Section 257KB | When investment is made, and “investment date”

(1)For the purposes of this Part “the investment date” means the date on which the investment is made.

(2)So far as the investment is in shares, for the purposes of this Part it is made when the shares are issued to the investor by the social enterprise.

(3)If the investment, so far as it is in qualifying debt investments (see section 257L), involves making the only advance covered by the debenture or debentures concerned, for the purposes of this Part it is made—

(a)when the social enterprise issues the debenture or debentures to the investor, or

(b)in a case where there is to be no such issuing, when the debenture or debentures, so far as relating to the advance, take effect between the social enterprise and the investor.

(4)If the investment, so far as it is in qualifying debt investments, involves making the first of multiple advances covered by the debenture or debentures concerned, for the purposes of this Part it is made—

(a)when the social enterprise issues the debenture or debentures to the investor, or

(b)in a case where there is to be no such issuing, when the debenture or debentures, so far as relating to all of those advances, take effect between the social enterprise and the investor.

(5)If the investment, so far as it is in qualifying debt investments, involves making the second of multiple advances covered by the debenture or debentures concerned, or a subsequent one of those advances, for the purposes of this Part it is made—

(a)when the amount of that advance is fully advanced in cash, or

(b)if later—

(i)when the social enterprise issues the debenture or debentures to the investor, or

(ii)in a case where there is to be no such issuing, when the debenture or debentures, so far as relating to all of those advances, takes effect between the social enterprise and the investor.

(6)For the purposes of subsections (3) to (5) “debenture” includes any instrument creating or acknowledging indebtedness.