FAQs: Builders’ Support Facility

Applications will open at 10.00 am (AWST) on Monday 26 August 2024.

To prepare for your application go to the Builders' Support Facility program guidelines and terms and conditions and gather the information and documents required. You may wish to download the checklist provided to help you.

Yes, if you applied for a loan in Round 1 of the Builders Support Facility, you may still apply again for different properties. 

Applicants must be a Western Australian based residential building business with an ABN (the business) and also meet all the eligibility criteria. Refer to the Builders' Support Facility program guidelines and terms and conditions for the eligibility criteria.

Meeting the eligibility criteria does not automatically entitle applicants to assistance under this Facility.

The Builders’ Support Facility (the Facility) is subject to set funding by the Western Australian Government. Not all eligible applicants are guaranteed to receive funding due to funding limitations.

Loans will be offered on a “First come” basis to successful applicants and is subject to the availability of funds. The provision of loans will be at the absolute discretion of the Minister under the Industry and Technology Development Act 1988 or their delegated officer.

Yes. Please see eligibility criteria.

No, the business must have retained continuous GST registration from 1 July 2020 to be eligible to apply.

Yes, the business can apply. However, it will need to provide supporting evidence to demonstrate continuous operations from 1 July 2020.

You can find this number on any letter the government has sent to your business. Or, you can use the ABN Lookup tool to search your business. You do not need to provide supporting evidence, simply quote this number.

No, the business must have retained a valid ABN or ACN and have been registered for GST without interruption since 1 July 2020 to be eligible to apply.

Yes, the business can apply, however it will be required to provide details of these proceedings as part of the application and this will be considered by the assessment panel.

As long as all businesses meet all of the eligibility requirements and have separate ABNs, you can apply for multiple businesses. A separate application must be completed for each business.

To assist in validating the eligibility of the application and to protect the program from fraud, it is important that unredacted PDF copies of documents are provided, which include a copy of the most recent business bank statement for the account into which any loan would be paid.

PNG, JPGs and word documents will not be accepted.

All documents required to evidence financial and organisation capacity are listed in the Builders' Support Facility program guidelines and terms and conditions.

Yes, as long the business has been in continuous operation in Western Australia since 1 July 2020, and the building contractor has submitted an application for the renewal of registration.

No. To apply for the Facility, the building contractor registration must have been held continuously from 1 July 2020.

A Class 1a is one or more buildings, which together form a single dwelling including the following:

1. A detached house.
2. One of a group of two or more attached dwellings, each being a building, separated by a fire-resisting wall, including a row house, terrace house, town house or villa unit.

No. An apartment is not a Class 1a residential building.

You must provide a copy of the Building Permit (BA4) from the Permit Authority, that includes the term, and is signed and dated by an authorised officer of the relevant local government.

Where an extension has been sought, an approved BA22 Applicant Application to Extend Time Permit is required.

To demonstrate that works have commenced, you must submit a valid Building Approval (BA4 form) from the permit authority, which is signed and dated by an officer of the relevant local government authority. 

Presentation of a BA7 - Notice of completion for each respective house.

A copy of the Home Indemnity Insurance (HII) policy that was sent to the builder in relation to each subject property including in the application.

Yes. Each property must have HII as specified for residential building work valued over $20,000 as specified in the Home Building Contracts Act 1991.

If you are the owner of a home that has not been completed for more than two years and meets the eligibility criteria of the Builders' Support Facility, you should enquire directly with your builder about whether they have applied for the Facility. SBDC is unable to provide applicant information details to homeowners enquiring about the Facility.

WA-based residential building businesses that meet all the criteria may apply – please refer to the eligibility criteria in the Builders' Support Facility program guidelines and terms and conditions.

The loan amount available for each eligible residential builder under Round 2 is up to $300,000, with a maximum of $60,000 allocated per new, incomplete home. 

Applicants have the flexibility to apply for a lesser amount than $60,000 to complete a home and also a lesser amount than the maximum $300,000. 

Yes. The $300,000 maximum applies independently to each round. This means that applicants who received a loan in Round 1 are still eligible to apply for up to $300,000 in Round 2 but only for homes not funded in the previous round. 
 

The recipient must execute the Deed of Loan provided by the Department of Jobs, Tourism, Science and Innovation and agree to the Terms and Conditions of the loan.

The term of the Builders’ Support Facility Loan is a maximum of five years from execution of the Deed of Loan. The first repayment instalment will be due 12 months after execution of the Deed of Loan.

At the end of the loan term, the loan recipients must repay or refinance any remaining loan balance through commercial finance (or repayment by other means).

The principal of the loan may be repaid (wholly or partly) at any time during the term of the loan without incurring a fee or penalty.

JTSI will determine the repayment amounts and frequency offered to successful applicants, and this will be detailed in the Deed of Loan.

