Clients often ask us if it is possible to win TSB Smart Grants year after year. For example, if a project wins a Proof of Market grant, can the company then realistically apply for a Proof of Concept or a Development of Prototype?

Consecutive funding is crucial, as PoM support is never enough to bring the technology to market, and even the PoC’s larger cash injection is rarely sufficient, particularly if it’s a very innovative project.

Obviously, we don’t have access to all of TSB’s internal statistics, so I can’t give you a definitive answer on this. What I can do is tell you about one of our clients who has successfully applied for two grants in as many years for the same project.

What kind of project can win the first round?

TSB Smart Grants are reserved for companies working on what the Government terms “step-change” innovation. This means technological developments that introduce new capabilities, or produce a step-change impact on the existing dynamics of an industry.

The criteria for receiving these grants are understandably very strict. The governmental pocket is by no means bottomless, and the mandarins want significant bang for their bucks, currently in rather short supply. The TSB is itself under pressure to show that for every pound it invests, a multiple of the investment is added to the country’s GDP a few years down the line.

So, all the usual advice(http://granttree.co.uk/smart_grants) applies. Make sure you read all the articles in this section of our site before you even start thinking about follow-on funding.

Round two

To achieve a second round of funding, the project needs to continue to qualify, but adapt to the criteria of the new round of funding for which it is applying.

So, if the initial grant was a PoM, and the second application is for a PoC, the second application needs to describe a project that is actually developing some complex technologies. If it’s a DoP, it needs to be taking some previously developed complex technologies, and doing further, complex development, to bring them to market.

The best way to see what sort of project can qualify for two grants is to look at a concrete example, from one of our clients.

Release Mobile first applied to TSB for a grant to help them develop a Proof of Concept for a technology that would enable companies to package their internal data into an accessible, controllable and chargeable API. The Proof of Concept grant was won and invested, and the result was an exciting technology called datownia. Release Mobile describes it as follows:

datownia creates an API easily, quickly and inexpensively, with no need for technical set-up. It then simplifies the on-going management of that API. This makes it possible for non-technical people to create and operate API technology, sharing data content from a cloud based storage system with absolute simplicity, total control and maximum security. datownia is integrated with Box or Dropbox via the their platform APIs. datownia extends Box and Dropbox functionality meaning that companies who use Box and Dropbox today for sharing files can use datownia to share the data in the same files via an API.

The initial application for a PoC was submitted before the project to develop datownia was started, and funded the development of the core technology. When the time came to apply again for the DoP, the picture, and the pitch, had changed appropriately. The core technology was developed, but there were still many features to build before it was market-ready.

This, then, was the focus on the second application: taking the technology developed during the PoC, and further developing it to meet the market’s needs.

In conclusion

It is possible to get more than one Smart Grant for the same product, but you do need to develop your project to meet the requirements of the phase you’re applying for.

In the olden days, when people wrote with quill on parchment, the salutation that started the letter was an indicator of the relationship between the correspondents.

The first paragraph revealed the mood of the author. Those sentences that began with a forceful modal – “I must…” “I should be grateful…” presaged worse to come. Conversely, benevolent adjectives like “delighted” and “pleased” settled the reader’s nerves.

The formality of business communication was partly a reflection and reinforcement of the divide between private and professional life. In the workplace, locked into suits and demure twinsets, true personality cowered behind a corporate face.

With sartorial liberation has come self-expression that extends beyond appearance. Workers now laugh and joke, discuss their private lives, share their passions, and even converse on first-name terms.

A typical day at work for me involves at least one circuit of the building on the space hopper. Such levity would have been unthinkable only a few years ago. Indeed, during a post-graduate traineeship, eyebrows shot skywards the day I did my first post-lunch handstand. I often feel the need.

This liberation of the workplace has had an undesirable effect. Combined with the pressure of longer hours, and the immediacy demanded by digital communication, professionals have become sloppy communicators.

Emails today very rarely begin with a salutation. “Dear” is almost obsolete; “Hello and Hi” appear on sunny mornings or Friday afternoons, which are both times of joy; “Hey”, which has migrated from America, is what hipsters write, be they actual or aspirant. 

More often than not, just the addressee’s name appears, followed by dash or comma. And increasingly often, there is not even a name; the message is a question or mere statement or instruction.

Consider the effect of this laxness. Written words are far less expressive than spoken, which are only at their most expressive when combined with body language. Apart from the small company where everybody knows each other, many of the people you communicate with – especially those external to your company – will never have met you, or will know you only vaguely.

