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Capability Improvement Grant

After closing in 2021 due to funding allocations being exhausted, the Morrison Government has recently announced that the Capability Improvement Grant Program will be renamed the Defence Readiness Grant Program and will restart in late 2022.


De Stefano & Co will provide updates as they are announced.

Have you accessed the Centre for Defence Industry Capability (CDIC) Advisory & Facilitation Services?


If you’ve already received a CDIC advisory or facilitation services report, the Capability Improvement Grant provides between $5,000 and $150,000 to support up to 50% of the cost of engaging a consultant or expert to implement improvements recommended in the report.

If you haven’t accessed Advisory & Facilitation Services yet, find out more here.

Grant improvements may be awarded for the following key areas:

  • Strategic business issues (i.e. Developing formal business plans and review of business model, developing business development strategies and sales plans, etc).

  • Human resources issues (i.e. HR strategies and systems).

  • Internal systems (i.e. Preparation for quality assurance and compliance, OH&S, risk management, etc).

  • Production and operational systems (i.e. Inventory management, process improvements, lean principles and practices, etc).

  • Marketing, branding and communication (i.e. Communications strategies, market plans, sales team performance and management, etc).

  • Financial management systems (i.e. Financial modelling, advice on planning, organising, budgeting and controlling financial resources, etc).

  • Exploring new markets and market intelligence (i.e. Identification of new markets, sector analysis, industry research, competition strategy, etc).

  • Environmental sustainability (i.e. Improving sustainability and reducing footprint, carbon pollution reduction, environmental management systems, etc).

  • Product and service development (i.e. IP protection plans, diversification, research and development planning, etc).

  • Mentoring/coaching (i.e. Engaging an independent business coach or mentor).

  • Skills and training (i.e. Nationally recognised training, full qualifications, some non-accredited training, etc).

For a full list of the key areas and activities, download the CDIC Program Guidelines.


Eligibility Criteria


You may be eligible for a Capability Improvement Grant if you:


  • Have products or services or are developing products or services that have a specific defence application.

  • Require defence specific support which could not be provided through other government assistance.

  • Have an Australian Business Number (ABN).



  • Have received a CDIC Advisory Service Report in the previous 6 months. Note that this period to apply for the grant will be extended to 12 months should you apply within 6 months of receipt of your Advisory Services Report.

  • Have sufficient funds available to fund your share of the cost of engaging an expert or consultant to implement the improvements.

  • Are implementing improvements within the key areas outlined above.

Whether you’ve accessed the advisory and facilitation services and are awaiting your report, have already received your report, or haven’t yet accessed the CDIC services but are eligible, contact us today to find out how we can help you secure a grant.

More information about Capability Improvement Grant is available on the CDIC website.

Why use De Stefano & Co?

With regards to the Capability Improvement Grant, De Stefano & Co can support defence SMEs in two ways:

  1. Providing advice on how to compile and submit the Grant application; and

  2. Providing a CDIC compliant proposal to be engaged as a consultant to implement one or more of the improvements recommended in your advisory or facilitation services report.

Our team has over four decades of experience in the defence industry and understand what Defence and its Prime contractors expect from your business with regard to business maturity.

Whether it’s the development of a defence industry specific strategy, a business development plan or providing the coaching and mentoring to improve your business systems and enable you to play in the sector, we can help.

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