2020 has been an interesting year for businesses; many are trying to survive another hit while the others are growing more than ever.
We had an opportunity to talk with grants specialists, Stuart Smith and Robert Jones, in a podcast where they’ve shared their experiences to help small businesses get government grants to do more business. Here is a look at the topics we’ve discussed on how Australian businesses can scale up through grants:
Which Government Grant is Right for You?
Whether you are running an online marketplace or a brick-and-mortar business, you need government support to ensure stability and growth amid crises. As businesses face COVID-19 and the “new normal” having someone to help you access government grants and check your eligibility is more crucial than ever. With the right information, comes an understanding of what type of support your business needs. The predominant grants that help businesses are; Export Market Development Grant (EMDG) and Research & Development Grants (R&D).
Choosing the Right Support System
Once you’ve established the grant that best fits your business, you need experts to help you not only get the grant, but further access its compatibility of what you’re trying to achieve. There’s a big possibility that most businesses looking for government support are not just trying to sustain the business but are trying to grow it. With this, comes the need to look for a consulting firm that will help you use the grant to develop your business rather than just doing the grants. It’s more about how you can use your grant in particular ways to either grow a business, improve profitability, or get more out of something like developing new ways of doing things. Getting a grant does not end in paperwork, but in the results that you need to work for.
How Government Support Works
The government introduces grants to achieve a particular public policy position. So when I when you look at what grants are available, it’s going to be to not only help your business, it’s going to help the government achieve what they’re hoping to get out of it. If we look at EMDG, for instance, the purpose of that is the government wants to see Australian companies exporting more goods overseas—good for our balance of payments and for generating employment. It works both ways, benefits businesses while also generating positive effects for the government and the country.
EMDG Grant Under the Microscope
Export Market Development Grant or EMDG subsidizes the expenditures on marketing expenses overseas. It’s a 50% refund of expenditure spent exploring the overseas market. More innovative companies, like the fashion and food industry, have used the export market to grow platforms worldwide. To be successful, this needs good planning along with cost management of the process.
R&D Grant in a Nutshell
Research and Development Grants (R&D) is a merit-based grant where businesses compete for funding. This grant will generally be awarded to support a specific, time-limited project rather than a broader innovation effort. R&D grants typically support the commercial development of an innovative product, service, or process. The innovation doesn’t necessarily have to be a complete breakthrough, but routine improvements such as minor product updates.
Most of the time, businesses attract corporate clients when they have sufficient funding to ensure business stability and growth. To get the right funding, businesses need to identify what different grant schemes are and what they offer. Once you know which boxes to tick, how to tick them and when —you need a consulting firm that can help you pinpoint the right grant program and then simplify the application process.