Emails that lack the care and attention of a considered salutation show the author to be careless and inattentive. This is not an impression anyone wants to give. If you do not bother to show respect and decency in your writing, the values you project are only negative.

Similarly, the farewell says more than you might think. Many professionals include a “Very best wishes” or similar in their email signature. But “Hello” at the beginning clashes with the formality of “Very best wishes”. Farewells should at the very least reflect the nature of the correspondents’ relationship, and, preferably, include a friendly touch that shows the personality behind the message.

“Have a nice day” will not do.

Spelling and grammar

We are not all wordsmiths, but there is rarely an excuse for spelling mistakes. They do, again, show a lack of care. Perceptive clients and customers will assume from this that you are a careless worker, and their confidence will plummet.

They will picture chaotic piles of paper, lose sleep over anticipated mistakes, and fear delayed delivery of objectives.

And grammar, besides being the pedant’s plaything, is important for clarity. Unfortunately, grammar is often poorly taught in schools, and many people are unsure about the correct usage of punctuation.

Long, rambling sentences with clause banging against clause make for confusion. If you never use anything other than a full stop at the end of short sentences, your message will be clear.

GrantTree Podcast - news and views on start-up business in the UK by Guy Kiddey on Mixcloud

Interns are too much of a gamble. They drain your time, and they could be a liability. And yes, they cost. While there is some truth to these thoughts, the flip side can be far more positive.

We are talking here about enthusiastic people, eager to learn and please. Like a young business, they can evolve quickly.

Time investment

Let’s remember that interns are not slave labour. If all you want is a cheap administrator, you are barking up the wrong tree. These young people are often experiencing their introduction to the workplace with you and your company. Preying on their innocence is unethical, and is a disservice at a time of great change in a person’s life. And shrewd candidates will walk if you try to exploit them.

Yes, you can assign interns tasks that will help streamline your business operation, and these may well be dull exercises, but far more important is a project that will produce tangible results. Interns join companies to learn, and they want to see the fruit of their labour.

All this talk of projects and outcomes sounds time-intensive. It certainly requires some effort, but for a prospective leader, it is great training. Young, high-potential employees already in the company need to show their capacity for structuring tasks, educating, and communicating effectively. Perhaps the most important skill to be gleaned is time management – not only of their own commitments, but also, in the case of interns, those of others.

A liability?

Start-ups are tight-knit teams, in many ways more a family than an association of professionals. The company culture is the product of this team, and is, as such, embodied by it.

Dave Goldberg, founder of Survey Monkey, speaks with absolute conviction on this topic. Whereas an experienced employee may have the skills, if they don’t reflect and contribute to the company’s “soul”, they will never perform to their full potential.

Interns, unburdened by the cynicism that management hierarchies and professional politics can breed, can absorb a company’s characteristics more readily than seasoned workers. With their nascent talent, this often makes them promising candidates for longer-term employment.

Sometimes, it does not work out this way. Have no qualms about firing the wrong person. Your team will be burdened by a poor addition, and nobody wants needlessly to suffer a depressing summer or other chunk of the year in the company of a no-hoper.

Ambitious young people will find you. Although there are agencies galore out there promising to find the perfect company-intern match, nothing trumps the readiness of a person who makes the first move.

Some will find you as their curiosity leads them down avenues of interest. However, relying on chance is a risk that even seasoned risk-takers should avoid. The solution is your own source of talent.

As in all branding efforts, this means making your business distinctive. It should be a portal of expertise, a nexus of knowledge, a symbol of innovation. In giving presentations at universities, attending careers fairs, or even just advertising internships on your website’s jobs page, prospective interns identify with your message, and are inspired to make their introduction.

If you want somebody to make the tea and staple pieces of paper, place an advert with these duties in the job description. Interns are worth more than this. In completing basic tasks, they show their aptitude for greater challenges, and may even end up being your most cost-effective recruitment strategy.

Many of the R&D tax-credit claims we submit to HMRC cover accounting periods longer or shorter than the usual financial year. It is perfectly possible to adjust the length of the claim period. A common reason for doing this is to suit a company that wants to take advantage of the tax-credit scheme immediately after a significant investment in a project.

The crux of the matter is the CT600 – your corporation tax return. This form can account for a maximum of 12 months, so any accounting period longer than this will involve two CT600s covering a period of a maximum of 18 months. Extending an accounting period is allowed once every five years.

When we make a claim, we do so according to the periods dictated by the CT600s. The same bundle of claim papers covers the duration of both CT600s. However, expenditure must be listed in the claim according to the periods covered by the CT600s, which means invoice and payroll dates are important.

