EMDG is changing from 1 July 2021. You will need to have your wits about you to maximise your grant success. Outsource all your EMDG obligations to us. We will not let you down.
EMDG is changing
Pre-approval only - not pre-payment
3 step application process
3 types of application tiers plus representative body
EMDG is changing
Changes to EMDG commence on 1 July 2021.
There will be a period of overlap with the old model. Exporters will be able to lodge both an application based on the old act, for past expenditure up to 30 June 2021, and simultaneously an application for the 2022 year.
The new EMDG program will change from working in arrears, to a “bid” system – for pre-approval, not pre-payment, of your export marketing plans.
The application process has now been increased, there are 3 steps to being paid. Approval needs to be given before you spend the money you want to be paid for.
- your initial grant bid/application
- your grant funding agreement/approval
- your acquittal process/request for payment
Exporters must have an annual turnover of less than $20m.
Grants will be available in stages called Tiers, based on your grant age and export focus.
Your grant history from before carries into the new program. You do not start again.
Unlike before, you will not have months to lodge an application, only weeks.
So you need to get ready, contact us now!
How much money will I get back?
There is no minimum or maximum spend level. There is an overall funding cap of $770,000. You can only be funded for 8 years, but you can apply for funding over two or three forecast periods.
There are funding caps (max grants) per Tier status, i.e. your age in the scheme and export focus.
You have to lodge a bid for your grant. Your grant is not known or guaranteed at that stage.
Austrade must ration demand against the supply of money. That is, you might apply for a grant of $50,000, but only gain approval for $35,000.
You will then have to spend the same amount – your own contribution must match what you’re approved for. So the funding level is 50/50 you/government.
Do I need export success to get a grant?
No, but your level of export sales does determine your “Tier” status.
Tier 1 – covers grant years 1 to 2 – no export sales.
Tier 2 – covers grant years 3 to 5 – expected to have export sales.
Tier 3 – covers grant years 6 to 8 – export sales and spend focus on new markets, i.e. a “strategic shift” from Tier 2 markets and market activity.
How can we help?
We will assist you through the entire process of applying under the new EMDG. We will determine your eligibility and “age” in the new program to ensure you make the most out of EMDG with a minimum of fuss.
How do we get paid?
Our services are provided on performance of obtaining a successful grant, i.e. a No Grant, No Fee basis. We get paid when you do!
What can I spend my money on?
The categories of expenditure will remain the same, with one addition.
- Overseas Representatives, Marketing Consultants
- Travel Costs for Marketing Purposes
- Product Promotion (Free Samples)
- Trade Fairs, Promotional Literature & Advertising Material
- Overseas Buyers Visiting Australia
- Trademark and Patent Registrations
- Export Education (new)
When do lodgements open and close?
The start date for lodgement of applications is August 16, 2021. Costs from July 1, 2021 will be able to be included, that is costs incurred prior to your grant submission. The application lodgement window is up to November 30, 2021.
What you need to have ready:
- Full contact details
- Australian Business Number (ABN)
- Website / Facebook page
- Export or Domestic sale evidence – actual or proforma
- Current Bank Statement that ties in with your ABN
- Cloud read only access to your financial statements (Xero / MYOB etc)
- Export planning evidence and / or commentary
- Forecasts of Export based sales, Cost of Goods Sold (COGS), marketing expenditure
What we do:
- Help you fill in the gaps and supply templates to make the process easier
- Prepare your initial grant bid to signature stage – step 1
- Vet and approve your grant offer / contract from Austrade – step 2
- Set up systems to monitor your “approved” expenditure
- Deal with the grant payment request process – step 3
- When you get paid, we take our agreed fee at that time
Get in touch.