Opportunities on CoInvestor put your capital at risk
As with all investments, the offers shown on the CoInvestor platform will place your capital at risk: Investors may not get back the full amount invested.
Before making any investment it is important to understand the risks associated with it. In addition to the points below, each offer listed on this site is likely to have specific risks associated with them, you should therefore refer to the information provided on each offer for further details.
Decision to invest
Any decision whether or not to invest is yours. If you are in any doubt about a particular investment, we highly recommend that you speak to a regulated financial adviser or wealth manager.
We do not provide advice to investors and the information on this website should not be construed as such. The information which appears on our website is for information purposes only and does not constitute specific advice. Neither does it constitute a solicitation, offer or recommendation to invest in or dispose of, any investment. If you are in any doubt as to the suitability of an investment, you should seek independent financial advice.
The value of investments can go down as well as up. Unlisted investments are more volatile than quoted shares.
CoInvestor does not provide financial or taxation advice and you should always consult a financial expert or taxation specialist in order to fully understand the possible consequences of investment in a CoInvestor product. The current levels of taxation and tax reliefs may change in the future. Tax relief depends on an investor’s individual circumstances, and we recommend that you seek specialist tax or financial advice before investing.
Please note that any reference made to past performance or forecasted performance is not a reliable indicator of future results.
Investment through CoInvestor involves buying shares (equity) in small and medium sized businesses which, by nature of their size, may involve significant risk. Many small and medium sized businesses fail or do not grow as planned. It is likely that you may lose all, or some of your investment and you should therefore only invest an amount that you can afford to lose.
Shares in small and medium size businesses cannot easily be sold and it is very unlikely that there will be a secondary market for the shares that you acquire. This means that you are unlikely to be able to sell your shares until and unless the investee company floats on a stock market or securities exchange, or is bought by another company. Even for a successful business, a flotation or purchase is unlikely to occur for a number a years from the time you make your investment.
Rarity of Dividends
Small and medium sized businesses are rarely able to pay dividends. This means that if you invest in a business through the platform, even if it is successful and grows substantially, you are unlikely to see any return of capital or profit until you are able to sell your shares in the investee company. This is unlikely to occur for a number of years from the time you make your investment.
Any investment you make is likely to be subject to dilution. This means that if the business raises additional capital at a later date, it will issue new shares in the investee company to the new investors, and the percentage of the investee company that you own will decline. These new shares may also have certain preferential rights to dividends, sale proceeds and other matters, and the exercise of these rights may work to your disadvantage. Your investment may also be subject to dilution as a result of the grant of options (or similar rights to acquire shares) to employees of, service providers to, or certain other parties connected with, the investee company.