Quick answer
Government grants and schemes are funding or tax incentives offered by Australian, state and territory governments for specific purposes, such as exporting, research and development, hiring, disaster recovery or regional growth. They are competitive, targeted and often paid after you spend the money. Most do not fund general working capital. The business.gov.au grants and programs finder is the official place to search.
Key points
- Grants are targeted at specific activities, industries or regions.
- Many reimburse spending after it happens, so you still need cash or finance first.
- Some support is a tax incentive rather than a cash grant.
- Use the official business.gov.au finder and beware of paid 'grant guarantee' services.
At a glance
- Where to search
- business.gov.au grants and programs finder
- Common areas
- Export, R&D, energy, hiring, disaster recovery, regional
- Typical payment
- Often in arrears after eligible spending
- Not usually funded
- Paying existing debts or general running costs
Our review: grants and government schemes at a glance
What works well
- Funding that may not need to be repaid
- Supports activities that build long-term capacity
- Can complement a loan for the same project
- Free official search tools
What to watch
- Competitive with detailed applications
- Strict eligibility and reporting obligations
- Programs open and close unpredictably
- Payments can arrive well after spending
Usually suits
- Projects that match a current program's purpose
- Exporters and businesses doing eligible R&D
- Businesses affected by declared disasters
Probably look elsewhere if
- You need money urgently for general costs
- Your project only loosely fits the program
- A paid adviser promises guaranteed grant success
Every year, business owners search for “free government money” for their business, and every year many are disappointed. Government grants and schemes do exist, and some are genuinely valuable, but they work very differently from finance. Understanding what they are for, how they pay and how to find them saves a lot of wasted time.
What government support usually looks like
| Type | How it works |
|---|---|
| Competitive grants | Apply in a funding round; assessed against criteria; limited funds |
| Reimbursement grants | Spend first on eligible costs, then claim back a share |
| Tax incentives | Reduce tax payable for eligible activity, such as R&D |
| Concessional loans | Loans on favourable terms, often after disasters or for specific sectors |
| Advice and services | Free or subsidised mentoring and planning help |
Programs are run by the Australian Government, state and territory governments and sometimes local councils. They open and close often, and eligibility can be narrow.
Examples of long-running national programs
- Export Market Development Grants (EMDG), administered by Austrade, helps eligible businesses with export promotion costs.
- The Research and Development Tax Incentive provides tax offsets for eligible R&D activities; details are on business.gov.au.
- Disaster assistance may be available after declared events through business.gov.au and disasterassist.gov.au.
Program details change, so always confirm eligibility and timing on the official page before relying on any of them.
How to find grants that fit
The official grants and programs finder lets you filter by location, industry and purpose. Read eligibility first, then the guidelines, then the reporting obligations. If the program does not clearly match your project, move on. Be wary of paid services that promise guaranteed grant success; official programs do not work that way.
Why grants and loans often work together
Because many grants reimburse costs after they are incurred, businesses often need cash or finance to fund the project first. A grant for export marketing, for example, might be paid long after the trade show and travel costs have been spent. In that situation, a line of credit or short-term facility can bridge the gap. For exporters, our trade finance review is also relevant. Startups should read our startup business loans review for realistic funding routes.
Applying well
- Match the project to the program’s stated objectives, using its language.
- Prepare a budget with quotes and a clear timeline.
- Show the outcomes the program cares about, such as jobs, exports or innovation.
- Keep records; grant reporting can be detailed.
- Do not start spending before you check whether the program allows it.
An illustrative example
A made-up manufacturer plans to exhibit at an overseas trade show and run a marketing campaign in a new export market. It checks the eligibility guidelines for an export support program and finds its planned spending may qualify, with any grant paid after the costs are incurred and reported.
The manufacturer still needs to fund the trade show, travel and marketing upfront. It uses an existing line of credit for those costs, keeps detailed records for the grant claim, and later uses any grant received to reduce the balance. The grant helps, but finance and planning make the project possible in the first place.
Common grant misconceptions
| Misconception | Reality |
|---|---|
| There is free money for any business | Programs are targeted and competitive |
| Grants pay upfront | Many reimburse costs after spending |
| Grants can repay debts | Most exclude existing debts and general running costs |
| A consultant can guarantee success | No one can guarantee an assessed program |
| Programs stay open | Rounds open and close, sometimes with little notice |
Free help that is not a grant
Not all useful government support involves money. The Australian Small Business and Family Enterprise Ombudsman provides information and dispute assistance for small businesses, state small business commissioners offer similar help locally, and free financial counselling is available to business owners under financial stress. If debts rather than growth are the issue, these services can be a better first call than any funding application.
Need finance alongside a grant?
If you have a project that qualifies for support but need funds to get it moving, or you have found that grants do not cover what you need, business finance may fill the gap. To explore options, make one enquiry. There is no credit check when you first enquire, a real person reviews it and your details go to one lending partner rather than a list. Tell us about the project and any grant you are expecting. Timing details in your enquiry help match the right facility.
Frequently asked questions
Are there government grants to start a business?
Some programs support specific types of startups, regions or groups, but general startup grants are uncommon. Search the business.gov.au finder for current programs that match your situation.
Can a grant replace a business loan?
Rarely. Grants usually fund specific activities and often pay after you spend. Many businesses use a loan or their own cash to fund the project, then receive grant money later.
What is the Export Market Development Grant?
EMDG is an Australian Government program administered by Austrade that helps eligible businesses with export promotion costs. Rules and funding rounds change, so check Austrade's current guidance.
What help is available after a natural disaster?
Support varies by event and location and can include grants, concessional loans and other assistance. Check disasterassist.gov.au and business.gov.au for declared events.
Sources and further reading
We are an information site, so we do not rank lenders, publish interest rates or accept payment to feature a product. Every page is written and checked by our editorial team against official sources. Read our editorial policy and how we are funded.
