The 2025 Local Capability Fund (LCF Fund) grants are now open, offering WA-based small to medium businesses co-funded support of up to $50,000. These grants are designed to strengthen the capacity of WA businesses to supply into major project and government contracts, from defence and energy to infrastructure and regional development.
If you’re considering applying, this is the time to get clear on which round fits your business and what’s required to put forward a competitive application.
This guide outlines the five grant rounds available, what each round covers, who’s eligible, and what you can and can’t claim. It also includes details on the different levels of support available to WA businesses – whether help with writing applications, reviewing drafts, or preparing supporting documents.
Key rounds and dates
LCF round name | Closing date | Learn more | More info |
---|---|---|---|
Aboriginal Business Round – with Clean Energy Incentive | 4 September 2025 | Learn more | Guidelines |
Digital Transformation Round | 4 September 2025 | Learn more | Guidelines |
Standards Compliance Round | 4 September 2025 or when funding is exhausted | Learn more | Guidelines |
Supplying Key Projects Round | 4 September 2025 | Learn more | Guidelines |
Regional Supplier Round | 4 September 2025 | Learn more | Guidelines |
1. Digital Transformation Grant
Grant close: 4 September 2025
Grant size:
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Stream 1: Up to $25,000
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Stream 2: Up to $50,000
Cofunding required: Yes (50%)
Overview
The Digital Transformation Grant supports WA businesses seeking to adopt or upgrade digital technologies, systems, and processes to improve operational efficiency, cybersecurity, and competitiveness. It aims to help businesses scale through automation, data integration, and enhanced digital infrastructure.
Who it’s for
WA businesses investing in digital tools or systems to improve performance, cybersecurity, or process automation.
Eligibility overview
- ABN and GST-registered (12+ months)
- WA-based, operating 3+ year
- B2B or government-facing services
- $500K+ turnover in 1 of the last 3 years
- 1–199 FTE employees
What’s eligible:
- New digital tools or systems to improve efficiency, cybersecurity, or automate processes
- Consultancy for digital adoption or cybersecurity
- Software integration like ERP or CRM
- Advanced tech purchase specific to your industry (e.g., manufacturing automation, precision agriculture tech)
- Short-term digital skills training
What’s not:
- Routine office tech (laptops, phones)
- Software or tech upgrades that don’t significantly improve operations
- Marketing, general business consulting, or advertising
- Retrospective costs (expenses before applying)
- Routine business expenses like wages or property upgrades
2. Standards Compliance Round
Grant Close: 4 September 2025 (or earlier if funds exhausted)
Grant Size: Up to $20,000
Cofunding Required: Yes (50%)
Overview:
The Standards Compliance Round Grant supports WA businesses aiming to achieve or maintain national and international standards certifications (such as ISO 9001, ISO 14001) to improve competitiveness and readiness for government and major project contracts.
Who It’s For:
Businesses seeking to strengthen their contract readiness through standards compliance and certification.
Eligibility Overview:
- Principal place of business in WA, operating there for at least 3 years
- ABN registered and GST registered for 12+ months (and remain so)
- For-profit SMEs or incorporated commercial Aboriginal Corporations
- Primarily supply goods or services to businesses or government (not walk-in retail)
- Solvent business with fewer than 200 full-time employees
- One application per ABN per financial year
What’s Eligible:
- Consultancy and support services for certification implementation
- Costs associated with third-party audits and certification
- Activities directly linked to achieving or upgrading standards
What’s Not:
- Ongoing accreditation maintenance or surveillance audits
- Work by unqualified consultants
- Costs unrelated to standards compliance
- Retrospective expenses (incurred before application)
Standards Covered:
- ISO 9001 – Quality management standards to help work more efficiently and reduce product failures;
- ISO 14001 – Environmental management standard to help reduce environmental impacts, reduce waste and be more sustainable;
- ISO 45001 – Health and safety standards to help reduce accidents in the workplace;
- ISO 27001 – IT security standards to help keep sensitive information secure;
- ISO 50001 – Energy management standards to help reduce energy consumption;
- AS/NZS 5131 – Steel industry compliance standards to help improve the integrity of structural steelwork; and
- ISO 13485:2016 – Medical devices – Quality management systems – requirements for regulatory purposes*.
3. Supplying Key Projects Round
Grant Close: 4 September 2025 (or earlier if funds are exhausted)
Grant Size: Up to $50,000
Cofunding Required: Yes (50%)
Overview:
The supplying Key Projects Round LCF Fund grant supports WA-based small to medium enterprises (SMEs) to improve their capability, capacity, and competitiveness to supply goods or services to major projects in sectors such as energy, mining, civil construction, defence, and marine. It aims to help businesses meet the requirements of government and private sector contracts and expand into new supply chains.
