If you’re building something new—software, science, tech or anything in between—there’s a strong chance you could tap into Australia’s government R&D funding. The tricky part is understanding what’s available, how to access it, and when the funds actually land in your account.
From rebates to competitive grants, the options are powerful, but often misunderstood. This guide breaks down the key government R and D grants every startup should have on their radar—and how to unlock their value sooner.
Grants vs Incentives: What’s the Difference?
Let’s start with the basics. Grants and incentives both provide non-dilutive capital, but they operate quite differently.
Grants are competitive. You submit a project proposal, wait for approval, and access funds in stages based on hitting set milestones. These are ideal for things like building your MVP, running pilot programs, or scaling a new technology.
Incentives, such as the R&D Tax Incentive, are claim-based. If your R&D meets the eligibility criteria, you’re entitled to a rebate—no competitive process involved. But the catch is, you need to spend the money upfront and wait until after tax time to receive it.
The smartest Australian businesses find ways to layer both—aligning their funding strategy with their development roadmap.
1. R&D Tax Incentive (R&DTI)
If your business is involved in software, scientific, or technical development, the R&D Tax Incentive is likely your biggest source of non-dilutive funding.
Eligible companies with less than $20 million in annual turnover can receive a cash rebate of up to 43.5% on qualifying R&D spend. To qualify, you need to demonstrate:
- You tackled technical uncertainty
- You used a structured, experimental process
- You aimed to generate new knowledge
The challenge? It’s paid after the end of the financial year—often several months after the R&D work (and the costs) have occurred.
Programs like this exist to encourage investment in R&D, which ultimately fuels innovation and job creation across the Australian economy.
That’s where R&D finance can help you bridge the gap.
2. R&D Finance: Turn Your Rebate Into Ready-to-Use Cash
R&D Finance lets you turn your future rebate into working capital today, so you don’t have to slow down while waiting on the ATO.
At Rocking Horse Group, we offer fast, founder-friendly loans backed by eligible R&D you’ve already incurred. There’s no need to give up equity, provide personal guarantees, or wait until tax time.
Startups use this capital to:
- Bridge payroll during hiring or high-burn phases
- Accelerate product development
- Fund a market push or expansion plans
- Extend the runway without a new raise
You can get an estimate of your potential rebate using our R&D expenditure calculator.
By giving founders access to cash earlier, R&D Finance empowers Australian businesses to keep building, deliver outcomes faster, and contribute directly to economic growth.
3. Accelerating Commercialisation
This highly sought-after federal grant supports startups that have developed a prototype or IP and are ready to commercialise it.
Accelerating Commercialisation offers:
- Up to $500,000 for startups
- Up to $1 million for more established companies
- Access to expert commercialisation guidance
It’s competitive and requires a detailed plan, but if approved, it’s a significant capital boost, especially when paired with the R&DTI and R&D Finance.
The program is designed to help innovations make it to market faster, which in turn drives job creation and economic growth for the Australian economy.
4. Cooperative Research Centres Projects (CRC-P)
If you’re developing something technically complex and want to partner with a university or research body, CRC-P is worth considering.
This program supports short-term, industry-led R&D collaborations. To be eligible, your project must:
- Include an SME and at least one research organisation
- Target a real-world commercial outcome
- Align with national priorities like energy, health, or manufacturing
Grants can reach up to $3 million and are ideal for deep-tech ventures needing both funding and technical validation.
These partnerships not only push innovation forward but also help build the long-term R&D capability of the Australian economy.
5. State-Based Grants: Don’t Overlook Local Support
In addition to federal funding, most states and territories run their own R&D or innovation grant programs. These are often faster to apply for and tailored to local priorities.
Some standout options include:
- NSW MVP Ventures – Up to $200,000 in matched funding for minimum viable products
- VIC Breakthrough Victoria – Focuses on medtech, agtech, clean energy, and advanced tech
- QLD Ignite Ideas – Helps high-growth startups commercialise or scale
- WA Innovation Vouchers – Grants of up to $20,000 for testing, prototyping, and IP support
These state-based programs are especially valuable for regional or sector-specific Australian businesses looking to make an early leap.
6. Export Market Development Grant (EMDG)
If your startup is eyeing global expansion, the EMDG can help ease the costs of entering international markets.
The program reimburses a portion of your export-related expenses, including:
- Travel and trade shows
- Foreign branding and marketing
- Overseas IP protection
- International market research
It’s a great complement to the R&DTI and other R&D-focused programs, especially for startups taking globally scalable innovations offshore.
Together, these grants create a more competitive, export-ready base for Australian businesses, helping drive long-term economic growth.
7. Why Timing Your Funding Stack Matters
Government grants and rebates are powerful—but they’re not always timely. Applications take weeks (or months). Rebates arrive after the fact. That’s tough when you need to keep paying staff, hitting milestones, or accelerating growth.
That’s why many startups now combine tools like R&D finance with their broader strategy. It gives you control over when capital arrives, not just how much.
A smart stack might look like:
- Using a state grant to get your MVP off the ground
- Applying for Accelerating Commercialisation to scale
- Claiming the R&DTI on eligible R&D
- Using R&D Finance to access that rebate before it’s paid
- Leveraging the EMDG to grow internationally
Used together, this approach maximises funding while maintaining flexibility and control.
Need Help Navigating the Options?
If you’re building an R&D-focused business and want to move faster, Rocking Horse Group can help.
We don’t write grants or assess eligibility, but we do fund startups that are claiming the R&D Tax Incentive and have incurred eligible spend. That means you can unlock cash from innovation you’ve already delivered.
We work closely with tech founders, CFOs, and advisors across all industries and regions. Our process is fast, transparent, and designed to support high-growth Australian businesses.Want to know what’s possible? Contact us for a quick, no-pressure chat. We’ll walk you through how R&D Finance can help you bridge the funding gap, without slowing momentum.