Tax efficient and 'knowledge-intensive' - but not as we know it

Hardeep  Tawakley
clock • 2 min read

Partner Insight: A renewed focus on 'knowledge-intensive' companies should help investors realise that these entrepreneurial companies are found in sectors other than biotech or technology.

The problem for any government hoping to legislate for investment in scale-up companies, as defined by the Patient Capital Review last year, is it inevitably leads to attempts at definitions which can confuse as much as elucidate. Take the vexed issue of ‘knowledge intensive' companies. This is deemed by the current legislation to be companies where a high proportion of staff are educated to a post-graduate level and should a company qualify it means it can both receive double the previous investment limit from a VCT. It can also be older than non-knowledge intensive firms when it receive...

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