Ideally, your accounts receivable provide enough income to meet the requirements of your business’ accounts payable as well as any supplies, equipment and employee salaries. The key to growth is having enough funding to propel your business to the next level.
Loans can take time to get approved and require that you pay them back. The government’s SR&ED Program reimburses you for money that you already spent on research and development but not until the following year. If your business meets any of the below criteria it may indicate that having access to SR&ED capital sooner would be beneficial.
1. Expansion efforts
Growth can mean different things to different businesses but some type of expansion is often involved. This could mean that you need to hire more staff, renovate your existing space or provide additional services and/or products. A completely new space for your business or additional locations is also a possibility.
2. Managing cash flow
It takes cash to start a business and to keep it running. Being able to manage that flow of cash is a common challenge faced by many businesses. Sometimes, you might need to spend more cash than you have on hand. This scenario is often faced by businesses that have seasonal fluctuations.
3. Research and development needs
One way that many businesses use their SR&ED refunds is to plow it right back into the research and development department. An important distinction between SR&ED refunds and a loan is that your business doesn’t have to show that its R&D projects were successful in order to qualify. That being said, the correct documentation and forms are an important part of the process.
By working with Easly, your business can enjoy access to its SR&ED Program funds up to 15 months before you file. Click here to get started today. We can even link you up with a SR&ED consultant, if you need one.