Stockport engineer reclaims £100k in R&D tax
A North West manufacturing company has successfully reclaimed almost £100,000 in tax spent on research and development.
Mini Gears Components Worldwide based in Stockport, reclaimed £96,400 from HM Revenue and Customs under the research and development corporation tax reclaim scheme. The company manufactures precision engineered parts for the automotive and aerospace sectors.
Its products include aircraft seating, classic cars stair lifts, hoists and winches, and it is one of the world’s biggest producers of gear racks.
In the 1990s the firm was one of the smallest gear companies in the UK, employing around 40 people. Contract successes have seen the expansion of the firm, to the point where it now has a turnover of more than £8.6m and employs 85 staff.
It is also expanding into China and is purchasing an office on the mainland to capitalise on new opportunities within the vast market there.
The firm recently won a contract to provide rack and pinion gears to a major client but wanted to show them it did other kinds of machining. The client had experienced problems with its supplier, so Mini Gears re-designed the parts and solved the problem.
Through successful use of R&D, the firm discovered and developed a new arm to the business and after consulting with R&D Tax Claims found it could recoup its tax outlay.
The company was advised by Wolverhampton company R&D Tax Claims.
Mark Evans, managing director of R&D Tax Claims Ltd said, “Research and innovation is at the very core of everything Mini Gears do, and if companies have a financial incentive to invest in R&D, they will.
“It’s vitally important that this scheme is made visible to more UK companies. Many don’t realise what they are missing. HMRC are happy to re-credit companies that are clearly investing consistently in R&D. Most of the companies we work with are forward-thinking anyway – that’s why they are doing R&D, and the vast majority of them reinvest their reclaims in the business.”
