British Design Fund 2 SEIS

The British Design Fund 2 is an SEIS portfolio seeking to raise up to £2 million.

Highlights

  • Invests in the product design and manufacturing sectors
  • The UK has the second largest design sector in the world
  • Investors will hold around five portfolio companies
  • Target Return of £3 per £1 invested after six years - not guaranteed
  • £10,000 minimum investment

Important: The information on this website is for experienced investors. It is not advice nor a research or personal recommendation to invest. If you’re unsure, please seek advice. Investments are for the long term. They are high risk and illiquid and can fall as well as rise in value, so you could get back less than you invest.

The offer

This is the second iteration of the fund which targets innovative companies that have strong intellectual property and set out to solve a defined problem. The fund is looking to provide not only a cash injection to the investee companies, but also expertise and mentoring to help these businesses grow.

The team, headed by John Mathers (former CEO of the Design Council) and Damon Bonser, has close partnerships with a number of accelerators such as Twenty20 Mentoring, Design Council’s SPARK, the Central Research Laboratory and other advisors to help grow portfolio companies. 

Examples of previous portfolio companies

Please note, these are examples only: new investments will be made in other similar investments. 

Kokoon Technology

47% of people in the UK struggle to sleep due to stress or worry. Kokoon has developed noise cancelling, smart headphones that are designed to help wearers achieve a better night’s sleep. Kokoon has pre-sales of over £3 million and has attracted the interest of a major airline.

Calla Shoes

Manchester-based footwear company, Calla Shoes offers fashionable and comfortable shoes targeted at the 10 million women in the UK who suffer from bunions. Founded in September 2016, it has had coverage in the Daily Mail and The Times and it already has overseas partnerships in place.

Risks – important

This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice.

SEIS investments are high-risk so should only form part of a balanced portfolio and you should not invest money you cannot afford to lose. They also tend to be illiquid and hard to sell and value. Before you invest, please carefully read the Risks and Commitments and the offer documents to ensure you fully understand the risks. 

Tax rules can change and benefits depend on circumstances.

This  SEIS fund invests in early-stage businesses which are more likely to fail than larger ones. So you should expect a number of failures in the portfolio.

Fees & charges

A summary of the fees and charges is shown below.

Initial charge 5%
Annual charge 2-4%
Administration fee -
Performance fee 20%

More detail on the charges

Wealth Club aims to highlight investments we believe have merit, but you should form your own view. You should decide based on the provider's documents and ensure you have read and fully understand them before investing. This review is a marketing communication. It is not advice or a personal or research recommendation to buy the investment mentioned. It does not satisfy legal requirements promoting investment research independence and is thus not subject to prohibitions on dealing ahead of its dissemination. 30 Oct 2018.

The details

Type
Fund
Sector
Consumer
Target return
£3 per £1 invested
Funds raised / sought
£2 million sought
Minimum investment
£10,000
Deadline
05 April 2019

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