Profitable Investments

[MarkBean]

With the entire world seeking energy, the need for more fossil fuels is apparent. This has led to huge interest among the investors in the oil and natural gas sector. The sector today stands strongest as compared to the past 50 years. The investment in the sector promises high returns, which is too good for any profit seeking investor to resist.

The oil company investments are on the rise. One of the major ways of investing in oil is in the form of exploration. The investment in exploration is used to fund discovery of new oil and gas reserves. The other way of investing in oil sector is by making [SPAM REMOVED]. This can be done by buying the stocks of the company or by joining a mutual fund.

There is a great deal of risks involved in oil and gas investments. And it should be done only under professional guidance. However, the profits from the investments are bound to be huge. As they say, the greater the risk, the better is the profit.


BLATANT SPAM REMOVED - SPAMMER BANNED FOR LIFE!

[Hugo]

We all know this is spam, so ban the spammer is what I say.

[martin]

that one lasted 7 mins, 23 seconds.......... getting slow in my old age!

[dhaslam]

I answered an ad for Investment in renewables and I had a very persistent gentleman talking about renewing old oil wells.  They use more  efficient electronics to find pockets of oil left behind  but if it is supposed to be so profitable why do they need investers?

[renewablejohn]

This is obviously were I am going wrong.  What I should be doing is finding a technology that does not work and then con loads of investors to part with there cash. Instead of a technology that does work but banks will not invest in small companies. 

[dhaslam]

Does the Enterprise Investment Scheme work for small business?   

I don't like the look of that minimum seven million pounds in assets.

http://en.wikipedia.org/wiki/Enterprise_Investment_Scheme

The BES scheme in Ireland has been a big help to small businesses in Ireland.  I would say that a big proportion of the wind  farms  have a  at least partial BES funding.   

[pb]

Yes,  EIS is designed primarily for small companies.  The £7 million figure you mentioned is a maximum, not a minimum.

[dhaslam]

My bad reading, just saw the words "more than  £7 million"  without seeing the bit before it.     

The Irish BES scheme  allows  a tax claim  at high rates of tax and generally speaking only high rate taxpayers are interested in it.   
Unfortunately the  tax allowance on various types of buildings was more popular in recent years with  very bad consequences.     Legislation is now needed  to allow hotels,  built for tax allowances  only,   to close down without the tax allowance being  withdrawn.    There is also a surplus of rented accommodation in most places  and shortage of employment.   

[renewablejohn]

Does the Enterprise Investment Scheme work for small business?   

I don't like the look of that minimum seven million pounds in assets.

http://en.wikipedia.org/wiki/Enterprise_Investment_Scheme

The BES scheme in Ireland has been a big help to small businesses in Ireland.  I would say that a big proportion of the wind  farms  have a  at least partial BES funding.   

In theory it works for small business but there is a long list of industries for which the EIS scheme is not allowed.  Forestry is one of them so although we are generating electricity the primary operation is seen to be harvesting of woodland to provide fuel for the boilers.  Unless anybody knows a way around this.

[pb]

In theory it works for small business but there is a long list of industries for which the EIS scheme is not allowed.  Forestry is one of them so although we are generating electricity the primary operation is seen to be harvesting of woodland to provide fuel for the boilers.  Unless anybody knows a way around this.

It depends what you're planning to use the funds for.

If you wanted to raise money under EIS and then use those funds to buy generating equipment or something else related to electricity production, that ought to be fine.  You are correct that forestry and land management are both excluded activities, so you wouldn't be able to engage in those to any significant extent.  However, you could set up a separate, non-EIS-funded company to carry out your forestry management and then arrange for this second company to sell its timber products to the first one.

But if it's the forestry operation itself that you are trying to fund, i.e. you need to raise the money to buy land or plant trees, I don't think EIS will help you.

[billi]

his is obviously were I am going wrong.  What I should be doing is finding a technology that does not work and then con loads of investors to part with there cash. Instead of a technology that does work but banks will not invest in small companies.  banghead

   i will applaud for that line a few times

[renewablejohn]

In theory it works for small business but there is a long list of industries for which the EIS scheme is not allowed.  Forestry is one of them so although we are generating electricity the primary operation is seen to be harvesting of woodland to provide fuel for the boilers.  Unless anybody knows a way around this.

It depends what you're planning to use the funds for.

If you wanted to raise money under EIS and then use those funds to buy generating equipment or something else related to electricity production, that ought to be fine.  You are correct that forestry and land management are both excluded activities, so you wouldn't be able to engage in those to any significant extent.  However, you could set up a separate, non-EIS-funded company to carry out your forestry management and then arrange for this second company to sell its timber products to the first one.

But if it's the forestry operation itself that you are trying to fund, i.e. you need to raise the money to buy land or plant trees, I don't think EIS will help you.

Pb

We have set up as two separate companies as part of our BEIS grant application. The wood company (Hill Top Fuel) and the Energy company (Hill Top Energy) so in theory we should be able to get EIS funding for Hill Top Energy.  Is this right because I was told it was treated as an associated company so if either wasineligible it would automatically exclude the other company. If thats not the case then bring on the investors I will have my application in by the end of the week.

[pb]

We have set up as two separate companies as part of our BEIS grant application. The wood company (Hill Top Fuel) and the Energy company (Hill Top Energy) so in theory we should be able to get EIS funding for Hill Top Energy.  Is this right because I was told it was treated as an associated company so if either wasineligible it would automatically exclude the other company. If thats not the case then bring on the investors I will have my application in by the end of the week.

John

Assuming that the two companies satisfy the EIS rules for "independence" (which basically means that one mustn't be a subsidiary of the other) then I don't think you should have a problem.  As far as I know, the mere fact of having shareholders or directors in common, which I assume is your situation, does not cause them to be considered a single entity for this purpose.  But my previous dealings with EIS have all been for very straightforward cases and it is quite possible I am mistaken about that.

HMRC do permit you to apply for an advance determination as to whether or not your shares would be eligible for EIS and, if you've already set the companies up, you don't have much to lose by putting in a request on behalf of Hill Top Energy and seeing what happens.

The form you need is this one:

http://www.hmrc.gov.uk/forms/eis-aa-bw.pdf

See also the VCM section on EIS, which is at:

http://www.hmrc.gov.uk/manuals/vcmmanual/VCM20000.htm

Good luck 

[noelsquibb]

going back to the original post, heres another splendid investment - Everybody will want one of these 

http://www.nytimes.com/2010/02/25/business/25hummer.html?hp


was that a sigh of relief from Gaia  ?