What are the benefits of investing on AiM?
There are a number of benefits to clients when investing on the Alternative Investment Market (AiM). Firstly, shares on AiM qualify for Business Relief (BR), which offers 100% relief from Inheritance Tax after just two years – as opposed to seven years when placed in gifts and trusts.
Secondly, there are fewer regulatory requirements than listing on other exchanges. There is more red tape associated with other exchanges, which the Alternative Investment Market just simply doesn’t require. There are also no restrictions on market capitalisation, and financial reporting is more flexible – with no liquid asset tests and or a requirement for extensive trading history.
Thirdly, in 2013, AiM listed companies were allowed to be included in Individual Savings Accounts (ISAs). This thereby encouraged longer term investment by providing shelter from Inheritance Tax – as well as income tax and capital gains tax.