Do you qualify for a business grant?
The Australian government is keen to see Australian businesses succeed. Grants are offered by government departments, for businesses to look outside their industry and seek new opportunities at home and abroad.
There are many grants and assistance programs on offer for a wide range of business activities, designed to help stimulate or encourage employment, research and development in technology and grow industries.
There may be a grant available for your SME business, so this may be the time to get a boost of funds. Updated for 2019, we take a look at some of the many grants available at national, state & local levels.
Federal Government Grants
Research and Development Tax Incentive
Open to all industry sectors, the Research and Development (R&D) Tax Incentive is a tax offset encouraging R&D activities that benefit the Australian economy through innovation, competitiveness and productivity.
It is jointly administered by the Australian Taxation Office and the Department of Industry, Innovation and Science. It is aimed at business to engage in R& D activities and small businesses who would not have undertaken R&D.
The Research and Development Tax Incentive is a 43.5% refundable tax offset for eligible entities with an aggregated turnover of less than $20 million per annum, provided they are not controlled by income tax-exempt entities.
For other eligible entities with a greater than $20 million turnover, it is a 38.5% non-refundable tax offset (they may carry forward unused offset amounts to future income years).
For entities that exceed $100 million in turnover for an income year, the rate of the R&D tax offset is reduced to the company tax rate for that portion of an entity’s notional R&D deductions.
Who: Australian businesses or foreign entities with a double tax treaty agreement conducting eligible R&D activities – check here
What: A self-assessed tax off-set based on revenue – see above
When: Claims can be made up to FY24, while funding lasts
How: Register your eligible R&D with the Department of Industry, Innovation and Science, and claim through your annual company tax return
Accelerating Commercialisation (AC) Grant
This funding is designed to accelerate the development of projects with strong local and export market potential to help boost the Australian economy and create more jobs. Projects include product trials, development and market testing.
Since the launch of this program in 2014, 375 grants worth over $186 million have been offered to boost Australian businesses in commercialising their technologies. Applicants receiving the grant have built a production release version of their software, established a pilot production of a manufacturing facility, and helped commercialise new platforms.
Who: Applicants must be one of the following – a for-profit company registered and operating in Australia; a commercialisation office or eligible Partner Entities; or individuals, partnership or trustees who agree to form a for-profit company.
What: Access to expert advice with matching funding grant of up to $1 million.
When: Now, expressions of interest can be made at any time.
How: Apply by lodging an Accelerating Commercialisation Expression of Interest (EOI) form.
Business Growth Grants
The grant is available to support strategies that improve the abilities and skills of your business to trade in Australian markets and/or markets in other countries. It is not intended to support fixes for problems that are part of ordinary, everyday operations of your business.
If your business adviser/facilitator recommends specific business improvement activities to increase your business’s capability to trade in Australian markets and/or markets in other countries, you can apply for a business growth grant.
Business growth grants are small grants to engage external expertise to help you implement the recommendations in your plan.
Who: To be eligible, you must meet all of the following conditions:
- have received a completed plan from a business advice or facilitation service
- have not previously received a business growth grant to implement recommendations from the plan under which you are applying
- are applying within 12 months of receiving a completed plan from your advice or facilitation service unless otherwise agreed by the program delegate
- your project comprises eligible activities, as defined in section 4.4 of the Business Management Grant Opportunity Guidelines
- your project has at least $5,000 in eligible expenditure
- your project has not commenced.
What: A grant amount will be up to 50 per cent of eligible project costs, the minimum grant amount is $2,500 (excluding GST) and the maximum grant amount is $20,000 (excluding GST).
When: Now, expressions of interest can be made at any time.
How: You must have received business advice or facilitation service to apply for this grant, which is available to assist you to implement activities that your business adviser or facilitator has recommended in your completed plan.
Click here for more information on the Business Growth Grants
Incubator Support
Is your startup looking at markets beyond the shores of Australia? The Incubator Support initiative provides grant funding to deliver support services to Australian start-ups with an international focus.
Grants are available to support the establishment of new incubators in regions or sectors with high innovation potential, and for existing incubators looking to expand their services. Funded incubators will deliver a range of activities designed to improve the prospects of commercial success of innovative start-ups, allowing them to realise their economic potential faster than they otherwise would. The initiative supports entrepreneurial activity and contributes to the development of the innovation ecosystem.
There are two types of incubator support grants –
- New and Existing Incubators: Provides new and existing business incubators with support to assist Australian start-ups to develop the capabilities required to succeed in international markets.
- Expert-in-Residence: Provides access to top-quality research, managerial and technical talent through incoming and outgoing secondments of national and international experts. This expertise aims to increase the capabilities of incubators and improve the change of commercial success for start-ups in international markets.
