Altrincham-based tax credit specialist Research & Development Specialists LTD (RDS) has announced a £5 million investment from the UK and Ireland’s most active growth capital investor, BGF.
RDS has experienced strong growth since its launch in 2017, supporting businesses and accountants’ SME clients to access R&D tax reliefs. Founded by entrepreneurs Geoff Liberman and Mark Joyner, RDS has created a point of difference in the market because of its innovative marketing strategy and technology-led yet personal and transparent approach.
RDS has amassed more than 500 clients across the UK and has a strong presence in the North and Midlands. Supporting investment in innovation across all sectors, the team has built an excellent track record with manufacturing, technology, construction, scientific and engineering businesses. The business has successfully helped SMEs claim in excess of £27,000,000 back in support since 2017.
BGF’s funding will allow the business to invest further in its technology and talent, expanding headcount and enhancing its management team.
Commenting on the deal, RDS director Mark Joyner said:
“My personal passion is working with businesses and understanding what makes them successful. Companies often don’t realise they are eligible for R&D as it’s not always just about developing new products or ideas but can apply to developing new ways of doing things, or the adaption & development of processes to improve their product or service. We’re well placed to support all shapes and size of business to receive credit or repayment for their innovation to reinvest and grow.
“When we started to consider an investment partner, we’d had interest from trade buyers and private equity. Where BGF stood out was their long-term, collaborative approach and shared ambition for the business. We’ve rapidly grown in the past five years but with this investment, we have the people, experience, and capital to surpass all of our previous goals.”
The deal was led by Pinesh Mehta and Rhys Davenport. As part of the deal, Paul Newell will be joining the board as Non-Executive Chair. Sourced through BGF’s Talent Network, Paul is also Non-Executive Chair at BGF-backed Ocee International and has more than 20 years’ corporate finance experience, including 15 years as a partner at Clearwater International. He brings a wealth of experience to the board and has a track record of supporting entrepreneurs to successfully scale.
Pinesh Mehta, investor at BGF in the North West, added: “Geoff, Mark and team have built a business with strong fundamentals and an innovative marketing approach. Given the backdrop, innovation is a significant force for good in driving business growth. RDS has created a competitive edge through its thorough approach and has invested in some impressive client technology that will create efficiencies and simplify processes even further, providing a platform for the business to scale. It’s fantastic to be backing such a strong team and compelling offer to help take the company to the next level.”
Advisors on the transaction were:
BGF
- Hill Dickinson (Legal)
- Hurst (Tax DD)
- Wayne Nash (Financial DD)
Company
- KBS (Corporate finance)
- TLT (legal)
- Pareto Law (tax)