Overview of the Commercialisation Australia Funding Program, presented by Sheryl Frame, WA Case Manager, Commercialisation Australia at ICWA R&D Workshop held on 14 November 2012 at the Jakovich Function Centre in Henderson.

1. Program Overview
Sheryl Frame
Case Manager, Commercialisation Australia
September 2012

2. Commercialisation Australia
• Announced in the 2009-10 Federal Budget – an important
component of Powering Ideas: an innovation agenda for the
21st century
• Funding of $278 million over 5 years to June 2014, plus $82
million a year thereafter
• Objective is to build the capacity of, and opportunities for,
Australia’s researchers, entrepreneurs and innovative firms to
convert intellectual property into commercial ventures
• Program opened for applications on 4 January 2010
• Competitive, merit based program

3. Powering Ideas – Private Sector

4. Bridging the Gap
Early Early
investigation Commercialisation Full-scale production
and basic and later stage and certain marketing
research Technical Work activities
X 
Commercialisation Australia
X

5. Commercialisation Australia Solution
Providing more than just money...
Participant
Funding
Case Manager
Mentors
Networks

6. Case Managers
26 Case Managers across Australia
• All experienced in commercialisation and business
building
• Provide tailored assistance to participants
• Work with participants for duration of grant
• Collegiate network
• No fee for service for participants

7. Volunteer Business Mentors
• Key element of CA value add
• Seeking 3 Categories of Mentor:
– Successfully commercialised IP in the past
– Domain experts in a technical field
– Professional investors, angels, high net worth
• 2 - 4 hours per month
• Advice money can’t buy

8. The Story So Far….
26 Case Managers around Australia
Funding of $126.5 million announced as at 2 November 2012
322 Participants
WA QLD
Case Managers – 3 Case Managers – 5
Participants - 34 Participants - 83
SA and NT
Case Managers – 3
SA Participants – 19 NSW and ACT
NT Participants – 1 VIC and TAS Case Managers – 8
Case Managers – 7 NSW Participants – 88
VIC Participants – 77 ACT Participants – 10
TAS Participants – 10

9. Value of Grants by Key Technology
As at 2 November 2012, 322 Participants have been
supported with grants valued at $126.5 million
Manufacturing, Biotechnology
Engineering and Design $12.9 million
$52.6 million
42%
10%
13% 35%
Software and Web
Computer Systems Design
and Hardware $ 44.5 million
$16.5 million

10. Value of Grants by Key Market
As at 2 November 2012,
Auto, Aviation, Marine and TCF
Automotive, Aviation, Marine & TCF 322 Participants have been
OEM supported with grants
OEM
valued at $126.5 million
Infrastructure and& Building
Infrastructure Building
Health and Medical
Health & Medical
Entertainment, Tourism
Entertainment, Tourism & Sport
and Sport
Energy, Mining and Resources
Energy, Mining & Resources
Education and & Training
Education Training
Defence, SecuritySecurity
Defence and & Safety
Business and
BusinessCommunications
& Communications
Agriculture and Food
Agriculture & Food
Grant Value ($ million)
0 5 10 15 20 25 30

11. Program Model
Multiple entry and exit points to the program
• Competitive, merit based selection process
• Assistance tailored to the needs of the participant
• Case Managers – matched with participants while
they are with CA to guide them through the
commercialisation process
• Volunteer Business Mentors – share insight, networks
and experience as facilitated by Case Managers

12. Commercialisation Australia Solution
Australian Firms, Entrepreneurs and Researchers (via Commercialisation Offices)
Entry Entry Entry Entry
Skills and Experienced Proof of Concept Early Stage
Knowledge Executives Grants from Commercialisation
$50,000-$250,000 Grants from
Expert advice and services Up to $350,000 over 2 $50,000-$2,000,000
up to $50,000 years to engage a Chief
50:50 funding contribution
Executive Officer or other 50:50 funding contribution
80:20 funding contribution executive 2 Years
To test Commercial Viability
For those new to (not R&D)
50:50 funding contribution To assist with bringing a new
Commercialisation
12 Months product, process or service to
12 Months market
Case Managers Volunteer Business Mentors
Advice and mentoring throughout life-cycle Provide introductions and networking opportunities
Exit Exit Exit Exit
Multiple Exits
(inc. Fast Failure, Licensing, Angel Investment, Joint Ventures, Referral to other Programs)

13. Applicant eligibility –
Researchers and Individuals
• Must apply through a university or publicly funded
research agency (PFRA) commercialisation office or
Eligible Partner Entity
• Must demonstrate appropriate access to the IP for the
project
• Can only apply for the Skills and Knowledge component
or Proof of Concept component
• Must be undertaking eligible activities to commercialise
a new, clearly defined product, process or service
• The university commercialisation office, PFRA
commercialisation office or Eligible Partner Entity
becomes a party to the contract with the
Commonwealth

14. Applicant eligibility –
Companies
• Must be a non tax-exempt company incorporated under
Corporations Act 2001 (with an ABN and an ACN), or an
individual who will form a company if successful
• Group turnover in each of the past 3 financial years must be
<$50 million for Early Stage Commercialisation grants or
<$10 million for all other assistance
• Must have the ability to fund share of project costs not met
by the grant
• Must have appropriate access to the IP for the project
• Must be undertaking eligible activities to commercialise a
new (novel), clearly defined product, process or service

15. Need for Funding
• The Commercialisation Australia Board assesses
applications first against this criterion
• Only applications that satisfy this criterion will be
assessed against the remaining merit criteria and
receive a merit ranking
• Applications must explain why it would be
unreasonable of the CA Board to expect them to raise
the money otherwise

16. Market Opportunity
• Explanation of the customer problem solved and/or what
market demand the product, process or service satisfies
• Definition of the target market
• Estimation of the size of the target market
• Definition of the project IP, how it will address the market
opportunity, and any protection mechanisms employed

17. The Value Proposition
• a clear, concise and compelling value
proposition, i.e. why the customer will buy
the product, process or service
– Must be relative to the
to the competition
– May involve users,
purchasers, influencers
and other stakeholders

18. The Execution Plan
• Current status and immediate challenges in
commercialising the innovation.
• A clear plan to overcome these challenges
(PROJECT PLAN)
• Post-project plan for achieving business
viability, including:
– Clear objectives for overcoming further challenges
– core elements and means to achieve profitability
and return on investment (with robust projections)
– a sound intellectual property strategy.

19. Management Capability
• Explanation of what level of expertise is held in:
– commercialisation management,
– project management,
– business management and
– relevant sector/technology domain
• What role will each play in the
“project”
– This should link with the PBC,
including the percentage of time.

20. National Benefits
• Explanation of how the project will improve
Australia’s participation and competitiveness in the
global economy
• Explanation of what significant spill-over benefits will
accrue to Australia and how they will come about
through the conduct of the project and/or
commercialisation of its results including:
– diffusion of knowledge and skills;
– diffusion of new products, processes or services;
– increased collaboration between businesses
and/or businesses and research institutions

21. Application Process
• Step 1:
KNOW THE PROGRAM: website, literature, etc (CIG is
your rulebook for CA); self assess eligibility and
merit.
• Step 2:
Submit Stage 1 Application Form
(Download from the website email to
CAWA@innovation.gov.au)

22. Contacting Us
Website:
www.CommercialisationAustralia.gov.au
Hotline:
13 22 56
Email:
cawa@innovation.gov.au
Sheryl Frame: sframe@westnet.com.au
Marcus Christian: marcus@capra.com.au
Chris Farquhar: chris@reparo.com.au