New Growth Grants to Boost R&D in NZ

By September 8, 2014 R&D grants, Uncategorized No Comments

Research and Development (R&D) Growth Grants expected to be worth more than $41m over three years have been approved for 23 high tech companies.

Growth

Research and Development (R&D) Growth Grants expected to be worth more than $41m over three years have been approved for 23 high tech companies by Callaghan Innovation, Science and Innovation Minister Steven Joyce announced today.

“These are innovative companies producing world-leading, high-value products and high-quality jobs for New Zealanders. They are all proven businesses that have committed to investing in R&D in this country,” Mr Joyce says.

“The Growth Grants will help them increase that investment, which will drive their growth and increase exports.”

R&D Growth Grants were introduced last year as part of changes designed to encourage more R&D by businesses in New Zealand. They provide 20 per cent public co-funding for qualifying firms’ eligible R&D expenditure, with an expanded cap of $5 million a year – up from the previous scheme’s $2.4 million.

To qualify for a Growth Grant, a business needs to commit to spend at least $300,000, and at least 1.5 per cent of revenue, annually on R&D occurring in New Zealand. Once approved, a company can claim for funding quarterly in arrears. The Grants are for three years, but after two years, businesses can be granted a further two-year extension of funding.

The latest companies to be approved for R&D Growth Grants are involved in a wide range of fields, from accounting software to robotic walking devices to high tech trampolines. They are:

  • ARANZ Healthcare
  • Argenta
  • AuCom Electronics
  • Bayer New Zealand
  • BBC Technology
  • Best Bars
  • Booktrack Holdings Limited
  • Brand Developers Limited
  • Caldera Health
  • Comrad Medical Systems
  • Core Builders Composites
  • EstarOnline
  • Focus Genetics Management Limited
  • FoodCap International Limited
  • Integrated Control Technology
  • Rex Bionics
  • Spark Dental Technology Limited
  • Springfree New Zealand
  • Tekron International
  • TracPlus Global
  • Wellnomics Ltd
  • Xero
  • Zeacom

In total 88 companies have been approved for R&D Growth Grants estimated to be worth about $262 million (excluding GST) over three years.

The Callaghan Innovation grants – R&D Growth Grants, R&D Project Grants, and R&D Students Grants – were announced in Budget 2013. A total of $566 million is available over four years to encourage R&D through Callaghan Innovation’s business R&D grant schemes. Since its creation and up until 30 June 2014, Callaghan Innovation has approved grant funding for 961 contracts across 702 companies.

R&D Project Grants are available for smaller companies and those that are new to research and development, while Callaghan Innovation also runs incubator support programmes to assist start-up businesses. R&D Student Grants give graduates the opportunity to work in innovative companies.

Looking for help to develop your company’s R&D strategy or write your R&D grant applications?  Contact Simon Lempriere on 09 236 0082 or contact us here.

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