As major car manufacturing in Victoria ceases, Victorian automotive supply chain companies are offered intensive support.

The Automotive Supply Chain Transition Program (ASCTP) was announced this week by the Premier, Daniel Andrews and Minister for Industry, Lily D’Ambrosio as part of the Victorian Government’s Towards Future Industries: Victoria’s Automotive Transition Plan.

Two stages of assistance are available:

1. Support of up to $15,000 to engage a Business Specialist to develop a Business Transition Plan. The business plan will identify future opportunities and assistance needed to implement business transition activities.
2. Support of up to $50,000 for Business Transition and Merger Advisory Services to implement key initiatives identified in the Business Transition Plan. Business transition initiatives might cover, for example, new product development, business matching, management skills coaching, sales and marketing strategies, financial management and market access activities. Merger advisory initiatives could include business and asset valuations and registers, leasehold premise obligations and other management strategies.

Support for individual supply chain companies is capped at $65,000. Successful applicants need to make a co-contribution of $1,000 for the Business Transition Plan and an additional 10% of the value of support for the Business Transition Services and Merger Advisory Services.

Eligibility criteria

• Have an Australian Business Number (ABN)
• Be incorporated in Victoria
• Have been trading continuously since May 2013 (when the closure of the car companies was first announced)
• Be a Victorian-based business with at least 20% of revenue derived from new car manufacturing by the three local car manufacturers (Ford, Holden and Toyota) and their supply chains
• Have the ability to meet the minimum co-contribution payment for the relevant transition project

Timing criteria:

• Business Transition Plan projects must be completed within two months of the offer of funding date.
• Business Transition Services and Merger Advisory Services must be completed within 24 months of the applicant accepting the funding offer.
• All ASCTP projects must be completed by 30 June 2018.