In these unprecedented times, businesses need to focus on managing their cash-flow more than ever before.
The Chancellor, Rishi Sunak, has now announced a wide ranging package of emergency measures aimed at providing grants and loans to support businesses through this crisis. However, at some point, the loans will need to be repaid.
In the meantime, businesses should continue to look at how they can manage their short-to medium-term cash-flow and a successful R&D claim can often unlock a valuable tax refund in return for a relatively low investment of time. Generally speaking, a business that is developing new products or substantially improving existing products and processes can qualify for the relief. For a loss-making business, every £100 of qualifying expenditure could potentially generate up to £33 of cash for the company and we are seeing that HMRC have sped up the repayment process of late.
Dyke Yaxley’s dedicated Tax team are hugely experienced in making R&D claims across a wide range of sectors, from software start-ups to food manufacturers, the construction and automotive sectors and many, many more. Our approach is designed to take the pain out of the claims process and maximise the cash return for the company. We recently met with a manufacturing business in South Shropshire who had previously been told that they weren’t eligible to claim the enhanced tax relief, so you can imagine how happy they were to then receive a cheque from HMRC for £80,000.
Please remember that the sooner you speak to us, the sooner we can begin assessing whether a claim is possible. We can guide you through the claims process without the need for face-to-face meetings and with minimal input from you and your team, so that you can continue to focus on other, more pressing, issues. We are here to help.
Tax Director, Francesca Hutcheson
Telephone: 01743 241 281