research and development – Page 4 – Swanson Reed

Rubber is the New Diamond with Silicone Wedding Rings

Sure, traditional wedding rings may have their perks: they’re classy, sparkly, attractive, and elegant. But they’re rarely described as “practical”, especially for the average human person who has to cook, clean, shower, work out, and carry out other day-to-day activities with their hands. To adapt these tokens of commitment for more active lifestyles, several companies have re-invented the diamond-encrusted bands to develop silicone wedding rings.

Fixate Designs, for instance, created its patent-pending silicone wedding bands out of a realization that traditional rings were often prohibited at work because of risk for injury. Several of the company’s founders themselves had experienced ring-related injuries, including some that required surgery. “We wanted to rethink, re-engineer, and redesign items used in everyday life that we felt needed to evolve,” Fixate Designs said. Another silicone wedding ring company called QALO was started by two guys who “found themselves newly married, loving their wives but hating their wedding rings.” Similarly, Enso Rings, which has been featured on the show Shark Tank, asserted that ancient Egyptians had used braided hemp to mark their marriage commitment: “It’s the symbol and the practicality that mattered. We made the first Enso silicone ring to bring back comfort, safety and focus to the way we express commitment.”

Typically, these silicone wedding rings are made from medical-grade silicone and are designed with durability in mind. They are hypoallergenic, breathable, and flexible. They do not react to chemicals or acids and are waterproof. They also tend to be more affordable than traditional wedding rings, making them a less of a concern if lost or misplaced. The silicone wedding rings are suitable for a wide range of workplaces – from the office to the construction site – and lifestyles – from the world traveler to the homebody.

Technology tends to overlook ordinary household items, including wedding rings. Did you know research activities related to the development of the silicone rings, whether to improve the product or production process, could be eligible for the R&D Tax Credit? If you’re also engaging in activities to improve day-to-day household items, you could receive up to 14% on your expenses. To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Swanson Reed regularly hosts free webinars and provides free IRS CE credits as well as CPE credits for CPA’s. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative

Helmets and Technology: is Safer Football a possible reality?

Few things are as American as Buffalo wings and Super Bowl Sunday. But as scientific studies uncover the debilitating long-term effects of contact sports, there is uncertainty about the longevity of football in American society. Football players are at a high risk of developing Chronic Traumatic Encephalopathy (CTE), a neurodegenerative disease caused by repetitive brain trauma. In 2011, former NFL defensive back David “Dave” Duerson took his own life because the devastating symptoms of CTE – from depression, mood swings, and memory loss – proved too much to bear. His son Tregg Duerson has since become a fierce proponent of safer football initiatives to reduce the risk of CTE among NFL and aspiring football players, especially since there is no cure for the disease and its effects worsen with time.

Football is becoming more competitive as its players get bigger, faster, and stronger. However, this also means a greater likelihood of injury. On average, players are exposed to 50-60 violent blows to the head in one professional game, according to a study by Stanford University. Players can develop concussions as a result of these blows but a Boston University study found that even without signs of concussion, repetitive hits to the head can lead to CTE. Players are at risk, not just in the NFL or big games like the Super Bowl, but also in college-level and high school-level games and practices. Since no definite diagnosis of CTE can be made until after the patient has died – although scientists are experimenting with ways to improve detection prior to death – preventative measures are necessary.

In some ways, avoiding football is the safest guarantee. Legislation in Illinois and New York have already been introduced to ban football among pre-teens, thereby mitigating the risk of repetitive head trauma among young players whose brains are still in development. Parents are increasingly resistant to enrolling their children in football because of these dangers. Justin Timberlake reportedly stated of his 2-year-old son Silas, “Uh, he will never play football. No, no”.

