Core Builder Composites growth grant funding clarification

Core Builder Composites growth grant funding clarification

It’s been reported that Core Builder Composites have received a grant from Callaghan Innovation for $17.25m. There is some misunderstanding around this figure that needs clarifying.

Companies approved for Growth Grants may claim 20% of their eligible R & D expenditure, capped at a maximum of $5 million a year. The $17.25 million figure therefore refers to the maximum amount a company may claim over three years plus GST.

We cannot disclose how much the company is forecast to claim, however it will be far less than $17.25 million.

Please also refer to Core Composites own release clarifying the level of their Growth Grant funding.

- Ross Baker, Callaghan Innovation Manager Grants and Risk Assurance

About the R&D Growth Grants

R&D Growth Grants are an on-demand, non-discretionary scheme that enables qualifying companies to claim back 20 percent of their eligible R&D expenditure, capped at $5m a year.

To qualify, a business must commit to spend at least $300,000, and at least 1.5 per cent of revenue, a year on R&D that takes place in New Zealand.

Companies must maintain or increase their spending on NZ-based R&D over the course of the funding. There are clawback provisions should a change occur that reduces the benefit to New Zealand.

ENDS

© Scoop Media