Chartered Accountants
R&D – Construction
Sector – Construction
Company Size – £4m Turnover
Qualifying Costs – £67,439
Our client is a well-established business based in the East of Scotland that supplies products to the construction industry, including commercial, industrial and residential construction.
What type of work does the company do?
The company started a new project to develop a product for the construction industry that would reduce labour time and costs on installation and would reduce health and safety issues.
What R&D work was completed?
The product that the company was developing would be a higher quality but lower cost alternative to other products offered in the market. Work involved determining the correct combination of raw materials, the volume of each material, and the method of production in order that the end product had the right composition so that it was strong, durable and easier to work with. Work was undertaken to ensure that the effects of seasonality on the product could be eliminated, in order that they did not impact on the quality, thus ensuring a consistently high quality product could be produced all year round. Further trials were undertaken to assess different raw materials, including new materials to the market that may provide a solution, and on reviewing the manufacturing process to resolve any issues being encountered.
The project was on-going at the last year end as the results of the changes needed to be tested under weather conditions at different times of year to determine how successful the trials had been and what areas of development needed to be taken forward.
What was the outcome?
As a result of the R&D claim, our client received tax savings of £22,491.
