Income Tax Act 2007 section 184

The unquoted status requirement

Section 184 sets out the requirement that a company issuing shares under the Enterprise Investment Scheme must be an unquoted company at the start of period B, with no arrangements in place for it to become quoted.

• At the beginning of period B, the issuing company must be unquoted — meaning none of its shares, stocks, debentures or other securities are marketed to the general public.
• There must be no arrangements in existence for the company to cease being unquoted, nor for it to become a subsidiary of another company through a share exchange where that new parent company is planned to become quoted.
• Securities are considered marketed to the general public if they are listed on a recognised stock exchange, listed on a designated overseas exchange, or dealt in outside the UK by designated means.
• The restriction on arrangements does not apply where the company's securities later become listed on an exchange or dealt in by means that were only designated by order after the beginning of period B.