If you cannot provide these, it is not the end of the world. HMRC sets enhancement and surrender rates each fiscal year. In years where new rates are introduced, we simply apportion a company’s expenditure according to the rates before and after the revision.

For example, if the accounting period is 18 months, and the company’s financial year follows the fiscal year, two thirds of the claim will be at one rate, and the remaining third at the new rate.

An alternative to extending the accounting period is shortening it. You can do this as many times as you like. If your accounting year usually follows the fiscal year, but you made large R&D investments in July, for example, it might make sense to claim for an eight-month accounting period in January.

This would free up some capital to sustain the business until the beginning of the usual financial year in March, when sales pick up and profits can be realised.

Like any skillset, the discipline of running a business takes time to learn.   Newcomers to the challenge are often prone to making misguided decisions, or underestimating the magnitude of the work that looms before them.  They might overlook key considerations, and, without an objective hand to guide them, end up down a dead end. 

If you are exceptionally lucky, you might escape with plain sailing from the very day you embark on your new venture.  But the rest of us mere mortals will encounter some or all of these teething problems, and possibly others.

Good fortune aside, the surest way of avoiding or minimising hiccups is to seek help. A new government scheme called GrowthAccelerator aims to provide bespoke coaching to leaders of small- and medium-sized companies, giving the nation’s entrepreneurs the best possible chance of success.

Seeing new and expanding businesses as a lynchpin of the UK’s economic salvation policy, the government is putting its money where its mouth is.  GrantTree, whose expertise revolves around government funding solutions for innovating companies, is a keen proponent of any accessible and affordable assistance supporting ideas that deserve to develop into marketable products.

GrowthAccelerator is a partnership between private enterprise and government.   It links the expertise of an 800-strong network of “growth coaches” with the needs of its client companies, who pay a small fee to benefit from unrivalled knowledge and support.

The cost to businesses depends on personnel head count.  Small outfits with one to four employees can join the network for £600, medium-sized companies of 5-49 people pay £1,500, while larger concerns of 50-249 workers pay £3,000.

The eligibility criteria are simple.  Businesses must be UK-registered, with fewer than 250 employees and a turnover of less than £40m.  [An online test](http://http://www.growthaccelerator.com), which takes a few minutes to complete, will help you determine the suitability of your business for the scheme.

Thanks to all who made it to the Fund, Expand…Exit! event with the Ideas Factory and Bird & Bird. We had a great time (see the pictures for proof!).

Over fifty entrepreneurs attended to hear Paulina, Rod Beer and Richard Eaton talk about funding, growing an exciting a startup, and to have a chat with their peers over a glass of wine afterwards. From software projects, through to solar panels and even electric bikes, we were genuinely impressed by the quality and variety of startup businesses who came to contribute to the discussion.

We were also surprised by the amount of interest to do with grants and Government funding and hardly had time to answer all the questions that arose both during the Q&A session, and the networking later…!

If something came up on the night and you didn’t make it to Fetter Lane, worry not. After the enthusiastic response we received, we will certainly be back with another startup bash soon so watch this space and perhaps sign up to our mailing list to make sure you hear about the next one.

In the meantime, please share your feedback and make suggestions for the future via our GrantTree fan page, we want to make sure the come-back is bigger and better.

GrantTree provides a financial boost to some of the UK’s most innovative start-ups and tech companies by managing government funding schemes.

We are growing rapidly, and need the help of two new team members with an eye for detail, a talent for clear and prompt communication, and an agile mind that can switch from task to task quickly.

Look no further for a crash-course in entrepreneurship.

The position:

You will focus on guiding clients through the many stages needed to file claims for funding.

This is only the base set of responsibilities. As in most small companies, everybody does a bit of everything. Tasks in addition to the day job allow you to earn quarterly pay rises, depending on performance.

You:

Flexibility, common sense, a head for numbers, and excellent written and spoken communication skills are the attributes we’re looking for.

You will be emotionally intelligent, and able to build the strong relationships that make people feel confident about working with GrantTree.

The start-up world is small, so having the right attitude is crucial to helping us build and maintain our great reputation. We will prefer people with some history in client-relationship or account management, though it’s not a deal breaker if you haven’t. This is one of the few roles where you can gain a deep understanding of innovation in business.

More about us:

Founded by Daniel Tenner and Paulina Sygulska, GrantTree is a rapidly growing company whose team of women and men help UK technology companies secure funding without sacrificing equity.

The company deals primarily with R&D Tax Credits and Grants.

We believe in working healthy and productive hours. The best work is done by people who are happy and well rested - and we want the best work.

