LaunchVic is winding down. The Victorian government agency that unlocked $1.5 billion in private capital and supported 4,300+ companies since 2017 is being carved up and distributed into other agencies. For the full context of the LaunchVic shutdown, it’s all part of the Silver Review’s cost-cutting measures.
The functions are splitting across different agencies. Breakthrough Victoria takes the equity investments. Invest Victoria gets the grant-making programs. Existing commitments will be honoured, but the startup-focused agency model? That’s done.
This matters whether you were planning to apply for LaunchVic funding or not. The health of the funding landscape affects who you can partner with, whether you can hire talent from the ecosystem, and if that ecosystem remains strong enough to support your growth.
So in this article we’re mapping the practical funding pathways that exist now. Government programs, private investor routes, and interstate alternatives. Let’s get into it.
How do I apply for startup funding in Victoria after LaunchVic closes?
The mechanics are straightforward enough. For equity investments, apply directly to Breakthrough Victoria. They’re managing a $2 billion fund focused on later-stage commercialisation. For grants, submit applications to Invest Victoria.
The government is planning a consolidated online portal as a single point of entry, expected mid-2026. Until then, you’re dealing with separate agencies and separate processes.
Here’s the thing – programs like 30×30, Basecamp, and Press Play need clarification. Some will transfer to the new agencies. Others may pause applications while the transition happens. And some might shut down entirely. The government hasn’t published a complete program-by-program breakdown yet.
The transition creates friction. Processing times will likely stretch out during the merger. You’ll want to keep checking the government websites for updates on specific program status.
Your best move right now is simple – identify which agency handles what you need. Equity investment and later-stage commercialisation? Breakthrough Victoria. Grant funding for early operations? Invest Victoria. Don’t wait for the consolidated portal if you need funding soon.
What funding stages does Breakthrough Victoria support compared to LaunchVic?
LaunchVic played across the spectrum. Pre-seed, seed, early-stage growth funding. The agency supported 8 new venture capital funds and 1 angel network, enabling $239 million in private capital flow.
Breakthrough Victoria operates differently. They focus on later-stage commercialisation and R&D, typically Series A and beyond. The University Innovation Platform offers grants of up to $150,000 per startup through the BV Fellowship Program, but it targets commercialising university research specifically.
This creates a gap. Pre-seed and seed-stage startups that LaunchVic served now have fewer government options. Building a SaaS product? A FinTech platform? An e-commerce tech stack? You’re outside Breakthrough Victoria’s priority sectors of life sciences, food and agriculture, and advanced manufacturing.
The numbers tell the story. LaunchVic completed over 190 investments since 2015. Breakthrough Victoria has presented 38 unique opportunities to investment committees as of June 2024, with $59.5 million in matched funding.
The co-investment model is different too. LaunchVic partnered with private investors to support a broad tech ecosystem. Breakthrough Victoria’s model matches co-investment amounts, but with a narrower focus on research commercialisation from Victorian universities.
For early-stage tech companies, this shift means looking elsewhere. The Victorian government is no longer your first call for seed funding unless you’re spinning out university research in the right sectors.
Can women founders still access the Alice Anderson Fund after LaunchVic?
The future of the Alice Anderson Fund is unclear. The program deployed $10 million in government funding matched by $30 million in private capital, targeting up to 60 women-led early-stage startups. It’s moving into the Breakthrough Victoria structure, but whether the dedicated women-founder funding stream continues? That hasn’t been confirmed.
The fund backed companies like Elita in pet health and medtech startup GonGlobal. Founders from these portfolio companies criticised the decision publicly.
Victoria led Australian states in funding women-led startups in 2024. Mixed-gender and all-women teams achieved 29% deal share. Nine percent of funding went to all-women teams, up from 3% in 2023. Losing a dedicated gender-lens investing program could reverse that progress.
There are alternative options out there. The federal government’s Boosting Female Founders Initiative provides $52.2 million in grant support. NSW offers the Carla Zampatti Fund with $10 million for women founders. Programs like Atto VC provide global startup school for female founders. Scale Investors connects 250+ high net-worth investors with startup opportunities and has invested over $12 million across nearly 30 startups.
The gender funding gap persists, especially in larger rounds. Dedicated programs like Alice Anderson Fund helped counter that. For more on women-specific funding options, whether Breakthrough Victoria maintains that focus remains to be seen.
What private funding alternatives exist for Victorian startups?
Victorian startups don’t rely solely on government support. The private ecosystem is active and growing. Victoria’s startups raised $748 million across 130 deals in 2024, representing a 29% increase from 2023.
