This checklist is designed to help you to get ready for potentially applying for this fund and having the required documents and information to hand as a starting point for the Economic Recovery Fund.
Funding will only be provided to projects which align to the fund’s objectives and can be sustained beyond the assistance period. Thus the assistance is designed to meet only the transitional costs associated with any submitted proposal.
Financial assistance will be in the form of either co-funding grants and/or loans. Guidelines for each funding round will specify whether loans are available and the specific terms and conditions that may apply. Should loans be available, applicants will be required to specify their preference for a grant or loan.
Grants will be up to 50 per cent of eligible project/proposal expenditure. Minimum co-funding requirements will be detailed in the guidelines for each funding round.
Grants will be contingent on the achievement of agreed milestones such as, but not limited to, purchase of assets, or new construction, delivery of productivity improvements or supply chain enhancements.
A single grant payment on project completion is preferred for low-value grants. However, for larger grants funding may be provided in a phased approach, based on pre-agreed performance milestones for the project including capital expenditures.
Failure to maintain agreed targets, such as jobs and/or exports, may result in a request for all or part of a grant to be repaid.
Loans of up to 50 per cent of eligible project/proposal expenditure will be interest-bearing and for terms up to 15 years. All loans will be administered by the South Australian Government Financing Authority (SAFA). Eligible project expenditure may include pre-construction costs such as design, engineering, and professional services costs.
Before you go any further can you tick these 8 boxes:
- ongoing jobs will be created, existing workforces will be upskilled or the workforce becomes more secure (permanent compared to casual jobs) in South Australia as a result of the Economic Recovery Fund assistance or the assistance will contribute towards a significant productivity improvement,
- the organisation is a legal entity with which the South Australian Government can enter into a legally binding funding agreement
- the organisation is located in South Australia. If located outside South Australia, consideration may be given to an application where the Government believes there to be special circumstances
- the organisation is financially viable, as evidenced through financial and other relevant information provided in the application including independently prepared financial statements, to be reviewed by SAFA
- the enterprise does not engage in illegal activity
- the organisation has an Australian Business Number
- the organisation is registered for GST
- the organisation is not tax exempt
Applications that are lodged under the following will not be eligible for assistance:
- Local Government and Councils
- Local Government Associations
- Industry Associations
- State or Federal Government agencies.
And applicants will also be required to:
- commit to using Australian certified steel products where projects require steel as an input, in accordance with the South Australian Industry Participation Policy: https://www.industryadvocate.sa.gov.au/__data/assets/pdf_file/0011/941780/20230914-South-Australian-Industry-Participation-Policy-1-January-2023.pdf
- comply with the requirements of the South Australian Industry Participation Policy for grants to the private sector. See section 3.9 and Table 1 of the procedural guidelines below:https://www.industryadvocate.sa.gov.au/__data/assets/pdf_file/0008/941777/20230914-South-Australian-Industry-Participation-Policy-Procedural-Guidelines-1-January-2023.pdf
- provide information on how the industry may be impacted in South Australia (including potential competitors)
- provide information on the justification for the funding request.
Economic Recovery Fund applications must be supported by a summary of the proposal including a business case if available, and financial forecasts for the construction and operation phase for at least three years including any other grants and contributions to the project. These projections must demonstrate ongoing viability beyond the Economic Recovery Fund assisted phase.
Applications must demonstrate that the proposed project meets the essential criteria of the Economic Recovery Fund, which will be set out in each funding round.
Details of all State and Commonwealth grants received in the past 2 years and any pending applications for grants must be disclosed on application to the Economic Recovery Fund. Projects receiving funding from other State government programs will not be eligible for support under the Economic Recovery Fund.
So you’ll need:
- Summary of the proposal – project start and end date, project address, description of project, background, options, implementation, risks, performance milestones, economic impact (jobs, skills, turnover, exports)
- Business case (see template)
- Financial forecasts for at least 3 years with total costs, grant/loan amount sought
- Response to essential criteria
- Details of all State and Commonwealth grants received in the past 2 years and any pending applications for grants must be disclosed on application to the Economic Recovery Fund.
- Payments related to milestones and reporting
Additional supporting documents could be a capability statement and track record, bios and resumes of key team members, quotes and project plan.
If you are in the Barossa, Clare and Gilbert Valleys, Mid North, Copper Coast and Yorke Peninsula in South Australia, you can book in for free Get Stuff Done sessions to work on an application via this link with Sea to Valley Startups, good luck!