Jumpstart, the UK’s leading research and development (R&D) tax credit specialist, is stepping up the pace of its international expansion programme by entering into the advanced stages of a joint venture deal in Morocco with Consulting Zone S.A.R.L.
The North African country, which has attracted major investor interest as an export-oriented hub for the European market, has sustained impressive growth and remains an African outperformer.
Morocco has also attracted considerable interest in the UK with business opportunities in ICT, education, agriculture, financial services, building and renewable energies. It has been identified by former deputy chief executive of UK Trade and Investment (UKTI) Susan Haird as “a very good trading partner for the United Kingdom”.
Jumpstart’s deal is focused on the Moroccan financial capital of Casablanca. It has been finalised this month and commences in May, and it is anticipated that it will open doors in other parts of Europe, particularly France and Spain.
Brian Williamson, managing director of Jumpstart, said: “This joint venture will significantly advance our long-term internationalisation plans, which have been brought forward as a result of unprecedented growth in its UK market share.”
Jumpstart, whose game-changing approach to submissions to tax authorities has already gained invaluable financial rewards for UK clients, began its international expansion campaign with discussions with a potential partner in Australia.
Its long-term strategy envisaged making a substantial push into overseas markets in 2014, but its rapid progress towards its UK target of 35% of market share has accelerated the drive towards a global business expansion.
The expansion has been made possible because the Jumpstart business model is infinitely scalable. The founders of Jumpstart studied the Canadian model of R&D tax credit redemption, which has been operating since 1986, for more than a year before making its dispositions for the UK.
They have identified a UK market that will be six to ten times bigger than at present and have identified 42 other countries with similar tax redemption policies into which it will ultimately transplant the model.
Brian Williamson said: “Morocco presents an excellent opportunity for us in the wider perspective of taking our international ambitions forward. It is an ambitious country with a highly-skilled graduate labour market and it has well-established connections with long-established trading partners.”
Jumpstart has achieved remarkable UK growth since its first part year of operation in 2008. It has sustained an average turnover growth of 201% every year since and, excluding any further orders, next year’s turnover will hit £3.5 million.
However, using projections based on current growth rates, this figure is likely to be closer to £6.2 million. The company now employs 80 extremely highly qualified business and technical analysts.
Brian Williamson added: “Jumpstart’s business model is not only generating unprecedented success for us in the UK, but it is now on the verge of creating a significant global opportunity.
“Governments around the world, in recognition of the international nature of competition, have made funds available to foster and encourage innovation and research. It is part of our global strategy to make sure that these resources can be efficiently tapped. Our Moroccan venture will be a considerable advantage in this arena.”
