Value Add Investments Grants program – Feasibility Stream
The Feasibility Stream of the Value Add Investment Grants (VAIG) provides funds to eligible applicants towards feasibility studies and other de-risking activities to support an investment decision for eligible capital projects.
The Feasibility Stream operates as a rolling round where applications can be made at any time until Monday 30 June 2025, or until funding is exhausted.
This grant is currently open to applications.
Closing date: Monday 30 June 2025 at 5pm AWST
What do you get?
Up to $500,000 will be made available with individual grants of $15,000 to $100,000 available (excluding GST). Recipients must provide a 30% cash co-contribution.
Who is this for?
Businesses considering the feasibility of capital investment or expansion projects to grow, relocate or diversify food and beverage manufacturing or other forms of value add processing in Western Australia (WA).
Overview
The Feasibility Stream provides the opportunity for eligible businesses to receive funding for planning, feasibility and other de-risking activities which a business plans to use to support an investment decision for qualifying capital expenditure and expansion projects relating to food and beverage manufacturing or other forms of value add processing.
Projects must align to the stated objectives of the VAIG program and are for projects commencing after June 2024.
The objective of the Feasibility Stream is to encourage new investments by businesses that will expand, diversify or relocate their value adding and processing operations in WA by providing funding to determine the feasibility of capital and expansion decisions.
Aboriginal business applicants that do not have a 30% cash contribution towards the project but can demonstrate in-kind and/or a lesser cash leverage may be considered on a case-by-case basis.
The ever-present ambition to grow needs to be tempered with practical steps to balance risk and growth effectively. If you are considering an investment in new capabilities or to expand operations, determining the feasibility of a project and understanding whether it makes sense from an economic point of view is a worthwhile investment.
De-risking activities, such as feasibility studies, critically assess a capital proposal and enable businesses to make more informed decisions about whether to proceed. They play an important role in determining the time and resources needed to complete a project, its benefits and its risks. If you are considering seeking outside financing, a thorough, independent feasibility study or other de-risking activities are seen pre-requisites by potential investors or lenders.
What can funding be used for?
Eligible businesses can apply for funding for planning/feasibility activities which you plan to use to support an investment decision for qualifying capital investment or expansion projects relating to food and beverage manufacturing or other forms of value add processing in WA.
Funds must be used to engage the relevant expertise to gather the information needed to de-risk a project and support an investment decision. The types of services used for the purpose of assessing if an investment project is feasible include:
- technical consultants
- professional services including, accounting, tax, legal and other services
- property related services including architect, planners, designers and valuers
- product or market analysts and advisors
- specialist reports and data services as may be applicable
- other advisors or relevant service providers
- obtaining regulatory approvals
- obtaining licences necessary to grow operations.
Testimonial Dardanup Butchering
Mark from Dardanup Butchering Company talks about how the Value Add Investment Grant supported their feasibility study to set up a dedicated export registered pig processing plant.
Eligibility
In order to apply for a grant, a business must meet both the:
- applicant eligibility criteria
- the planned feasibility activities must be for specific types of investment or expansion projects as outlined below.
Applicant eligibility criteria
All of the following criteria must be met:
- Be a private sector business registered with ASIC or registered for an Australian Business Number (ABN) with annual sales turnover of at least $100,000.
- Be a ‘going concern’. That is, they will continue to trade into the foreseeable future and there are no plans, events and/or circumstances known to the Applicant which would result in their business ceasing to trade.
- Be planning a project located in, or looking to relocate operations to, regional and/or metropolitan Western Australia (see below if you are a business currently located outside of Australia).
- Be capable of entering into a legally binding agreement with the Western Australian Government.
- Have the financial capacity to fund the minimum cash contribution (30% of the total project budget).
- Aboriginal business applicants that do not have a 30% cash contribution towards the project but can demonstrate in-kind and or a lesser cash leverage may be considered on a case-by-case basis.
- Have been in operation for a minimum of 12 months (or similar established track record).
Project eligibility criteria
Your feasibility project must be for the planning and development of qualifying capital investment and expansion projects associated with food and beverage manufacturing or other forms of value add processing in WA.
Your project must also be related to one or more of the following qualifying capital investment and expansion projects:
- Investment in new manufacturing capability or processing facilities, new technology or plant modernisation which results in reducing WA’s reliance on imported products, supports business growth, fosters innovation and creates jobs.
- Investment that improves sustainability, reduces the environmental impact of the manufacturing or processing activities being undertaken or contributes to improvements in broader environmental, social, and governance outcomes.
- Investment that enables expansion or diversification of business operations that relate to value adding to primary production in WA.
- Investment that involves relocating existing operations to WA, setting up new operations or expanding existing operations in WA.
Regional and Aboriginal businesses are encouraged to apply.
Business clusters, consortiums, and collaborations are also encouraged to apply where a lead business is defined that meets the above criteria and applies and accepts responsibility for contractual obligations on behalf of the business group.
Businesses registered out of Australia can apply
Foreign companies are eligible to apply. However, if your application is successful, your business must be registered to carry out business in Australia before a Financial Assistance Agreement with the state can be entered into.
Registration can be achieved either by registering the foreign company with ASIC or by the foreign company incorporating an Australian company (subsidiary) with an ABN.
Foreign companies will be required to provide a unique business identification number as accepted in their domicile with their application.
Further guidance
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FAQs about applying for the Feasibility Streampdf (277 KB)
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Guidelines for applying for the Feasibility Streampdf (350 KB)
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VAIG Round 3 Information Webinar
Apply for the VAIG Feasibility Stream
Find out more about your eligibility and how to apply.
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