Even so, it is unlikely the sport will disappear altogether from American culture. Helmet technology, for one, has improved drastically in the past year alone. Vicis, for example, was formed in 2013 by neurosurgeons and engineers. It released its Zero 1 helmet last season which is designed with a tighter fit and with plastic columns in the helmet shell that compress and shift to deflect the impact of a blow to the head. Riddell likewise developed its Precision Fit helmet which is customized for each individual player to provide better protection. As well, the company designed an InSite monitoring system that measures the head-impact exposure of players, providing coaches and players with tools on how to improve a player’s style to reduce the likelihood of head injuries. Similarly, Prevent Biometrics introduced its Head Impact Monitor System (HIMS) which uses sensors to detect collisions immediately and to notify players and coaches to seek medical attention when necessary.

These tools may become integral to the safer football initiative but they are not yet affordable for non-NFL leagues such as at the college or high school level. The Zero 1 helmet, for one, costs $950 per piece. The Riddell Precision Fit costs $1750. Evidently, there is still room for improvement.

Are you experimenting with developing safer football helmets or monitoring tools that are more affordable and effective for football players? Did you know your experiments, even those that were unsuccessful, could be eligible for the R&D Tax Credit and you could receive 14% back on your expenses? To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

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The IRS Form 6765 got you down? Never Fear! Here are 4 Common Misconceptions about the R&D Tax Credit

As companies across the United States prepare for the end of another fiscal year, many Chartered Accountants are considering claiming the R&D Tax Credit but have no idea where to start. Others are avoiding it all together and unfortunately missing out on the chance to save up to 14% on their company’s research expenses.

From our over ten years’ experience helping accountants like you claim the R&D Tax Credit, we at Swanson Reed know that there are four common misconceptions about IRS Form 6765. We’re here to help de-bunk those myths and to encourage you not to let this opportunity to claim your R&D expenses go to waste.

Misconception #1:

I’m not building robots or creating something world-shattering so I’m not eligible

Many companies don’t think they’re conducting research and development activities because they aren’t dressed in white lab coats building androids and drones in a Tony Stark-style laboratory. While mechatronics engineering clearly qualifies for R&D, all industries are in fact eligible for the R&D Tax Credit. All you have to do is carry out activities that fulfil the IRS’ four part test:

Activities are conducted for a permitted purpose
There is the elimination of uncertainty when engaging in these activities
The activities are technological in nature
There is a process of experimentation in carrying out these activities

Maybe you’re a food manufacturer experimenting with new recipes to create tastier, longer-lasting food products while also improving your air ventilation system during the cooking stage. Or perhaps you’re a furniture company looking to build an automated process to pack and ship your products more efficiently to your clients. You could be a software company developing codes to optimize a client’s cyber-security. Or you’re specializing in creating outdoor camping products that are made from environmentally sustainable materials and are more durable than what’s already on the market.

Sound like you? Then you’re eligible for the R&D Tax Credit!

Misconception #2:

My experiments failed so there’s no point in filing them to IRS Form 6765

You just spent $1000 to test an exhaustion fan in your food manufacturing factory to try to improve your air ventilation. Unfortunately, the exhaustion fan did not cool down the food or allow the adequate circulation needed to maintain the air quality in the facility. Maybe you spent thousands of dollars trialing different codes for an anti-virus software but it keeps failing to stop malware. Perhaps you invested thousands of dollars into constructing new fabrics for outdoor jackets that are waterproof and compactable but can’t seem to conserve body heat and keep your customers warm.

We all know how expensive experiments can be. It’s even worse when it fails and all that investment seems wasted. Do not be discouraged! On the contrary, failure clearly demonstrates you were conducting R&D. In fact, the IRS does not require these research experiments to succeed in order to qualify for the tax credit and you can still get up to 14% back these expenses, no matter the outcome of the experiments.

Misconception #3:

My company is too small and we didn’t make a profit this year

The size of a company does not affect eligibility for the credit. From small start-ups, sole proprietorships, to large corporations, any entity is eligible for the R&D Tax Credit as long as their activities satisfy the Four Part Test. In fact, small-medium enterprises comprise 50% of the companies that claim IRS Form 6765.

You do not need to be immediately profitable to take advantage of the credit. The R&D tax credit can be carried forward for 20 years and back one year which means even if you are not profitable this year, you can save those credits for future years. If you’re a start-up that doesn’t pay income tax, you can still claim that credit against your payroll tax. To find out about all the R&D credit programs, contact a Swanson Reed R&D Specialist.

