Category: Blogs

The R&D tax credit specialists at made.simplr are celebrating having been named as finalists at the prestigious 2020 Digital Accountancy Awards.

The digital platform, which is taking the accountancy world by storm, has been shortlisted for the Accountancy Software of the Year category for its exceptional innovations within the profession.

The judges at this year’s awards were impressed by made.simplr’s ability to use existing cloud accountancy platforms to collate information and automate the R&D tax credit claim process to produce HMRC-ready reports.

This innovation is helping accountancy firms to reduce the costs and manpower employed in assisting businesses with this form of tax relief and opening up the market so that smaller practices can offer support to other businesses as well.

As its name suggests, the ultimate goal of made.simplr is to make the R&D tax credit system simpler using technology so that funding is available to a wider variety of companies, from the very smallest businesses to medium and large-sized enterprises.

Dr Sarah Malter, Managing Director at made.simplr, said: “We are delighted to be recognised at this year’s Digital Accountancy Awards – it is a real honour.

“It is fantastic to see that our innovative cloud-based approach to R&D tax credit claims is gaining recognition. It is also encouraging to see that the accountancy profession understands the benefits and value of using cloud-based solutions to make their lives easier and, in return, help so many businesses make the most of the financial support for innovation that is out there in the UK.”

made.simplr has already won several Government grants through Innovate UK for its work and hopes to add another success to its roster of achievements this year. It will find out whether it has been successful at the Digital Accountancy Forum and Awards, which this year is being held virtually on 30 September 2020.

To find out more about made.simplr and its forward-thinking approach to R&D tax relief, book a demo today!

Smaller businesses across the UK may soon be able to automate their R&D tax credit claims thanks to new technology developed by innovators Made.Simplr.

As part of a package of £90 million of specialist grant enterprise funding from Innovate UK – the United Kingdom’s innovation agency – to support businesses affected by COVID-19, Made.Simplr is developing a cloud-based system that automates the R&D tax credit claim process for smaller businesses.

The new system will help those businesses that traditionally are unable to afford specialist the necessary specialist advice from an accountant or who have limited knowledge of the R&D tax credit scheme – which offers to provide tax relief of up to 33p in every £1 of qualifying expenditure for SMEs.

With millions of pounds worth of funding being missed each year, Made.Simplr believes its new platform will help hundreds of the UK’s smallest businesses and start-ups to get the financial support they need during this difficult period so that they can survive and thrive.

Dr Sarah Malter, Managing Director at Made.Simplr, said: “The very smallest businesses in the UK are often those with the most innovative ideas. These early-stage businesses often do not have the resources to tap into the benefits of R&D tax credit funding, which means they tend to miss out until they are much larger, by which point they may not be able to reclaim as much tax relief.

“This new system that we are developing, thanks to the funding provided by Innovate UK, is unique and should help to widen access to R&D tax credits at an essential time for these smaller businesses – when funding from lenders or other grants simply may not be available.”

Made.Simplr already works with a wide range of accountancy firms via its existing innovative cloud-systems, which are designed specifically to make R&D tax claims more efficient and cost-effective for accountancy firms of all sizes.

“We are taking the principles that we have learned from our current platform and are looking to simplify them and apply them to much smaller businesses – allowing us to develop things quickly,” explained Sarah.

“This new product is not designed to compete with our accountancy customers services, as it is aimed at much smaller businesses, who may not be unable to access their advice due to the costs involved.”

Accountants from across the UK have taken part in an informative webinar hosted by made.simplr that outlines how technology can be used to make R&D tax credits easier.

During the presentation, hosted by the made.simplr team, accountants got to learn more about made.simplr’s cloud-based software as a service (Saas) solution, which can automate much of the R&D tax credit claim process to prepare HMRC-ready reports.

The software, which is now employed by many accountancy firms across the UK, makes the provision of tax credit advice more cost-effective and the process of handling claims more efficient.

