R&D Study - California Startups
Your California Startup is Probably Leaving $500,000 in the Table Every Year.
f your startup pays engineers, contractors, or cloud computing costs to develop software or technology, you almost certainly qualify for federal and California R&D tax credits. Most California founders never claim them. Our trusted CPA partner does the study. You get the credit.
Qualifying startups can offset up to $500,000 of payroll tax per year
Federal and California state R&D study included
AI-enabled software keeps costs lower than competitors
Audit-ready documentation - Audit ready reports
Qualifying expenses include payroll, contractors, and compute
Coordinated with your federal income tax filing
Free qualification call. No obligation. You will know if you qualify first.
R&D Study
Percentage
of Qualified Research Expenses
Everything Included
✓ Federal R&D tax credit study
✓ California state R&D credit study
✓ All qualifying expenses identified
✓ Audit-ready documentation package
✓ AI-enabled expense tracking software
✓ Coordination with income tax filing
✓ IRS support if credit is questioned
The Opportunity
Most California Tech Startups Qualify. Most Never Claim It.
Most California startups have engineers, contractors, or cloud infrastructure costs tied to building their product, and most of that work qualifies as research and development in the eyes of the IRS. It doesn't need to be groundbreaking. It just needs to involve technical uncertainty and experimentation.
Our trusted CPA partner identifies what qualifies, documents it to IRS standards, and coordinates the credit with your income tax filing. One study, both the federal and California credit, nothing left on the table because nobody looked for it.
Federal R&D Credit - Up to $500,000/year
California R&D Credit - 15% of Qualifying Expenses
Qualifying Expenses: Payroll, Contractors, Compute, Supplies
Audit-Ready Documentation
AI-Enabled Software - Lower Cost Than Competitors
Where We Serve
R&D Study Services Across California
R&D studies happen remotely for startups across California, with full documentation. Select your city for local ecosystem context and industry-specific R&D qualification guidance.
Riverside
Inland Empire startup hub. Home to ExCITE Riverside, UC Riverside, and a growing cleantech and AI ecosystem.
San Diego
Biotech, defense tech, and SaaS hub. Home to Techstars San Diego and UC San Diego spin-offs.
Coming Soon
Los Angeles
Media tech, fintech, and consumer startups. One of the largest startup ecosystems in the U.S.
Coming Soon
Sacramento
State capital and growing tech hub. Home to a strong govtech, cleantech, and agtech startup scene.
Coming Soon
San Francisco
AI, SaaS, and deep tech. Home to Y Combinator and the highest startup density in the U.S.
Coming Soon
San Jose
Hardware, semiconductors, and AI hub. Known as the Capital of Silicon Valley, home to Adobe, Cisco, and Zoom.
Critial Reminders
Three Things Every California Startup Must Know About R&D Credits
The R&D credit is powerful, but it has rules that trip up founders every year.
These are the most common and most costly mistakes founders make.
01
You Must File on Time to Claim the Federal Credit
The refundable R&D credit is only available to startups that file their federal income tax return on time. A late filing means you lose the credit for that year - no exceptions, no appeals.
02
Prior Year Credits Can Be Recovered - Up to 3 Years Back
If you missed R&D credits in prior years, you can amend your returns and claim them retroactively - typically up to 3 years back. Many founders switching from a legacy local CPA recover significant credits from prior years.
03
Pre-Revenue Startups Benefit Most From the Credit
The federal R&D credit offsets your payroll tax liability - meaning you get cash back even with zero taxable income. The earlier you start claiming, the more you recover over your startup's lifetime.
Common Questions
R&D FREQUENTLY ASKED QUESTIONS
Does my California startup qualify for the R&D tax credit?
If your startup pays engineers, contractors, or cloud computing costs to build software, hardware, or technology, you very likely qualify. The credit covers payroll for technical employees, contractor fees, cloud computing costs, and research-related supplies. The activity doesn't need to be groundbreaking, it just needs to involve technical uncertainty and experimentation. Pre-revenue startups qualify. Startups operating at a loss qualify. The federal credit is refundable against payroll taxes for qualifying startups, meaning you get cash back even with zero taxable income.
How much can my California startup claim in R&D credits?
Federal: up to $500,000 per year in refundable payroll tax credits under the PATH Act, for qualifying small businesses. California: 15% of qualifying research expenses, which carries forward indefinitely and can offset future California tax liability. The exact amount depends on your specific payroll, contractor, and technical spend, our trusted CPA partner calculates the real number as part of the study.
What does the R&D tax credit study actually include?
A complete federal and California state R&D study with audit-ready documentation: technical narratives, employee time allocations, contractor breakdowns, and supporting records built to IRS standards. Our trusted CPA partner uses AI-enabled expense tracking software to identify qualifying expenses accurately and efficiently. The study is coordinated directly with your income tax filing so the credit is properly claimed on your return.
Does the R&D credit work if my California startup has no taxable income?
Yes. This is one of the most misunderstood aspects of the credit. The federal R&D credit offsets your payroll tax liability, not your income tax, which means qualifying startups get cash back even with zero revenue or zero taxable income. The earlier you start claiming, the more you recover over your startup's lifetime. California's credit carries forward indefinitely, so even if you can't use it immediately, it doesn't disappear.
How much does the R&D tax credit study cost?
Our trusted CPA partner charges a percentage of your qualifying research expenses rather than a flat consulting fee. There's no upfront cost, and you pay only after the study is complete. No binding contract.
How much does the R&D tax credit study cost?
Our trusted CPA partner charges a percentage of your qualifying research expenses rather than a flat consulting fee. There's no upfront cost, and you pay only after the study is complete. No binding contract.
Find Out What You Have Been Missing
Most California Startups Qualify.
Find Out in One Free Call.
Our trusted team reviews your startup's activities and tells you straight whether you qualify and what your credit could look like. No commitment, no study fee until something worth claiming is found.
Percentage-based fee, paid after the study is complete. Free first call.