Business Clusters

Financial Support
Eligibility Criteria
How to Access the Business Clusters Program

Industry and business collaboration has long been recognised as one of the most practical and strategic options for successfully negotiating today's increasingly competitive and global market place.  Working together for growth helps overcome the scale and capability limits inherent in operating an individual enterprise.

Facilitation of new ideas and ways of doing things, creating momentum, productively tackling obstacles and barriers and opening up new and successful commercial opportunities are just some of the benefits to be gained from working together.

Employment growth and jobs retention, increased investment and enhanced domestic and export performance are just some of the positive economic spin-offs from the "collaborative" approach.

The NSW Department of State and Regional Development recognises the enormous potential in working together and through its Business Cluster program can provide tailored non-financial and financial support to established small and medium enterprises to maximise this potential.

Business Cluster funding supports the facilitation and growth of substantive and critical geographical and/or industry sector collaborative efforts.  With a large range of benefits, Business Cluster funding encourages feasibility and formation through to operational and strategic ongoing sustainability.  These cluster structures typically include many organisations such as private companies, Government and other public institutions and not-for-profit organisations which share a mutual goal to address a significant economic issue.

Business Network funding seeks to support smaller groups of companies which strategically choose to work together to develop a specific domestic or export opportunity.

Financial Support

Business Cluster funding
A business cluster may require specialised assistance, outside the scope of the support available from its members, for specific projects which would enhance the cluster's growth during its formation and development stages.  Such projects may address issues that will facilitate a cluster's growth or performance.  Projects could include feasibility and formation planning, industry skills enhancement, overcoming structural economic issues, market research, marketing and promotional activities or support for a facilitator to organise and manage the cluster.

This project support may attract a one-off 75% subsidy of up to $10,000 during early stage development and matched (50%) financial support up to $10,000 for any one project.  Funding is limited to a maximum of $20,000 per individual business cluster over any two-year period.

Business Network funding
A network of companies which has chosen to work together in order to develop a specific commercial opportunity may attract a matching (50%) subsidy up to $10,000 for any one project. Funding is limited to a maximum of $20,000 per individual business network over any two-year period.

Eligibility Criteria

• Business Clusters must be substantively industry and/or geographically concentrated in NSW and should have identified an active champion.  The champion can be a person or company that is prepared to lead and energise the cluster and has the strategic and operational management experience to ensure the cluster achieves its goals.  They should clearly articulate the opportunities for business and employment growth.  SME companies must constitute at least 80% of its members and:
  • have been in business for at least two years;
  • be financially viable and can provide financial reports which show the business is profitable and has a positive balance of assets over liabilities;
  • employ a minimum of one person in addition to its owners;
  • have a turnover between $200,000 and $50 million.
• Business Networks must be NSW-based and must be able to demonstrate a commitment to work collaboratively.  They should have identified a potential business opportunity leading to employment and/or export growth.  Network members must:
  • have been in business for at least two years;
  • be financially viable and can provide financial reports which show the business is profitable and has a positive balance of assets over liabilities;
  • employ a minimum of one person in addition to its owners;
  • have a turnover between $200,000 and $50 million.

How to Access the Business Clusters Program

To register your interest in the Business Cluster Program, please contact DSRD on 1300 134 359 or email first@business.nsw.gov.au.

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