Grants and support for buying a franchise in Australia: what actually exists
Search for franchise grants and you'll find plenty of promises. In reality, government grants rarely pay for buying a franchise. Here's the support that genuinely exists, and how to spot offers that aren't real.
Are there grants to buy a franchise in Australia?
- business.gov.au's grants and programs finder is free and searches programs across government, filtered by location, industry, business stage and type of support.
- Competitive grants have limited funding, so not all applications succeed, and programs generally won't accept a late application.
- Self-Employment Assistance is open and offers free workshops, business plan development and small business coaching.
- Indigenous Business Australia provides finance, including for buying an existing business, where a business is at least 50% Indigenous-owned.
- The government doesn't cold call offering grants or charge a fee to release grant money (Scamwatch).
- Franchisor discounts, fee holidays and vendor finance are commercial terms, not grants, so get them written into the agreement.
Why grants rarely fund a franchise purchase
- Government grants are a way for government to achieve its policy objectives, so they fund work that serves those objectives (business.gov.au).
- On most occasions, the funding is for a specific project rather than your business as a whole.
- Some grants only need simple eligibility questions answered, but others are competitive and awarded on the merit of your application.
- Applications may ask for evidence such as your business's annual turnover and how long you've been running it, which a buyer who hasn't started may not have.
- business.gov.au suggests working out whether the effort of applying is worth the likely return before you start.
- Filtering the grants finder by your location, industry and business stage is the only reliable way to check what you might qualify for.
Support that does exist for franchise buyers
- Self-Employment Assistance (federal): free services including exploring self-employment workshops, business plan development, accredited small business training, business advice sessions, business health checks and small business coaching. You must be at least 15 (18 for coaching), an Australian citizen, permanent visa holder or other listed visa holder, and not an undischarged bankrupt.
- Indigenous Business Australia (IBA): finance for businesses that are 50% or more Indigenous-owned, including a Business Loan Package for working capital, the purchase of existing businesses, and plant and equipment.
- IBA Start-Up Finance Package: up to $150,000, including up to 30% of a new business loan as a non-repayable grant to buy business assets, on a 7-year loan term. It's for eligible Aboriginal and Torres Strait Islander start-ups trading for less than 2 years, with turnover under $400,000.
- Queensland: Business Queensland publishes a small business grants schedule and a grants finder, and its Mentoring for Growth mentors can help with applying for government grants.
- Other states and territories publish their own business programs, so check your state government's business website too.
- Tax concessions aren't grants, but some reduce the cost of equipment. Our vehicle and equipment finance guide explains the instant asset write-off.
Step by step: how to search for grants properly
- Start at business.gov.au's grants and programs finder, and filter by location, industry, business structure, business stage and the type of support you want.
- Filter by status to see open and upcoming programs, and note each closing date. Programs generally won't accept a late application.
- Check your state or territory government's business website for local programs.
- Read the guidelines before you apply: who is eligible, what the project must achieve, and what evidence you'll need.
- Collect your evidence first, such as turnover, trading history, project costings and your business plan. business.gov.au says applications are easier to write that way.
- If you're unsure whether you're eligible after reading the guidelines, contact the grant administrator before you invest time in an application.
- If you're unsuccessful, ask for feedback. business.gov.au suggests treating each application as a learning opportunity.
Red flags: grant scams and paid grant access
- Someone cold calls or emails to say you've been approved for a grant you didn't apply for.
- You're asked to pay a fee to release grant funds.
- A website charges for grant lists or special access. business.gov.au says it will never ask you to pay for grant information, and grants are awarded on merit.
- The caller names a department that doesn't exist, such as an 'Australian Government Grants Department'.
- The website claims to be official but doesn't end in .gov.au.
- A franchise seller says a government grant will cover your fee. Ask for the program's name and check it on business.gov.au yourself.
- If you suspect a scam, stop contact and report it to Scamwatch.
Other ways to reduce what you need to raise
- Choose a lower-cost system. Our budget pages list franchises under $30,000 and under $50,000.
- Consider buying an existing franchise, where you can check actual trading history before you pay.
- Ask the franchisor whether fees can be staged or deferred, and make sure any concession is written into the agreement.
- Compare leasing with buying for equipment. Our vehicle and equipment finance guide sets out the trade-offs.
- Keep a working capital buffer rather than stretching to the largest loan you can get.
Checklist: before you rely on any grant or support offer
- I found the program on business.gov.au or another .gov.au site myself.
- I've read the guidelines and I meet the eligibility criteria.
- The program is open, and I know the closing date.
- I haven't paid anyone for grant information or access.
- My budget still works if the grant doesn't come through.
- Any franchisor concession is written into the franchise agreement.
- I've talked the plan through with a free adviser or my accountant.
Sources
- business.gov.au: Grants and programs finder
- business.gov.au: Check if you're ready to apply for a grant
- business.gov.au: Self-Employment Assistance
- business.gov.au: Start-Up Finance Package (Indigenous Business Australia)
- Indigenous Business Australia: Business finance
- Business Queensland: Finding grants and business support (updated 14 October 2025)
- business.gov.au: Don't pay for government grant information (7 May 2024)
- Scamwatch: Beware of government grant scams
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Frequently asked questions
Can I get a government grant to buy a franchise?
It's unlikely. business.gov.au explains that grants exist to achieve government policy objectives and, on most occasions, fund a specific project rather than a business as a whole. Search the free grants and programs finder with your location, industry and business stage to check, but plan your purchase as if no grant will be available.
Are there grants for Indigenous Australians to start a business?
Indigenous Business Australia's Start-Up Finance Package offers up to $150,000, including up to 30% of a new business loan as a non-repayable grant to buy business assets, for eligible Aboriginal and Torres Strait Islander start-ups. IBA also offers business loans, including for buying an existing business, where the business is at least 50% Indigenous-owned.
Is there free help for people starting a franchise?
Yes. The federal Self-Employment Assistance program offers free workshops, business plan development, accredited small business training, business health checks and small business coaching, and you can apply at any time. Some states run their own services too, such as Business Queensland's Mentoring for Growth, which can help with grant applications.
Is a franchisor's 'grant' or fee waiver the same as a government grant?
No. A franchisor discount, fee holiday or contribution is a commercial term of the deal, not public funding. It can still be valuable, but check that it's written into the franchise agreement, understand any conditions attached, and compare the total cost of the franchise with and without it rather than treating it as free money.
How can I tell if a grant website is legitimate?
Official grant information is free on government websites ending in .gov.au, including business.gov.au's grants and programs finder. business.gov.au says it will never ask you to pay for grant information, and grants are awarded on merit, so paying can't improve your chances. Scamwatch warns that the government doesn't cold call offering grants or charge fees to release them.
Can I get a grant for franchise equipment?
Some programs may cover equipment linked to a specific project, so search the grants finder for your industry and location. For eligible Aboriginal and Torres Strait Islander start-ups, IBA's Start-Up Finance Package includes a grant component for buying business assets. Otherwise, compare finance options such as a loan, hire purchase or lease.
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