Albion Ventures, the UK-based venture capital investment firm, is looking to raise up to £15 million ($24 million) across six of its venture capital trusts through the launch of the Albion VCTs Top Up Offers.

Albion’s six VCTs represent investment in 58 businesses - with a bias towards the healthcare and environmental sectors - which combined are worth some $187 million. The firm has included both asset-backed and high-growth enterprises for diversification purposes.

VCTs were first introduced in the UK in 1995 and have proven to be popular among high net worth investors due to several tax efficiencies they offer. Firstly, the taxman will rebate 30 per cent of the initial investment into a VCT to UK taxpayers (this means an investment of £100,000 will cost just £70,000, provided the investor is liable to at least £30,000 of UK tax). Secondly, dividends paid out by a VCT are tax-free and do not have to be included in one’s tax return. Thirdly, any eventual sale of VCT shares is free from capital gains tax, provided they are held for at least five years.

The Albion VCTs Top Up Offers are targeting a monthly tax-free income of 5.7 per cent (should investors choose to invest equally across all six Offers), equivalent to 8.1 per cent on the net cost of investment after the up-front 30 per cent tax relief.

The minimum investment for the Albion VCTs Top Up Offers is £6,000 per investor, subject to a minimum subscription of £1,000 for each VCT chosen. The maximum amount is £200,000 per investor in VCTs in total for the current tax year.

There will be a first closing on 19 December 2012.  Applications made thereafter will be allotted to the final closing, which will take place on 5 April 2013 for the tax year ended 5 April 2013 and 12 June 2013 for the tax year ending 5 April 2014.