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.
Summer Early Bird
Discounted from 3%
Rebated in the form of additional shares
Until 30 September 2020
Click to download the Service Overview
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
20+ year track record
Puma Investments has a 23-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 £235m
Alpha investment strategy
Puma Alpha VCT is our fourteenth VCT and builds on our 23-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
£4.85 million(of which Puma Alpha VCT invested £720,000)
Sector
Trading locations
Exporting to over 50 countries
Why we invested
- Le Col has a compelling combination of in-demand products, professional insight and management experience.
- Since our initial investment, Le Col has achieved continued strong growth through a focus on product, marketing and e-commerce.
- Le Col’s robust growth plan is complemented by a supportive sector. Cycling products already contribute £700 million to the UK economy and this figure will likely rise as the Government strives to double cycling volumes by 20251.
- Based in the UK and exporting to over 50 countries, Le Col owns its own factory, increasing its manufacturing and supply chain control.
1The Value of the Cycling Sector to the British Economy, Bicycle Association, June 2018
Summary of fees
| Initial: | INITIAL FEE | 3% | of amount subscribed |
| Ongoing: | ANNUAL MANAGEMENT FEE | 2% (inc.VAT) | of net asset value p.a. |
| ADMINISTRATIVE FEE | 0.35% (inc. 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.