We are passionate about the automotive sector at Campbell Dallas and our dedicated team channels this into the work we do with our clients in the sector.
Our team have in-depth experience in the automotive sector across the wide spectrum of Campbell Dallas services; from audit & advisory, to employee tax compliance, capital allowance advisory, VAT & business advisory and recovery solutions.
The team work with many automotive retail businesses and with major manufacturers in the UK market. We also assist companies who are involved in the supply chain, such as funders, leasing companies and software businesses. We advise our clients on all aspects of running their business within the sector and have helped many clients make decisive and strategic choices.
The automotive sector is exciting and vibrant, with macro-economic change never far from making an impact across the industry. There are lots of sector specific nuances that the team are experienced in, as well as their personal passions for all things automotive. We view our role as being a key advisor in the sector and to advise not just in the detail of running a successful business, but also on the changes in consumer trends, government policy and technological developments.
At Campbell Dallas we work with a wide range of automotive companies, from supply chain to large franchise dealership groups. Our experience includes dealing with automotive clients at local and regional levels who all face different challenges in their businesses.
We can help you achieve your business goals and plan for success through our expert led services.
Audit & Advisory Services
Our audit team offers significant industry experience in both the motor and retail sectors. We bring with us a commercial awareness of the industry and utilise this to gain a comprehensive understanding of your business and its needs.
We adopt a highly efficient risk based methodology, using our specialist sector knowledge to identify and focus on the key risk areas facing the business. We aim to offer an added value service, using our wider portfolio of services to proactively identify ways to develop your business.
In addition to statutory audit engagements, we can also offer our experience in:
- Internal audit engagements
- Comprehensive reviews of the systems and processes in your business, including:
- Review of dealer management systems and consequential revenue recognition
- Review of stock levels and residual value analysis
- Audit and reconciliation of manufacturer's funding lines
Our specialist team can assist you with the various tax issues that we see in the sector to ensure that your business is fully compliant and claims the maximum reliefs available. The services that we provide cover compliance and beyond. Some examples of how we can help are:
- Co-ordination of the tax reporting and group tax compliance for large and medium sized companies
- International tax – assistance with transfer pricing where there are cross border transactions including transactions involving goods and services, finance arrangements and management services
- Ensuring that the company benefits and rewards package is taxed correctly
- Completing Senior Accounting Officer compliance reviews and testing to give reassurance and advice
Maximising tax Incentives and reliefs
- Help our clients take advantage of government sponsored tax incentives promoting green energy and low emissions, eg drivers can enjoy preferential tax treatment on low emission vehicles and electric cars such as a reduced rate of Benefit in Kind compared to other company cars
- Keep our clients up to date with the latest tax position on claiming valuable infrastructure tax allowances, eg 100% allowance can be claimed on installation of an electric charge point at an office
- Provide advice on the costs and benefits of vehicle leasing versus employee ownership of vehicles
- Help our clients to claim capital allowances – specifically including fit out of show rooms, maximising qualifying plant additions claims to ensure tax writing down allowances available and maximising reliefs on energy saving equipment
- Assist with Research and Development claims to ensure that our clients can benefit from the generous tax deductions available on R&D costs
- Provide advice on incentivising employees in a tax efficient way
VAT can be complicated in the automotive sector, as cars can either be taxable or exempt. Dealerships can choose to use the second hand margin scheme, but this requires detailed records to be kept. HMRC tend to focus on these records when carrying out their VAT reviews, which can ultimately be costly for the dealership if these are not up to scratch.
Where customers are based outside the UK there can be further documentation required to ensure that the correct VAT is charged and customs procedures are met. Equally, where finance is offered to customers, this can result in dealership becoming partially exempt, which can reduce VAT recovery of VAT on purchases.
Our specialist VAT team can assist with a VAT health check to help minimise any risk areas and improve compliance with HMRC requirements.
Our Business Recovery and Insolvency team is vastly experienced in dealing with all types of formal restructuring, turnaround and insolvency solutions and has very recent experience of working with businesses in the automotive sector.
We have extensive experience of advising businesses in distressed situations, working with stakeholders to identify the best way possible to deal with whatever financial difficulties a company may be facing and how to achieve the best outcome.
- We can work with manufacturers and lenders to identify and manage risk and are able to provide a full support package to ensure that the best solution is obtained for all stakeholders.
- We have strong relationships with asset based lenders, banks and other financiers, along with specialist lawyers and valuation agents all with automotive sector experience
- We can carry out independent business reviews, including assessment of management and operations in addition to a financial health check and recommendations for liquidity improvements
Not every company facing financial difficulties needs to enter a formal insolvency process. We can help companies to avoid insolvency through restructuring and identifying cost reductions by drawing on our expertise, industry connections and experience within our corporate finance team of advising on private equity, management buy-outs, preparation of a business model, financial modelling and business valuation.
In the event that a formal insolvency process is the best way forward, we can advise on the various options available, including administration, liquidation and Company Voluntary Arrangement (“CVA”). We have a very experienced and highly skilled team who will advise on the most suitable solution, dependent on circumstances.
Donald is a General Practice and Audit Partner and heads up the Automotive sector at Campbell Dallas. He has considerable experience in large company audit, corporate finance & transactional work, business start up & planning and shareholder disputes. Donald looks after a portfolio of clients in the motor trade, providing not just accounting and tax advisory but commercial advice. He plays an important role in many of his clients’ businesses, to assist in their growth and wealth creation. Donald has carried out independent business reviews on behalf of manufacturers.
Blair is a Partner in our Business Recovery & Insolvency Services team, with more than 20 years experience in providing insolvency and restructuring advice to businesses and to lenders. He advises on all types of formal insolvency processes and his engagement experience includes motor dealerships and suppliers to the automotive sector.
Jennifer has previously worked for HMRC and has over a decade of experience in VAT. She has significant experience in a wide range of areas, including assisting clients with HMRC reviews, compliance with the second hand margin scheme for cars record keeping requirements and general VAT compliance. She conducts both on and off-site reviews for clients, advising on VAT risk areas, partial exemption and VAT compliance.
David trained with Campbell Dallas and qualified as a CA in 2015. He has been involved in the audits of a vast portfolio of clients, ranging from owner managed SMEs to AIM listed plc’s with turnover of up to £150m.
David is very enthusiastic about the automotive sector, and has a keen personal interest in cars and motorsport and enjoys undertaking car projects and restorations in his spare time.
Louise, an accountancy graduate, is a member of the Association of Taxation Technicians. She has experience assisting clients across the spectrum of direct tax work including preparation of corporation tax returns, personal tax returns and PAYE Settlement Agreements, assisting clients with HMRC enquiries and completing employment taxes reviews. Louise began her career in Campbell Dallas as a member of our specialist tax consultancy team and now focuses on providing tax services to our large clients in the corporation tax team.