Callaghan have released more information regarding the R&D loan scheme (link follows) today. Applications are now open (stage 1) and will be open until 31 March 2021, but it is a limited fund so we recommend applying as early as you can. It will be necessary to complete the stage 1 application form even if you have previously filed an expression of interest and even though much of the information requested is duplicated.
As a reminder the loan is available to businesses with R&D activities they are struggling to fund due to the impact of COVID-19. In summary the scheme operates as follows.
•The maximum amount available under the scheme is for a loan of up to $400,000 to support planned R&D activity, subject to other forms of government R&D support.
•Interest applies at 3% from the start of the loan; interest is waived if the loan is repaid within the first year.
•Repayment instalments are not compulsory for the first three years; the maximum loan period is 10 years.
•Expectation is for the loan to be paid out in line with Callaghan Innovation’s standard fortnightly payment schedule starting mid-July 2020.
•To be eligible, businesses must:
– be a legal New Zealand entity
– have been in a financially solvent position as at 31 December 2019
– be able to show that their ability to fund their R&D activity is impacted by COVID-19
– have had an R&D programme or plan in place before 26 March 2020 and plan to spend at least $50,000 on R&D.
There is an eligibility tool on the Callaghan website (link above).
There are also some FAQs at the above address, but please email if you would like to discuss (email@example.com)