Originally written by Lawrence Gosling on Small Business
Many investors and professional advisers are tempted to put all their Seed EIS investments with a single investment manager who they believe has a good track record, but by doing so they are potentially increasing their risk — it’s important to have a diversified portfolio when seed investing .
Many investment managers are investing at Seed EIS and with the follow-on EIS investments in the broad technology sector, partly because technology is a large sector which has accelerated in popularity since on the onset of the pandemic.
Two Seed EIS investment managers, Nova and Worth Capital, argue that diversification is essential because just as investor would not put all of their investments into a single company listed on the public markets or a single main stream investment fund, so putting it with a single SEIS manager is not advisable.
Andy Davidson, one of the partners at Nova based in Liverpool, says academic research consistently shows diversification is achieved with a portfolio of around 30 companies, whereas most Seed EIS funds have between 5 and 10 portfolio investments. Simple maths suggests an investor should spread their Seed EIS investments between three to five fund managers.
Matthew Cushen, one of
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Why is a diversified portfolio essential when seed investing?
by Lawrence Gosling • • 0 Comments
Originally written by Lawrence Gosling on Small Business
Many investors and professional advisers are tempted to put all their Seed EIS investments with a single investment manager who they believe has a good track record, but by doing so they are potentially increasing their risk — it’s important to have a diversified portfolio when seed investing .
Many investment managers are investing at Seed EIS and with the follow-on EIS investments in the broad technology sector, partly because technology is a large sector which has accelerated in popularity since on the onset of the pandemic.
Two Seed EIS investment managers, Nova and Worth Capital, argue that diversification is essential because just as investor would not put all of their investments into a single company listed on the public markets or a single main stream investment fund, so putting it with a single SEIS manager is not advisable.
Andy Davidson, one of the partners at Nova based in Liverpool, says academic research consistently shows diversification is achieved with a portfolio of around 30 companies, whereas most Seed EIS funds have between 5 and 10 portfolio investments. Simple maths suggests an investor should spread their Seed EIS investments between three to five fund managers.
Matthew Cushen, one of
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How risky is investing in Seed EIS investments?
by Lawrence Gosling • • 0 Comments
Originally written by Lawrence Gosling on Small Business
Many investors think investing in early stage, growth companies is a high risk investment strategy, particularly when compared with the public markets where many of the businesses listed on the London Stock Exchange have decades of trading histories.
But as this pandemic has shown, just because a company is listed on a stock market or has been trading for a long-time, doesn’t make it low risk.
So should private growth companies, many of which has used Seed EIS investment and the follow-on EIS investment be viewed in a different way?
Well two specialist investment groups, Worth Capital and Nova, sometimes known as We Are Nova, believes investors need to think about how they view risk and effectively don’t immediately think Seed EIS equals high risk and large, listed companies equals low risk.
In a short video, the pair discuss how they aim to get diversification within the portfolio of companies they invest in across their Seed EIS funds, and how this can compliment the portfolio investors’ listed investments or other funds, such as investment trusts or unit trusts and open-ended investment companies (Oeics).
“#Startups are taking their place and are growing quickly; They are very nimble and able
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What franchise support should you get from a franchisor?
by Partner Content • • 0 Comments
Originally written by Partner Content on Small Business
Although going down the franchise route still requires hard work and dedication, the backing of a successful, established brand and support structure from your franchisor makes it far more likely you’ll succeed, compared to going it alone.
In fact, Franchise Brands, each of our brands has an extensive training programme to equip you with the tools you need to run a successful operation, including technical training, sales and marketing coaching, legal guidance and much, much more.
A great example of this is our Ovenclean is the UK’s original oven-cleaning franchise and offers a two-week training programme for their franchisees. This includes in-depth practical, sales and marketing courses, both in the bespoke training centre and out in the field with an established Ovenclean Business Mentor.
Ultimately, your franchisor should want you to succeed in your new business venture, and will provide you with all the training, resources and knowledge right from the very start.
‘My trainer was absolutely fantastic – we had a blast and still talk to each other regularly, even if it’s not about oven cleaning. I now act as an Ovenclean Mentor to new starters, and I am always hearing about how helpful and knowledgeable
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What franchise support should you get from a franchisor?
by Partner Content • • 0 Comments
Originally written by Partner Content on Small Business
Although going down the franchise route still requires hard work and dedication, the backing of a successful, established brand and support structure from your franchisor makes it far more likely you’ll succeed, compared to going it alone.
In fact, Franchise Brands, each of our brands has an extensive training programme to equip you with the tools you need to run a successful operation, including technical training, sales and marketing coaching, legal guidance and much, much more.
A great example of this is our Ovenclean is the UK’s original oven-cleaning franchise and offers a two-week training programme for their franchisees. This includes in-depth practical, sales and marketing courses, both in the bespoke training centre and out in the field with an established Ovenclean Business Mentor.
Ultimately, your franchisor should want you to succeed in your new business venture, and will provide you with all the training, resources and knowledge right from the very start.
‘My trainer was absolutely fantastic – we had a blast and still talk to each other regularly, even if it’s not about oven cleaning. I now act as an Ovenclean Mentor to new starters, and I am always hearing about how helpful and knowledgeable
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Selling a franchise: the considerations
by Jo Thornley • • 0 Comments
Many business owners consider selling their business at some stage for a variety of reasons. Before starting the process of selling – in particular, the selling of a franchise – a number of things must be considered. Selling a franchise involves more parties than just the seller and the prospective buyer. This necessitates that you must properly
The post Selling a franchise: the considerations appeared first on Small Business.
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Buying a franchise: the key considerations
by Anna Jordan • • 0 Comments
It’s a familiar story: you want to own your own business, but don’t want to risk everything by starting up a new business which may finish up as a costly mistake. So instead, you’re looking at a franchise option where you’ll be running a proven business model and making profits virtually from day one. But
The post Buying a franchise: the key considerations appeared first on Small Business.
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Writing a franchise business plan: 11 things you need to include
by Anna Jordan • • 0 Comments
Writing a business plan is essential for any entrepreneur. Putting one together for a franchise business is different to a standard one though. First of all, you need to be aware of the needs of both the franchisee and the franchisor. When you have signed the franchise agreement, the franchisor will give you vital info
The post Writing a franchise business plan: 11 things you need to include appeared first on Small Business.
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What is a franchise? Advice for small businesses
by Pip Wilkins • • 0 Comments
What is a franchise? For would-be entrepreneurs, a franchise is a self-employment business opportunity. You start your own company trading under an established brand with guidance and support on everything from marketing to financial planning to HR. For small business owners, franchising is a way to expand more quickly and cost-effectively than opening further company
The post What is a franchise? Advice for small businesses appeared first on Small Business.
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Franchise fees explained for prospective franchisees
by Ben Lobel • • 0 Comments
The post Franchise fees explained for prospective franchisees appeared first on Small Business.