Understand the R&D position
We review the company, R&D activity, expenditure profile, records and expected claim timing, including information prepared with your advisers.
R&D funding
Bring forward capital from your R&D cycle.
SME Capital Partners is developing business-purpose facilities from $100,000 to $1 million for eligible Australian R&D companies that want access to capital before the relevant company tax return is lodged or before an anticipated R&D tax benefit is received.
$100k–$1m indicative rangeBusiness-purpose creditPre-return / pre-refund assessment
Funding is subject to credit assessment, evidence, verification, documentation and final terms. R&D Tax Incentive eligibility and the amount of any tax benefit are not guaranteed.
The opportunity
R&D investment happens before the tax benefit arrives.
Innovative companies can spend heavily on people, prototypes, engineering, software, testing and experimentation during the year. The Australian R&D Tax Incentive may provide a tax offset for eligible companies and eligible activities, but the company generally incurs the R&D expenditure first and then completes the registration and tax-return process.
Our R&D funding product is designed to assess whether an approved business-purpose facility can bring some of that capital forward. An approved loan may be advanced before the relevant company tax return is lodged or before the anticipated tax benefit is received, depending on the quality of the R&D records, expected claim position, company financials and final facility structure.
Experienced R&D funding team
Understand the funding process before you commit.
Our team understands the commercial R&D funding workflow and the information typically required to assess a facility. We can explain our funding process and work alongside your accountant, registered tax agent or specialist R&D adviser. SME Capital Partners does not replace the company’s responsibility to self-assess R&D eligibility or obtain appropriate tax advice.
How it works
Funding built around the R&D claim cycle.
The R&D Tax Incentive is a government self-assessment program. Our role is separate: we assess commercial credit using the company’s expected R&D position as one part of the funding analysis.
Assess the facility
We consider the expected R&D benefit alongside financial performance, liquidity, existing liabilities, security and the proposed use of funds.
Agree commercial terms
If the opportunity fits our criteria, proposed amount, pricing, term, repayment strategy, security and conditions are documented before acceptance.
Advance approved funds
Once documentation and conditions are satisfied, approved funds may be advanced ahead of the company tax return or anticipated tax benefit.
What we assess
A credible R&D position plus a viable business.
The anticipated R&D benefit is important, but it is not the only source of credit support. We assess the whole company and the evidence behind the proposed facility.
Company & R&D eligibility
Whether the applicant appears to be an eligible R&D entity conducting activities that it and its advisers reasonably expect to satisfy the program requirements.
Records & expenditure
Contemporaneous records, R&D expenditure schedules, payroll and contractor information, project documentation and other evidence supporting the expected position.
Financial capacity
Revenue, margins, cash flow, liabilities, tax position, existing finance, security and the company’s ability to meet the proposed facility if the R&D outcome is delayed or lower than expected.
R&D Tax Incentive context
The tax process remains separate from the loan.
Understanding that separation is important when assessing whether an early R&D facility is appropriate.
Self-assessment
Companies are responsible for assessing whether they are eligible R&D entities, whether their activities qualify and whether expenditure is eligible. Registration of activities does not itself mean the activities are eligible.
Registration before claiming
Eligible activities must be registered with the Department of Industry, Science and Resources before the company claims the R&D tax offset in its company tax return. Registration generally must be applied for within 10 months after the end of the relevant income year.
Commercial funding is different
An SME Capital Partners facility is separate commercial credit. Approval does not constitute an R&D finding, tax ruling, tax-agent opinion or guarantee that the Department or ATO will accept a claim.
Official program information: Australian Government R&D Tax Incentive overview.
Important: If the anticipated R&D benefit is delayed, reduced or not received, the borrower remains responsible for the loan in accordance with the final facility documents. Applicants should obtain independent tax, accounting and legal advice.
$100kIndicative minimum facility
$1mIndicative maximum facility
10 mo.General R&DTI registration deadline after year-end*
*Program rules and deadlines can change and individual circumstances differ. Confirm current requirements with the Department, ATO and your professional adviser.
Frequently asked questions
R&D funding questions.
Can funding be provided before our company tax return is lodged?
Potentially. The product is designed so that, where the company and evidence satisfy our credit criteria, an approved facility may be advanced before the relevant company tax return is lodged or before the expected R&D tax benefit is received. Final timing depends on the particular assessment and documentation.
Does R&D registration guarantee a loan or tax benefit?
No. R&D registration does not itself confirm eligibility, and SME Capital Partners funding is independently subject to credit approval. Neither a loan approval nor website information guarantees the amount or timing of any R&D tax outcome.
Does SME Capital Partners prepare our R&D claim?
Our experienced team can explain the funding process and the information we need. Your company remains responsible for its R&D self-assessment and tax return. We can work with your accountant, registered tax agent and R&D adviser, but applicants should use appropriately qualified advisers for tax and R&D claim advice.
How much R&D funding is available?
The intended product range is $100,000 to $1 million. The approved amount may be lower and will depend on the expected R&D position, business financials, evidence, security, repayment strategy and final credit assessment.
What happens when the R&D benefit is received?
The repayment mechanics will be set out in the relevant facility documents. The expected R&D benefit may form part of the proposed repayment strategy, but borrowers remain bound by the agreed facility terms.