UK small businesses were hit hard last year by paying a record £32 billion in corporation tax. The businesses, which exclude financial services businesses and North Sea oil and gas companies, saw an 8 per cent increase from 2014 to 2015 in the amount of corporation tax paid. There have now been calls on the government to ease the tax burden on small businesses, with the suggestion that the Annual Investment Allowance* be increased to enable them invest in new equipment or upgrades.
Small businesses play a vital role in the UK economy and are critical to job and wealth creation. At Beavis Morgan, we work with a number of entrepreneurs and small and medium sized businesses (SMEs), so you can rely on our detailed understanding of the specific kinds of challenges that can arise, and you can count on our expertise and ability to provide the right solutions. We also understand that whether you’re a start up or a well-established business, cash is king and managing its flow is crucial to your immediate and long-term success. That’s why our independent finance brokerage, BM Structured Finance, is readily available to assist startups source the right funding for their individual needs.
For more information about how we can help you and your startup business, including how best to structure your business for tax and improve business performance, contact Steve Govey, Partner within our Beavis Morgan Entrepreneur & SME Support Team. Alternatively, please Simon Belton of BM Structured Finance to discuss your financing requirements.
*Annual Investment Allowance Tips is an allowance for tools and equipment meaning a business can write off 100 per cent of qualifying capital expenditure (up to a set limit of £200,000) against taxable profits for the same period.