Startmate offers $120,000 AUD investment per startup with follow-on funding up to $500K via their Continuity Fund. They’ve built a portfolio of 300+ companies with combined valuation of $4.5+ billion. Half their cohort companies raise post-accelerator, with a median equity round size of $1.8 million.
Other accelerator programs provide funding plus structure. Startupbootcamp Australia focuses on FinTech, Energy, and FoodTech. RMIT Activator completed 117 investments through their university-affiliated program. CyRise targets cybersecurity startups. AngelCube offers mentorship-driven early-stage support.
VC firms actively invest in Victorian companies. The deal composition in 2024 showed 98 venture capital rounds and 32 accelerator rounds. The ecosystem showed particular strength in R&D-intensive sectors like biotech, cleantech, and advanced hardware.
Nationally, Australian startups announced $993 million in funding across 100 deals in Q1 2025, the strongest opening quarter since early 2022. Median deal sizes reached record levels across every funding stage.
Private funding comes with different expectations than government programs. VCs want returns. Accelerators take equity for their investment and support. The terms are commercial, not developmental.
But here’s the thing – private capital doesn’t pause during government transitions. If you need funding now, the private ecosystem is operating at full capacity.
Should Victorian startups consider relocating to NSW or other states for funding?
NSW Tech Central is 6 square kilometres with the highest concentration of technology businesses in Australia. It’s home to Atlassian, Block, Canva, SafetyCulture, UTS and University of Sydney.
The numbers favour NSW. The state accounted for 62% of venture capital investment since 2020, Victoria 22%, Queensland 11%. Sydney ranks 25th globally as the most ideal city to locate a startup. Melbourne ranks 32nd.
But Melbourne gained seven ranks since 2022. Life Sciences, Fintech and AI drive that growth. The city’s ecosystem is underpinned by world-class research, education, deep innovation networks, and strong support.
Queensland offers alternatives too. Startup funding bounced back with $417 million raised over the financial year.
Relocation isn’t just about funding access though. Your team location matters. Your customer base matters. Industry clusters matter. Melbourne has specific strengths in Life Sciences, FinTech, and AI that might align with your business better than Sydney’s broader tech focus.
The cost of relocation is real. Moving your business interstate means new registrations, new banking arrangements, potentially new team members if existing staff won’t relocate. You lose existing network connections and ecosystem relationships you’ve built.
Make the decision based on your specific situation. Early-stage company with minimal ties? Interstate might make sense if funding is concentrated in your sector elsewhere. Established team with deep Melbourne connections? The ecosystem here likely provides what you need.
How does the LaunchVic closure affect accelerator and incubator programs?
LaunchVic funded multiple accelerator programs through grants and partnerships. The agency offered grants of up to $300,000 to VCs and angel networks in 2025 and announced $3.75 million in investment through support for VC funds, university pre-accelerator programs, and founders’ community events.
Programs like 30×30 for high-growth companies and Basecamp for early-stage leadership need clarification on their future. For the program timeline and status, whether Invest Victoria maintains these programs, transitions them to fee-based models, or seeks corporate sponsorship – that remains unclear.
Privately funded accelerators continue operating independently. Startmate continues accepting applications regardless of government changes. University innovation hubs at Melbourne, Monash, and RMIT have separate funding sources and aren’t directly affected.
The agency also delivered investor education to 109 individuals and maintained strategic programs that built ecosystem capacity. Those educational and capacity-building functions may not transfer cleanly to Invest Victoria’s broader trade and investment focus.
Check the status of specific programs you’re interested in. Some will survive the transition. Others won’t. Programs with strong private backing or university support have better odds than those relying primarily on LaunchVic funding.
What role will Invest Victoria play in supporting startups?
Invest Victoria’s core mission is trade and investment attraction, not dedicated startup support. The agency becoming the single entry point for all government-provided industry support means startup grants now compete for attention alongside manufacturing, agriculture, and general business development.
The Silver Review found that Victoria’s industry support expenditure ballooned from $236 million in 2014-15 to over $660 million in 2024-25. The review recommended reduction of at least $350 million in funding over the next four years. Consolidation aims to reduce spending, not maintain it.
Grant programs under Invest Victoria will likely emphasise job creation and economic impact metrics rather than ecosystem development goals. The agency’s broader mandate may dilute the specific startup expertise that LaunchVic’s dedicated team provided.
The government stated it will streamline support while continuing to grow the ecosystem in Victoria. Whether a general trade and investment agency can replicate the focused approach of a dedicated startup agency? That’s the open question.
Expect changes in grant criteria and priorities. Processing through a larger organisation with broader responsibilities may mean slower turnaround times.