The free webinar from made.simplr explores the challenges that businesses and firms face when making a claim and the vast potential for funding for businesses due to the large amount of unclaimed tax relief.

Dr Sarah Malter, Managing Director at made.simplr, said: “We had a really good response from this webinar, but there are many more firms out there that could benefit from this presentation and the software that it highlights.

“Innovation is quickly and radically changing the accountancy landscape and firms must keep abreast of the latest developments and see how they can adapt their practice to meet ever-changing client needs.”

To view made.simplr’s explanatory webinar, please visit www.youtube.com/watch?v=uqZNc3-0IhA&t=6s

A new study from HSBC UK has revealed that SMEs intend to prioritise investment in technology and innovation during the next five years.

The research showed that 67 per cent of UK SMEs expect technology to increase flexible working practices, including the use of new cloud-based platforms.

With many firms having to adjust to remote working during the last six months, many SMEs also see other technological assets, such as video conferencing tools and high-speed internet, as essential elements of their future survival.

The survey also showed that 52 per cent of SMEs expected to make changes to products or services as a result of the pandemic, identifying enhanced online journeys and self-serve capabilities, as key areas of improvement to their operations.

Additional research from HSBC UK, which surveyed business leaders from 49 tech firms, showed that 74 per cent of respondents believe their company will have to work more remotely than before the Covid-19 crisis.

Despite the move to remote working, just one in three believed that productivity levels had suffered due to a move to remote working, with many citing advances and uses of technology as a key driver to change and growth going forward.

Commenting on the results of the studies, Roland Emmans, Head of Technology at HSBC UK Commercial Banking, said: “As firms look to build further resilience, investment in tech is at the forefront of their plans. Business leaders are looking to change their traditional ways of working and find ways that they can innovate to adapt their existing office spaces.

“This reliance on technology has softened the impact of the pandemic on the tech sector and provided growth opportunities for firms that have adapted quickly to provide continuity in their services.”

Made.Simplr is working hard to support businesses with remote working by assisting them to make R&D tax credit claims over the cloud using automation.

In fact, our work is being supported with specialist COVID-19 grant funding from the Government-backed Innovate UK. To find out how we can assist you and your business, book a demo today!

The Government has awarded £400 million in Research and Development (R&D) funding to regional research and innovation projects in the UK.

The funding forms part of the Government’s long-term aim to invest 2.4 per cent of UK GDP in research and innovation, with R&D funding forming a significant part of the strategy.

Businesses and universities in Cardiff, Edinburgh, Belfast, Glasgow, Kent, Liverpool and Bristol will benefit from the funding for projects including smart-packaging to reduce food waste, health products to fight infection and zero-emissions technology for marine vessels.

Alok Sharma, Business Secretary, said: “The announcement will ensure some of our country’s most promising R&D projects get the investment they need to take off and thrive.

“Working with the private sector and our world-class universities, we’re backing new and innovative ideas that will create jobs and boost skills in every part of the UK for years to come.”

The Government has stated that the programmes will deliver long-term economic benefits in each city and area, creating new jobs, cultivating new skills and encouraging a competitive future for the UK economy as businesses look to rebuild and recover from the coronavirus pandemic.

The investment forms a part of UK Research and Innovation’s (UKRI) ‘Strength in Places Fund’, which aims to support R&D projects that will be a catalyst for local and regional economic growth.

To find out how Made Simplr could help you and your clients obtain R&D funding for relevant research and innovation projects, contact our expert team today.

HM Revenue & Customs (HMRC) recently released new consultation documents that seek to expand the allowable expenditure for R&D tax credits to cover cloud accounting and data costs.

Responding to the release of the documents, the R&D tax specialists at cloud accounting platform Made.Simplr have said changes to the scope of expenditure are long overdue and should be comprehensive to ensure that UK businesses can innovate and grow.

Made.Simplr is a new cloud accounting platform that automates much of the R&D claims process for accountants and their clients, using AI to draw the necessary information together and prepare HMRC-ready claims.

