This case study is part of the Greater Birmingham Chambers of Commerce’s Invest to Grow campaign. Invest to Grow aims to inspire and inform businesses around investment in R&D, innovation, technology and machinery and how it can help boost productivity through case studies, expert opinion pieces and briefing information. Click here to find out more and don’t forget to join the conversation on social media with #I2G18. Part 1 of Invest to Grow focuses on investment in innovation and research & development and is sponsored by the University of Birmingham.
Veriserv provide comprehensive compliance monitoring and reporting solutions for a range of different professional services including electrical, fire and mechanical. We provide IT tools that enable their test engineers to perform inspection and reporting on the services efficiently.
Until 2010, we hadn’t really thought of ourselves as undertaking the kind of research and development (R&D) that would qualify for R&D Tax Credits. Then we received a mailer from the Greater Birmingham Chambers of Commerce on innovation and the benefits that could be gained from R&D Tax Credits. Although I and the management were unsure how likely we were to qualify we contacted the service provider GovGrant.
We had developed new software and data collection devises for our on-site engineers that allowed them to communicate in real time with our central database. This allowed Veriserv to isolate issues of compliance on our entire testing program for our clients. Gov Grant identified that a significant amount of compliant R&D had gone in to the development of this new capability.
That meeting back in 2010 led to a relationship that is still in place today and successful R&D tax claims that demonstrated over £500k of compliant development activity and recovered tax free cash to the business of more than £100k.
The process was relatively straightforward, the analyst from GovGrant came in and interviewed the technical development team and collected data from the company’s accountants. They then prepared a claim that was submitted along with the year-end tax return.
Claiming these R&D tax credits allowed us to run a much more extensive program of development and helped improve the quality and accuracy of our management information systems and the service delivery to our clients
Although we were working hard to develop our service offer, we didn’t see ourselves as an R&D company and might never have applied if had not been for that Chamber Circular.
My words of advice would be; you may think that only scientific or manufacturing type companies qualify for R&D tax credits but that couldn’t be further from the truth, as every kind of business implements new processes, procedures and systems that are highly likely to attract the Tax credit. We paid on a no win, no fee basis, so we had nothing to lose and everything to gain!
About Veriserv Ltd
From establishing ourselves as a trusted and reliable portable appliance testing company in 1991, the expansion and delivery of our services have been honed over the last two decades. Today we are recognised industry leaders in provision of electrical, mechanical, fire, security and the related compliance services for our clients across many sectors, all delivered by an enthusiastic, professional and ethical team