A small business has a series of challenges they face every day. From looking after customers to building a client base, the average small business owner needs to juggle many aspects of their operation at the same time. It can mean that looking at something new takes a back seat while you work hard to keep everyone happy. The question ‘How can R&D Tax Credits help my small business?’ really never gets answered as you don’t have the time to step back and do the necessary research.
When you are looking to build a business, you don’t always feel like you have the available time to do anything other than keep the plates spinning and stay afloat. Unfortunately, the failure rate for small businesses is alarmingly high in the UK. So, how can R&D tax credits help my small business? I hear you ask. Well, there is a solid answer that will transform the way you look at this part of your business. But first, let’s look at the thorny issue of finance at the centre of everything you do
As a small business owner, making sure the finances are in place are usually top of the list of things that keep you up at night. There are many ways of looking after the money in the business. But one area that causes a huge headache is raising larger sums of cash. Chasing invoices and paying suppliers are one thing, but they usually only concentrate on small amounts of money. Looking for the kind of money to invest in bigger projects can be hard work. The banks don’t have anything like the same appetite for lending as they did in the past. We may be back in the situation where you have to prove you don’t need the money in order to convince the bank to lend you it!
Then there are more recent innovations in terms of raising capital such as crowdfunding that carry risks of not being able to get your hands on the money at all or being sharing a greater proportion of your business with the investors than you had originally envisioned. Neither of these are a happy prospect.
How can R&D Tax Credits help my small business?
Let’s take a look at what people classify as R&D or Research and Development. The view of large R&D departments coming up with new drugs or developing a new chemical are probably what comes to mind when you hear the phrase R&D. But it is a more wide-ranging thing than this.
- A food and drink company reducing the sugar content in their products
- A manufacturing company embedding a new piece of machinery
- An engineering business delivering a new system of work
And the list goes on. All of these are considered R&D by the tax man. Why is this significant? Well, because the government has asked the HMRC to reward small businesses who invest in research and development. The answer to the question “How can R&D Tax Credits help my small business?” becomes clearer all the time.
How can I find out more?
Lumo are R&D tax experts who take all the strain out of the process of making an R&D tax claim. We look at your small business and then help you to put forward a claim that not only highly likely to be accepted, but also that will maximise the return you receive.
We have a 100% success rate with R&D tax claims – you get peace of mind that your claim is being looked after by someone who knows their stuff.
We offer a no win, no fee service – you get to explore the viability of an R&D tax claim without spending a penny.
We gain over £35,000 on average for our clients – you get a large lump sum of cash into your small business.
Whether you are an engineering company coming up with solutions to problems for your business and clients or a food and drink manufacturer who is reacting to customer demand, there is likely an R&D tax claim sitting in your business. But it gets better than that! If you have never made a claim, then we can look back at the last 2 tax years in addition to this one – that first claim could be a big one! Now you can see why people are asking “How can R&D Tax Credits help my small business?” and coming up with an answer that really makes them smile.