Small Business Development and Diversification Grants

The objective of the SBDD program is to support projects that create new or protect existing jobs. To be eligible, projects must also meet one or more of the following objectives:

• Business Expansion – expanding diversified business operations.
• Future Proofing – strengthening already diversified business operations.
• Industry Diversification – entering a new market or industry with a new product.
• Innovation – development and implementation of a new or significantly improve product or process.

The SBDD is open to any business in Western Australia, as long as they meet the criteria set out below.

• Demonstrated reliance of 50% or more, on the Western Australian native forestry industry or reliance on native forestry or native forest products
• Registered Australian Business
• Valid legal entity that can enter into a legally binding funding agreement with the Western Australian Government
• Solvent businesses or organisation

The following organisations are ineligible for funding:

• Local, State, or Federal Government Authorities/Agencies;
• Government Trading Enterprises (GTE’s);
• Individuals (without an ABN);
• Trusts that are not incorporated and are unable to enter into a FAA with the State Government. (A trustee may apply on behalf of a trust where it meets the eligibility requirements set out above);
• Any business that has received a New Industries Development Fund Grant; and
• Any business that has received Business Transition Program (BTP) payment of more than $400,000. BTP businesses who have received less than $400,000 can apply for the difference up to $400,000.

See the guidelines for full details of organisations eligible for SBDDG support.

The SBDD grants will be awarded to proposals that demonstrate a commitment and capacity to create new jobs and diversify their business or industry. Assistance will be flexible and tailored to specific project proposals and may include:

• support to develop and commercialise new business opportunities to replace native forest revenue streams;
• support for specific technology infrastructure, plant or equipment that supports development of new or expands diversified business opportunities; and
• support to protect and create existing jobs, particularly for displaced timber workers.

The following projects are ineligible for funding. Projects that:

• do not demonstrate sustained employment and/or the protection of existing jobs;
• include activities outside of Western Australia;
• request retrospective or contingency funding;
• request funding for
  1. the purchase land;
  2. salaries/employment of new or existing staff;
  3. core business, such as purchasing off-the-shelf software or costs of generic software associated with the normal administrative functions, recruitment activities; advertising and legal advice; and
  4. operational costs, such as maintenance, office upgrades, rent, insurance, telephone;
• would require ongoing assistance from the Western Australian Government; and
• request GST payments (this applies to GST registered organisations only).

See the guidelines for full details of projects eligible for SBDDG support.

All project applications will be assessed against the following criteria:

1. Jobs (40%)

• Creating new or protecting existing jobs

2. Demonstrated alignment with SBDD objectives (minimum of 1) (40%)

• Business Expansion
• Industry Diversification
• Future Proofing
• Innovation

3. Value for money (20%)

• Justification of the cost (financial, social or environmental) against the project’s expected benefits and results.

See the guidelines for full details of the assessment criteria.

Applicants must:

• Read and understand the guidelines.
• Ensure eligibility for the funding. Applicants that do not meet all the eligibility criteria outlined above will not be considered.
• Provide complete information requirements
• Submit a business plan to demonstrate their commercial soundness of the project, required for funding.

Accepted evidences to meet eligibility criteria outlined above:

• Full financials for 2020-2021 and 2021- 2022 financial year.
• A third-party endorsement of business accounts from a certified accountant, certified financial advisor or certified tax expert or a statement of compliance.
• A list of all native forest suppliers and customers evidenced through attached invoices, receipts and contracts etc.
• Copy of your ACN or ABN.
• Deed of agreement (e.g. Trust, Partnership)
• Copy of insurance.

Key business plan components:

• Business Strategy
  1. Business vision/mission
  2. Business goals
  3. Business size/position in market
• Product overview
  1. Product (outcome of project) overview
  2. Distinguishing features of product (including technical basis)
  3. Target market
• Commercial soundness of the proposal
  1. Market analysis (trend/ market size/competitors/ barriers to entry)
  2. Demand analysis and demonstrated customer need
  3. Price point and justification
  4. Ability of the business to generate revenue and profits
• Business readiness
  1. Implementation plan
  2. Marketing plan
  3. Recruitment and skills development plan
  4. Project budget (including quotes, investment)
• Gantt Chart
  1. Activities and tasks that are to be done
  2. Start and end date for activities
  3. Milestones and milestone dates
• Organisation capacity
  1. Financial capacity
  2. Robust governance structure
  3. Capacity of key personnel (including CVs)
  4. Previous experience in delivering similar scale projects
•  Evaluation
  1. Project objectives and outcomes
  2. Performance measures and data collection methods

See the guidelines for full details of information requirements.

Applicants can submit an application online via the SmartyGrants portal.

Register your interest here with GrantHelper to explore your alignment with this program and how we can assist you to increase your chances of success.