Manufacturing Modernisation Fund
The federal government has launched a fund to support investment in efficient and transformative manufacturing processes for small medium sized enterprises with a view to supporting growth of a more highly skilled workforce in the manufacturing sector.
Small and medium manufacturing enterprises have until 5:00pm AEDT on 31st October 2019, to submit their application to be eligible for a grant under the Manufacturing Modernisation Fund (MMF). The MMF provides small and medium manufacturing enterprises with co-funding of between $50,000 and $1,000,000 to undertake transformative manufacturing projects.
The MMF’s purpose is to allow Australian industries to expand and prepare for the future. With the fund’s assistance, enterprises can make capital investments associated with reskilling and modernising manufacturing processes, adopt new technologies, make efficiency upgrades increase productivity, generate growth and create more jobs. Investments in new technology such as artificial intelligence, 3D printing or machine learning, may help enterprises make transformative changes to business, allowing them to produce new products or diversify into new markets.
It is anticipated that the MMF will stimulate $160 million worth of business investment in new technologies. The MMF has been created in addition to the government’s existing $100 million advanced manufacturing fund, the creation of the advanced manufacturing growth centre, support through the entrepreneur’s program and $40 million for the innovative manufacturing cooperation research centre.
To be eligible, an applicant must be incorporated in Australia and engage in trading activities that either:
In addition the applicant must be a manufacturing small and medium sized enterprises (SMEs) with up to 199 employees. As part of the application the level of job creation expected must be identified together with evidence from your board that the project is supported and that the project can be funded and undertaken irrespective of grant funding.
The MMF is part of the continuing government policy of investing in small business. Such manufacturing improvement processes could also benefit from the instant asset write off currently being available for businesses that turnover less than $50m.
If you have any questions regarding the funding or would like assistance in preparing a submission, please contact you ESV engagement partner on 02 9283 1666