UK manufacturing accounts for approximately 45% of total exports, and 11% of the overall economy. The UK is the eighth largest industrial nation in the world and around 2.6 million people work in the manufacturing sector. With a reputation for creating high quality, reliable goods, manufacturing is a key sector for the UK economy, offering huge growth potential in the domestic and export markets.
Opportunities to develop this growth are promoted by the UK government via capital allowances, with development widely encouraged through generous tax allowances. Tax planning is crucial to optimise the tax reliefs available. Funding is also available for training and investment, and there is financial support for exporters selling abroad through UK Export Finance.
While there are many opportunities for growth, the challenges associated with financing and production must be managed, and every business should be monitoring costs to improve profitability.
Enabling manufacturers to make confident investment decisions
Our team work with a range of manufacturers from small, owner-managed businesses, through to large companies operating on multiple sites, providing proactive guidance to help clients achieve their goals.
In addition to assisting with the core services of accounts preparation, audit, tax compliance and bookkeeping, our team provide bespoke services specific to the needs of a manufacturer, including:
- Corporation tax planning. Our team will work with you on tax planning, meeting with you on a regular basis to fully understand your business and keep you informed of any tax breaks that are available to you.
- Specialist advice on Research and Development Tax Credits. Maximise your R&D tax credits for the research and development work that you are undertaking in your company. Our Tax team will explain what the company can claim for and quantify how much relief can be claimed.
- Get help with Patent Box claims. Understanding the patents that you hold within your business, and the products that are produced or licensed using your intellectual property, we work with you to assess the profits derived from these patents which can be taxed at the reduced corporation tax rate of just 10%.
- Implement an Enterprise Management Incentives (EMI) scheme. Incentivise your most valuable employees with an EMI scheme. Our Tax team will manage the share valuation process with HMRC, draft the option agreement and notify HMRC of the grant of the option.
- Corporate finance. We offer advice on business acquisitions, mergers and disposals and succession issues. Our corporate finance team can help with raising finance and business planning.
- Management accounting and forecasting. Tracking and managing the costs of production is crucial. Our business services team have developed management accounting systems that will extract information from your accounting package so you can analyse and manage the performance of your business. Our specialist team will work with you to create a bespoke management accounts ‘dashboard’, highlighting the financial and performance metrics most relevant to your business through at-a-glance graphs and charts, ensuring you have the information you need to track business performance and take corrective actions on a timely basis.
- Plan, monitor and manage your working capital cycle. Our team can provide you with the tools you need to manage cash flow and ensure fluctuations are planned for and managed in advance. This is particularly useful for exporters where the working capital cycle is longer and more finance may be needed.
- VAT. Our VAT team can advise you on your VAT obligations as you trade with customers in the UK and abroad. We can help you navigate a range of complexities associated with VAT compliance and planning matters, such as the buying and selling of equipment or a new factory.
- Payroll. Receive a payroll health check to identify areas for improvement in your current payroll practice, and receive regular specialist payroll advice from our dedicated team. Alternatively, you can take the stress out of managing this aspect of your business by outsourcing your payroll needs to our team. We will ensure accurate and confidential record-keeping, manage your pension scheme administration and auto-enrolment responsibilities.
- Receive local and regional expertise when establishing branches or companies outside of the UK. Rickard Luckin is a member of MGI Worldwide, a Top 20 international accounting network of independent audit, tax and accounting firms, which brings together the expertise of some 5,000 professionals in over 260 locations around the world. Our membership enables you to draw upon extended local and regional expertise when establishing companies or branches outside of the UK.
Keeping you up to date
We produce a number of newsletters to help keep our clients up to date, which you can sign up to at www.rickardluckin.co.uk/subscribe
To find out more about how we can help your manufacturing business, please contact us for an informal introductory meeting.
Get in touch with our expert team
We have dealt with Rickard Luckin since the days of Bird Luckin in Dunmow and they have come to know our business and our auditing needs. They have a knowledgeable team to advise in all areas of business growth, from relocation matters to acquisitions. We have developed a good working relationship with our account manager who is always on hand and interested in our business and the needs of our business. They are a very personable team that make every audit smooth rather than a chore.