Who It’s For:
Businesses operating in WA that supply or intend to supply major projects run by State or Local Government, the Australian Government, or private sector clients, especially in the priority sectors listed above.
Eligibility Overview:
- Principal place of business in WA and operating there for at least 3 years
- Registered for GST and ABN for 12+ months, and intending to remain so
- For-profit business or incorporated not-for-profit Aboriginal Corporation operating commercially
- SME with fewer than 200 full-time equivalent employees
- Primarily supplies B2B or government, not reliant on walk-in retail
- One application per ABN per financial year
- Previous LCF fund recipients can apply if compliant with reporting and funding limits
What’s Eligible:
- Activities to improve supply capability for major projects
- Business planning, systems or process upgrades related to supply readiness
- Training, certifications, and compliance related to project supply
- Engagement and market development activities in targeted sectors
What’s Not:
- Routine operational expenses or general business costs
- Activities unrelated to major project supply capability
- Retrospective costs incurred before grant application
- Land, property acquisition, or general office equipment
4. Aboriginal Business Round – with Clean Energy Incentive
Grant Close: 4 September 2025
Grant Size: Up to $50,000
Cofunding Required: Yes (Applicant contributes 25%, grant covers 75%)
Overview:
The Aboriginal Business Round Grant supports WA based Aboriginal-owned SMEs, with at least 50% Aboriginal ownership, to improve their capacity and competitiveness to supply goods, services, and works to export markets, government, and private sectors. It also incentivises participation in the clean energy supply chain by providing a 10% scoring boost for projects linked to clean energy.
Who It’s For:
- Aboriginal-owned businesses (50%+ ownership)
- Businesses registered with Aboriginal Business Directory WA or Supply Nation
- SMEs operating in WA for 12+ months
- Businesses supplying B2B or government clients (not reliant on walk-in retail)
Eligibility Overview:
- 50%+ Aboriginal ownership
- Registered in Aboriginal Business Directory WA or Supply Nation
- Principal place of business in WA for 12+ months
- Operating in WA for at least 12 months at application time
- Registered for GST and ABN for 12+ months and intend to stay registered
- For-profit or incorporated not-for-profit Aboriginal corporation
- SME with fewer than 200 full-time equivalent employees
What’s Eligible:
- External expertise such as strategic business planning, marketing, supply chain facilitation, tender submission preparation, grant application support
- Improvements to internal infrastructure and systems including production, transport, IT, communications, cybersecurity, operational systems
- Training and upskilling of employees, including travel/accommodation for training if local options aren’t available
- Plant and equipment purchase (new or second-hand via dealers), modifications, upgrades or expansions to business facilities
- Purchase of specialised motor vehicles and specialised computer hardware/software used exclusively for business purposes
What’s Not:
- Works by consultants or trainers without appropriate expertise
- Conflict of interest third-party work
- Legal action support
- Non specialised vehicles (utility vehicles, vans, 4x4s)
- Product certifications, testing, trademarks
- Retrospective activities or already funded by other government grants
- Activities outside WA
5. Regional Supplier Round
Grant Close: 4 September 2025
Grant Size: Up to $20,000
Cofunding Required: Yes (Applicant contributes 50%, grant covers 50%)
Overview:
The Regional Supplier Round Grant supports SMEs based in designated regional areas of Western Australia to build business capability, capacity, and competitiveness to supply goods, services, and works to export markets, government, and private sectors.
