Running an innovation-driven business isn’t easy. For many early-stage and growing companies, the science is often the exciting part — but navigating the financial and structural challenges of scaling R&D can be more daunting.

Innovation in agriculture often involves long development cycles, technical uncertainty, and significant upfront investment. However, the UK Government introduced the R&D tax relief scheme to encourage businesses to invest in innovation and scientific advancement. By reducing the financial risk of experimenting with new products, processes, or technologies, the scheme incentivises companies to tackle complex challenges, develop novel solutions, and improve productivity. For startups and SMEs, it provides a crucial cash flow boost, allowing reinvestment into further research and growth.

R&D tax credits offer a way to reclaim part of that investment — freeing up cash flow that can be reinvested into the next stage of growth.

But unfortunately, not all companies, especially early stage businesses are aware that this programme can help them – or they feel overwhelmed by the process of application and/or make mistakes that can be costly.

At Rothamsted Research Innovation Campus, we recognise this reality and actively work to connect our community with industry experts who can help turn great science into sustainable businesses. Through our Seed2Scale series, we recently hosted a session led by Business development manager Josh Hansell and Associate Sales Director Wade Ball from CBTax, who shared valuable guidance on how startups and SMEs can make the most of the UK’s R&D tax relief schemes.

• Many startups miss out on funding simply due to early structural oversights, like not having PAYE in place.
• Claims can be made for unsuccessful or ongoing projects, not just finished products.
• Early planning and simple record-keeping can dramatically increase the value of a claim.
• From 2024, a new, simplified UK R&D tax credit scheme aims to streamline the process — but expectations around compliance and technical documentation are rising.

Key Takeaways for Founders and Innovators

The expert team from CB Tax walked through practical steps to strengthen R&D claims:

• Set up the right financial structure early (especially payroll).
• Don’t assume grants rule you out — partial claims are often still possible.
• Document technical uncertainty clearly; this is what HMRC looks for.
• Pre-notify HMRC if claiming for the first time.
• Use industry-standard allocations if time tracking isn’t yet formalised.

For a typical SME, this could translate to thousands of pounds in additional funding each year.

Our mission at Rothamsted Campus is to remove barriers that hold back great ideas. By connecting resident companies and partners with trusted advisers like CB Tax, we aim to:

• Help startups and scaleups access practical financial tools that accelerate growth.
• Ensure agri-tech innovators are well prepared for funding, investment, and scaling opportunities.
• Build a community where scientists, entrepreneurs, and industry experts collaborate to solve global food and climate challenges.

If you’re part of the Rothamsted innovation ecosystem, opportunities like this are built into campus life — from expert workshops to bespoke advisory sessions.

If you missed this session, or would like to know more, please get in touch via info@rothamstedenterprises.com