Social enterprise capability building grants
Impact Investing Australia (IIA), in partnership with Malu Pty Ltd, has been selected as the administrator for the First Nations Social Enterprise Grants program, supporting Indigenous-led enterprises through targeted capability-building funding in 2026–27.
The initiative will distribute approximately $2.5 million in grants designed specifically to strengthen First Nations social enterprises, helping organisations build skills, capacity and long-term sustainability.
IIA is currently working with the Department of Social Services to finalise program details, with further information about the SEDI First Nations Grants expected to be released in the coming months.
The program reflects growing recognition of the role First Nations-led enterprises play in delivering social, cultural and economic outcomes for communities across Australia.
More details on SEDI First Nations Grants will be provided here, as they become available. You can also stay updated via the Department of Social Services website.
Overview
SEDI Grants help social enterprises, including trading Indigenous owned or controlled organisations with a direct social benefit, grow their business, scale their impact and further their missions of creating positive social change. The grants, valued at up to $120,000 each, support social enterprises to be more effective and efficient in demonstrating and increasing social impact for the people and communities they exist to support.
The initiative supports social enterprises across all states and territories that are delivering services to improve social and economic outcomes for individuals, families and communities experiencing disadvantage in a range of social outcome areas, including: communities, employment, education and First Nations Australians. View full list of the DSS outcome areas.
Funded by the Australian Government’s Department of Social Services the grants are to be used to purchase business and impact capability building services from intermediaries, such as financial services, evaluation and impact measurement, business consulting and legal advice.
Grant eligibility
Eligible SEDI Grant applicants:
- Are a social enterprise (see definition below) or a trading Indigenous owned or controlled organisation with a defined social benefit
- Have a direct impact in one or more of the approved Department of Social Services outcome areas
- Currently provide direct benefit to those experiencing entrenched disadvantage in Australia
- Are an Australian organisation
- Have beneficiaries who primarily reside in Australia
- Have a trading revenue that exceeds $50,000 per year
- May be early stage but have progressed beyond the start-up phase
- Are seeking to scale impact (now or in the future) in one or more of the approved outcome areas to address entrenched disadvantage in Australia
Grant process
New to SEDI Grants
Social enterprises that have not previously submitted an application for a SEDI Grant and believe they qualify, may submit an Expression of Interest. IIA will then arrange a phone conversation to discuss your grant eligibility and the process. Social enterprises that meet the eligibility criteria will be invited to submit a grant application (following the phone conversation with IIA).
Previous SEDI Grant recipients and applicants
Social enterprises that have previously been awarded a SEDI Grant or submitted a grant application and were unsuccessful do not need to submit an Expression of Interest. If you wish to reapply, email SEDIGrants@impactinvestingaustralia.com with your organisation’s name and the name and email address of the person who will be completing the application. This can be the original applicant or someone new at your organisation. Please note that the nominated person will need to have an existing Good Grants account, or register for one, before access to your previous application can be transferred to them. Once set up, they will be able to log in to the portal and update your application to reflect where your organisation is today before resubmitting. Please note that the SEDI Grants operate on a rolling basis, so you are welcome to resubmit at any time. Your application will then be assessed at an upcoming SEDI Grant Panel meeting.
Timeframe
There will be rolling grant rounds and we anticipate SEDI Grants will be open through to early 2027.
Notes
- Definition: A social enterprise is a business that puts people and planet first. It trades like any other business, but exists specifically to make the world a better place. A social enterprise seeks to solve a social or environmental problem. It can be a for-profit or non-profit organisation, or a charity that trades.
- For the SEDI Grants program ‘trading revenue’ is income from the sale of goods or services to different customers in a repeatable way. It does not include donations, philanthropic or government grant funding for the delivery of social services. If trading revenue (as defined above) makes up less than 50% of all revenue, the organisation’s capability building plan must include activities that aim to substantially grow the trade element, to encourage sustainability. If a high proportion of trading revenue comes from one customer, the organisation’s capability building plan must include steps to attract more customers. The amount of funds awarded for a SEDI Grant depends on (1) the capability building services a social enterprise requires, (2) the associated provider/intermediary costs and (3) the social enterprise’s internal costs necessary to purchase capability building services. A grant will not be valued at more than the social enterprise’s annual turnover. The maximum value of a SEDI Grant is $120,000.
- This is a competitive grants process. Meeting all the eligibility criteria is not a guarantee of being awarded a SEDI Grant.
- An eligible applicant must currently provide direct benefit to those experiencing entrenched disadvantage in Australia. An organisation is not eligible to apply if the only benefit being provided is indirect (e.g. your organisation supports social enterprises that are providing the direct benefit).
Education and mentoring
Complementing the SEDI Grants program is a whole-of-sector education and mentoring support system. This includes Understorey, an online tool to help social enterprises navigate the sector and to learn, exchange and contribute to a better future. Understorey brings together learning communities and leading practice resources. It is targeted at those in or interested in the social enterprise sector, aiming to feed curiosity, offer practical solutions, and inspire new possibilities for the future. Social Enterprise Australia is the steward and coordinator of Understorey.
SEDI Grants Scam Alert
The Department of Social Services (DSS) received reports of an email scam where a scammer, posing as a representative of DSS, emailed members of the public offering a $120,000 grant under the Social Enterprise Development Initiative (SEDI) program. The scammer requested the victim’s contact details, and then sent a false ‘grant certificate’ to notify them they have been selected, which included a falsified signature of a senior department officer. To gain access to the payment, victims were told they needed to pay a $250 fee to unlock a debit card.
What to do if you are contacted by a scam attempt
DSS does not contact members of the public through social media or email to offer grant opportunities. Legitimate grants will never require the recipient to pay a fee to access the amounts, and debit cards are not used to disburse grant payments. If you are contacted by one of these scam attempts, do not provide any personal or financial information. You can report it to DSS via contact details on their website or contact: fraud@dss.gov.au.


