5 Reasons Tax Planning is an Integral Part of Business Growth

5 Reasons Tax Planning is an Integral Part of Business Growth

With the start of a new tax year looming - not to mention the Chancellor’s Spring Statement - there’s no better time to take control of your small business finances.

Of course, this is often easier said than done.

Unless you’re in the finance business yourself, tax planning and record keeping probably aren’t your favourite topics. But, without the right planning in place, you’ll spend more time (and therefore money) on your accounts than you need to.

What’s more, errors and miscalculations - however small - could expose your business to the risk of penalties and fines, not to mention the potential for overpaying tax or under-declaring expenses. It certainly pays to get your finances in order.

Tax and the Business Lifecycle

With that in mind, Barrington Hulse Tax & Advisory - a tax and advisory service based at Rutherford House in Birchwood, Warrington - recently gave an informative talk on this very important topic at one of UBC’s networking events.

According to Directors Chris Barrington and Rebecca Hulse, tax planning and the business lifecycle is an essential part of business growth, as it can help you to:

  • Keep your business moving forwards: Tax on business profits (and on employing people) will slow down your business and add to cashflow challenges, so it’s essential to utilise intelligent planning and be aware of your options.
  • Stay compliant: Fines are expensive, both on your pocket and on your reputation. In a taxation regime that now imposes material penalties on almost every default, keeping compliant across all of your company’s tax obligations is a clear advantage.
  • Recruit and retain the best people: Finding, appointing, and holding on to key players in your team becomes much easier when you understand the options for incentive, and how they can best be applied.
  • Attract outside investment: If you want to attract outside investment to drive growth and development plans, a solid tax plan and business structure effectively draw investors in with the promise of beneficial tax relief claims on their capital investment.
  • Reorganise business structure more efficiently: Good tax planning can assist with the reorganisation of your business structure, for reasons such as commercial development, improved tax management, resolution of disputes, prospects for sale, asset protection, and shareholder retirement.

Having a better understanding of tax structures in relation to your business means that you can plan for key events accordingly.

The right structure and financial strategy will enable your business to flex and grow while maximising tax efficiencies for a healthier future. It can also save a lot of time and costly reorganisation later on.

However, every business plan will change sooner or later - therefore it’s important to constantly review your business to ensure its structure and tax plan is still fit for purpose.

Who Are Barrington Hulse?

Whether you’re a small business owner looking to streamline your day-to-day business, or a larger firm planning for expansion, thinking about tax planning in relation to your business structure and lifecycle can help you establish a stronger position for growth.

That’s where Barrington Hulse Tax & Advisory can offer helpful support and expertise.

The business was started in 2021 by its directors, Chris and Rebecca, who have over 40 years combined tax experience. They service the North West region as well as all other areas of the UK.

“It’s crucial that business owners have access to proactive, thoughtful tax planning advice throughout the whole of the business lifecycle,” commented Rebecca Hulse CTA, Director at Barrington Hulse. “We work hard with business owners throughout the lifecycle, from start-up through the growth and development stages, and finally to value realisation.”

Since moving into UBC’s Rutherford House six months ago, the team has already expanded and grown into a larger office.

“We were attracted to Rutherford House for the location initially, but the warm welcome we received from UBC sealed the deal for us. The UBC team has been incredibly supportive and accommodating. It really feels like we have an extension to our team here at Rutherford House which, as a small business, makes a huge impact.”

Whether you’re seeking to get your finances in shape for the new tax year, or improve tax efficiency for the years ahead, get in touch with Chris and Rebecca to arrange an initial meeting. If you’re based at Rutherford House, why not ask our UBC team to set up an introductory meeting? Simply pop by or call Reception to get started.