Fund of flops
BUCKMASTER & Moore, stockbrokers to Keynes, has suffered a case of arrested development. The case history should be read alongside the offers of Business Ex- pansion Scheme funds which at this time of year float down like snowflakes. Hurry, hurry, cry the promoters: get your money invested now, before the tax year ends, and before the Chancellor or the Revenue change their minds: enjoy the wonderful relief of being able to charge the whole of your investment against your tax. The Buckmaster development fund under the Business Expansions Scheme raised ,£1 million, which was invested in seven com- panies, and has now been running for 18 months. The managers have just sent out their report. Company A: 'Despite en- couraging trading in previous years this company had to be placed in liquidation.' All the money is certainly lost. Company B has done relatively better. It, too, is in liquidation, and the investors' surviving interest is a possible lawsuit against the previous directors and shareholders. Com- pany C has needed new capital, is still running at a loss, and its chances depend (so Buckmaster says) on adequate funds being secured for the business. Company D has also needed more money and some changes of management: 'there are en- couraging signs of progress, but the magni- tude of challenges facing the company are not underestimated' . . . . Company G seems to be dong well, but Buckmaster gives no figures for it, or for any of the others.
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