A manufacturer was considering building a new factory to support improved market share in the eastern states. FPL Advisory were engaged to assist the manufacturer in assessing opportunities for government incentives and partnerships in NSW and Victoria to support the new factory.
Situation
The manufacturer was facing significant operational and funding barriers preventing a clear decision to establish the new factory and was seeking ways to reduce this burden and open the opportunity to expand. Recognising the contribution a new factory could make, they engaged FPL to assess options for government partnership and support to reduce some of these barriers. We were asked to identify government partnership opportunities that would underpin a business case for interstate expansion.
Action
FPL Advisory developed a business case based on our analysis of the business opportunities and an understanding of government priorities and processes. While the project faced several challenges in terms of funding arrangements, timelines in decision-making and project plans our strong project management ensured that the we continued to move towards a positive outcome for the manufacturer.
Resolution
Through our assessment and business development process we identified opportunities to partner with both state and local government in Victoria. Our client secured substantial funding support from the Victorian Government and a record grant from local government to offset infrastructure costs. This was further supplemented by an additional grant to address major energy costs. The government partnership underpinned the business case for the project and was critical to the Board’s decision to proceed with the project. The factory is projected to create over 200 new jobs in a critical urban-fringe development area.
FPL Advisory supports clients across many industry sectors to resolve risks, create opportunities and support government engagement.