FAQs

Am I eligible?

This program is available to individuals and companies who qualify as ‘sophisticated investors’.  There are several ways to meet this criteria but the simplest is that if you have paid at least $500,000 for the qualifying shares then you are deemed a sophisticated investor. You do not need a certificate from your accountant to invest.

For this reason, the minimum investment in this program is $500,000.  

Do I meet the sophisticated investor test?

You are a sophisticated investor if you meet one of the following criteria: 

  • You have paid at least $500,000 for the qualifying shares 
  • You hold a certificate issued by a qualified accountant. This certificate is available only if you (or your controller) have gross income of at least $250,000 for each of the last two financial years or net assets of at least $2.5 million
  • You are offered the qualifying shares through a financial services licensee who is satisfied that you have previous investment experience that allows you to assess the offer and you sign an acknowledgement 
  • You meet the requirements of being a ‘professional investor’ under the Corporations Act 2001 (such as a financial services licensee), or
  • You have or control gross assets of at least $10 million (including any assets held by an associate or a trust that you manage).
What is an ESIC?

A company that meets the definition of an ESIC under the Australian tax law. ESIC stands for Early Stage Innovation Company. All of our investment opportunities are with companies that qualify as ESICs.

Is this too good to be true?

We have structured this program to remove as many barriers as possible for investors, and so we tend to hear that it’s too good to be true. The truth is that the program works. We have run this program successfully for several years, with investors successfully claiming the tax offset, and start-ups receiving much needed funding to develop their products. 

The idea is to make this program financially appealing to investors. The start-ups and their ideas will always benefit the most.

How does the loan process work?

Loans with our partner AMG Finance are business purpose loans. The loan is secured by your shares and no other collateral is required. 

In the application process we ask for some information about your income and expenses to assess that you have capacity to pay the interest on the loan. 

Loan approval is subject to identity and capacity checks. Your loan should be declared in other loan applications, and your shares declared as assets.