R&D Tax Credits – Are you claiming all you are eligible for?
In the fifth in the series of Insights around R&D tax credits, we give a client’s perspective
Blackbay is the leading provider of mobility enabled-solutions for the transport and logistics’ industry. The company has developed configurable end-to-end mobile workforce management solutions that ensure ‘first time’, ‘on time’, ‘every time’ delivery. They connect the shipper, operations, management, driver and crucially the customer with real-time data and automated workflows to create smarter delivery operators.
Blackbay’s flagship product, Delivery Connect, provides an end-to-end delivery solution, designed to manage the movement of freight from the shipper to the end receiver, including scanning, proof of delivery (PoD) exception management, cross dock and in-depot activities through to job dispatch, customer service and reporting. They discuss their experiences here:
“We’d previously submitted R&D Tax Credit claims using another company, but felt that the process had been unnecessarily complex, expensive and not as extensive as it should have been,” explained Blackbay’s COO Mark Hoyland.
The MSC team is able to structure and present grant applications and R&D Tax Relief claims authoritatively to maximise benefit,” added Hoyland. “It gave us confidence that our claim was well founded and fully defensible.”
He added that Blackbay was impressed with MSC R&D’s supportive, relationship building approach and recognised the importance of MSC R&D’s technical expertise, which was imperative if they were to fully understand Blackbay’s business.
“We worked together to prepare our submission to HMRC based on MSC R&D’s fast-track process and 100% contingency fees; it minimised our risk, time and cost. The fast-track process required only one day of our time so there was a minimum of disruption to our day-to-day business routines.
Two MSC R&D experts (technical and financial) spent a day with Blackbay identifying eligible projects and accessing relevant financial data. A detailed report was then prepared for submission to HMRC as supporting documentation.
As a result Blackbay received a £330k tax refund, significantly higher than previous years.
Importantly the company, was fully compliant in the event of a HMRC audit, with robust supporting documentation prepared by MSC R&D.
“The extensive documentation MSC R&D prepared made our sizeable claim a formality. MSC R&D’s approach minimised time and risk and laid the foundations for an efficient claims process in future years,” explained Hoyland.
“Having felt that we didn’t get value for money last time, it was refreshing to work with a company which delivers what it promises. MSC R&D’s technical and financial expertise, combined with their professional, supportive approach meant that the whole process was more streamlined and rewarding.”
The average SME claim value in 2016-17 was c£54,000
75% of SMEs made a claim worth less than £50,000
Are you getting enough?
Read the full case study here