After a very profitable first year, and a second year that was four times more so, we are on track to turn over more than £1m in the third year.

The perks:

Pay starts at £18-22k/y depending on experience, but we enable you to increase this by £2k every three months if you meet the targets set for you.

But it’s not just about the money. This is an outstanding chance to learn entrepreneurship, build an extensive personal network of company founders and investors, and prove your business acumen.

How to apply:

This is a client-facing role, which will involve written, phone, and occasional in-person communication, so the application process mirrors these elements.

Start by writing a brief (500 words or so), clear cover email outlining why you wish to work with us, what you hope to achieve, what you expect from the role, and why you’re the best person for our team.

As part of the initial round, please also record a brief video (up to two mins) of yourself in person, talking about yourself, your interests, your passions. Attach a link (youtube, or something else - does not need to be public) so that we can watch it.

Finally, there is a text below that is rather poorly written. It contains a number of grammatical and spelling mistakes, as well as sentences that don’t make much sense or could be rephrased more strongly. Improve it as much as you can, and attach this corrected text to your email.

Please send applications to jobs@granttree.co.uk.

If you’re selected, we’ll give you a call, and then arrange an in-person interview with several members of the team.

We will aim to reply promptly to all applications.

The start date is as soon as possible after we find you!

The text to correct:

Please include a corrected version of this (intentionally bad) text in your application:

Archistem is the powerful software for visual collaborations. The drawing is shared in the middle, enabling it’s instant communication. The drawing is stored on the Archistem servers, and any modifications are transmitted live to all collaborators, thus same as being in the same room looking at a drawing together!! Archistem also has many voice communication together, up to 10 at the same time. This makes distributed visual collaboration possible. This is a first in the construction industry. Archistem fully integrates into the Archistalk system so that it can load up drawings from you’re existing projects and save them back with recording of entire markup and voice session.

Archistem is essential tool for modern architect! Cost is only $10/m/user.

Do you want to assist a rapidly growing, profitable company with numerous critical tasks, touching on every aspect of the company, and working directly with everyone in the team? Do you want a varied workday with a great and growing team? Then come join our company and help us continue to succeed.

Us:

Founded by Daniel Tenner and Paulina Sygulska, GrantTree is a rapidly growing company whose mission is to help UK technology companies to get funding without giving up equity, primarily via R&D Tax Credits and Grants. How rapidly growing? After a very profitable first year and a second year that was 4 times more so, we are on track to turn over more than £1m in the third year. If you want to help us make this happen, read on.

The position:

We are looking for a highly enthusiastic, and energetic new team member to help us with supporting the numerous and growing activities in the company. The work involves tracking, organising and communicating things, being diligent about little details, reacting quickly to changing situations, spotting things that need sorting out and sorting them out, working directly with the founders and with everyone else, and generally staying on top of many things going on at the same time. It’s a combination of an office manager and admin assistant role, ideal for a problem-solver who likes to get involved and keep things running smoothly.

This is only the base set of responsibilities. In addition to your “day job” of keeping everything ticking along, you will be expected to do other, related “project-based” work, for which you will be rewarded with regular, quarterly pay raises.

The perks:

The pay starts at £16-18k/y base pay dependent on experience, but we enable you to increase this by £1.5k every 3 months, up to £30k, based on achieving personal targets, so the right person will be able to increase this amount rapidly and significantly.

The position is also open for interns, so long as you have at least 6 months available, starting ASAP.

Finally, the right person could go from this role to a position in sales or client management within GrantTree, or even create their own, new role, based on their skills and the company’s growing needs.

You:

To succeed at this job, you need the right combination of passion and energy, and attention to detail. Everyone will be relying on you to help with new processes, with urgent, critical tasks like sending proposals and bringing new clients on board, and with less urgent but fundamental tasks like keeping the books up to date. Everyone at GrantTree is often very busy with the multiple facets of their job, so there are essential tasks that tend to fall between the cracks. If you’re the right person for this job, you will spot these tasks and make sure they happen anyway. You will also often be the face of the company, taking phone calls or greeting clients.

Although there are no pre-requisites in terms of skills or knowledge, you must have very good attention to detail, particularly when it comes to numbers.

Your ultimate goal will be to make the whole company work more efficiently. You need to be the kind of person who cares and wants to be passionate about this, and do whatever it takes to support the team in growing this great business.

Please note that this doesn’t mean that we’ll work you to the bone. On the contrary, we believe in working healthy and productive hours. The best work is done by people who are happy, healthy and well-rested, and we want the best work.

