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Securing AUKUS submarine grants

Tim Entwisle is a director at Madrigal Communications who specialises on defence grants directly related to AUKUS Pillar 1 & Pillar 2 pathways.

The AUKUS submarine project represents a promising opportunity for small businesses in the defence sector. The government is providing grants to SMEs to develop their capabilities in being able to participate in the opportunities. Madrigal Communications Director Tim Entwisle provides advise on how to succeed with your grant writing

Responding to the complex grant processes can be intimidating and if you have no experience in the processes it can result in a lot of work for no reward. Even if you are experienced in pursuing tenders, grant applications require a different approach.

Director of Madrigal Communications, Tim Entwisle, provides some advice on the approach necessary to succeed in winning government grants, particularly for Defence Industry Development Grants Program. Madrigal is a highly successful marketing communications agency that specialises in tender writing and grant writing. They have successfully worked with the big four, defence industry consortiums, and small businesses (including recruitment firms) on Defence contracts including the Naval French submarine project and other Australian Navy projects.

Tim has worked in multiple government roles from research and development in water and wastewater, to reform program management and government communications. The Madrigal team has strong grant and tender writing experience in the defence, infrastructure, construction, energy and the health and allied health sectors. The Madrigal team possesses extensive expertise in government procurement, technical and business writing, publishing, project management, and communications. This broad skill set enables them to offer holistic services that cover all aspects of the grant writing process.

The Defence Industry Development Grants Program

In January 2025, the Australian Federal Government increased the amount of money being offered by the Defence Industry Development Grants Program. Over the next two years the government will fund initiatives to develop Australia’s local defence industry. They will support an estimated 125 local businesses to build their capabilities in meeting the standards necessary to participate in the AUKUS submarine construction activities.

The Defence Industry Development Grants Program funds four distinct grant opportunity streams to address the desired program outcomes. These are Sovereign Industrial Priorities, Skilling, Exports and Security. These four grant stream opportunities are being assessed in batches, but you can apply at any time.

1. Sovereign industrial priorities stream

The Sovereign Industrial Priorities stream will assist eligible small to medium enterprises (SMEs) to purchase manufacturing plant and equipment which is used directly to develop or deliver programs that are in line with the Sovereign Defence Industrial Priorities (SDIPs) described in the Defence Industry Development Strategy (available online).

2. Skilling stream

The Skilling stream helps the Australian defence industry to upskill and train in priority trade, technical and professional skillsets to develop a workforce with the right mix of qualified and experienced personnel to meet Defence requirements. The program will improve the capacity and capability of the Australian defence industry workforce to deliver the SDIPs.

3. Exports stream

The Exports stream provides support for small to medium enterprises (SMEs) to overcome export barriers and help defence industry build scale and competitiveness in defence capability priority areas.

4. Security stream

The Security stream helps the Australian defence industry improve and maintain security in identified priority areas. Again in line with the SDIPs.

How to write successful grant applications

Writing successful grant applications requires strong professional skills to effectively communicate the merits of your organisation and how you will deliver the program outcomes. This is Tim Entwisle’s advice on the key areas to focus on in writing grant applications.

1. Thoroughly understand the government’s desired outcomes

It is important to fully understand how the grant opportunity is set up to deliver the government’s requirements and to meet their policies and desired outcomes. Therefore, it is important to be able to analyse the requirements of the Defence Industry Development Strategy, it is priorities and selection criteria, so that you can align the application with these requirements.

2. Clearly communicate the benefits your initiative will deliver

Effective grant applications require clear, concise, and persuasive writing. The ability to articulate your organisation’s significance to the program, your proposed methodologies, and potential impacts in a compelling way is essential in being able to meet the assessment panels particular needs. This will require two quite different writing skills: technical writing is needed to be able to articulate the details of your business proposal clearly; and business writing to be able to pitch the proposal professionally.

3. A sophisticated methodology showing quality control and risk

Where you can build a strong advantage in any business proposal is being able to articulate a detailed methodology with robust quality control processes and comprehensive risk management strategies. Quality (quality control and quality assurance) are the most important aspect of selling goods or services to the government and more so with Defence projects. Madrigal Communications always emphasises these components to showcase the thoroughness and reliability of the proposed project or solution.

4. Focus on compliance and attention to detail

A strong focus on necessary detail is needed to make sure that the application complies with requirements, including formatting, word limits, and supporting documentation. Tim Entwisle’s experience in with tenders and grants suggests that failure to meet the mandatory selection criteria are often the cause of grant proposals being rejected.

5. Budgeting and financial acumen

When asking for grant money it is vital to provide a realistic, detailed and realistic budget that aligns with the benefits you are offering. It is always more desirable for the government to contribute funds if there are also funds being provided by the client and other sources, such as partner organisations. If the grant supports or encourages other funding it helps leverage the application by showing collaboration that increases the credibility of your request. By that we mean if the government spends one dollar to get two dollars of benefit it becomes a more attractive proposition.

6. Branding and professional presentation

In a competitive market such as defence presenting your application with a high standard of professionalism is critical. visually appealing but also content-rich and persuasive.

Getting assistance with your grant application

If you do not have the skills in your team to create a professional grant application, it may be necessary to engage a specialist agency like Madrigal Communications to help understand the requirements and to present a quality grant application.

Madrigal Communications aims to foster long-term partnerships to provide strategic support and advice to help our clients navigate the complexities of grant opportunities and to write superior tenders. Our goal is to support small and medium businesses in gaining the capability to be able to win work on the AUKUS submarine project and to achieve sustained success within the defence sector.

More information is available at www.madrigal.com.au
Or contact Madrigal Communications at 1300 77 88 18 or [email protected]

Published with permission from Madrigal Communications.