Misconception #4:

It’s too much effort to file for Form 6765

There is often confusion among CPAs about the necessary documents required to file the R&D Tax Credit. While it is true that documentation for the IRS is quite rigorous, it is simpler than you think.

Companies can claim three types of expenses: salaries, supplies, and contracted research. Eligible documentation for salaries include payroll registers, interviews, W2s, and other documents related to labor costs. Supplies are typically documented by general ledgers and vendor invoices. In terms of contracted research, invoices and 1099s to these third-party vendors are acceptable. Companies tend to already keep these documents on hand and aren’t as difficult to acquire as many think. For a more comprehensive explanation about documentation, visit Swanson Reed’s page on documentation or contact a Swanson Reed R&D Specialist today.

Still have questions?

Swanson Reed is hosting an upcoming webinar on November 13, 2017 at 10 am CDT that further explains the R&D Tax Credit. This webinar is free and can count as part of Continuing Education credits for CPAs. The deadline to complete all your annual continuing education credits is just around the corner. Don’t miss this chance to get your credits and to learn more about the R&D Tax Credit from the experts. For more information please visit us at www.swansonreed.com/webinars or contact a Swanson Reed R&D Specialist.

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“Sitting is the New Smoking” and DFW company Varidesk is helping you quit

An average American will spend 10 hours a day sitting, whether it’s at a desk, in a car, on a bus, or in front of the TV. Add that with 8 hours of sleep and you’ve got an entire population spending nearly 75% of the day not moving. Sitting has been linked to increased back pain and health concerns like obesity, high blood pressure, and high cholesterol. To get Americans moving again, Jason McCann and Dan Flaherty came up with a unique standing desk solution for the office: Varidesk.

The idea came to them in 2012 when Varidesk chairman Flaherty was diagnosed with sciatic nerve pain. A physical therapist suggested using a standing desk at work and Flaherty experimented with different standing desk options. Varidesk CEO McCann recalled, “He would literally put a brown box on top of his desk and felt a lot better.” But the range of standing desk choices were limited and so the two innovated their own alternatives. McCann said, “I remember Dan sitting there describing the product: ‘Can it come out of a box and sit on top of my desk and not have to be bolted down? Can it just pop up in a second?’”

And with that, Varidesk was born. The company has since created a series of different standing desks to fit a variety of needs in the workplace. With a patented spring lifting mechanism, each Varidesk is easy to lift and alter to find the right ergonomic fit. The company’s product line ranges from fully adjustable desks to smaller desktops that can convert existing desks into standing ones. You can also find solutions for tight cubicle spaces and laptops. At present, Varidesk has 50 new products and 200 more in the works.

Coupled with an efficient shipping process, Varidesk has become a huge success and is making the office workspace healthier. In 2017, McCann and Flaherty were awarded EY Entrepreneur of the Year for the Southwest Region. The company made its millionth sale this month and can proudly claim that over 95% of the Fortune 500 are their clients. Their latest high-profile client is the Mark Cuban, owner of the Dallas Mavericks.

Did you know Varidesk’s experiments and prototyping are considered research and development, and are therefore eligible for the R&D Tax Credit? If you are conducting similar experiments, you could be eligible for the R&D Tax Credit and receive up to 14% on your expenses. To find out more, please contact a Swanson Reed R&D Specialist today.

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Is autonomous flying the next big thing?

Near Earth Autonomy (NEA) develops technology for a large variety of unmanned flying vehicles from drones to flying cars to commercial planes. Boeing has announced a significant investment into NEA in hope to make autonomous flying the ‘next big thing’.

The investment is in fact part of a broader effort in creating and promoting an industry-wide standard for autonomous flying. Boeing has solidified autonomous flying into its ideal future targets with three specific goals, which are to: Fly safely, land safely and navigate without GPS.

The key factor which makes a vehicle autonomous is its ability to make decisions. It is no secret that commercial planes already have the ability to fly on autopilot, however they still rely on GPS to orient themselves and are unable to analyse their surroundings and adjust to circumstances without the help of a pilot.

