Assistance for Victorian businesses to invest in new manufacturing capability
OVERVIEW
The Business Competitive Program provides assistance for small and medium manufacturers with the existing presence in Victoria for expansion of their manufacturing operations and implementation of new manufacturing technologies and processes which give a critical foundation for a generation of sustainable new local jobs.
This program aims to create jobs, enhancing competitiveness, and assist strengthen local supply chains in traditional and emerging manufacturing sectors.
The grants of up to 33% of eligible project expenditure, up to a maximum grant amount of $500,000 will be allocated on a competitive basis for projects to be completed within 18 months of getting the grant.
The eligible projects involve the purchase and commissioning of capital equipment, manufacturing product and process improvements, evaluation and testing of new products and processes, and supply chain capability development.
The Business Competitive Program will get delivered in two competitive rounds each year, and the applications will be accepted when the funding round gets opened.
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Support Available
This program gives grants of up to 33% of eligible project expenditure allocated on a competitive basis. The maximum grant amount is $500,000 and the minimum grant is $50,000. Like, a $900,000 project in which the capital equipment is purchased and implemented may be eligible for a grant amount of $300,000.
All grants need a minimum co-contribution from the applicant of 67% of the total eligible expenditure.
The applicants will be required to give quotations and estimates in assistance of the applications and should show how funding the project activities will assist the creation of new jobs.
Eligibility
The Business Competitiveness Program is open to small and medium-sized businesses that are on a growth trajectory and need assistance for expansion of their manufacturing operations.
To be eligible, an applicant must:
- An applicant must be operating a business located in Victoria
- An applicant must be holding an Australian Business Number (ABN)
- An applicant must be engaged currently in manufacturing or the manufacturing supply chain
- An applicant must employ at least 20 Full-time equivalent staff or have an annual turnover of greater than $1.5 million
- An applicant must agree to meet any co-contribution needs with eligible cash expenditure
The companies with less than 20 full-time equivalent staff may be considered but must demonstrate why their project must be funded and how it will stimulate job creation.
What can the grants be used for?
This grant will support the purchase and commissioning of capital equipment and associated project expenditure related to manufacturing products and the process improvements, evaluation, and testing of new products and processes, and the supply chain capability development.
The eligible project expenditure involves the following activities that are related to the proposed project:
- Capital expenditure like equipment and manufacturing machinery
- Minor building alterations and fit-out costs
- Labor and contractors but it do not include internal salaries
- Training particularly to the technology
How to apply
The applicants must assure that they have all the required documentation before they apply. The applications should be accompanied by a project plan that includes quotations from providers to support cost estimates.
The questions in the application should be completed and the requested documentation attached to assure timely assessment.
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What kind of financial commitment is needed from companies?
The companies will require meeting the minimum cash co-contribution requirement of at least $2 for every $1 granted.
In-kind contributions that are non-monetary resources are excluded. The funds from other Victorian or Commonwealth Government programs cannot form a part of the co-contributions.
Full project expenditure that includes grant funding and co-contribution funding must be spent on eligible project activities.
How can I demonstrate evidence of my cash co-contribution?
The required evidence of cash co-contribution involves:
- an approved loan facility
- cash at bank
- management accounts showing satisfactory cash flow or liquid assets
- evidence in writing of support from the Board that the business can undertake the project and meet its co-contribution costs
Which activity is not eligible for funding?
Under the Business Competitiveness Program certain projects will not be supported like:
- purchase of vehicles
- routine replacement or minor upgrades of equipment and plant
- early-stage research and development
- building websites, sales, marketing, and promotional activities
- costs related to the preparation of the grant application, preparation of reports, and preparation of project variation requests
- Routine operational expenses include communications, accommodation, printing and stationery, postage, bank charges, and accounting fees.
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