---
title: Letter of Engagement for Advance Assurance Applications
description: Learn what a Letter of Engagement is, why HMRC requires it for Advance Assurance, and what information it must include.
---

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# Letter of Engagement for Advance Assurance Applications

## Learn what a Letter of Engagement (or Letter of Intent) is and what information it must include for an Advance Assurance application.

If you're applying for Advance Assurance and your proposed investors are Crowdfunding platforms, investment funds or Nominee vehicles rather than individual investors, HMRC requires a Letter of Engagement.

A Letter of Engagement, sometimes referred to as a **Letter of Intent**, is used to show that there is genuine interest in investing in your company. It helps demonstrate to HMRC that you are not submitting a speculative application and that there is a realistic prospect of investment if the company qualifies.

The letter should come from the investment fund and confirm that it is considering an investment in the company. Although it isn't a commitment to invest, it provides HMRC with evidence that discussions are taking place and that the fund is interested in the opportunity.

To be accepted by HMRC, the letter should:

- Be **dated**.
- Be **addressed** to the **company applying for Advance Assurance**.
- Be **signed** by a **representative of the investment fund / Crowdfunding platform / Nominee vehicle**.
- State the **amount** the **fund is considering investing**.

Providing a Letter of Engagement is an important part of the Advance Assurance application process when your proposed investors are investment funds. If you do not provide one, HMRC may not be satisfied that there is genuine investor interest in the company, which could negatively impact the eligibility of your application.

For many founders, this can create a frustrating delay. HMRC requires details of potential investors before granting Advance Assurance, but finding and engaging those investors can take weeks or even months.

If you purchase **SeedLegals Boost**, you don't need to source an investment fund or obtain a Letter of Engagement yourself. As part of Boost, you'll receive a Letter of Intent confirming that **SeedLegals and Scribe are helping you reach out to investors**. This can be used as evidence of investor engagement for your Advance Assurance application, allowing you to move forward without first securing interest from a specific fund.

The SeedLegals platform generates the Letter of Intent for you, so there's no need to prepare the letter yourself, collect signatures, or provide the investment details that would normally be required in a traditional Letter of Engagement.

This helps founders avoid one of the most common obstacles in the Advance Assurance process and can significantly speed up getting an application submitted to HMRC.

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