R&D Loan Scheme update (June 15th, 2020)
The NZ Government recognises the value of R&D and the difficulty many firms have securing finance for high-risk R&D activity. Understanding the urgent need to keep this critical work going, the Government has allocated $150m for an R&D loan scheme.
The R&D Loan Scheme is intended to encourage R&D-performing businesses to continue R&D programmes in the current economic environment.
The scheme at a glance
- Businesses will be able to apply for a loan of up to $400,000 to support planned R&D activity, subject to other forms of government R&D support to which they are already entitled.
- Businesses will need to prove that their ability to finance their R&D activity has been impacted by COVID-19, they are solvent, and they will use the loan only to pay for R&D activity.
- The loans will be charged at 3% from the start of the loan, but the interest will be waived if the loan is paid back within the first year.
- The maximum loan period will be 10 years, with repayment by instalments beginning after 3 years.
- Depending on demand, current R&D activity, and filing of the appropriate documentation, loan payouts may begin from mid-July.
Register your interest
Callaghan Innovation are preparing the operational elements of the scheme, including specific eligibility details, and are working toward applications opening later in June.
Please register your interest below to be notified when applications are open.
Register your interest with Callaghan Innovation