Engagements › Helios Lane Software › Benchmarking: Contract software development
Benchmarking: Contract software development
Tested party: Helios Lane Development Ltd. Method: TNMM, net cost plus (what is TNMM?). Profit level indicator: Net cost plus (operating profit over total costs), weighted over 2023–2025. Policy target 10.00%.
Comparables accepted or rejected, the range, the tested party against it.
The policy's 10.00% is above the upper quartile (9.18%): the recipient's tax authority may challenge the excess; the policy is to review — suggestion.
The range is the inclusive (linear, n−1) interquartile range on 8 accepted comparables (OECD 3.57, 3.60).
The Search
Database and search date: to be recorded. The steps the search took are not on file; what the comparables set shows:
| Companies in the set | 12 |
|---|---|
| Flagged for rejection by the screening | 3 |
| Accepted by a person | 8 |
| Rejected by a person | 3 |
| Undecided | 1 |
The tested party against the range
Helios Lane Development Ltd earned 8.70% in 2025. The range is 7.30% to 9.18%. The result is within the range.
One year's result is set against a multi-year range. Base for any adjustment: €9,751,000 — Trial balance: costs of Development Ltd (Trial balance, Development Ltd).
The Range, by Each Quartile Definition
| Definition | Companies | Lower quartile | Median | Upper quartile | Tested Party | |
|---|---|---|---|---|---|---|
| Inclusive (linear, n−1) Position p·(n−1) counted from zero, interpolated between neighbours. The spreadsheet function QUARTILE.INC. | 8 | 7.30% | 8.20% | 9.18% | Within | Used by this study |
| Exclusive (linear, n+1) Position p·(n+1) counted from one, interpolated; the quartiles fall outside the extremes for a small set. The spreadsheet function QUARTILE.EXC. | 8 | 7.05% | 8.20% | 9.84% | Within | |
| Nearest rank (for an even count, the median is the lower middle value) The value at rank ⌈p·n⌉; no interpolation, so every quartile is one of the observations. For an even count the median is the lower of the two middle values. | 8 | 6.92% | 7.60% | 8.86% | Within |
The interquartile range: OECD 3.57, 3.60. Which definition the practice uses, and the Tax Department's view: Practice policy · to be confirmed by the practice.
The Comparables
8 accepted, 3 rejected, 1 undecided.
| Company | Activity | 2023 | 2024 | 2025 | Weighted | Screening Suggestion | Decision |
|---|---|---|---|---|---|---|---|
| Arcwright Engineering Services Ltd GB | Contract software development for third-party clients | 5.35% | 10.53% | 8.29% | 7.43% | Suggestion Accept Meets the search strategy: Business description: "Contract software development for third-party clients"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Bellhaven Code Labs Sp. z o.o. PL | Software development services on a time-and-materials basis | 8.82% | 9.01% | 8.67% | 8.80% | Suggestion Accept Meets the search strategy: Business description: "Software development services on a time-and-materials basis"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Corran Systems Development S.R.L. RO | Outsourced software engineering for product companies | 10.53% | 11.33% | 7.95% | 9.48% | Suggestion Accept Meets the search strategy: Business description: "Outsourced software engineering for product companies"; independent; profitable in at least 2 of 3 years. | Undecided |
| Delmont Digital Engineering S.A. PT | Contract development of web and mobile applications | 9.22% | 5.11% | 7.63% | 6.79% | Suggestion Accept Meets the search strategy: Business description: "Contract development of web and mobile applications"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Ebbsfleet Software Services Ltd IE | Bespoke software development and testing services | 11.18% | 5.41% | 10.55% | 8.86% | Suggestion Accept Meets the search strategy: Business description: "Bespoke software development and testing services"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Farrowdale Tech Services s.r.o. CZ | Software development and quality assurance for clients | 6.57% | 6.50% | 8.97% | 6.92% | Suggestion Accept Meets the search strategy: Business description: "Software development and quality assurance for clients"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Glenmorrow Development Centre EOOD BG | Nearshore software development services | 11.24% | -4.53% | -6.08% | -0.57% | Suggestion Reject Persistent losses: Operating loss in 2 of the 3 years studied. | Rejected As suggested · Dimitri Wells |
| Halberd Code Works Kft. HU | Contract software engineering and maintenance | 12.69% | 11.92% | 11.81% | 12.22% | Suggestion Accept Meets the search strategy: Business description: "Contract software engineering and maintenance"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Inchcape Lane Engineering Ltd MT | Develops and sells its own software product | 6.93% | 6.73% | 11.63% | 8.31% | Suggestion Reject Functionally not comparable: Business description: "Develops and sells its own software product" — contains "software product", which the search strategy excludes. | Rejected As suggested · Dimitri Wells |
| Juniperfield Systems d.o.o. HR | Software development services for related companies | 8.46% | 12.46% | 7.51% | 9.53% | Suggestion Reject Functionally not comparable: Business description: "Software development services for related companies" — contains "related companies", which the search strategy excludes. | Rejected As suggested · Dimitri Wells |
| Kilbride Software Partners S.L. ES | Custom software development for enterprises | 11.39% | 9.83% | 7.06% | 10.16% | Suggestion Accept Meets the search strategy: Business description: "Custom software development for enterprises"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
| Larchmont Engineering Services GmbH AT | Engineering and software development on contract | 9.33% | 10.16% | 5.77% | 7.60% | Suggestion Accept Meets the search strategy: Business description: "Engineering and software development on contract"; independent; profitable in at least 2 of 3 years. | Accepted As suggested · Dimitri Wells |
Team members on the engagement record the accept and reject decisions. Choose a team member under View As to try it.
Refresh From The Database
Upload this year's export: companies already in the study get their new figures and keep last year's decision; new companies arrive with a screening suggestion for a person to decide. The study's sign-offs reopen. The column layout, with this study's companies.
Team members on the engagement import.
Sign-Off
ReviewedVerifiedConfirmedNext: Reviewed, by a team member. Choose a person under View As to sign.
Evidence still outstanding: Board minutes approving the development budget, due 11 Nov 2026 — in 4 days.
Signing is still open: say in what you looked at how the conclusion stands without it.
Hash
Content hash24b817ea307a · a change to it reopens every sign-off