Part 5

Enterprise investment scheme
Chapter 2

The investor

The requirements

The no linked loans requirement
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1
No linked loan is to be made by any person, at any time in period A, to the investor or an associate of the investor.
2
In this section “linked loan” means any loan which—
a
would not have been made, or
b
would not have been made on the same terms,
if the investor had not subscribed for the relevant shares, or had not been proposing to do so.
3
References in this section to the making by any person of a loan to the investor or an associate of the investor include references—
a
to the giving by that person of any credit to the investor or any associate of the investor, and
b
to the assignment to that person of a debt due from the investor or any associate of the investor.