What if your R&D tax claim is delayed?
Research and Development (R&D) tax credits are a relief paid by HMRC to UK Companies to reward their efforts towards innovation. We’ve seen the payment of any R&D Tax claim by HMRC slow in recent months, but are pleased to have found an option if this is likely to cause your business problems.
We’ve talked in the past about Alternative Finance, and it is through this market that this new product has arisen. Through our connections, we have been made aware of a lender who will now lend against R&D claims and other grants too.
We’ll list below the key features of the offer. Please be aware that we are not recommending this option to everyone, but rather are making you aware that there is an option that may be worthy of consideration. As with all finance decisions, considerable thought should be given before any action is taken, and this should be on a case by case basis.
- Advance up to 70% of he expected claim size.
- Minimum Loan size £70,000
- Can be 12, 9, 6 or 3 month term
- Can be drawn down before or after year end, in advance of the submission of the Corporation Tax Return
- Can be repaid early, ie as soon as the cash arrives from HMRC
- Interest only
- Unsecured – No Personal Guarantee or Debenture required
- Business ideally requires two previous claims, though one may be considered
- Business use be up to date with HMRC (to enable cash repayment)
If you are interested to know more, please get in touch.
Similarly, if you would like to discuss a potential R&D tax claim in your business , even if it would only a small claim or a one-off opportunity, please get in touch.