R&D tax and finance for startups and SMEs
- Refunds up to 43.5%
- Major funding source
- No win, no fee
- R&D finance option
- Experts in startup claims
The R&D Tax Incentive is one of the major funding sources for startups and fast-growing businesses in Australia. It’s available annually, doesn’t dilute your equity and there’s even the possibility of getting the funds in advance thanks to R&D finance.
What’s not to love? Well, there’s a lot of work involved in applying for it and complying with government regulations. For startups, it’s especially daunting.
That’s why we keep it simple – simple process, simple fees. We’re not afraid of complex tech and software claims. We’ve done hundreds over the years, plus all sorts of others from foodtech to medtech. Find out more below, including how to contact our resident R&D expert.
R&D Tax Incentive
- Eligibility discussion
- Review narrative
- Expenditure calculation
- AusIndustry application
- Prepare tax schedule.
Base $3,500 for $100k R&D spend
$3,500 for $100k spend
$4,500 for $200k
$5,500 for $300k
$6,500 for $400k
$7,500 for $500k
$8,500 for $600k
$10,000 for $700k
$12,000 for $800k
$14,000 for $900k
$16,000 for $1m
POA for $1m+
R&D FINANCE SUPPORT
$2,000 support fee
Support for finance application
- R&D cost calculation
- Refund calculation
- Forward cashflow if needed
- Support letter for R&D financiers
- Liaison with R&D financiers
$2,000 per supporting documentation.
Financiers’ fees apply separately.
All prices exclude GST.
R&D preparation services are payable when your claim is ready to lodge with AusIndustry.
‘No win, no fee’ means if we don’t progress to lodging your claim for any reason, there are no fees.
If you need us to prepare your technical descriptions we might need to include an additional fee, depending on
the info you have and support you need, but don’t worry – we’ll talk to you about it as soon as we know.
The R&D Tax Incentive refund is received through submitting your tax return. If we’re preparing that for you too,
our tax return fees will apply. Please view our Terms & Conditions for more info or talk to us.
Meet our R&D Tax
and Grants Specialist
There aren’t many people who know the R&D Tax Incentive like John does. Over the last 15+ years, he’s worked on it from every angle, including at AusIndustry and KPMG.
He’s handled R&D claims from the simple to the complex; for banks, tech giants, software and space startups. But he doesn’t do BS – he’ll give you a straight answer about your eligibility for R&D tax and other government assistance.
And the rest of our team…
How our R&D services work
The R&D Tax Incentive can provide up to 43.5% of your development costs back as a cash refund through the tax process. It can apply to many different businesses from software startups to engineering, as long as you meet the eligibility requirements.
You’re likely to be eligible if you:
- Are a company developing (or planning to develop) a unique, non-trivial software, hardware, engineered or manufactured product, process or service
- Can describe these developments as a series of experiments with unknown outcomes from which you’ve learned along the way
- Have spent at least $20,000 on eligible R&D expenses in the last financial year (which can include employees and Australian contractors and their costs such as equipment, rent and other R&D related overheads)
How it works
You can apply for the R&D Tax Incentive each year – the registration deadline is 30 April for the previous financial year.
Our R&D Tax and Grants Specialist, John Nixon, brings more than 15 years' experience to your claim. He will let you know if it's worth applying, work through your eligible costs and guide you through the process.
We do R&D pricing a bit differently - instead of taking a percentage of your final refund, we use a flat fee based on your R&D spend so you’ll know the cost up front:
- $3,500 for an R&D spend up to $100k
- $4,500 for a $200k spend
- $5,500 for a $300k spend
- $6,500 for a $400k spend
- $7,500 for a $500k spend
- $8,500 for a $600k spend
- $10,000 for a $700k spend
- $12,000 for a $800k spend
- $14,000 for a $900k spend
- $16,000 for a $1M spend
- POA for a spend over $1M
Always on a ‘no win, no fee’ basis. Also, if there are complexities identified in your kick off call, additional fees might be needed but don’t worry - we’ll discuss these first.
The R&D Tax Incentive is great when it hits your bank account, but what if you need the money before tax time rolls around? This is where R&D finance (also known as R&D forward funding or R&D lending) can come in very handy. It’s a smart strategic way to keep cash coming in, without diluting your equity.
How it works
R&D finance is basically a loan against your expected R&D Tax Incentive refund. You pay it back when your R&D refund comes in.
We work with R&D finance specialist, Radium Capital (one of Australia's largest R&D lenders), to access this for our clients. They lend up to 80% of your expected R&D tax refund in one payment or in quarterly instalments.
To access an R&D loan, you need your underlying R&D activities independently reviewed. We are one of Radium Capital's approved consultants for this. We prepare the supporting documentation lenders such as Radium require. This involves your expected R&D costs and refund calculations, a letter of support, verification of your tax position and often a forward cashflow if required.
Supporting documentation pricing
$2,000 per supporting documentation.
If you are doing multiple R&D loan draw downs throughout the year, it’s possible that the lender will require a support letter each time.
The R&D Tax Incentive remains one of the main funding sources for startups and fast-growing businesses in Australia. But we’re in a climate of increasing audits and some uncertainty, which has made recording keeping paramount in complying with R&D regulations.
We’re here to help with a document review service. Our R&D consultant will review your records and documents to make sure you’re on track with collecting all the info needed to support your claim once the financial year has ended. It’s a small price to pay for peace of mind.
$1,000 per review
Note: We often do half year or sometimes quarterly reviews – book them in now as part of your pre-planning process.
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