How can Victorian startups access VC introductions without LaunchVic?
LaunchVic played a matchmaking role, connecting startups with investors and facilitating co-investment relationships. That function disappears with the agency. But the VC ecosystem operates with or without government facilitation.
Accelerator programs remain your best path to investor networks. Startmate provides access to 4,000+ ANZ operators, founders, and investors and offers warm introductions to VCs and angel investors. Demo days at university innovation hubs connect startups with attending investors.
The direct approach works. Victorian VC firms actively seek deals. Research which firms invest in your sector and at your stage. Build relationships through the ecosystem events these firms attend or sponsor. Get warm introductions from existing portfolio founders in their networks.
Online platforms like AngelList and Crunchbase provide investor databases. They’re less effective than warm introductions but serve as research tools to identify relevant investors and understand their portfolio focus.
The Q1 2025 funding data demonstrates strong investor confidence. Competition for deals pushed median funding amounts to new highs across all stages.
Australia ranks number 1 globally for unicorn creation per dollar invested with 1.22 unicorns per $1 billion. The combined ecosystem value grew 6.5 times since 2018, reaching $360 billion.
Those investor results come from direct relationships, not government intermediaries. LaunchVic helped build those connections, but the underlying VC activity exists independently. Focus on building a fundable business and the investor connections follow through the ecosystem’s existing networks.
FAQ
What happens to existing LaunchVic grants and investments during the transition?
Existing commitments will be honoured by the receiving agencies. Breakthrough Victoria manages equity investments. Invest Victoria handles grants. Current application processes remain active during transition with continuity guaranteed for approved funding.
How long will the LaunchVic transition take?
The government hasn’t published an official timeline. Consolidation is expected to complete by mid-2026 based on the planned portal launch. Some programs may pause applications during transition while others continue under new agency management.
Does Breakthrough Victoria’s $5.7 million loss affect startup funding availability?
The 2024-25 loss raises questions about fund management, but the $2 billion allocation remains available. The Victorian government is cutting Breakthrough Victoria funding by average $90 million per year over four years, which may affect total funding capacity.
Are early-stage tech startups still a priority for Victorian government funding?
Unclear. Breakthrough Victoria’s focus on life sciences, agriculture, and manufacturing suggests reduced priority for SaaS, FinTech, and general tech startups that LaunchVic supported broadly. The University Innovation Platform targets research commercialisation specifically.
How does Victoria’s debt affect future startup support?
The Silver Review cited debt as justification for LaunchVic closure, suggesting continued budget pressure. The government aims to save $4 billion through public sector reforms. Future funding expansion is unlikely. Consolidation aims to reduce government startup support spending overall.
Can startups still access LaunchVic’s innovation hub network?
Hub status depends on individual facilities. Government-funded hubs may close or transition to university or private management. University innovation hubs have separate funding and continue operating. Check specific hub websites for current operational status.
What happened to LaunchVic’s data and startup ecosystem insights?
Data ownership and public access remain unclear during transition. Historical ecosystem reports and metrics may transfer to Breakthrough Victoria or be archived by the Victorian government. Whether that data remains publicly accessible is uncertain.
Are there federal government funding options for Victorian startups?
Yes. The R&D Tax Incentive, Entrepreneurs’ Programme, and CSIRO innovation programs remain available regardless of state-level changes. Export Market Development Grants help more than 5,000 Australian SMEs start or expand export business annually. Landing Pads provide startup workspace for up to 90 days in global innovation hubs.
How does this affect Melbourne’s ranking as a startup hub?
Too early to determine long-term impact. Melbourne gained seven ranks since 2022 and ranks 32nd globally, second in the Southern Hemisphere. Loss of dedicated government support may reduce ecosystem competitiveness versus Sydney’s Tech Central, but strong VC presence and talent pool provide resilience.
Can established Victorian startups (Series B+) access Breakthrough Victoria?
Potentially yes, if aligned with priority sectors like life sciences, agriculture, or manufacturing. The University Innovation Platform offers growth capital for established startups. Tech companies outside these sectors face limited government funding options at growth stage.
What advocacy efforts are underway to preserve startup support?
Startmate CEO Michael Batko called LaunchVic the gold-standard model for government startup support. Startup community representatives publicly criticised the decision. No policy reversal has been announced.
Should pre-seed founders delay launching until transition completes?
No. Private funding sources remain active. Australian startups raised $993 million in Q1 2025 showing strong momentum. Median deal sizes reached record levels across every funding stage. Waiting could mean missing market opportunities. Focus on building and accessing available private capital rather than pausing for government clarity. For more on how Victoria’s startup support has changed, read our comprehensive analysis.
