As the end of the tax year approaches and thoughts turn to making last minute investments to make the most of ISA allowances, pension contributions, etc, ART Business Loans is calling for individuals and businesses to consider an investment opportunity that offers Community Investment Tax Relief (CITR) this year and the next four years, with a return of up to 9.1%.
CITR is a little-known Government initiative designed to encourage investors – both individuals and corporates – to support enterprise in underserved areas and communities. It provides 5% of the amount invested off Income Tax or Corporation Tax liabilities each year for five years. This equates to a gross return for the highest rate Income Tax payer of 9.1% pa and a gross return for Corporation Tax payers of 5.8%. An investment this month will mean that tax relief is available for the tax year 2019/20.
ART Business Loans (ART), which lends to businesses in the West Midlands unable to raise any or all of the finance they need from the banks, is accredited to provide CITR and has used it to raise over £10m to lend from a wide range of investors over the years, including some high profile individuals and the banks themselves.
“Our focus is on lending to businesses in areas and communities which would otherwise struggle to access the finance they need to survive and grow, preserve and create local jobs,” explains Steve Walker, Chief Executive of ART Business Loans. “Demand is high and we look set to have lent over £3.5 million this year, exceeding our target of £3m.”
ART’s current share offer is designed to raise at least £500,000 in the knowledge that they could do more in the year ahead to support the West Midlands economy. All money raised through the share offer will be used for business loans and to leverage additional funds from the banks.
ART’s Community Share Offer is open to all and investments of between £500 and £100,000 can be made until the offer closes at midnight on 24th March 2020. Full details of the offer can be found on the Ethex investment platform: www.ethex.org.uk/ART2020.