If you are running a tech business, whether you are at the start-up stage with a promising business idea or leading an established business preparing for expansion, one challenge can be raising finance for your tech business.
Tech companies often need significant capital to build products, recruit talent, enter new markets, and manage ongoing costs before revenue fully catches up.
Family Investment Companies, often referred to as FICs, have become increasingly popular in recent years, particularly as clients look for alternatives to traditional trust planning.
However, much of the commentary around Family Investment Companies in the UK is either overly simplistic or presents them as a “silver bullet” solution. In reality, they are neither.
Many businesses reach a point where they start generating more cash than they actually need. On the surface, that sounds like a great problem to have, and it is. The real question is what should you do with cash surpluses in your business to support your long-term goals? If you have surplus cash sitting in your business bank account, it can quietly become a missed opportunity.