NEA have been pursuing technology to aid autonomous vehicles in this decision making process since 2011 and their partnership with Boeing will continue to center around tools to help vehicles synthesize data from their surroundings and output their own plan.

The biggest task ahead for Boeing and NEA in implementing their innovative technologies actually has little to do with the development and is in fact being able to convince the U.S. government that their vision is worth a chance. There the agenda of the companies will be proving to the Federal Aviation Administration (FAA) that their vehicles can be trusted to fly safely.

Boeing is continuing to make significant investments into its vision and goal to making autonomous flying the way of the future; however the question remains whether it can get others on board.

Are you engaging in R&D to build innovative technology? You could be eligible for the R&D Tax Credit and can get up to 14% on your R&D expenses, even if your experiments were not successful. To find out more, please contact a Swanson Reed R&D Specialist today.

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Using Wi-FI? Here are three things you need to know about the KRACK in the system

Billions of people use Wi-Fi – in fact, you’re probably using it right now. But be warned: according to the United States Computer Emergency Readiness Team, there is a vulnerability in the Wi-Fi system known as KRACK or Key Reinstallation Attacks that could put your encrypted information at risk.

What is KRACK?

The modern Wi-Fi system uses the Wi-Fi Protected Access II (WPA2) protocol to authenticate and protect the connection between access points and devices, such as computers and smartphones. Two researchers Mathy Vanhoef and Frank Piessens have found vulnerabilities in the WPA2 system which allow attackers to eavesdrop on Wi-Fi traffic between devices and access points. Because the vulnerability is at the protocol-level, attackers can access encrypted information previously assumed to be secured, ranging from passwords, emails, credit card numbers, photos, and so forth. In some cases, attackers may also manipulate information such as by injecting malware into websites.

Who is vulnerable?

Most devices are vulnerable to attack, from Android, Linux, Apple, Windows, OpenBSD, to MediaTek Linksys operating systems. However, the severity of threat varies as companies respond to the vulnerability. Microsoft announced earlier today that it has provided a software update protecting customers against the KRACK vulnerability. Google has promised to address the vulnerability on its systems within the coming weeks, with Google Pixel as the first to receive an update. Currently, Linux and Android 6.0 or higher systems are the most susceptible to attack.

What can I do?

While it is unknown whether hackers are already exploiting the KRACK vulnerability, researchers urge users to implement safety measures when possible. They recommend that users should avoid connecting to Wi-FI until patches have been developed and can be safely installed on Wi-Fi clients’ devices and access points. Microsoft users, as mentioned above, should be safe. However, when Wi-FI is the only option, people should use HTTPS, STARTTLS, Secure Shell, and other protocols to encrypt online traffic as it passes between computers and access points. Users could also use a virtual private network (VPN) as an added safety measure. Fortunately, network providers are already starting to deploy security patches.

Vanhoef and Piessens will present their paper Key Reinstallation Attacks: Forcing Nonce Reuse in WPA2 on November 1, 2017 at the Computer and Communications Security conference in Dallas.

Are you conducting R&D to develop cyber-security measures to defend against potential security threats like KRACK? You could be eligible for the R&D Tax Credit and receive up to 14% back on your expenses. To find out more, please contact a Swanson Reed R&D Specialist today.

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Living on the edge: How R&D helped DFW-based entrepreneur to build the Single Edge Razor 2.0

After quitting his job selling fighter jets around the world, Patrick Coddou launched a new company based in Fort Worth called Supply and developed its signature product: the Single Edge Razor. Now, two years since the company’s inception, Coddou is back with the Single Edge Razor 2.0.

Coddou told D Magazine he came up with the idea for the Single Edge Razor because of his sensitive skin: “I used to hate shaving and using those five blade razors. So my search brought me to this old style of razor. I loved it so much that I thought, you know, I think I can make one of these and show more people what these are.” With the Single Edge Razor 2.0’s release this summer, Supply offers a new razor that is more durable and comfortable than existing multi-blade razors on the market.