Under no circumstances can a loan recipient redraw on repaid Builders’ Support Facility Loan amounts.

No, the loan is interest free. Recipients are only required to make principal repayments.

Funds from loan drawdowns will be transferred directly into an Australian business bank account designated by the recipient.

Successful applicants will be required to access one-third of their total Builders’ Support Facility Loan from JTSI within three (3) months of executing the loan agreement, or as mutually agreed upon with JTSI.

The remaining disbursements will be paid within three (3) months of the builder providing evidence of the practical completion, with the provision of a BA7 Notice of Completion for each home, in accordance with the terms of the Deed of Loan

Repayment of the loan must begin 12 months after entering into a Deed of Loan and be completed within a five-year period.

The final loan repayment instalment must be made prior to 31 December 2029.

Home completions approved under this initiative must reach practical completion within 12 months of the execution of the Deed of Loan.

Applicants can apply for as many incomplete homes as needed, as long as the total loan request in Round 2 does not exceed $300,000 and no more than $60,000 is allocated per home.

Loan funds must be used to complete the home/s subject to the loan agreement.

Examples of ineligible loan uses include:

• Purchase of private and domestic assets.
• Payment of private and domestic expenses.
• Purchase of and/or investment in non-business assets and payment of non-business expenses.
• Payment of tax and statutory payments.
• Payment of dividends or other distributions of equity to owners.
• Payment of intercompany debts or any accrued payments owed to owners.
• Reimbursement for depreciation of assets.
• Progression or completion of homes that are not the subject of the loan agreement.
• Activities that do not support the completion of the subject residential homes.

No, the loan cannot be refinanced.

Applicants must seek independent advice on the tax and financial implications of this program.

Applicants are encouraged to seek independent advice on the tax and financial implications of this program.

All information supplied for the purposes of this program is subject to the Freedom of Information Act 1992 (WA) which provides a general right of access to records held by state and local government agencies.

Applicants should also be aware that the information pertaining to the receipt of Western Australian Government financial assistance may be tabled in the Western Australian Parliament. This information may include the name of recipients, the amount of the assistance, the name of the project/activity and, possibly, a brief description thereof. This could result in requests for more details to be released publicly.

Should the Applicant require further information in relation to this issue, please contact JTSI on BSF@jtsi.wa.gov.au.

If you have any queries about the application process for the Builders’ Support Facility, please call 133 140 or email grants@smallbusiness.wa.gov.au.

Yes. All applications must be made via the online portal (‘SmartyGrants’) accessed from the Builders’ Support Facility page.

Make sure you have saved PDF copies of your supporting documents. The only acceptable format is PDF. At the appropriate stage in the application process, you will be prompted to upload your document and unless otherwise indicated supporting evidence must be uploaded in PDF format. Electronic copies of documents, such as Word or Excel documents, will not be accepted as they may be redacted.

It is recommended that you do this from a desktop device and not a mobile phone.

Applications will be assessed on a “first come” basis. This means that the date and time of submission of a complete application will determine its place in the assessment queue. There is a limited pool of funds available and so not all applications will be successful.

An application must be complete to be submitted into the assessment queue. This means that the application must be submitted with all the information and documents which are required. Applicants are encouraged to review the Program guidelines and terms and conditions and Builders’ Support Facility Essential Evidence Checklist to check the information and documents required.

If your application is incomplete you will receive an email from the SBDC requesting that you provide the information within five (5) days. Your application will not have a place in the assessment queue until the application is complete.

The Builders’ Support Facility will close at 5pm (AWST) on Monday 7 October 2024 or at the discretion of the Minister.

Applications will be assessed on a “first come” basis and assessments will begin as soon as the completed application is received. The assessment process will enable timely processing, while ensuring appropriate checks and balances in the lending of public funds.

Applicants will be informed by the Department of Jobs Tourism, Science and Innovation (JTSI) at the end of the assessment process about the outcome of their application.

JTSI will administer and oversee the loan agreements.

All applicants will be informed by JTSI at the end of the assessment process about the outcome of their application.

Successful applicants will be contacted by JTSI to arrange the Deed of Loan. Payment details will be arranged at this time.

No. There is no appeal mechanism available under this program. The Minister’s decision will be final.

Authorised officers under this Facility may conduct a review of business operations that relate to homes that are subject to the Deed of Loan. Applicants must agree to provide access to documentation and financial information, and access to the building site, as part of any assessment or review process.

The recipient of this support must abide by all legal and statutory obligations as apply in the State of Western Australia.

The Western Australian Government must ensure the most prudent and effective use of its financial assistance schemes, including having access to the subject homes, and is subject to audit and review of programs. Funding recipients will be therefore required to:

• Agree to assist with program audits if requested.
• Provide, if requested, information to assist in the review of the project.
• Agree, if requested, to respond to an annual program evaluation survey.