Industry Growth Program

Purpose and Program Overview

The Industry Growth Program backs innovative small and medium enterprises (SMEs) and startups in Australia. It’s a lifeline, helping businesses commercialise their ideas and scale their operations within priority areas of the Australian Government’s National Reconstruction Fund (NRF). The program works tirelessly to bridge the gap many early-stage businesses face in securing resources for product development and market expansion.

This initiative, a testament to our collective potential, provides tailored advice through a network of Industry Growth Program Advisers across Australia. Businesses that receive this advisory service may then apply for matched grant funding. The program’s overarching objective is to fortify Australia’s manufacturing capabilities, increase national and international market engagement for innovative products, and prepare businesses for future investment opportunities.

With a total allocation of $392.4 million over four years, the Industry Growth Program complements the NRF’s mission to drive investment in projects that develop Australian industry. It aims to foster economic growth, productivity, and job creation by supporting innovative and competitive businesses.

Key Details

• Grant Amount or Funding Range: Grants range from $50,000 to $250,000 for early-stage commercialisation projects and $100,000 to $5 million for commercialisation and growth projects.
• Application Open and Close Dates: The door to opportunity is always open. Applications for both the Advisory Service and grant funding can be submitted at any time; the program is ongoing, ready to welcome your innovative ideas. Eligible Industries or Business Types: Innovative small and medium enterprises (SMEs) and startups undertaking commercialisation and/or growth projects in the National Reconstruction Fund priority areas.
• Required Co-contributions: Matched funding is needed, meaning businesses must contribute an equal amount of funds (on a dollar-for-dollar basis) to match the government’s grant contribution.
• Location/State/Territory Applicability: Australia-wide.

Priority Sectors

The Industry Growth Program prioritises projects within the National Reconstruction Fund (NRF) priority areas:

• Value-add in resources
• Value-add in agriculture, forestry, and fisheries
• Transport
• Medical science
• Renewables and low emissions technologies
• Defence capability
• Enabling capabilities

Funding Scope

• Minimum and Maximum Funding Amounts per Stream:
  • Early-stage commercialisation projects: $50,000 to $250,000.
  • Commercialisation and growth projects: $100,000 to $5 million.
• Categories or Streams of Funding:
  • Advisory Service: Provides tailored advice on commercialisation and growth strategies.
  • Early-Stage Commercialisation Grants: Supports projects at Technology Readiness Levels (TRLs) 3 to 6 (e.g., feasibility studies, early prototype testing).
  • Commercialisation and Growth Grants: Supports projects at TRLs 4 to 9 (e.g., full spectrum development from early prototyping to market readiness).
• Duration of Funding or Project Timelines Supported: Not explicitly defined for project duration, but grants support the commercialisation and growth phases of innovative projects.

Eligibility Criteria

• ABN and GST: Must have an Australian Business Number (ABN) and be registered for the Goods and Services Tax (GST).
• Tax Status: Must not be exempt from paying income tax.
• Business Structure: Must be one of the following: a company incorporated in Australia, a co-operative, or an incorporated trustee applying on behalf of a trust.
• Turnover Threshold: Must have a combined annual turnover of less than $20 million for each of the three financial years before applying.
• Advisory Service Requirement: Must have received a report through the program’s Advisory Service to apply for a grant.
• Innovation: Must have an innovative product, process, or service intended for commercialisation and/or growth in one or more NRF priority areas. Innovation must be new, unique, or significantly different, or involve significant enhancements enabling business scale and transformation.
• Intellectual Property (IP): Must own or have access to any IP needed for the project and have exclusive rights to commercialise any IP generated.
• Financial Capacity: Must provide evidence of ability to fund at least their share of eligible project expenditure (e.g., funding strategy, bank statement, loan agreement).

Eligible Activities and Expenses

Grant funding supports commercialisation and growth activities for innovative products, processes, or services. Eligible activities and expenses include:

• Developing market entry strategies.
• Activities to accelerate growth.
• Scaling up into national and international markets.
• Prototyping, validation, and trials.
• Securing intellectual property.
• Refining industrial design and manufacturing processes.
• Conducting user trials and market testing.

Assessment Process

• Nature of the Grant: Competitive.
• Key Evaluation Criteria: Applications are assessed by an Independent Assessment Committee against merit-based criteria. While specific weightings for all requirements are not detailed in the public information, the following are central:
  • Project innovation and alignment with NRF priority areas.
  • Commercial potential and market readiness.
  • Technical feasibility.
  • The capability of the business to deliver the project.
  • Value for money.

Demonstrated need for government support: The extent to which the project requires government funding to proceed and the potential impact of the project on the business and the broader economy. Having received an Advisory Service report is a prerequisite for a grant application. This report, prepared by an Industry Growth Program Adviser, provides tailored advice on your project’s commercialisation and growth strategies, which is crucial for a successful application.

Recent Updates for Industry Growth Program

The Industry Growth Program was announced as part of the 2023-24 May Budget with an allocation of $392.4 million. It officially opened for applications for its Advisory Service and grant funding on 27 November 2023. This program replaced the former Entrepreneurs’ Programme with a more targeted approach towards innovative SMEs within the National Reconstruction Fund priority areas. The program is ongoing, with applications accepted at any time. As of January 2025, over $26 million had been distributed to 20 businesses.

Application Tips

• Engage with the Industry Growth Program Advisory Service early; receiving their report is a mandatory step before applying for grant funding.
• Ensure your project aligns with one or more of the National Reconstruction Fund priority areas.
• Provide clear evidence of your project’s innovation and its potential to scale and commercialise.
• Prepare a robust financial plan showing your ability to meet the matched funding requirement.
• Demonstrate your business’s capacity and track record to deliver the proposed commercialisation or growth project.

How can you get help with your application or assess your likelihood of success?

Consider consulting with a professional grant specialist, such as Pattens Group. We offer initial assessments to review your business’s eligibility and evaluate how well your project aligns with the grant’s objectives. You can also visit the official website by the Government for guidance, templates, and further resources.