How Quintas Capital Approaches EIIS Investing: 50% Tax Relief Social Infrastructure Projects
Our approach to EIIS investing is purpose-built to minimise downside risk while maximising the 50% tax relief available to investors. We're not looking for exponential growth returns. Instead, we focus on profitable businesses that generate cash from operations and are structured to return the investment - along with an agreed coupon - after four years.
EIIS is one of the few remaining tax reliefs that can be used to offset total income, including rental income and share options. It allows individuals to claim up to 50% income tax relief on qualifying investments of up to €1,000,000 invested annually.
However, not all EIIS-qualifying investments carry the same risks and returns. The maximum 50% tax relief is reserved for pre-revenue companies, or those who have not yet operated in any market - and that's where we focus.
What We Invest In
At Quintas Capital, we specialise in pre-revenue EIIS-qualifying projects, particularly those with a social infrastructure element. These include:
- Childcare centres
- Renewable energy assets
- Sports and hospitality developments
Each project typically involves the purchase or development of physical assets - land, buildings or specialised facilities - which serve as a foundation for value creation and downside protection. Unlike conventional start-ups, these businesses hold tangible fixed assets and often have a clear path to revenue generation post-construction or fit-out. This gives investors exposure to the highest tier of tax relief (50%), while investing in companies anchored by real-world value.
The Risks Involved
Pre-revenue companies are inherently risky - but if your investment is funding the acquisition or development of a tangible asset, the risk profile shifts significantly. In our experience, this structure offers three key advantages:
- Downside protection - land and buildings retain value.
- Predictable exit paths - our investments are structured around redeemable equity, meaning the company redeems the shares after four years, returning capital with a fixed coupon. A bank refinance, coupled with free cashflow reserves, is the most likely exit option.
- Aligned incentives - founders are required to invest their own capital, typically at least 10%, ensuring strong alignment between promoters and investors.
Quintas Capital's typical EIIS investments range from €1 million to €5.5 million per company, with individual investor commitments between €25,000 and €1,000,000.
By prioritising projects in regulated sectors like childcare and renewable energy, we not only mitigate financial risk but contribute to high-impact areas of Irish society. A recent example is our €4.5 million investment in Zenith Childcare - a project designed to expand vital childcare infrastructure across Ireland, in an area where demand consistently outstrips supply.
Our Four Pillars
Every investment we make is built on four pillars:
Once an investment is made, we provide quarterly reporting and maintain active oversight via our investment committee. We also join the company's board, enabling additional oversight. The goal is simple: to give investors visibility, confidence and an informed view of their portfolio.
How the Numbers Stack Up
Take an illustrative investment of €100,000:
These are illustrative figures only - no investment is guaranteed, and the EIIS scheme comes with conditions. All EIIS investments are classified as high-risk. A diversified approach is always advisable, and investors should not commit more than they can afford to hold for the four-year minimum term.
We're Actively Investing in 2025 and 2026
If you're involved in - or are aware of - pre-revenue, real estate focused projects that meet these criteria, we'd love to hear from you. At Quintas Capital, we're always on the lookout for compelling EIIS opportunities that combine strong social impact with real-world value.
Reach out to us at info@quintascapital.ie to discuss how we can work together.