Day three of AgeWage’s private launch saw investor numbers double and funds received reach 2/3 of target.
This is really helpful as yesterday (Friday) was the first day on which the Seedrs algorithm was in play, The algorithm picks up not just on total money in – but on the number of investors – that’s one of the reasons why every new investor is so important and helpful.
It looks as if we will now launch publicly around 75% funded. This will be on Monday morning. The weekend presents a tremendous opportunity.
A point for larger investors
I know from conversations I’ve had this week, that several of you are considering investments over £10k. If you are, it may be worth us taking you through direct investment rather than use the Seedrs nominee account. If you want to know more about the difference, please contact Henry Tapper at firstname.lastname@example.org or on 07785 377768 (I’m happy to take calls from anyone of course!).
It would be particularly helpful for you to register as a direct investor over the weekend rather than next week. From next Monday, while we are in public launch we will be paying Seedrs on all money raised, whether directly or not.
Some people have asked – why I appear to be the largest investor- I am not, I am simply recording direct investments into AgeWage on the Seedrs scoreboard.
Tax year end considerations
Our original view was that our crowdfunding would be driven by tax as much as investment considerations and that closing the round by April 5th would be of primary importance to investors.
Well we were wrong. We aren’t attracting people investing £1m a year into EIS so even the experienced investors we are attracting are able to use carry back provisions to ensure they get their tax-relief quickly.
That means that we will probably keep the round open beyond April 5th , even (as seems likely) we are 100% of our target funding by then. Many of the Seedrs investments go on to raise well in excess of their target and we would like to be included – the more money we can raise, the faster and more completely we can achieve our goals.
A point for small investors
My target is to double our investor numbers over the weekend. So I’m going to be really boring and harry and pester everyone to register on the Seedrs website – here’s the registration link.
I’m going to be even more boring and ask you to remember to press the little green button marked “invest” and to buy shares.
Getting your tax-back
I’ve had a lot of calls about tax , so let me explain how you get your tax back
If you’re an eligible investor for EIS (almost everyone is), you are entitled to a tax rebate of 30% of what you paid. You claim this from the tax people (HMRC) when we close the investment round- this won’t be more than 60 days from Monday 25th, so mid to back end of May.
There are a load of other tax benefits on inheritance and some for businesses. Read about them here.
The probability is we’ll either do really well or really badly! Shit or bust – it’s a high-risk investment. But don’t forget the person who has most to lose in all this is me – so I’m taking winning very seriously indeed.
Tying your money up – liquidity
The market for selling on AgeWage shares in the short term is going to be very limited. Don’t think about buying and selling, the whole point of EIS is that you are investors not speculators.
There may be a time when you will be able to sell your share(s) earlier, but think 2023 – which is when the AgeWage business plan has it in mind to create the exit route.
The important thing to recognise is that an investment in AgeWage is just that – an investment – and a high risk one at that! That’s why Seedrs will make sure you know what you’re entering into!
What changes on Monday?
From Monday, the AgeWage page of the Seedrs website will be flipped over so that the general public can see what you’ve been able to see since Wednesday morning.
There will be some new functionality for investors, like a discussion board but there is nothing new financially.
What is critical to our joint success is that our place on the Seedrs website will be determined by the algorithm and that will be determined by what happened over the past couple of days and especially over the weekend. So please do invest this weekend if you have it in mind to invest.
Investing this weekend makes it easier for AgeWage and better for all existing investors!
Here is the link again
And here are some more great insights from people we work with in WeWork