Pictured above: (l-r) Dr Steven Margetts, Dr Rupert
Rawnsley, directors of Keima Ltd; Mark Evans, managing director,
R&D Tax and Grants Ltd
A Wolverhampton based tax specialist has helped Cardiff based
wireless technology company Keima Ltd to claim back money from HMRC
for research and development.
Keima Ltd, based at Cardiff Business and Technology Centre
(CBTC) in the city centre, was founded in 2006 by three research
scientists to exploit their expertise in wireless communication
technologies. Co founders Dr Steven Margetts and Dr Rupert Rawnsley
have been involved in the development of wireless planning and
optimisation since the mid 1990s and are respected experts in their
fields.
The team at Keima develop software solutions that are now used
globally by some of the world's top tier telecommunications
companies.
R&D Tax and Grants have helped Keima reclaim over
£40,000 in tax on research and development over three years.
"This couldn't have come at a better time", says Keima founder and
director Dr Steven Margetts. "The amount helped our cashflow as
research and development accounts for well over 50 per cent of our
business. Mobile telephony is a fast moving sector, and we won a
large contract in 2010 by configuring what we had developed to suit
our new customer base. The first tranche helped us employ someone
to qualify leads and help show our clients how to use the tools.
The rest of the money was ploughed back in to research and
development."
The founders wanted to develop a suite of tools which would
revolutionise the way in which telecommunications for mobile phones
and digital wireless applications is delivered.
"We could see how the growth in mobile phone technology would
revolutionise the way we all live, and how mobile and data delivery
networks were heading but also how future problems could arise from
its development," says Dr Steven Margetts. "We launched an initial
suite of tools in late 2007; this formed the platform for the
software architecture we went on to develop. In 2009, we introduced
"Composer", aimed at improving the population coverage for mobile
phones in a number of areas. We have continued to develop this over
the last two years."
The development of mobile phone networks across the UK has been
rapid and the location of the infrastructure for the masts and
antennas that provide coverage has to be planned carefully. Keima
have developed planning tools which predict the actual population
coverage, as opposed to geographical coverage, of an area enabling
the planner to model each potential site. Keima claims the system
can predict, within 90 per cent accuracy, what proportion of the
population of a particular area would be captured.
Keima have developed an online web-centric software system
called "Overture", a tool to design mobile phone networks, which in
addition to providing cellular signal planning is also a wireless
network. The system combines a modern mapping platform with
analysis and reporting automation, allowing users to plan sites and
create site portfolios. The roof top space on large buildings is
often owned by companies who then rent them out to mobile phone
vendors to erect communication masts. Data collected about
these sites is collated by Keima and their software can help solve
the problem of site location, and also what technologies to use,
such as GSM or 4G, to provide the correct service to the end
user.
"I'm so pleased that the Rand D reclaim helped at the time Keima
needed it most", said Mark Evans, managing director of R&D Tax
and Grants. "The great thing about the scheme is that it is
retrospective, and as long as we can work with our clients to prove
their case in clear language for a research and development refund,
then HMRC are very swift at making the repayment. The difficulty
most company accountants find is in taking what the company does
and translating it into language that HMRC can understand clearly,
so that there are no grey areas. That's our specialism."
"Thanks to R&D Tax and Grants the R and D reclaim was simple
and took just eight weeks", says Dr Steven Margetts. "In the
software industry it's difficult to patent anything so it's doubly
important to keep carrying out R and D, but it's also vital to a
company in our sector to continue to be able to reclaim money spent
on it."