“During the most recent worldwide health crisis, the number of daily active users playing our video game went through the roof! We were scrambling to find a funding option that allowed us to scale as our popularity surged, but no traditional lender would look at us because we did not have 3 months of sales history. Thankfully, we came across Adsum’s Creative Tax Credits loan. We were able to get the money within 48 hours and the best thing was we didn’t have to worry about repayment as it came directly from HMRC.”
UK Creative Industry Tax Credits are one of several government initiatives designed to incentivise creative production in the UK. This allows any UK business involved in the production and development of films, TV, video games, theatre, music or gallery/museum exhibitions to claim money back from the government as tax relief. Unfortunately, it takes HMRC a long time to accept your claim and reimburse your business. With Adsum’s tax credit loans you can secure a loan from us to fund your production within 48 hours of your request.
One of our now most cherished clients initially came to us at Adsum, having tried all the traditional lenders, desperately trying to fund their growth trajectory as their new video game had become an overnight sensation. The client, a 2 year old Video Game Development company based in Shoreditch, had no prior lending history and was started by two friends from university with a background in software development. This was their first game to really hit the ground running and so they were ill prepared for the overhead costs that come with such an in demand game. Putting its customers before its profits, our client had yet to monetise their users and as such could not provide a proven track record for them to be accepted by any typical lending models. The financial landscape they were attempting to find funding in was unclear to them and as a result they struggled to uncover any attractive funding options.
Our client was running out of options and the cost of maintaining such a popular game was quickly whittling through their cash supply. Adsum was recommended to them through a third party who had previously taken advantage of the VAT loan that Adsum offer. Adsum were quickly able to identify the client’s exact claim amount which they could get back from the government and advance them that money within 48 hours. Adsum took control of the time consuming aspects of submitting the claim to HMRC and chasing up the refund to ensure the client could devote as much time as possible to doing what they do best, creating great games.
Moving forward, Adsum was (and still is) able to provide the client with a steady stream of alternative funding against the UK government creative tax credits that the client is entitled to. Adsum is able to handle all the nuances of the HMRC to provide the customer with a complete loan which requires minimal time invested by the client. Due to the nature of the loan, no money is needed to be repaid by the client as it comes directly from HMRC to Adsum, meaning there is one less thing for the client to worry about.
Here at Adsum we have solutions fund many clients like this one where our competitors are unable to provide attractive options to the client. If this sounds like something you would be interested in finding out more about please don’t hesitate to get in touch via our Contact Us page.
