05 Oct 2025
Cost Savings & Tax Planning: Where to Restructure—and How We Help
LMJ Group
Stand: B1850
In a tougher trading climate, smart restructuring can unlock cash, reduce tax, and strengthen resilience. The highest-impact areas typically include:
1) Legal & Group Structure
- Use the right vehicle (sole trader vs company vs LLP).
- Create/streamline holding companies and SPVs to ring-fence risk, simplify exits, and enable tax-efficient profit flows.
- Review group relief, loss utilisation, and intra-group charging.
2) Profit Extraction & Reward
- Optimise salary/dividend mix for directors.
- Introduce pension contributions and salary-sacrifice (e.g., pensions, EVs).
- Implement share schemes (EMI/growth shares) to retain talent tax-efficiently.
3) VAT & Indirect Taxes
- Check registration status, partial exemption, and flat-rate vs standard methods.
- Review land/property VAT options and place-of-supply for services.
- Fix errors and reclaim missed input VAT.
4) Capital Investment & Allowances
- Plan timing to maximise capital allowances (AIA, full expensing where available).
- Distinguish capex vs opex; identify intangible and software reliefs.
5) R&D, Creative & Other Reliefs
- Assess eligibility for R&D tax reliefs/credits and relevant sector incentives.
- Capture evidence contemporaneously; tighten governance.
6) Supply Chain & Operating Model
- Renegotiate terms; centralise procurement.
- Near-/re-shore where appropriate; review transfer pricing in groups.
- Outsource non-core finance tasks; automate AP/AR to reduce error and cycle time.
7) Pricing, Working Capital & Cash
- Introduce disciplined pricing reviews and contribution margin tracking.
- Improve billing cadence, credit control, and inventory turns.
- Use rolling 13-week cash-flow with scenario planning.
8) Property & Financing
- Reassess own vs lease; evaluate company vs personal holding for lets.
- Refinance debt; align covenants with forecast reality.
How can we help?
- Diagnose – Rapid health-check across tax, structure, and operations to quantify savings and risks.
- Model – Side-by-side scenarios (today vs restructured), with cash, P&L and tax impacts.
Implement – Company/LLP setups, share schemes, VAT changes, banking, and robust accounting systems with clean controls. - Optimise – Capital allowance claims, R&D filings, VAT corrections, and profit-extraction plans.
- Monitor – Management accounts, KPI/KRI dashboards, budgets, and 13-week cash-flows to keep gains locked in.
Outcome: lower recurring costs, improved cash conversion, and a durable, tax-efficient structure—implemented and monitored by a team that partners with you end-to-end.
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