A Sheffield manufacturer of magnetic transmissions has completed a hat-trick of funding - including a £125,000 windfall from HMRC.
Magnomatics claimed the huge amount in research and development tax credits with support from accountants Chantrey Vellacott.
They reviewed the firm’s previous submissions, identified several under-claimed areas of expenditure - and banged in an ‘enhanced’ claim for a six-figure sum.
It comes after the company netted a £1m grant from the Government’s Regional Growrth Fund in August last year and lined up £5m of internal investment for expansion,
Managing director Chris Kirby said: “We’re delighted to have been successful in making a retrospective R&D tax claim.
“The funds have been released back into the development of our advanced magnetic transmission systems and high-torque electrical products portfolio.”
Magnomatics is a high-technology spin-out from the University of Sheffield launched in 2006 which specialises in magnetic transmissions and ultra-compact motors for the automotive, aerospace, marine and renewable energy sectors. It employs 30 from its base on Bernard Road near the Parkway.
Joe Ingram, R&D consultant at Chantrey Vellacott, said the innovative and technical processes behind Magnomatics’ operations were impressive.
He said: “The innovation at Magnomatics and the potential of this new technology is among the most impressive we’ve seen and it’s easy to see why the company and its investors are excited about the major strides being made by the firm and the prospects for growth.
“Many organisations are still under-claiming. Second opinions account for more than half of our work for R&D tax relief.”