Startups succeed or fail based on the cash they can access.
So where can you get cash to give the business the best chance of success?
There are 4 options:
- Use your owns funds
- Secure a loan from a bank.
- Find investors – Family and Friends.
- Access government grants
Every year there are over $50b in grants available to assist businesses.
Here’s a list of top government grants for startups and businesses in Australia.
- R&D Tax Incentive
Companies can receive a refund of 43.5% as a tax-free payment for developing novel technology. It is ideal for startups and SMEs that have losses. If the company spends $100,000 on eligible R&D activities for an eligible project the government will refund $43,500. It’s a self-assessment scheme so it is important to ensure you meet all the requirements. This program requires the appointment of a grants specialist – not an accountant.
business.gov.au/assistance/research-and-development-tax-incentive - Export Market Development Grant
Reimbursement of up to $150k for export marketing costs calculated on 50% spend. The business must be the principle in the transaction and promoting Australian products or services. The first claim can include eligible expenses for the last 2 financial years with no export sales required. Great for startups with a focus on overseas markets, appointing overseas distributors or selling to tourists.
business.gov.au/assistance/export-market-development-grants-emdg - Accelerating Commercialisation
Grants of up $1m for 50% of eligible project expenditure are available to assist in the commercialisation of novel products, processes and services for a maximum project period of two years. Approval is received in advance through a competitive 2 part application.
business.gov.au/assistance/entrepreneurs-programme/accelerating-commercialisation - CSIRO Kick-Start
Matched funding of $10,000 to $50,000 is available for start-ups and SMEs to work collaboratively with the CSIRO on projects up to 1 year.
csiro.au/en/Do-business/Solutions-for-SMEs/Our-Funding-programs/CSIRO-Kick-Start
Innovation Connections
This program encourages eligible SMEs to collaborate with publicly funded research organisations by providing relatively easy and accessible funding of up to $130,000. www.business.gov.au/assistance/entrepreneurs-programme/innovation-connections
