Page 7 - Kavka Proposal Web

4. Targeted Returns Tax Free Growth
Cost of Investment £ (100,000) – no capital gains

Income Tax Relief at 30% £ 30,000 tax payable on
Net Investment £ (70,000)
Investment Proceeds £ 272,500 disposal after
a three year
Net Return £202,500
Total Return on Net Investment 289.3% qualifying period

Average Annual Return 57.9%
Average Gross Equivalent Return 105.2%
The above target returns are based on a number of
assumptions and are illustrative only, with no warranty as
to the future outcome. Please refer to Section 9 of Part 2 of
this Brochure for more details on the financial illustration.
5. Risks

Investment in the Company involves a high degree of risk
and investors are strongly advised to seek independent
legal, financial and tax advice before making a decision to
invest. Full details of the risk factors can be found in Part
5 of this Brochure.
Past performance is not a guide to future performance
and may not be repeated. The value of investments can go
down as well as up and you could lose part or all of your
capital invested. You should consider the Company to be
a medium to long term investment and that investment in
the Company is likely to be illiquid.
The above is a summary of the key points pertaining to
the opportunity to subscribe for shares in the Company
and should be read in conjunction with the full text of this
Brochure.

KAVKA 5