RIBA Supplier Spotlight: Beavis Morgan

In our series on Business Suppliers, Rebecca Heap, Senior Research & Development Manager at Beavis Morgan and Steve Govey one of our professional partners, explain how their financial services can benefit RIBA members on tax relief in our Q&A.

Tell us about Beavis Morgan

"Beavis Morgan R&D Tax Relief is a specialist division of Beavis Morgan LLP, the accounting, tax and business advisory firm. We are a team of highly qualified tax professionals and sector experts across software, engineering, and science to help our clients with all aspects of their R&D (research and development) tax credit claim/s, including:

• Ascertaining whether you are eligible to qualify
• Identifying and capturing expenditure on qualifying activities
• Preparing a robust report for submission to HMRC
• Liaising with HMRC on your behalf to assist in the process of achieving money back for you and your business

We are dedicated to helping companies secure government money back for innovation, enabling our clients to continue to develop their products and services and achieve sustainable success. "

How would you describe 2022 in the accounting and tax sector? Were there any challenges that architects faced last year, and you helped?

"2022 has been an expensive year for most firms. With increasing costs and interest rates it has become more important for architects to closely monitor cash flow, have sound financial processes and efficient tax planning. The Beavis Morgan R&D team have been liaising closely with our clients to provide advice and ensure timely delivery of R&D tax claims.

R&D tax rebates can act an important source of cash flow and we regularly work with our clients to help forecast the amount claimable from various projects and expenditure to help them manage their margins as well as their cash flow. Our R&D team can also work alongside clients’ existing accountants and tax advisors to help with any financial and tax queries."

How can Beavis Morgan help architects?

"Beavis Morgan has been working with businesses in the architecture and construction sector for many years, offering specialised R&D Tax Relief and other business advisory services. Technical innovation, creativity and problem solving are skills inherent in the day to day running of an architecture business, much of which qualifies under the R&D Tax Scheme.

Activities which may indicate eligibility include:

• Technical design of buildings and solving structural and design challenges
• Development of strengthening solutions for aged buildings, extensions and basements
• Developing construction techniques or assembly to minimise disruption on live sites or reduce construction time and adapting to modern methods of construction
• Problem-solving to come up with solutions to onsite challenges eg. restricted access
• Achieving novel requirements for high-end builds or meeting environmental requirements
• Software development to extend the functionality of software such as BIM

Being part of a full-service firm of accountants, tax and business advisers, we are well placed to deal with the complex tax benefits that can be derived from a claim, and complete the tax computation returns, HMRC submissions and chasing the Revenue for repayment without delay."

How would you describe your client approach?

"Our approach is very personalised and tailored. An initial meeting allows us to get a deeper understanding of our client’s business and provide insight into relevant areas of support we could offer. We would discuss particular challenges the business faces and examples of projects to ascertain the suitability and potential benefit from R&D Tax Credits. Our industry experts have extensive experience with architecture R&D claims and can lead the R&D claim process, writing up the technical justifications and extracting the financial information to compile the necessary reports. Our clients frequently comment on how easy and time efficient the process is for them."

What are the advantages for RIBA members of using services from Beavis Morgan?

"RIBA members will get assurance that they are engaging with a reputable firm with a specialism in the construction and architecture sector. We pride ourselves on our level of client service. Our knowledge of architecture, particularly in relation to R&D, allows us to provide relevant insights and deliver top-quality R&D reports suitable for withstanding any scrutiny from HMRC. With increasing HMRC enquires into R&D claims, it is more important than ever for companies to engage with experienced and regulated tax firms like Beavis Morgan."

What are the biggest or key risks an architect can face in the financial sector this year?

"There are some major changes in Corporation Tax being implemented this year. Companies will need to work closely with their advisors to plan for this and evaluate how their business may be impacted.

From 1st April 2023, Corporation Tax rates will be increasing up to 25%. Meanwhile, changes to the R&D tax schemes are being implemented that could significantly reduce your future R&D claims with loss-making SMEs impacted most. Increases in corporation tax coupled with inflation and rising costs may further strain the cash flow of architects and their clients. Efficient invoicing and cash collection will be crucial alongside smart tax planning and utilising the tax incentive schemes available. "

Have architects come to you for advice more often in the last two years?

"Financial pressures have led architects to focus more of their time on their finances and tax planning. This has led to many more architects utilising R&D tax credits for the first time. Our reputation within the architecture and construction sector is also increasing and we have many clients recommending us to their peers. We are also able to support our architecture clients across our other services at Beavis Morgan. Numerous clients have been evaluating their providers for accounts, tax and payroll. We have also seen an increase in those looking for other business advisory support to navigate the financial pressures they are faced with."

In a series of interview led articles, we provide an up close and personal look into the portfolio of the products & services chosen to help support you in practice. Find out more about our Research and Development Tax Relief for architects and practices.