The Department of Trade and Industry has defined certain sectors in which The Capital Fund cannot invest. These businesses are designated as not a "qualifying trade" as defined in paragraph 4, Schedule 28B of the Income and Corporation Taxes Act 1988:
- dealing in land, commodities, futures, shares, securities or other financial instruments
- dealing in goods (other than in normal wholesale or retail trades)
- banking, insurance, money lending, debt factoring, hire-purchase financing and other financial activities
- leasing or letting assets on hire, except in the case of certain ship chartering activities
- providing legal or accountancy services
- property development
- farming, forestry or market gardening
- operating or managing hotels or nursing or residential care homes
Nor can The Capital Fund invest in certain restricted sectors defined in Article 32 of the EC Treaty. These include the production of synthetic fibres and yarns, motor vehicles, steel and sea-going commercial self-propelled vessels and a number of food related sectors. Here is a PDF containing a full listing of food related sectors.
If your business falls within one of these restricted sectors then The Capital Fund will not be able to make an investment in your business. Please contact us if you require any further guidance on this.
The Capital Fund is managed by YFM Venture Finance Limited. YFM Venture Finance is authorised and regulated by the Financial Services Authority and is part of the YFM Group. Trading names used in the past by the London office include London Fund Managers, Yorkshire Venture Finance and Yorkshire Fund Managers.