How to apply:

For this role, energy and attitude, helpfulness and good organisation are critical, as is attention to detail. The recruitment process is designed to help us figure out if you’re the right person for the role.

First, please start by writing a brief (500 words or so), clear cover email outlining why you wish to work with us, what you hope to achieve, what you expect from the role, and why you’re the best person to fit our team.

As part of the initial application, please also record a brief (2-3 min) video of yourself in person, talking about yourself, your interests, your passions, and attach a link (youtube, or something else - does not need to be public) so that we can watch it.

Please send applications to jobs@granttree.co.uk. If you’re selected, this will be followed with a phone interview, and then an in-person interview with several members of the team. We will aim to reply promptly to all applications.

The start date is as soon as possible after we find you!

Update: Thanks for all the applications. This role has now been filled successfully!

HMRC has different kinds of letter that they send when enquiring into a tax credit claim. Some of those are friendly. Others not so much. For people who are not acquainted with HMRC, it can be hard to tell the difference…

Here’s an attempt to dispel that mystery, to ever so slightly lift the curtain on this exciting part of the claiming process. Perhaps I’m over-selling it a little. Ahem. Anyway, here’s a glorious HMRC letter, of the friendly kind, in full.

Note: if you want to ring HMRC up, don’t use the number in those letters, as that will go to a specific person’s phone at the Leicester R&D Unit. Instead, use this page to figure out which unit applies to you, and this page to find their number.

Here is the text, so that Google can index it and so that, therefore, you might find it if you received one of these letters.

Page 1:

Dear Sir

Please find enclosed a copy of a letter sent to your agent in connection with the company’s claims to Research and Development relief for the accounting periods ending [date] and [date].

If you choose to contact us about this, you need to quote the case reference [ref] and any other reference shown above. If you write, you need to use the address shown above and if you send documents you must tell us if you want them returned.

Yours faithfully

Page 2:

Dear Sir

[ref] - Accounting Period End Dates [date] & [date] (as amended)

Thank you for submitting the R&D claim and amended returns for the above client. I would like to informally enquire into the above accounting periods. Please let me know if you wish form to do this on a formal basis.

Instead of asking for further written information, I would like to arrange a meeting at the company’s premises to discuss the R&D claim and the scientific advances made by the company in both years. The company’s competent professionals should be in attendance. I have read the report submitted by GrantTree Ltd and have some further questions.

I currently have [date] or [date] available, and would prefer an [time] start, although this is flexible. Please can you contact me with regards to which date is suitable, or to discuss availability should these dates be inconvenient?

I look forward to hearing from you.

However you choose to contact us you need to quote the case reference [ref] and any other references shown above. If you write, you need to use the address shown above and if you send documents you must tell us if you want them returned.

Yours faithfully

So what does it mean and what makes it friendly?

The first page can be ignored safely. It is basically HMRC sending you a letter to inform you that they’re sending you a letter. I wish that was exceptional behaviour, but it’s not.

The second page is where the meat is. The important part is:

Thank you for submitting the R&D claim and amended returns for the above client. I would like to informally enquire into the above accounting periods. Please let me know if you wish form to do this on a formal basis.

Instead of asking for further written information, I would like to arrange a meeting at the company’s premises to discuss the R&D claim and the scientific advances made by the company in both years. The company’s competent professionals should be in attendance. I have read the report submitted by GrantTree Ltd and have some further questions.

The inquiry is clearly described as informal. This is a “friendly” data gathering meeting. There is no assumption that the company is *not* doing qualifying R&D. HMRC wants to meet some of the company’s “competent professionals” to form an opinion, based on the impression they get, that this is indeed the right kind of R&D.

Don’t be put off by the mention of “scientific advances” - the R&D scheme does not require groundbreaking scientific advances like inventing a new theory of gravity. The usual R&D criteria about overcoming technical uncertainty apply.

What to do before and during the meeting

Although the meeting is friendly, that doesn’t mean you shouldn’t be prepared. Re-read our articles about R&D Tax Credits, and in particular make sure you are clear on what qualifies and what doesn’t qualify, and that everyone in the meeting is clear about it to. Read our guidance about what HMRC audits are like.

During the meeting, stay calm and cooperative. This is a friendly meeting. Sometimes, the HMRC inspector may say things that seem outrageous to you (like comparing software development to bricklaying or knitting), but stay calm and realise that HMRC inspectors are not technical experts themselves, so your job is to calmly bring them around to your point of view.

So long as you filed your claim in good faith, and did not deliberately try to mislead HMRC with either your calculations or your description of the technology, the worst that can happen is that they might reject some or all of your costs.