From extensive research, Supply found that multi-blade razors caused irritation when shaving because these are often built as a “one-size-fits-all” product and the blades cut below the skin’s surface and pull up the hair to cut which results in discomfort and ingrown hairs. The razors are also more difficult to wash thereby prompting bacterial buildup in the blade and the material is usually cheap plastic that does not last. Supply’s Single Edge Razor 2.0, in contrast, developed three blade designs to account for distinct skin types: mild, classic, and aggressive. Mild was built for sensitive skin and short beard growth, aggressive was made for long beard growth and wiry hair, and classic for everything in between. The Single Edge Razor 2.0 is designed to shave just at the surface of the skin, ensuring a closer shave and comfort, and is cleaned easily to avoid bacterial buildup. As well, the blades are 100% stainless steel and twice as thick as the average multi-blade razor, guaranteeing it is rust-resistant and unbreakable.

Additionally, the Single Edge Razor 2.0 was designed at a closer distance and angle between the blade and the safety bar than its predecessors. While single edge razors have existed for decades, they have often been difficult to use because the blade must be held at the same angle throughout the entire shaving process or else there is risk of cutting and nicks. With the Razor 2.0, the angle is built-in for the user to handle with ease.

Coddou’s company is still constantly finding ways to improve its product. Supply employed an entirely new manufacturing process for the Single Edge Razor 2.0 by adopting methods used in aerospace and medical device manufacturing. In particular, the company used the Metal injection Moulding process which built products with extreme accuracy and ensures quality of the product. The company hopes to continue to invest in this type of manufacturing and to expand to create more razors and even an entire line of grooming products, from shaving cream after-shave to body wash. You can find the company’s product on Kickstarter.

Supply’s expenses incurred during the design stage of building a new razor and improving the manufacturing methods are all eligible for the R&D tax credit. If you are also engaging in R&D to develop new products or improve existing processes, you could be up to 14% back on your expenses. To find out more, please contact a Swanson Reed R&D Specialist today.

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When Dallas researchers introduced Twistron, they may have sparked an energy revolution

Scientists from The University of Texas (UoT) in Dallas, in collaboration with researchers from Hanyang University in South Korea, have developed a new fabric that generates energy: twistron. A lightweight yet resilient yarn made from carbon nanotubes woven together, twistron can produce electricity simply by stretching and without the need of a battery or other energy source.

Dr. Carter Haines, an associate research professor at UoT’s NanoTech Institute in Dallas, said, “The easiest way to think of twistron harvesters is, you have a piece of yarn, you stretch it, and out comes electricity.” Carbon nanutobes, from which twistron is constructed, are 10,000 times smaller in diameter than human hair and therefore offer a lightweight material. To harvest energy, twistron initially needed to be soaked in electrolytes, such as saltwater or even human sweat. However, through experimentation and research, the scientists were able to use a solid-state electrolyte to coat the yarn, without soaking the material. From testing, the scientists found stretching the yarn 30 times a second could 250 watts per kilogram. Dr. Na Li, another research scientist at the NanoTech Institute, further described the process, ‘Whenever a harvester yarn is twisted or stretched, the volume of the carbon nanotube yarn decreases, bringing the electric charges on the yarn closer together and increasing their energy. This increases the voltage associated with the charge stored in the yarn, enabling the harvesting of electricity.”

The scientists hope the twistron could be used in clothing and other commercial uses one day. They tested twistron by sewing it into clothing and found that even normal respiration stretched the fabric enough to power electricity. One of the scientists also tested twistron in ocean currents. Dr. Shi Hyeong Kim submerged 10 cm of twistron on the east coast of South Korea and the material successfully generated electricity. Dr. Kim hopes this is a breakthrough for harnessing the strength of the ocean. From these small scale activities, the researchers are confident these activities could be scaled up in the future. The team has patented the technology and are continuing to test its capabilities. Perhaps they could even make batteries superfluous.

Are you also engaging in R&D experiments to develop new ways to generate energy? Did you know that If you conduct your R&D projects in universities, you could receive up to an additional 20% credit for your expenses? To find out more, please contact a Swanson Reed R&D Specialist today.

