[OT] Starting an investment company - advice?

[nobby]

I'm looking for someone who can give me advice or point me in the right direction for starting up some sort of Investment Company.

For the past months I have worked hard and invested my money through means of various financial markets.

Everythings been going well and I'm happy with a solid return on my money. I'd now like to take this to the next level and start some sort of investment company, whereby rather than me using my hard earned cash or possibly using loans from friends (which i have been offered), I can open the investment opportunity to a wider range of people, yet still offer the same service - a fixed return on investment.

What i would be possibly offering is a 7% non-compound interest back
on money invested through me and payout every 20 days aprox. giving 140% back after the 20 day mark.

eg: £1000 - after 20 days £1400 etc

Any advice on legal and tax implications i could face and anyone who has started a successful business lend a word of advice.

[Mighty Max]

Don't.

[Zefrian]

i personaly would say the same: don't do it

[Jodo]

You need a lot of money already behind you, because when it fucks up (and it will even if it's only for a little while) you'll still need to pay out. Plus, with the current financial climate, it'd be suicidal setting up something like that in the near future. Just the money you'd need to pay out so you're legally protected and registered is gonna leave you out of pocket for a while.

This is all a long winded way of saying "DON'T". Hopefully you now have some reasons not instead of a some negativity. I know there are way more reasons rattling around in the back of my head but I cba fishing for them.

[rob444]

As everyone said, don't do it. The financial market is going through a tough period and that means a tougher period for you my friend.

[Nidhogg]

What i would be possibly offering is a 7% non-compound interest back
on money invested through me and payout every 20 days aprox. giving 140% back after the 20 day mark.

eg: £1000 - after 20 days £1400 etc

Any advice on legal and tax implications i could face and anyone who has started a successful business lend a word of advice.
You'll probably be bankrupt before you hit your first interest payment. Seriously. You're talking about massive rates of return in order to grow £1000 into £1400 within just 20 days. There is no fixed interest investment vehicle in the world that can offer a ROI like that. If there was then my pension would be in it, along with everyone else's!

/edit - Before you'd be able to do anything legally you need to be registered with the Financial Services Authority (http://www.fsa.gov.uk/pages/index.shtml) (which costs big time). You might want to read their handbook (http://fsahandbook.info/FSA/html/handbook/), and then after having read it, just give up. Seriously, if you understand all that stuff then maybe you could make it. I doubt that's the case.

[Rambus]

EDIT: [insert constructive crit here]

[rob444]

g0d, get back to ETG

[nobby]

Well that's killed it for me..

If i'm being honest though, I've been receiving 130% every 6 days...

I shant say where because that'd spoil it : \

[Hell-demon]

Nooby you are young; go enjoy your life and don't grow up too fast. Why the fuck would you want to be bankrupt at your age?


Now get your arse in game you crazy kidder you :p

[L0KI]

I worked as an Independent Financial Advisor, which pretty much involved investing other peoples money.

I am qualified in a variety of Financial areas, including FSA and FISA - and I can only say; DON'T DO IT.

Sure, you CAN make money - and you probably will, 50% of the time.

If it's something that really interests you, write to a few successful IFA companies, and tell them you're interested in learning the ropes.

Think about it - why would people trust you - at your age and experience over someone with years of success behind them?

[nobby]

because seeing the tens of thousands of people signing up to other "High yield investment programs" within the month of their opening, without any proof of where their money is actually going to, people still seem to trust them.

[Riddle]

Enjoy your good fortune as many others dismay at their Misfortune.

As the other said
"please refrain from wrecking your head in a minefield of law and taxation implications"

Logan - ACA, BSc, MBA (Yes i am a Finance Geek!)

[Doc Holliday]

do it. its a great idea.



there is no such thing as the credit crunch and people arent getting laid off left and right in various capacitys at all nobby.

its a great time to try and go against the grain.

you would be like a salmon with no fins or tail trying to swim up stream.

[nobby]

I know you all now think I'm a stupid knob at this concept.

But let me tell you, I started off invested only 50 pound 3 months ago, and i have bagged myself almost 2K, Which i used for my 3rd holiday -> vancouver :p

So i then ofcourse thought about gaining a bigger pot of gold to turn into magic... thus "an investment company"

Though the legality of such a concept for myself would be too expensive, guess I could always keep it small as "loans" from friends ^^

[Doc Holliday]

I know you all now think I'm a stupid knob at this concept.

But let me tell you, I started off invested only 50 pound 3 months ago, and i have bagged myself almost 2K, Which i used for my 3rd holiday -> vancouver :p

So i then ofcourse thought about gaining a bigger pot of gold to turn into magic... thus "an investment company"

Though the legality of such a concept for myself would be too expensive, guess I could always keep it small as "loans" from friends ^^


none of us think you are a nob. we just think your being a bit too OTT with it all. if you have found a way of earning money easy then look at it as easy money and be glad. dont overreach and end up getting burned for it. thats all.

[Hell-demon]

^^Is god