The Australian Government has today announced an $83 million extension to its Innovation Investment Follow-on Fund (IIFF).

The Department for Innovation, Industry, Science and Research will manage to finance the fund by reinvesting money it received when firms it supported were floated or sold.

When asked if the funding would be available for new start-ups, spokesperson for Mr Carr told Tech Wired:

“The funding will be available to existing start-ups, not new ones”

As to when it will become available we were told:

“We’re working on getting it out as quickly as we can, mid year at the latest”

After liaising with a member of the department, the spokesperson confirmed that in order to receive funding a company would need to submit an application form detailing the amount they needed:

“There isn’t a set amount of money as such, you apply for how much you need”

So why this is being done? The department is concerned that private funding had ‘dried up’ and therefore will be stimulating the industry with funding of its own.

“The industry is in serious trouble with private funding, and with such terrific Australian ideas out there, we need to support them”

Senator Kim Carr, Minister for Innovation, Industry, Science and Research said in a media release today:

“The Innovation Investment Follow-on Fund (IIFF) is about ensuring a future beyond the financial crisis for our best and brightest start-up companies.”