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20 years later, AOL Instant Messenger’s retirement is a testament to advancement in R&D

In the not-so-distant past, before direct messaging, texting, and smartphones, before Snapchat, Instagram, WhatsApp, Skype, before the boom of Twitter and Facebook, only one online communication method reigned supreme: AOL Instant Messenger. Known as “AIM” for short, the AOL messenger, along with its counterparts by Microsoft and Yahoo, changed the way people interacted with each other online.

AIM first appeared on the scene in 1997 and, by 2001, it had over 100 million users. While Yahoo and MSN messengers were widely used outside of the United State, AIM was the most popular instant messenger among Americans. The messenger’s trademark “buddy list”, screen names, and immediate, simultaneous access to multiple friends changed communication during a time when most people talked to each other over the phone. Now twenty years since its launch, AIM will officially retire by December 15, 2017. Oath, the company behind AOL, announced the news last week. Michael Albers, Head of Communications, stated, “AIM tapped into new digital technologies and ignited a cultural shift, but the way in which we communicate with each other has profoundly changed.”

The messenger had sparked new user behaviours that are now common practice in contemporary social media. Before Facebook statuses, there were AIM’s “Away Messages” which allowed users to creatively update their friends of their whereabouts. Before adding “friends” on Facebook, there was asking for people’s screennames. AIM profile stalking was a precursor to Facebook profile stalking.

While no one has used the messenger in years, nostalgia has burst across the internet reminiscing how the now-obsolete technology was once transformative. Adam Lashinsky wrote in Fortune, “At the risk of oversharing, it is no understatement to say I began dating my wife on AIM. She worked at AOL when I joined TheStreet.com, and she was on AIM as much as I was. I remember early instant messaging chats far more than phone chats.” In The Guardian, Matthew Cantor recalled, “For me, as a 14-year-old, AIM was a revelation. Here was a way I could communicate with my peers – including those who were objectively cooler than me – without stammering or panicking…That’s because, behind the wall of the computer screen, we had the time and distance to craft much wittier banter.”

AIM’s retirement demonstrates how times have changed. The instant messaging era has since been replaced by smartphones and apps. Nevertheless, the technical innovation that sparked AIM and contributed to its decline will continue. Lashinsky poignantly stated, “Like many consumer technologies that went before it, AIM ushered in a revolution that quickly left it behind. I can’t say I’ll miss it. But I sure am glad it existed.”

The rise and fall of AOL demonstrates the advancement and innovation of R&D in the communication technology sector. If you are developing software and programs building on AOL Messenger’s legacy, your R&D activities may be eligible for the R&D tax credit and you could receive up to 14% on your research and development expenses. To find out more, please contact a Swanson Reed R&D Specialist today.

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Significant R&D scheme attracting scientists from around the world

Almost 260 scientists from around the world have applied for the New Delhi Visiting Advanced Joint Research (VAJRA) R&D scheme, which attracts the top international talent in the country’s research and development ecosystem

Screening of applicants for this exciting opportunity will continue throughout October and 70 applicants will be shortlisted and begin work in December.

Being selected for the VAJRA Faculty scheme is a significant opportunity and achievement. Scientists will be provided with a lump-sum amount of USD 15,000 in the first month of residency and USD 10,000 per month afterwards.

Eventually the plan is for the department of Science and Technology to select 1,000 scientists every year for the pilot project. This will aim to significantly increase expertise in the areas which India currently lacks in such as, renewable energy and water.

The following program will greatly benefit the advancement of research and R&D expertise in India, which will ultimately lead to further opportunities within the sector in the years to come.

India has seen a surge in global R&D, which helps nurture the country’s innovation ecosystem. If your company is engaging in research activities, it may be eligible for an R&D Tax Credit. An R&D Tax Credit reduces the cost and risk of undertaking R&D activities for your business. The benefit helps companies doing eligible work to create new or improved products, processes and services by reducing their tax. To find out if your company could be eligible, complete Swanson Reed’s quick and simple contact form.

Swanson Reed also regularly hosts free webinars and provides free IRS CE credits as well as CPE credits for CPA’s. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

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