The 2016 EMDG program closed for self-lodgers on 30 November 2016
1 December 2016
If you missed the 30 November deadline, don’t worry, Griffith Hack can help.
The 2016 EMDG program closed for self-lodgers on 30 November 2016, however as approved EMDG consultants, Griffith Hack has until 28 February 2017 to lodge your application.
The deadline for applicants wishing to self-lodge their 2016 EMDG claim was 30 November 2016. However, Austrade operates a Quality Incentive Program, whereby approved consultants such as Griffith Hack are able to lodge EMDG claims 3 months past this self-lodgement deadline, up until 28 February 2017.
What is the Export Market Development Grant?
The EMDG program is a broad based Federal Government grant that reimburses applicants up to 50% of eligible expenses, up to a maximum grant of $150,000. Eligible applicants need to have incurred at least $15,000 of eligible expenses in a given grant year in order to make a claim. First time applicants are able to combine two years of expenses to meet this threshold.
The program is available for a total of eight grant years (which do not need to be consecutive) and the financial period for the EMDG program is aligned with the standard Australian financial year, being 1 July to 30 June.
What are eligible expenses?
Eligible expenses claimable under the EMDG program relate to costs which have been incurred in promoting your business to overseas markets, and can include undertaking overseas marketing trips, maintaining an overseas representative, engaging a marketing consultant, providing free samples, attending tradeshows, producing marketing materials (websites, brochures, videos), bringing potential overseas buyers to Australia, and IP registration costs.
What about IP registration costs?
For businesses seeking to commercialise their IP overseas, there is good news. One of the least claimed expense categories under the EMDG program is IP registration costs. The current EMDG program allows applicants to claim up to $50,000 of IP registration costs each grant year. These costs can include overseas patent application and maintenance costs, PCT applications, overseas trademark registration, overseas design registration, etc. This category of expenditure is often overlooked by businesses developing and commercialising their IP - with Austrade data indicating that in the 2014 grant year, IP registration costs made up just 5% of the total expenses claimed.
You don’t have to manufacture products in Australia in order to access EMDG
A commonly misunderstood aspect of the EMDG program is that you don’t have to manufacture in Australia in order to be eligible for the program. Historically, applicants were required to manufacture their products in Australia in order to secure a grant. However this requirement was relaxed by Austrade, in recognition of the challenges associated with manufacturing in Australia. The program now allows businesses that manufacture offshore to access the program, provided this delivers a ‘significant net benefit to Australia’.
As an approved consultant, Griffith Hack has a reputation for preparing accurate, high quality EMDG claims on behalf of their clients. If you have missed the self-lodger 30 November deadline and would like to discuss submitting an EMDG claim, please contact us.