- Published date:
- 12 February 2026
Raising early-stage capital in the UK often leads to one key investor question: “Is this SEIS or EIS eligible?”
For PropTech founders, the honest answer is often: it depends. While the UK’s Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) offer some of the most generous tax incentives for investors globally, the rules behind them are detailed, technical, and closely scrutinised by HMRC.
This complexity is especially relevant for PropTech companies, where business models can sit close to property ownership, land development, leasing, or energy, all areas with specific restrictions under the schemes .
That is exactly why this guide exists.
What This Guide Is About
The SEIS and EIS Guide for PropTech Founders is a practical, founder-facing resource designed to explain:
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How SEIS and EIS actually work in practice
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What HMRC requires from qualifying companies
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Where PropTech founders need to be especially careful when structuring their business or fundraising
Rather than repeating legal or tax language, the guide translates official HMRC and GOV.UK guidance into clear, usable information for early-stage teams. It reflects current rules and highlights areas that founders planning multi-year fundraising strategies should be aware of.
The aim is not to replace professional advice, but to help founders make informed decisions before they engage investors, advisors, or HMRC.
What’s Inside the Guide
The document covers:
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The fundamentals of SEIS and EIS — what they are, why they exist, and how they differ.
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Eligibility criteria, including:
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Company age limits
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Employee thresholds
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Gross asset caps
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Fundraising limits under each scheme (HMRC VCM; GOV.UK SEIS Guidance).
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A side-by-side comparison of SEIS and EIS, helping founders understand which scheme applies at different stages of growth.
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Rules on how investment funds must be used, including qualifying activities and spending deadlines.
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Subsidiary and group structure considerations, which are a common source of compliance risk for scaling startups.
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Excluded activities, with specific relevance for PropTech businesses operating near property ownership, land, leasing, or energy generation.
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Advance Assurance, including:
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When it is useful
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What it confirms
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What it does not guarantee (HMRC Guidance on Advance Assurance).
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Share and ASA requirements, including what HMRC expects in compliant share structures and pre-round funding instruments.
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A practical checklist that founders can use before, during, and after a SEIS or EIS raise to reduce risk and improve investor confidence.
How Founders Can Use This Guide
This guide is designed as a preparation and alignment tool, not a replacement for professional advice. Founders will get the most value from it by using it:
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Before fundraising, to sense-check whether your business model, activities, and structure are likely to qualify under SEIS or EIS.
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When speaking with angels, advisors, or early-stage funds, to better understand the questions they are asking and why those questions matter.
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As an internal checklist, alongside legal and tax advice, to help identify potential issues early rather than discovering them late in the process.
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As a reference, when deciding how to structure investment rounds, subsidiaries, or pre-round instruments such as Advanced Subscription Agreements (ASAs) .
It will not replace professional advice, but it should help founders have more informed, productive conversations with the people who provide it.
A Note on Guidance and Limitations
This guide is provided for general information and educational purposes only.
SEIS and EIS are governed by detailed legislation and HMRC interpretation, and eligibility depends on the specific facts and circumstances of each company (Income Tax Act 2007; HMRC VCM). There is no “one-size-fits-all” outcome.
Founders should always seek advice from qualified tax, legal, or corporate finance professionals before relying on SEIS or EIS as part of their fundraising strategy.
Why This Matters for PropTech Founders
PropTech sits at the intersection of technology and real assets, a space where SEIS and EIS can be powerful tools but where companies are also more likely to encounter edge cases, exclusions, or structural complexity.
By understanding the rules early, founders can:
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Avoid costly restructuring later
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Reduce friction with investors
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Improve fundraising confidence
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Build compliant foundations for long-term growth
This guide forms part of our wider Knowledge Hub, developed to support founders navigating the practical realities of building and scaling technology businesses in the built environment, including regulatory complexity, long sales cycles, capital requirements and the operational challenges that often emerge as companies move from early traction to sustainable growth.
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