Having helped hundreds of businesses complete the claims process, they say there are countless examples of where businesses have missed out £100,000’s of relief due to the inability to claim costs associated with data and cloud accounting, especially hosting costs.

Depending on the outcome of the current consultation, HMRC may look to expand the rules surrounding R&D tax credits to include a proportion of this expenditure within a claim.

“For a long time, the argument seemed to be that hosting and other data costs, which were an integral part of some companies’ R&D, were not sufficiently separate enough from a firm’s commercial work to meet the criteria for a claim.

“However, similar costs within a business, such as utilities which are consumed in the R&D process can be claimed for if apportioned properly. It would seem that similar rules for cloud accounting and data cost could make a massive difference to many businesses who are reliant on digital services as part of their R&D process.”

Sarah said that the limits on expenditure in these areas often proves to be a particular impediment to accessing the tax relief for certain sectors, such as IT and the creative industries.

Eneko Igartua, Made.Simplr’s Operations Manager, added: “The reality is that if a firm is large enough and invests in a private server network dedicated to just R&D, then they may be able to claim some of the expenditure through the tax credit system.

“This means that the current rules are a significant disadvantage for smaller innovators, such as start-ups and scale-ups, which are more reliant on this kind of financial support.”

Made.Simplr believes that further reform of the R&D tax rules, beyond those being considered, could help to provide the support that forward-thinking businesses need as they attempt to recover from the current crisis.

“The Government may be missing an opportunity if they do not review and amend the rules around R&D comprehensively enough,” added Eneko. “Here is an opportunity to support those businesses that could lift the UK out of the difficulties it faces and into a new era as one of the world’s leading innovators.”

The team at Made.Simplr is calling on members of the accountancy profession and their clients to take part in the Government consultation, which closes on 13 October 2020. To submit a response, please visit www.gov.uk/government/consultations/the-scope-of-qualifying-expenditures-for-rd-tax-credits-consultation

Projects across the UK have been given funding to test the revolutionary high-speed connectivity available via 5G technologies.

The new projects will receive a share of £30 million through 5G Create – an open competition to develop innovations that support UK industry, as part of the wider £200 million 5G Testbeds and Trials programme.

The money will be used for research and development (R&D) in the following projects:

• AI-controlled traffic lights to reduce pollution and congestion in Manchester
• Remote music festivals using 5G at Brighton Dome
• Cost reduction for the RAF’s Tempest fighter jet programme in Preston
• BT Sport will use 5G to transform watching live sports through virtual reality
• NHS video consultations for low-income families in Liverpool
• 5G’s ability to boost productivity via autonomous trucks at Nissan’s Sunderland car factory.

Matt Warman, Minister for Digital Infrastructure, said: “We are helping innovative thinkers across Britain use their creativity to harness the power of 5G and boost economic productivity, cut pollution and congestion, and develop the next generation of entertainment.

“The new funding we are announcing today will help us pioneer new ways to seize the opportunities of 5G and bring tangible benefits for consumers and businesses across the country.”

The Government has already funded 24 5G testbed projects across the UK. These have helped with the development of 70 different 5G technologies, products and applications.

The Government has already confirmed a second round of funding through 5G Create, which will be revealed later this year.

5G is a growing area of interest for many businesses and the development of technologies in this area could benefit from R&D tax credits, even if they are unable to obtain additional grant funding via the Government.

To find out how made.simplr could help you or your clients with the funding of 5G and other technology products, book a demo today.

Official figures from HM Revenue & Customs (HMRC) suggest that agriculture companies in the UK are missing out on millions of pounds worth of Research & Development (R&D) tax credits every year.

The data has revealed that the UK agriculture sector made up less than 0.5 per cent of UK R&D tax credit claims and now those in the sector are being encouraged to consider if they are eligible to make a claim.

However, for those people that did claim from the sector, the average value of the claim was almost £52,000 in 2017-18.

