Manufacturing Modernisation Fund Grant - Round Two Now Open
The Manufacturing Modernisation Fund Grant has released a second round of funding to support job growth, and to build a more highly skilled workforce.
As the manufacturing industry is one of the key components in aiding Australia’s economic recovery from Covid-19, the Morrison government has committed $52.8 million to the Manufacturing Modernisation Fund (MMF) program. Along with upskilling and expanding our workforce, the funding and capital investiture also aims to “speed up” and modernise the Australian manufacturing industry - primarily so that we are able to compete on a global scale.
What Is The Manufacturing Modernisation Fund Grant?
The Modern Manufacturing Strategy is one of the Australian Government’s initiatives to help the national manufacturing industry to become more competitive and resilient, with the end goal being to create more jobs for current and future generations.
One of the key components in reaching that goal has been the launch of the Manufacturing Modernisation Fund Grant, with over $50 million allocated for this grant between 2020-2023. Co-funding grants of between $100,000 and $1 million are available to small to medium manufacturing enterprises (SMEs) with up to 199 employees, for up to 25% of eligible project expenditure.
The fund has been carefully designed to support manufacturers in Australia by co-funding capital investments and associated reskilling, allowing SMEs the opportunity to adopt new technologies, encourage innovation, become more productive and competitive in their sector’s international market, and to ultimately create and sustain more jobs.
With Round Two of the Manufacturing Modernisation Fund Grant applications now open, the grant supports SMEs within the Australian manufacturing industry to -
Buy, construct, install or commission manufacturing plant and equipment
Integrate production related software that is directly related to their capital investment
Relevant training and skills development to assist in integrating new technology into their business, including upskilling and accreditation in advanced processes
Process design and engineering directly related to their capital investment
Fit-out, alternations and/or extensions to buildings directly related to their capital investment
With the maximum project period being two years, eligibility criteria specifies that businesses must have an Australian Business Number (ABN), be non-tax exempt, and be registered for the Goods and Services Tax (GST).
To qualify for the Manufacturing Modernisation Fund Grant, businesses must also be an entity incorporated in Australia, which includes start ups, and a trading corporation where your activities either form a sufficiently significant proportion of your overall activities as to merit it being described as a trading corporation, or are a substantial and not merely peripheral activity of your corporation. Businesses must also be:
A manufacturing small and medium-sized Australian enterprise (SME) with up to 199 employees (headcount)
Have a minimum of $400,000 in eligible project expenditure
Able to identify the level of Australian job creation expected from your project
Able to demonstrate your project aligns with one or more of the six National Manufacturing Priorities:
Resources technology and critical minerals processing
Food and beverage
Medical products
Recycling and clean energy
Defence
Space.
You must also be able to provide evidence that:
The project is supported by your board
You can complete the project
You can meet the costs of the project not covered by grant funding.
Where To Source Assistance With Your Application
Applications for Round Two of the Manufacturing Modernisation Fund Grant close on Thursday 21 January 2021 at 5:00pm, or until the dedicated funds have been exhausted - so time is very much of the essence.
However, at Muro we understand that navigating the selection criteria, phrasing and ultimately paperwork associated with government issued grants can be tough - which is why we’re here to help.
Get in touch with us at Muro today to ensure that you’re on the right path for financial success.