Using accounting and invoicing to maximise VAT position - £500k cash injection

The client

Our client is a business that has a continuous supply of services. They came to us for assistance on the best way to structure invoicing and accounting to maximise their VAT position.

Our approach

After looking into the way our client conducted its business, we found that its contracts allowed for requests for payment to be raised, instead of full VAT invoices, until payment was made by its customer. We advised them to raise requests for payment instead of full VAT invoices, and successfully moved the tax point by 90 days.

This approach saw £500,000 injected into the business.