Who (Support for New and Existing Incubators):
To be eligible for a New and Existing Incubators grant you must:
- be an existing incubator or establishing a new incubator that can foster and facilitate the development of innovative start-ups focused on international trade
- have an Australian Business Number (ABN)
- be one of the following:
- an entity incorporated in Australia
- an incorporated trustee on behalf of a trust
- an incorporated not for profit organisation
- a publicly funded research organisation (PFRO) as defined in appendix A of the program guidelines
- a local government agency or body as defined in appendix A of the program guidelines.
Who (Support for Expert-in-Residence):
To be eligible for an Expert-in-Residence grant, you must:
- be an existing incubator or establishing a new incubator that can foster and facilitate the development of innovative start-ups focused on international trade
- have an Australian Business Number (ABN)
- be one of the following:
- an entity incorporated in Australia
- an incorporated trustee on behalf of a trust
- an incorporated not for profit organisation
- a publicly funded research organisation (PFRO) as defined in appendix A of the program guidelines
- a local government agency or body as defined in appendix A of the program guidelines.
What: New and Existing Incubators allows for a minimum grant amount of $26,000 and a maximum grant amount of $500,000 per project with a maximum grant period of 24 months. Support for Expert-in-Residence allows for a minimum grant amount of $5,000 and a maximum grant amount of $100,000 per project with a maximum grant period of 12 months.
When: Now
How: Applications can be made here for New and Existing Incubators and here for Expert-in-Residence incubators grants.
Innovation Connections Grant
Innovation Connections assists businesses to understand their research needs, connect with the research sector and fund collaborative research projects. The Innovation Connections Facilitation service is free and includes access to a highly-skilled facilitator.
At the completion of your Innovation Connections Facilitation, and at the recommendation of your facilitator, you may subsequently apply for an Innovation Connections Grant.
Who: To be eligible for an Innovation Connections Grant, your business must:
- have received an Innovation Facilitation Report
- apply within 12 months of receiving the report
- be able to fund the total project costs, as the grant is paid after completion of the project
- not use in-kind contributions or funds from other government grants or programmes to cover the project costs
- not have received a grant in the last five years, unless a supplementary grant is permitted by the Programme Guidelines.
What: Research projects must be in collaboration with a Publicly Funded Research Organisation (PFRO) and should develop a new idea with commercial potential. Your Innovation Facilitator will help you decide which of the three available grants will suit your business’ needs:
- Researcher Placement – placing a PFRO researcher in your business to work on a specific research project (up to a maximum of $50,000) OR
- Business Researcher Placement – placing a researcher from your business into a PFRO to work on a specific research project (up to a maximum of $50,000) OR
- Graduate Placement – employing a graduate or post-graduate with a relevant degree into your business to work on a specific research project (up to a maximum of $30,000).
When: Now
How: You will need to apply for an Innovation Facilitator first. You can contact a facilitator in your state before applying.
Export Market Development Grant
Aced the Australian market, and ready to go global? The Export Market Development Grants (EMDG) scheme is a key Australian Government financial assistance program for aspiring and current exporters. Administered by Austrade, the scheme supports a wide range of industries.
Who: To be eligible, the business must have:
- income of not more than $50 million in the grant year
- incurred at least $15,000 of eligible expenses under the scheme (first-time applicants can combine two years expenses)
- principal status for the export business (some exceptions apply, such as non-profit export-focused industry bodies).
The business also must have promoted one of the following:
- the export of goods or most services
- inbound tourism
- the export of intellectual property and know-how
- conferences and events held in Australia
What: The EMDG reimburses up to 50 per cent of eligible export promotion expenses within a financial year, above $5,000 provided that the total expenses are at least $15,000. Up to eight grants can be awarded to each eligible applicant.
When: Submissions end 2 December 2019, but if you have organised for an eligible consultant to lodge on your behalf, you have until 3 March 2020.
Where: Follow the steps here to apply for the EMDG
State-based Business Grants
There are state-based government grants available, depending on the state your business is located in. Simply scroll down to your state below and see if there is a grant that is applicable for your business.
Victoria
The City of Melbourne Small Business Grant
The program provides financial assistance to support market-ready products and services that enhance the City of Melbourne’s reputation for innovation and creativity, and contribute to thriving & sustainable business culture.
For this particular funding round (2019), there is additional funding from the Waste Minimisation and Innovation Fund to support innovative proposals to avoid, reduce or recycle waste.
Who: To be eligible for a City of Melbourne small business grant:
- Your business must be located within the City of Melbourne municipality or you must be planning to re-locate to the municipality within three months of applying for the grant.
- You must have less than 20 full-time equivalent employees.
- You must have a registered ABN and an appropriate legal business structure.
- Your proposed product or service must be market-ready.
- Your business proposal must be able to proceed without our grant.
- Your application must be complete and include financial statements or other requested attachments.
- Franchisees, subsidiaries of larger companies, unincorporated associations and government departments or agencies are not eligible to apply. Branches of foreign companies not registered as an Australian company are also ineligible. Individuals or organisations providing trade facilitation services are not eligible under the export entry category.
