Past performance of Puma Investments in relation to its other VCTs is no indication of future results. The payment of dividends is not guaranteed. Investors have no direct right of action against Puma Investments. The Financial Ombudsman Service/the Financial Services Compensation Scheme are not available.
Our digital application form process
DocuSign allows all applications to be completed digitally without the need to print, scan and post. If you or your clients would prefer to complete a handwritten application, we are also happy to accept scans, provided we are still sent the hardcopies for record-keeping. Either follow the process below, or to discuss finding a process that works for you, please contact your local BDM, via email here, and they’ll be more than happy to assist.
- To receive an application form via DocuSign, please request a secure link from your usual business development contact, or call us on 0207 408 4070.
- Alternatively if you have got signed application forms printed and ready to go, simply scan or clearly photograph them on your smartphone and email them to us at: [email protected]
- The original print copies should be sent through to us as soon as practicable thereafter for the investment to be allotted.