Are you eligible for R&D tax credits to boost your cash flow?
Only a few months ago, the IMF forecast lasting damage to the UK economy as a result of the pandemic. Now it says the advanced economics will emerge largely unscathed. Even if this view seems too optimistic, one thing is for sure, as we emerge out of lockdown 3.0., as a business owner, cash flow is front and centre of your minds to make the most of increased demand as restrictions ease . Research & Development or ‘R&D’ tax credits could be one way to boost your cash flow annually. Are you eligible?
MANUFACTURES PRODUCTS AND INNOVATION
One surprising thing that many businesses don't realise is that being successful or not in developing a new product or process doesn’t actually matter, and you would qualify for R&D tax credits if you spend on a process or product.
MODIFYING EXISTING SYSTEMS TO IMPROVE EFFICIENCY, CAPACITY OR PERFORMANCE
Almost every business, no matter which industry or market it operates in, will want to improve efficiency, capacity for new business and performance.
Finding ways to do this will not only increase output and sales in the short term and provide an uplift in profit of the business long term, it will also qualify your business for R&D tax credits.
CREATING NEW SYSTEMS OR SOFTWARE TO IMPROVE QUALITY OF SERVICE
When businesses create new software or do some manufacturing development that would enable them to improve their product or service, it’s common to look at ways of integrating the technical advancement achieved into what they do in order to improve service quality.
The good news is that this could qualify for R&D tax credits
DEVELOPING BESPOKE SOLUTIONS FOR PARTICULAR PROBLEMS
Every client is different and there won’t be many businesses that haven’t been presented with a unique problem by a particular client.
Principally of course, the work that goes in to developing solutions for a particular problem is to meet the client’s needs. However, it also has the added benefit that it makes businesses eligible for R&D tax credits.
Are you missing out on thousands of pounds each year?
In our experience, UK businesses are some of the most innovative in the world when it comes to advancing their products, systems and services. However, relatively few are aware that this entitles them to make huge savings when it comes to R&D tax credits.
Of course, most businesses develop new products and processes simply to meet the needs of clients and customers, yet this quality of service doesn’t only help improve reputation, it could easily save tens of thousands of pounds each year too.