What: There are three categories, your business can apply for –
- Start-up – Increasing diversity by supporting the establishment of new and creative small businesses. Grants up to $30,000 are available.
- Expansion – Assisting existing businesses that are expanding into other innovative services or products. Grants up to $30,000 are available.
- Export – Encouraging businesses to enter or expand into new overseas markets. Grants up to $10,000 are available.
When: Applications are open from Monday 5 August 2019 at 9am and close on Monday 9 September 2019 at 11.59pm (EST).
How: Download the Business funding guidelines (PDF 252 KB) and guidelines addendum (PDF 121 KB) to decide which grant category is right for your business and follow the instructions carefully. You can only apply under one grant category per round.
New South Wales
Minimum Viable Products Grant
Promising startups may need a little boost from the Minimum Viable Product (MVP) grant. They are designed to support startups with the funds needed to progress from a proof of concept stage to a minimum viable product.
The grant is aimed at startups that are yet to generate revenue to help them engage with a potential business customer, or channel to market, and create innovative solutions that address compelling industry needs or market gaps.
Who: MVP grants are available across all industry sectors to startups who are primarily focused on the development of a scalable technology solution. To be eligible for an MVP grant, your startup must:
- Have a completed proof of concept (e.g. prototype completed)
- Have an ABN registered in NSW and be based in NSW
- Be at the pre-revenue stage
- Hold IP or the rights to commercialise
- Have a potential business customer or business channel to market
- Have a scalable solution that can be deployed to multiple customers
- Demonstrate that 80% of development costs will occur in NSW
- Demonstrate adequate matched funding has been secured for the project
What: An MVP grant is a matched funding grant up to 50% of approved project costs, to a maximum of $25,000. Successful grant applicants will receive 35% of the funding up-front and 65% after completion and validation of the MVP.
When: At the time of publication, the Minimum Viable Product Grant applications were paused for this financial year, however, you could register your interest in future MVP grants at [email protected].
Where: Email [email protected] to register your interest.
Queensland
Ignite Ideas Grant
Ready to launch your new product or service? The Ignite Ideas Fund may help. This grant supports entrepreneurs, startups and small to medium Queensland businesses to commercialise innovative products, processes or services that have reached minimum viable product stage and have market potential.
Who: To be eligible for funding, applicant organisations must:
- be a business or startup organisation and be registered for GST
- be headquartered in Queensland
- have no more than 50 full-time equivalent employees
Applicants to Tier 1 must:
- not have received an Ignite Ideas Fund grant previously
- make a cash contribution to the project that is at least equal to 20% of the value of the grant funding sought.
Applicants to Tier 2 must:
- have been trading for a minimum of two years
- not have received an Ignite Ideas Fund Tier 2 grant previously
- have successfully completed any project funded under Tier 1 of the Ignite Ideas Fund (if relevant)
- make a cash contribution to the project that is at least equal to the value of the grant funding sought.
What: Up to $200,000 is available through the Ignite Ideas Fund
When: Round 6 is expected to be released on 2 September 2019 and Round 7 is due for release on 30 March 2020.
Where: Apply online
South Australia
There are numerous small business grants and funding available to South Australian businesses designed for new and existing business and research entities.
The list of current grants and support services for South Australian businesses such as the SA Export Accelerator, the Job Accelerator Assistance Scheme and the Future Industries Accelerator can be found here.
Western Australia
The New Industries Fund and the Regional Economic Development Grants WA (closes 2 September 2019) are two grants designed to help and strengthen the WA industry.
Community & Local Council Grants
Community Grants Hub
This is the centralised administration of community grants across a number of Australian Government client agencies.
Designed to standardise grants and make it easier for the Australian government and recipients to select, establish and manage grants.
These grants are aimed at Australian Government agencies and organisations who primarily grant programs to individuals and the community sector.
Who: Australian Government agencies and organisations who primarily grant programs to individuals and the community sector.
What: Specific grants are updated regularly – check here for more information.
Local Council Grants
Designed to strengthen the relationships between local business and the community, these grants focus on promoting business opportunities, competitiveness, improving productivity and capacity.
Local council grants are specific to each council, so you will need to look at your local council website for further details.
Other grants, assistance & help
There are also many grants available to specific industries or regions in Australia such as The Growth Fund for businesses in the car manufacturing industry, or the Commercial Development grant WA for businesses in the arts and cultural sector to help them grow and market their business.
Check here to see if there are grants that may be applicable to your business.
There is also the Grant Connect website which lists all current Grant Opportunities (GOs) open for application. They are sorted by default with those closing soonest at the top and those that are ongoing at the end of the list.
There are many grants and incentives for Australian businesses to apply for; they are intended for a business just like yours, so don’t miss out! Choose the right one, and they could be the step your business needs to further its growth and success.
Did we miss a grant your business could apply for? Let us know in the comments below.