How do I get SEIS/EIS advance assurance?
By SuLe · Updated 7 May 2026
Advance assurance is HMRC's written pre-clearance that, on the facts you present, an investment in your company would be expected to qualify for SEIS or EIS. You apply to HMRC with details of the company, your plans for the money and — under current practice — your expected investors. It is non-statutory and not mandatory, but most angels will not invest without it.
Key facts
- Advance assurance is non-statutory pre-clearance from HMRC — not legally required, but most angels insist on it before investing.
- Applications now need details of your expected investors, not just your company.
- As of mid-2026, HMRC typically takes several weeks — commonly 4–8 — and there is no statutory deadline or published service standard.
- Assurance is not a guarantee: relief is only confirmed when HMRC accepts your compliance statement (SEIS1/EIS1) after the shares are issued.
Do I actually need advance assurance?
Legally, no — the schemes work without it, and a company can go straight to issuing shares and submitting its compliance statement. Nothing in the legislation requires pre-clearance.
Commercially, yes. Most angels require advance assurance before they transfer money, because it is their only comfort that the 50% or 30% relief they are pricing in should actually arrive. An investor asked to complete without it will usually either walk or wait.
So in practice the application is the first legal step of almost every SEIS or EIS round, sitting ahead of the term sheet in a well-run raise.
What goes into the application?
HMRC's advance assurance guidance sets out what to send. In substance you are evidencing three things: what the company is and does, how the raise meets the scheme conditions, and who the money is coming from — applications now need details of expected investors.
Your plans matter as much as your paperwork. The application should show how the money will be used in the qualifying trade and how the company intends to grow and develop long-term, because the risk-to-capital condition is tested on exactly that story.
Check the current requirements on gov.uk before you file — the expected contents are set by HMRC practice rather than statute, and they change.
What does the assurance letter actually guarantee?
Less than founders assume. Advance assurance is a non-statutory opinion on the facts presented: it tells investors HMRC would expect the raise to qualify, and it has no statutory force.
If the facts shift — new share rights, a pivot into an excluded activity, a materially different round — the letter may no longer protect anyone. The same applies if the application was inaccurate or incomplete.
The binding stage comes later. After the shares are issued and the company has traded for 4 months or spent 70% of the money, you submit the compliance statement (SEIS1/EIS1); only when HMRC accepts it can investors receive their SEIS3/EIS3 certificates and claim.
When in my raise should I apply?
As soon as the round has real shape: a plan for the money and named prospective investors. You cannot sensibly apply earlier, because HMRC expects details of expected investors — a purely speculative application has nothing to attach them to.
Applying early matters because the wait is measured in weeks, not days — typically 4–8 as of mid-2026, with no service standard to hold HMRC to. Founders who apply after signing a term sheet often spend that entire window explaining the delay to impatient angels.
While you wait, negotiate documents, agree the cap table and prepare completion paperwork. Some founders also take committed money in early via an advance subscription agreement, which can preserve SEIS/EIS eligibility if HMRC's conditions — including a longstop of no more than 6 months — are met.
| Advance assurance | Compliance statement (SEIS1/EIS1) | |
|---|---|---|
| When | Before the raise closes | After the shares are issued — once you have traded 4 months or spent 70% of the money |
| What it is | Non-statutory HMRC opinion that the raise would be expected to qualify | Formal statement that the conditions are actually met |
| Legally required? | No — but most angels insist on it | Yes, before investors can claim |
| What investors get | Comfort to commit | SEIS3/EIS3 certificates to claim relief with |
Worked example
Nadia is raising £200,000 under SEIS for her consumer fitness app; two of her three angels will not sign without assurance. In February she applies to HMRC, naming all three expected investors and attaching her business plan and forecasts showing how the money grows the team.
The assurance letter arrives about five weeks later — inside the typical range. The round closes in April, and the company issues new ordinary shares, fully paid in cash.
By August the company has spent £140,000 — 70% of the raise — so Nadia submits her SEIS1. Once accepted, her largest angel claims £40,000 back on an £80,000 investment.
Where founders go wrong
Applying with no investors lined up
— applications need details of expected investors; a speculative application risks going nowhere while your round waits.Treating the letter as a guarantee
— it is a non-statutory opinion on the facts presented; change the facts and it may not protect you.Leaving it until the term sheet is signed
— several weeks of HMRC time then lands in the middle of your close; apply as soon as the round takes shape.Forgetting the second HMRC stage
— relief only becomes claimable after the SEIS1/EIS1 is accepted and SEIS3/EIS3 certificates go out; assurance alone gives your investors nothing to file.
Related questions
How long does advance assurance take?
There is no statutory deadline and HMRC publishes no service standard. As of mid-2026, applications typically take several weeks — commonly 4 to 8, and longer in busy periods — so apply as soon as your round takes shape rather than once investors are waiting to sign. [More: How long does SEIS advance assurance take?]
Is advance assurance legally binding on HMRC?
No. It is a non-statutory opinion based on the facts you present. If the round changes — different share rights, a new activity, materially different plans — or the information given was wrong or incomplete, the assurance may not protect you. The binding decision comes when HMRC reviews your compliance statement.
Can investors put money in before assurance arrives?
Commonly yes, via an advance subscription agreement: the investor pays now and receives shares later, once assurance has landed and the round closes. To keep SEIS/EIS eligibility the ASA must meet HMRC's conditions, including a longstop of no more than 6 months. [More: Do ASAs and convertible notes qualify for SEIS/EIS?]
What are SEIS1 and SEIS3 forms?
SEIS1 (EIS1 for EIS) is the compliance statement your company submits to HMRC after the shares are issued — once you have traded for 4 months or spent 70% of the money. When HMRC accepts it, investors get SEIS3 (or EIS3) certificates, which they use to claim their relief. [More: What are SEIS1 and SEIS3 forms?]
An advance assurance application is where HMRC first meets your company, and a rushed one — vague plans, missing investor details, a business plan that undercuts the risk-to-capital story — costs weeks at exactly the moment your round has momentum. A SuLe solicitor can review your application before it goes in. Book a free SEIS/EIS readiness call and file it right the first time.
Keep reading: How long does SEIS advance assurance take? · What is SEIS and how does it work? · What is EIS and how does it work? · Is my startup eligible for SEIS? · What is the risk-to-capital condition? · What is an advance subscription agreement (ASA)?
Primary sources: HMRC — Apply for advance assurance on a venture capital scheme · HMRC — Apply to use the Seed Enterprise Investment Scheme · HMRC — Apply to use the Enterprise Investment Scheme