Who It’s For:
- SMEs with principal place of business in a regional WA Local Government Area as defined by the Regional Development Commission Act 1993
- Businesses actively operating in that region for at least 12 months
- For-profit or incorporated not-for-profit Aboriginal Corporations
- Businesses supplying primarily to other businesses or government (not walk-in retail reliant)
Eligibility Overview:
- Principal place of business in regional WA LGA (per Schedule 1 of the Regional Development Commission Act)
- Operating actively in that region for 12+ months
- Registered for GST and ABN for 12+ months and intend to remain registered
- Solvent at application and throughout project duration
- SME with fewer than 200 full-time equivalent employees
What’s Eligible:
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External expertise such as:
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Strategic/business planning
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Marketing plan development/implementation
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Tender submission preparation
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Improvements to internal business systems including:
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Production, transportation, distribution
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IT and communications (including cybersecurity)
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Operational systems to meet market pre-qualification
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Training:
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Employee upskilling
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Employer-mandated staff training
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Travel/accommodation for training where local unavailable
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Plant and equipment:
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New or dealer-sourced second-hand machinery/equipment
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Expansion or upgrades to owned business facilities
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Purchase of specialised vehicles (e.g., forklifts, cherry pickers; excluding utilities, vans, 4x4s)
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What’s Not:
- Consultants/trainers without appropriate expertise
- Works involving conflict of interest
- Legal action support
- Private sale second-hand equipment
- Non-specialised vehicles (utilities, vans, 4x4s)
- General office hardware/software upgrades unless exclusively business-use and vital
- Retrospective costs (incurred before application)
- Activities funded by other government grants
- Activities outside WA
Unlocking your LCF Fund grant potential with expert support
Our track record speaks for itself
Soto Group has helped clients successfully secure grants ranging from $15,000 up to $15 million, spanning diverse and specialised sectors such as:
- Sustainability and Environment
- Technology and Innovation
- Medical and Biotechnology
- Arts, Tourism, and Entertainment
- Women’s Advancement
- Not-for-Profit and Purpose-Driven Organisations
- Federal and State Government Funding
Some highlights of our most competitive and successful submissions include:
- CRCP Recycling Grant – $2 Million
- Women in STEM & Entrepreneurship – $1 Million
- Building Women’s Careers – $1 Million
- Arts and Recreation Grants – $400,000
Our Grant Support Packages
Our specialised grant service packages allow you to engage with us at the level that best suits your capacity and goals, ensuring you get maximum value and results.
Package 1: Full Service
$5,000 + GST
We handle the full grant writing and grant submission process end-to-end. Our specialist and expert grant writers guide the entire process. We just tell you what information we need, and work from what you have.
- LCF Fund Grant writing
- Submission through grant portal
- Grant budget preparation
- Supporting documentation
Package 2: Partial Service
$3,500 + GST
You run point on the upload and grant supporting documentation, we write the grant.
- Grant writing only
- Client must transfer grant into submission portal, manage supporting documents and uploads and provide accurate financial estimates and budgets as directed by our team
Package 3: Review Only
$1,000 + GST
Already drafted your grant application? Or want to use an existing submission and get it in shape for this round? We’ll review it, then sharpen it.
- Line-by-line review of your LCF Fund grant submission
- We suggest edits + final recommendations
- We review your edits and give you the seal of approval to submit
Frequently Asked Questions
- What does cofunding mean?
You need to match the LCF fund grant dollar-for-dollar. If you apply for $50,000, you’ll need $50,000 committed on your side (available in your bank, committed through investment or budgeted) at time of submission. - How long does the process take?
For a full service package, expect around 1.5–2 weeks for drafting, review and finalisation, so don’t leave it to the last week. However, if you want it in the last week, we can do it, you’ll just incur a 30% surcharge. - Can I apply for more than one LCF Fund round?
Yes, if your project fits the LCF Fund eligibility. Each LCF Fund application needs to be scoped and submitted separately. - How can I increase my chances of winning the Local Capability Fund Grant Rounds in WA?
Increasing your LCF Fund chances comes from understanding the unique nature of the questions being asked in the assessment criteria, and answering them specifically. Not providing answers you think make your product / service more compelling. OR by working with an experienced LCF Fund grant consultancy like Soto Group.
Government grants, just like the LCF Fund, especially in competitive areas like sustainability and the environment, technology and innovation, medical and biotechnology, women’s advancement, and NFP sectors, require strong, evidence-based submissions.
Our team specialises in developing clear, compelling applications aligned with federal and state government criteria. We help you strengthen your case through detailed project planning, cost-benefit analysis, cashflow forecasting, and tailored documentation to improve funding outcomes.
Why Choose Soto Group for your LCF Fund Grant application?
Successful grant applications typically go beyond ticking boxes, they clearly demonstrate the project’s commercial merit, economic impact, and alignment with government priorities.
At Soto Group, we specialise in helping businesses navigate this complexity. Our team understands what government assessors are looking for and builds tailored submissions that include strategic business planning, cost benefit analysis, project timelines, and robust financial forecasting.
Our team are not only experienced, and successful, grant writers we are advisors to various state and federal government programs, including the previous Innovation Booster Grant and Commercialisation Bridge Grant.
Our dedicated grant writers work closely with you to deliver:
- Specific LCF Fund grant write ups and presentations that clearly articulate your project’s value
- Financial forecasting and cost-benefit analysis
- Industry and competitor analysis to strengthen your application
- Stakeholder engagement and risk mitigation planning
Partner with us to confidently navigate the LCF Fund grant process and unlock funding that propels your business forward.
Ready to move?
We’re currently booking into late August for LCF Fund full service submissions. If you’re considering applying, now’s the time to lock it in. Contact us today.