R & D Project Info Capture

Companies in this area are involved in the early stage commercialisation of new technologies. Rather than concerning themselves with developing a sustainable business model around a new technology, they are more likely to be evaluating how that technology could be useful, or valuable, in a range of different applications or environments. This type of research tends to take place in companies that have their own R&D departments, or within small companies that have been spun out of larger entities with the specific purpose of turning new knowledge into a source of income. It may also take place within small SMEs that are supported by grants or other investment funding until they are able to validate the new technology by finding at least one practical application for it.

This is the most common type of claim for R&D tax relief, as most companies with their own design and/or manufacturing capability are likely to be involved in improving the performance of their products. These companies also tend to have the ability to diagnose and solve technical problems within their niche area of expertise. Claimants in this area already have established, revenue-generating products, but are typically striving to keep ahead of competitors, anticipate or comply with legislative changes, and meet shifting, emergent or anticipated demands from their customers.

Another very common area in which companies make claims, this type of R&D often goes hand-in-hand with the preceding section. Work is often driven by cost or legislation – companies that are able to find new technical ways to do the same things are often rewarded by greater efficiencies, reduced costs of production, or being able to continue to operate in markets in which their competitors can’t. As before, claimants will tend to have in-house technical design, problem-solving and production capabilities.