Is this investment an eligible venture capital investment or a permitted loan?
Shares, convertible notes (that are equity interests), units or options in Australian businesses with assets of not more than $250 million. The total amount invested is not more than 30 per cent of the VCLP’s committed capital. Cannot invest in businesses where the predominant activity is: •property development •banking, financing, leasing, factoring, securitisation, insurance, making investments •construction. Each investment held is: 1.an eligible venture capital investment under s118-425 of the ITAA97; or 2.an investment in a company, in which the partnership owns one or more eligible venture capital investments, that would have been an eligible venture capital investment but for subsections 118 425(2) and (6) of the ITAA97; or 3.an investment in a unit trust, in which the partnership owns one or more eligible venture capital investments, that would have been an eligible venture capital investment but for subsections 118 427(3) and (7) of the ITAA97.