Author: Glenn

For many small business owners, the focus is on day-to-day operations. However, building long-term value is just as important, whether your aim is to sell in the future, attract investors, or secure better financing.

Focus on profitability and cash flow
Strong profits are essential, but reliable cash flow is often more important to potential buyers or lenders. Keep tight control over expenses, reduce debtor days, and ensure pricing reflects the value you provide.

Develop recurring revenue
Income that is predictable and repeatable, such as subscription models or service contracts, increases business stability and value. It also makes forecasting more accurate and planning easier.

Strengthen your customer base
Avoid over-reliance on one or two major customers. A broad, loyal client base reduces risk and makes your business more attractive to others.

Build a strong management team
A business that depends too heavily on its owner can be harder to sell and less valuable. Train and empower staff so that the business can operate smoothly without you.

Protect your brand and processes
Invest in your reputation, intellectual property, and efficient systems. Documenting processes and having clear contracts with suppliers and customers adds professionalism and reduces uncertainty.

Plan ahead
Value is built over years, not months. Regularly review your strategy and financial performance and seek advice from your accountant to ensure every decision supports long-term growth.

If your property has changed or seems mis-banded, you may have the right to request a Council Tax review.

Properties in England and Wales are assigned Council Tax bands based on their value as of 1 April 1991 (England) or 1 April 2003 (Wales). If you believe your property is incorrectly banded, you may challenge this through the Valuation Office Agency (VOA).

You have a legal right (known as ‘making a proposal’) to challenge if:

• You have paid Council Tax for less than 6 months.
• The VOA changed your band in the last 6 months.
• Your property or local area has undergone significant change (e.g. structural alterations, change of use, or redevelopment).

If you don’t have a legal right, you may still request a band review by submitting evidence such as:

• Sale prices of similar properties around the valuation date.
• Up to five comparable properties in lower bands, matching on type, size, age, and location.

Challenges can be made online, by form, phone, or email. Council Tax payments must continue during the review. VOA decisions may take up to 6 months (legal right) or 12 months (band review). Appeals are permitted only where a legal challenge was made.

If you live in Scotland, then you need to use the Scottish Assessors portal website to check your Council Tax band and if necessary, lodge a claim with them (known as a proposal).

HMRC’s new Q&A tool guides you through each step of a compliance check.

The free interactive online tool is designed to help individuals and businesses better understand what happens during a tax compliance check. Available on GOV.UK, the Interactive Compliance Guidance tool brings together key guidance and video content in one place, making it easier to navigate the process.

The tool explains:

• What an HMRC compliance check is.
• Why certain information or documents are requested.
• How to get extra support due to personal or health issues.
• How to appoint someone to act on your behalf.
• What to do if you disagree with HMRC’s decision.
• How to pay a tax assessment or penalty.

It uses a simple question and answer format with clear guidance videos, step-by-step explanations and links to other relevant guidance. The tool was developed with input from stakeholders like the Low Incomes Tax Reform Group to ensure it meets the needs of unrepresented and vulnerable taxpayers.

This guidance supports the government’s Plan for Change, aiming to improve taxpayer confidence, simplify access to information, and promote economic growth. The guidance and interactive tools are intended solely for informational purposes. Using them does not result in tax registration and HMRC does not collect or store any user information.

With the Residence Nil Rate Band (RNRB), families can pass on up to £1 million without IHT

The RNRB is an additional £175,000 Inheritance Tax (IHT) allowance that applies when a person’s main residence is passed to a direct descendant, such as a child or grandchild, after their death. The allowance is available to married couples and civil partners, and it can significantly reduce the IHT liability on family homes.

The RNRB is separate from and in addition to the standard IHT nil-rate band of £325,000. When combined with the standard threshold, a married couple or civil partners can potentially pass on up to £1 million tax-free to their direct descendants. This figure is based on two individuals each having a £325,000 nil-rate band and a £175,000 RNRB.

Importantly, any unused portion of the RNRB from the first spouse or civil partner to die can be transferred to the surviving partner, provided a claim is made to HMRC when the second partner dies. This transfer is not automatic and must be claimed. This is usually done by the executor of the estate during administration.

The RNRB is subject to tapering for larger estates. For estates valued over £2 million, the RNRB is reduced by £1 for every £2 over the threshold. As a result, estates significantly exceeding £2 million may lose the RNRB entirely, even if the home is passed to direct descendants.

Properties needing repairs still count as homes and false claims to recover Stamp Duty Land Tax could mean big tax bills and penalties.

HMRC has issued a warning to homebuyers about rogue tax agents promoting false Stamp Duty Land Tax (SDLT) repayment claims, especially those based on the condition of properties. Following a recent Court of Appeal decision, it has been confirmed that properties requiring repairs remain liable for residential rates of SDLT if they retain the fundamental characteristics of a dwelling. This applies even if the properties are temporarily uninhabitable.

Some agents exploit this by misleading buyers into believing they can reclaim SDLT by arguing the property is “non-residential.” These agents often charge hefty fees and leave homeowners liable for repayment of the tax, penalties, and interest.

HMRC’s press release on the matter provides an illustrative example of a person who bought a house in London for £1,100,000 with his solicitor filing the SDLT return and SDLT being calculated at the residential rates (£53,750). The home required some modernisation and repair.

The homebuyer was then targeted by a repayment agent who claimed he could recover £9,250 in SDLT due to property repairs. The agent took a 30% fee, and the homebuyer received £6,475. Later, HMRC carried out a compliance check and found the property was residential all along. This meant that the homebuyer was left owing the full £9,250, plus interest and penalties, with the agent refusing to assist.

The case reinforces that a property’s poor condition does not alter its classification as a dwelling if it is structurally sound and previously used as a home. SDLT claims that are invalid can result in serious financial consequences for the buyer, who is ultimately responsible for the accuracy of any SDLT repayment submission.

We would be happy to help you consider where you are eligible to make a claim without incurring unnecessary fees or risks.