Under HMRC’s rules, to get R&D relief, you need to create a new product, service or process, or change an existing product, service or process for the better.

There are five broad categories which can classify Agricultural R&D claims:

• Staff costs
• Subcontractors
• Externally provided works
• Consumables and heat
• Light and power

Businesses must consider the full range of both qualifying activities and cost categories.

Currently, agricultural businesses are benefiting from improvement due to technology. R&D tax claims can come from process improvements, production improvement and scalability and quality control.

This is happening all over the industry, in areas such as the growing of crops, animal production and activities to support agriculture and post-harvest crop.

Even in situations when businesses are already claiming R&D tax credits, they may not have fully explored the full potential of that claim.

The Government recently published a new R&D Roadmap, which sets out the UK’s vision to cement itself as the best location in the world for scientists, researchers and entrepreneurs.

The Research and Development Roadmap, published at the start of July is part of the Government’s long-term plan to attract the best global talent and cut bureaucracy around innovation and development.

This document is seen as a key cornerstone in the nation’s economic recovery and includes a pledge to spend £300 million on scientific infrastructure across the UK.

The Roadmap also includes support for projects that attempt to address key global and national challenges, such as climate change, quality of life improvement, strengthening national security and enhancing existing public services.

To achieve this, the Government plans to:

• Increase investment in ground-breaking research and cut bureaucracy.
• Establish the Office for Talent, making it easier for top global science, research and innovation talent to come to the UK.
• Create an Innovation Expert Group to review and improve how the government supports research.
• Provide the necessary funding to help entrepreneurs and start-ups scale up their innovations.

Business Secretary, Alok Sharma, said: “The UK has a strong history of turning new ideas into revolutionary technologies – from penicillin to graphene and the world wide web. Our vision builds on these incredible successes to cement Britain’s reputation as a global science superpower.

“The R&D Roadmap sets out our plan to attract global talent, cut unnecessary red tape and ensure our best minds get the support they need to solve the biggest challenges of our time.”

Accountancy firms and businesses in the UK are to be given a helping hand with the complexities and burdens of R&D tax credits via new innovative software.

made.simplr has been launched to help firms to process claims by automating the gathering and compiling of all of the necessary information to create HMRC ready reports.

Having already received two rounds of grant funding from Innovate UK – the Government’s innovation partner – the software firm hopes to capitalise on a market that it feels is massively underserved.

Dr Sarah Malter, Managing Director of made.simplr, said: “For years there have been studies coming out that show that utilisation of R&D tax credits in the UK is poor and that many more companies, large and small, could be benefitting from this funding.

“Despite the best efforts of some accountants to support their clients, there are barriers that prevent companies from making a claim, such as the scheme’s complexity and the burden of putting together and calculating an application.

“We believe made.simplr opens up this market so that smaller firms of accountants can take greater advantage of the revenue that they can obtain for processing and providing advice to R&D tax credit claimants.”

The app is able to work with Xero to gather the information required and compile it so that firms can focus on advising clients on how to make use of the tax relief available.

With future developments to enable other software platforms, such as Sage, to integrate with the platform the team behind made.simplr believes it can revolutionise the R&D tax credit industry.

“As well as automating much of the claims process for firms, made.simplr is also a fantastic business intelligence tool,” explained Sarah.

“It helps accountancy firms and businesses to assess the performance of the claims they are making and demonstrate their value to others.”

Sarah and the team at made.simplr understands that automation is the key to innovation within the accountancy profession and they believe that during challenging times such as these it can help firms to expand their service offering beyond the confines of their traditional market.

“More and more accountancy firms are thinking big and many will have already become reliant on cloud accounting solutions such as made.simplr due to factors such as remote working and the introduction of Government initiatives, such as Making Tax Digital,” added Sarah.

“Our software simply and efficiently allows firms to tap into an area that otherwise may not be available to them due to the limited number of existing cost-effective solutions out there.”

To find out more about made.simplr and how it can help accountancy firms and businesses, book a demo today!