Part 5

Enterprise investment scheme
Chapter 3

General requirements

The requirements

The purpose of the issue requirement
174
1
The relevant shares (other than any of them which are bonus shares) must be issued in order to raise money for the purpose of a qualifying business activity so as to promote business growth and development.
2
For this purpose “
business growth and development
” means the growth and development of—
a
if the issuing company is a single company, the business of that company, and
b
if the issuing company is a parent company, what would be the business of the group if the activities of the group companies taken together were regarded as one business.
S. 174(2) inserted (with effect in accordance with Sch. 5 para. 23 of the amending Act) by Finance (No. 2) Act 2015 (c. 33), Sch. 5 para. 10(4)
Words in s. 174(1) inserted (with effect in accordance with Sch. 5 para. 23 of the amending Act) by Finance (No. 2) Act 2015 (c. 33), Sch. 5 para. 10(3)
S. 174(1): s. 174 renumbered as s. 174(1) (with effect in accordance with Sch. 5 para. 23 of the amending Act) by Finance (No. 2) Act 2015 (c. 33), Sch. 5 para. 10(2)