Information management company DataStation, is constantly investing in developing the software behind their managed applications. Standing still is not an option, as their clients’ needs are continuously evolving

Research and Development Tax Credits case study for Datastation

Established in 2000, DataStation specialises in providing clients with a bespoke application that processes large volumes of information. This allows them to collect and share information, perform graphical analysis and manage assets globally. The company boasts an impressive client list, including high profile names such as Arcadia Group, Jaeger, Land Securities, Mothercare and Sodexo. Operating in diverse industry sectors, these clients share a common theme – they demand fast, secure, reliable and responsive systems, that allow them to be in control of their information.

The Challenege

The challeneges faced by Datastation included: DataStation excel at responding to the changing demands of their clients’ businesses, because they have the capacity to deal with any technological advances that will impact their data requirements. Over the years, thousands of man hours of development time, have been committed to enhancing and improving their product. This resource has required major financial investment and it is not an expense that can be automatically reallocated to the client. Maintaining a position and reputation as a market leader in information management, requires ongoing investment. However, this is a critical success factor, if DataStation is to grow and develop.

The Results

When contacted by Fiscale about the R&D Tax Credits scheme, Datastation’s MD, Chris Grover, was intrigued to find out more. He was already aware of the R&D Tax Credits scheme but admitted that he had not taken any steps to understand how it worked, or if his business was eligible. It had all seemed “a bit complicated” and potentially time consuming to him. The initial phone call from John Mayhew, was all the encouragement Chris needed to put R&D Tax Credits on the agenda for DataStation. The fact that John had owned a software business and had successfully claimed over £300,000 of Tax Credits, prompted Chris to agree to a meeting. The first meeting with Fiscale, took around an hour and a half. It was a fact finding exercise to establish if the development work that DataStation was involved in, qualified for R&D Tax Credits. A second meeting followed to understand exactly what the company does and how it works. At this point Fiscale were able to identify all of the elements of software development, that were eligible for R&D Tax Credits. The next stage was to write the report, for submission to HM Revenue and Customs (HMRC).
I was impressed by Fiscale’s professionalism and friendliness from the outset. The process was simple and hassle free and I was pleasantly surprised at how limited my involvement needed to be. I just explained what we do and how we do it and Fiscale did the rest. It was far less onerous than I had expected. I have no hesitation in recommending Fiscale to other businesses. This is one situation where the old adage ‘if you think it’s too good to be true it probably is’, does not apply. For a few of hours of my time, under the expert guidance of Fiscale, I have secured a significant amount of money, to reinvest into my business. I now have the ability and confidence to invest even more into the development and growth of the business and am looking to recruit a new software developer.
Chris Grover, MD of DataStation

The Conclusion

Within three hours, the response came back from HMRC saying yes to the claim! Fiscale called Chris to share the good news. Needless to say, Chris was shocked and “overjoyed” with the outcome. It had taken only six weeks from our first phone call, to DataStation having their claim approved by HMRC.

Could You Be Eligible?

If you would like to discover whether your business may qualify for R&D tax relief