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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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