Читать книгу How To Become A Business Angel - Richard Hargreaves - Страница 87

It is helpful to have some basic understanding of the Financial Services Authority (FSA) rules if only to judge whether the organisation you are dealing with operates within them – and thus legally.

It is clear that a number of websites and networks which are focused on angels operate outside these rules. A quick check is that those who are within the rules will prominently state they are “authorised and regulated by the FSA” – as they are required to do. If they do not you need to be vigilant as contempt for the rules implies contempt for the customer, which in this case is you.

The only FSA rule of concern to the angel relates to financial promotion. To quote from the FSA’s website:

“A financial promotion is any communication that is an invitation or an inducement to engage in investment activity. In other words, there is an element of persuasion. An inducement is intended to lead, ultimately, to an agreement to engage in investment activity. So an advertisement by a firm claiming customers will make a fortune by investing in securities, and that the firm can help them invest, is an inducement to engage in investment activity.”

The FSA imposes strict rules on those who seek to promote financial investments to individuals because of the risks associated with inappropriate advertising to consumers. This is designed to protect members of the public from unscrupulous selling.

The FSA rules used to make the promotion of unquoted investment opportunities both difficult and expensive. However, the rules relating to approaching high-net-worth or sophisticated individuals were relaxed to remove barriers to business angel activity.

It is possible to self-certify yourself as a high-net-worth (HNW) or sophisticated investor and you need to do so to join all reputable angel networks or syndicates.