Fund manager Highgate Associates has launched a second Enterprise Investment Scheme fund that will target high-technology businesses.

Fund manager Highgate Associates has launched a second Enterprise Investment Scheme fund that will target high-technology businesses.

The fund, Highgate Tech Fund 2, aims to raise £10 million by July next year in two initial closes, with the first being January 31 next year.

Investors will have to commit a minimum £5,000 to the new venture. Highgate’s first fund, Highgate Tech Fund 1, raised £2 million before closing in March this year.

Highgate Associates chief executive and chair of the new fund Andrew Muir says: ‘Highgate Tech Fund 1 got us off to a good start. Highgate Tech Fund 2 builds on the first fund and investors will benefit from even greater tax efficiency.’

HMRC’s Enterprise Investment Scheme (EIS) is designed to help smaller higher-risk trading companies to raise finance by offering a range of tax relief initiatives to investors who purchase new shares in their companies.