When structured correctly, the R&D Tax Incentive becomes part of how your venture is built - supporting experimentation, faster iteration, and more confident growth decisions.
The R&D Tax Incentive is an Australian Government program designed to support businesses that are developing new or improved products, processes, or technologies through genuine research and development.
For AI ventures, eligible activities often include experimentation, technical problem-solving, model development, data processing approaches, and building systems in which outcomes are uncertain and knowledge is advancing.
When structured correctly, the incentive can return a significant portion of eligible development costs back to the venture.
The program exists to reduce the financial risk of innovation and enables companies to invest more confidently in building differentiated, high-value technology.
The R&D Tax Incentive isn’t a one-off grant or something you apply for upfront. It’s a structured process that runs in parallel with development as the product is built.
In practical terms, this means:
- Identifying eligible R&D activities as development progresses
- Capturing the technical uncertainty, experimentation, and outcomes involved
- Tracking eligible costs over the course of the year
- Completing the required registrations and claims with the relevant government bodies
When managed properly, R&D becomes an integrated part of how the venture is built, rather than a rushed afterthought at financial year-end.
Mayfly partners with specialist R&D advisors Stannards to support R&D Tax Incentive applications.
Beyond introductions, we work closely with Stannards on your behalf throughout the build to ensure the application's technical aspects are handled correctly.
Because we’re deeply involved in the product and development process, our team is able to:
- Identify eligible R&D activities as they occur
- Support the technical narrative required for claims
- Ensure documentation reflects how the platform is actually being built
- Reduce the time and administrative burden
This collaborative approach improves accuracy, reduces risk, and allows you to stay focused on building the venture.
In some cases, it can make sense for ventures to access R&D funds earlier, rather than waiting until the end of the financial year.
Through our network, we can support access to R&D loan advancements that allow eligible ventures to receive up to 80% of the expected R&D benefit upfront. This can ease cash flow during critical development phases and reduce pressure on working capital.
We help you assess whether this approach is appropriate for your venture and, where it is, coordinate with funding partners to support the process.
If you’re building an AI venture and want clarity on how the R&D Tax Incentive could support development, cash flow, and risk management - let’s assess the opportunity together.
This initial conversation is simply a chance to understand your venture, your eligibility, and see whether R&D support through Mayfly makes sense.
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If you’re an industry expert thinking about how AI could genuinely improve the way things work in your field, we’d love to hear about it.
The first discussion is simply a chance to talk through the opportunity, find some clarity, and see if there’s a fit on both sides. Early ideas are welcome.
