497 Main Road
Glenorchy
Tasmania 7010 Australia
Phone: 61 3 62497868 (am)
Phone: 61 3 62713000 (pm)
Fax: 61 3 62730010
www.tececo.com

Printed in cyberspace on recycled electrons. Edition 1, Aug 2006

Government grants total $8 billion per year – Are you missing out?

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Welcome to the first edition of the Crab-Grab, Crab Consulting's newsletter.

Crab Consulting was formed by John Harrison B.Sc., B.Ec., FAICD, FCPA primarily to assist Tasmanians apply for non-commercial forms of funding or grants. John has noticed over his years of experience as an accountant based in Hobart that while the level of funding programs, especially government programs, has increased over the years many organisations are still not availing themselves of the opportunities available. Many potential applicants may simply not be aware of some programs, or have incorrectly believed themselves to be ineligible or uncompetitive for some programs. Other organisations may be aware of their eligibility but have been daunted by the time and resources required to complete the application process. Still other organisations may believe they cannot provide their share of the resources required to complete a suitable project, even with grant funding.

Crab Consulting can provide expert help with all these issues that will actually save you money in the long run because our expertise and experience will mean we can guide you through the process faster and more effectively than you could hope for in the limited spare time you have away from running your business.

Our experience and databases will enable us to quickly identify funding opportunities. We will honestly assess your chances at our initial contact and if we cannot provide any value, there will be no charge. If opportunities exist, we will take the time to understand your business and assist you to decide on a course of action or define a project best suited to secure funding and suit your business needs. If the grant requires some level of matching fuding from your business, we will assist you to minimise your actual capital contribution by maximising the value you can claim for project staff salaries or in-kind contributions.

If required, we can facilitate negotiations with possible partners from our wide range of contacts. When it comes to completing the grant application, we know the reasons behind the questions on the forms, we know how the applications are assessed and we know the phrases and techniques that will make your application stand out from the crowd. We can assist you to write any business planning documents that are required and if necessary, can secure our aligned accounting firm to produce financial statements or provide accounting advice.

At the very least, if we establish your organisation is not suitable for funding, you will have peace of mind that you have exhausted the possibilities, and we can provide you with some ideas for how your organisation may be able top secure funding in the future.

Crab Consulting Services

· Identification of funding opportunities.

· Expert completion of grant applications

· Partnership facilitation and networking.

· Funding strategy advice.

Other Business Services

Crab Consulting can provide a range of other business services designed to help your business get ahead of the competition.

We'll cut the red tape

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Computing Solutions

· Systems analysis

· Software advice

· Web page design and maintenance

· Software and computer commissioning

Business Solutions

· Business planning

· Technology startups & project management

· Product development & marketing

· Marketing plans & appraisals

Scientific Solutions

· Materials science especially relating to cements and concretes

· Sustainability issues, including climate change and life cycle analysis

Funding News

The recently announced LPG Vehicle conversion scheme is a good example of how governments have been using funding programs to further their social, economic and lets face it, political goals. Petrol is becoming an increasingly scarce resource because we have now reached peak oil and the visible evidence of this is rapidly rising prices.

Peak Oil ( After Colin Campbell, 1994)

The federal government has little control over the price of oil and therefore petrol, (even any relief caused by reducing the 38c per litre excise can be swallowed up by world oil price volatility) yet it knows that the electorate expects some action. So in a situation where the government is unwilling or unable to intervene in a market with legislative or taxation measures, the politically sensible thing to do is hand out the money. Sugar farmers, fisherman and manufacturers of motor vehicles parts are some of the more high profile benificiaries ofsimilar industry re-structuring subsidies in recent times.

Whenever an industry re-structures, some will benefit from going with the change and some will benefit by sticking with the status quo. In the case of vehicle fuels, there is obvious money to be made from converting to LPG based on prices today and the generous $2,000 government subsidy, but what will be the long term effect? It is unlikely that the price of petrol will be affected by the government policy, but what will happen to the price of LPG and more immediately the price of an LPG conversion?

As with most markets, your guess is as good as ours but if you are thinking of converting to LPG, navigate to the downloads page of Crab Consulting because we have developing a simple spreadsheet that can let you explore just how much the price of LPG and LPG conversions will have to rise before taking that handout becomes a false economy. If you are still stuck Crab Consulting fill in the form for around $ 50 depending on other advice sought.

New Funding Programs

LPG Vehicle Scheme

Grants of $2000 for LPG conversions and $1000 for new LPG-dedicated or dual-fuel vehicles will be paid to private buyers under the Australian Government's new LPG Vehicle Scheme - AusIndustry.

Ethanol Distribution Program

Funds for service station upgrade of equipment to allow ethanol - Ausindustry

New Venture Capital Funding

$200 million in new funding to set up venture capital investment funds. Tax liability abolished for venture capital investments - AusIndustry.

Continuing Programs

Intelligent Island MAPP Funding

$18 million over four rounds for projects that develop the Tasmanian IT industry. First round closes 19 August 2006, second round opens in October 2006 - Tas Dept. of Economic Development

Community Water Grants

Grants of up to $50,000 for community water use. (Businesses eligible if large community benefits can be demonstrated). - www.communitywatergrants.gov.au

Young People in Rural Industries

Training and project related grants of up to $10,000 for international, $5,000 for domestic projects. - Dept of Agriculture Fisheries and Forestry (DAFF)

Food Processing in Rural Australia

Matching funding up to $200,000 for rural food processing projects. Rd 4 closes 31 Aug 06. - DAFF

New Industries Development Program

Matching funding of up to $120,000 for new agriculture industry proof of concept projects. Rd 14 closes 20 Sep 06 - DAFF

Recreational Fishing Community Grants

Matching funding of up to $100,000 for projects that enhance recreational fishing and tourism. - DAFF

Securing Our Fishing Future

A range of assistance to assist with industry re-structuring. - DAFF

Envirofund

Matching grants of up to $50,000 to community groups and individuals for projects enhancing biodiversity and sustainable resource use. - www.nht.gov.au

Landcare Natural Resource Innovation

Large grants for innovative ways to improve environmental land and resource management. - DAFF

Land and Water Australia Innovations

Research grants for improving sustainability of natural resources. - www.lwa.gov.au

Photovoltaic Rebate Program

Rebates to assist costs of installing solar PV. - Tas Dept of Infrastructure Energy & Resources (DIER)

Residential Remote Area Power Supply

Assistance to replace diesel power with renewable energy in off grid.situations - (DIER)

Renewable Energy Development Initiative

Grants of up to $5 mil. for innovative renewable energy projects. - AusIndustry

Satellite Phone Subsidy Scheme

Subsidies for satellite phone costs for use in remote areas. - Dept of Communication IT & Arts (DCITA)

Rural & Remote Pharmacy Orientation

Allowances for some costs of establishing rural pharmacies. - Dept of Health & Ageing

Employment Innovation Fund

Funding of up to $100,000 for innovative employment projects. - (DEWR)

Please contact us for information on these or any other programs