The Investment Bond is an investment that is designed for investment growth and can be suitable for businesses with various attitudes and the want for change.
It’s a long term investment without a fixed end date, so you can invest your business for as long as you like, although similar to many investment companies, there is an early exit charge if you take money out during the first five years.
All investments must have long term and short term plans.
Benefits of our investment bonds:
- Invest over the medium-long term to grow your money.
- Choose to make regular withdrawals, to provide the business with an ‘income’.
- You have the choice from a wide of funds from leading investment providers if you want to switch the fund(s) your money is invested in.
It’s good to know that this type of investment carries a slight risk and its value can fall as well as rise, so you may get back less than you put in.
Bonds are generally offered to as fixed-income securities and are one of the three asset classes, attach with stocks and cash equivalents. The different types of bonds involve Government Securities, Corporate Bonds, Commercial Paper, Treasury Bills, and Strips etc.
Bond Service Types:
There are two types of Bonds – cumulative and non-cumulative. The tenure of bonds is 6 years from the date of issue. No interest would accrue after the maturity of the bond. These bonds bear an interest @ 8% p.a. and are payable half yearly. The interest income from these bonds is taxable.
Capital Gains Bonds:
Gains made out of capital transfer need to be invested in NABARD, NHAI or REC, within six months of sale of capital assets, in order for proceeds of such sale to be exempt from Capital Gains Tax.
Corporate bonds are also known as debt obligations, or IOUs, issued by private and public corporations. They are normally issued in the multiples of £1,000 and/or £5,000. Companies use the investment funds that are gathered from selling bonds for a variety of purposes, from building facilities to purchasing equipment to expanding their business and have an overall positive effect on the business.
Our Business Bonds
Working alongside and investing in innovative businesses allows their company to grow whilst investing to ensure them a better future.