Low-interest loans are available for individual artists, partnerships, collaborations and incorporated organisations and provide investment towards capital improvements, equipment purchases and other projects with arts related outcomes.
Please contact an Arts Tasmania program officer to receive a repayment quote prior to making a loan application.
Applications are currently closed.
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New forms and application procedures for low interest loans are currently being designed and will be posted here on 5 March 2018.
In the interim, if you wish to discuss a loan application please email Cathryn.Gurrin@art.tas.gov.au
Who can apply?
- Individual artists based in Tasmania who are over the age of 18
- Partnerships, collaborations and groups with Tasmanian members
- Organisations, including small museums and collections, based in Tasmania who are incorporated
For other eligibility requirements, please visit general eligibility.
Who can't apply?
- Individual artists who are not based in Tasmania
- Individual artists under the age of 18
- Partnerships, collaborations and groups with no Tasmanian members
- Organisations, including small museums and collections, not based in Tasmania
What can I apply for?
The low-interest loans program provides investment towards a range of activities including capital improvements, the purchase of equipment and a wide range of projects and programs.
For example, you may seek investment towards one of the following activities:
- the purchase of musical instruments or artist's tools;
- financing expansion of your arts business;
- financing an event;
- the publication of books; and
- recording of music and CD pressing
You cannot apply for investment towards projects or activities that do not involve professional artists or arts workers, do not have a clearly defined arts component or that have already taken place.
For museums and collections, the project or asset purchase must have outcomes in one or more of the areas of improving access to collections, collections management and care, museums management and/or product development.
Some types of activities are not eligible for investment or are restricted. Be sure to read the general eligibility to make sure your project is suitable before applying.
How many times a year can I apply?
You can lodge one loan application per calendar year.
Loan applications can be submitted at any time.
How much can I apply for?
There is no specific limit on loan applications, but there may be a limit on the available loan funds. Please contact an Arts Tasmania program officer to discuss your project and to receive a repayment quote.
If you are seeking an investment greater than $10 000, you will be required to provide security.
If you are seeking in excess of $20 000 for an appreciating asset, you must be able to demonstrate that you have approached a commercial lender and have been refused financial assistance before making an application to Arts Tasmania.
What is the current interest rate for low-interest loans?
The 2017-18 interest rate is 1.27% p.a. Interest rates are variable, and reviewed on an annual basis.
If successful, how do I repay my loan?
Repayment of low-interest loans occurs in monthly instalments. A minimum repayment amount of $1 000 principal per annum plus interest applies.
If successful, how long do I have to repay my loan?
The lifetime of your loan is determined by the purchase or project for which you are seeking investment. For example – if you are seeking investment towards an asset (e.g. a computer), Arts Tasmania will not extend a loan beyond the useful life of the item (e.g. three years).
The maximum loan term is ten years and the loan term can be varied depending on your ability to meet the repayments. You are able to pay out the remainder of the loan at any time.
If successful, will I be required to provide security on my loan?
Arts Tasmania may ask you to provide security for the loan – depending on the nature of the request. Security is required so that Arts Tasmania can recover the loan funds if the borrower is unable to meet the agreed loan repayments.
If you are seeking an investment greater than $10 000, you will be required to provide security on your loan. The form of security to be used will be determined by Arts Tasmania in consultation with the borrower.
Arts Tasmania may request security in the following forms:
Some forms of security are drawn up by Tasmania's Crown Solicitor. This may incur a cost which must be met by the applicant. This cost usually ranges from $200 - $500.
Against what criteria will my application be assessed?
Your application will be assessed against the criteria of quality and reach, and in addition a financial assessment will assess your capacity to repay.
Quality – 70 per cent weighting
There are a number of indicators of quality that the assessment panel may take into consideration. You are not required to address these indicators one by one but you must demonstrate how they are reflected in your project:
- strength of artistic concept and artistic practice. In the case of museums and collections, the criterion of quality applies to the proposal's aims, content, and rationale in accordance with current museum practice
- creativity – imagination and originality
- progression – fresh artistic approaches, experimentation and creative challenge
- currency – timeliness in career, relevance to career development, potential for growth in practice
- capacity – calibre of personnel, resource and financial management, planning
Reach – 30 per cent weighting
There are a number of indicators of reach that the assessment panel may take into consideration. You are not required to address these indicators one by one but you must demonstrate how they are reflected in your project:
- What are the outcomes of the project?
- audience/market – numbers, marketing strategy, diversity and connection
- engagement – participation, access, involvement of the public and/or specific audience or market sectors.
Low-interest loan applications are assessed on both the merit of the proposal and the applicant's capacity to repay the loan.
Your capacity to repay the loan will be determined by a credit check that is conducted by the Department of State Growth. You will need to complete the Credit Check Authorisation to authorise this process.
- Individuals will need to provide copies of their last two tax returns or a statement showing their last two years of Centrelink payments.
- Organisations will need to provide audited financial statements and tax returns (if your organisation is required to submit tax returns) for the last two years and a budget for the next 12 months.
Who will assess my application?
The artistic component of your application will be assessed by a multi-artform panel. Applications from museums and collections will be assessed by the Small Museums and Collections Panel.
The Department of State Growth will assess your ability to repay the loan.
What do I submit as my application?
All applications must include:
- A completed low-interest loan application form and Credit Check Authorisation.
- Individuals will need to provide copies of their last two tax returns or a statement showing their last two years of Centrelink payments. Please contact a program officer if your financial position has changed recently – for example starting a new job.
- Organisations will need to provide audited financial statements and tax returns (if your organisation is required to submit tax returns) for the last two years and a budget or cash flow projection for the next 12 months.
- A completed loan quote – this can be obtained from a Program Officer.
- Detailed quotes and specification sheets for any asset purchases associated with your request.
- A confirmation and brief CV or biography for each artist or collaborating organisation mentioned in your application (one page per artist maximum).
- A maximum of five items of artistic support material.
- A business plan, if you are seeking investment towards business development, business start-up or marketing costs.
Applications may also include:
- A maximum of two written references that demonstrate your ability to successfully complete the project and its merits.
- A marketing plan, if your loan application is for a project requiring significant marketing, such as a performance with ticket income.
If your project involves Aboriginal or Torres Strait Islander content, your application must include evidence of permission granted by the relevant community (refer to www.arts.tas.gov.au/inclusion).
Please note that excess support material will not be accepted. All attachments should be listed on the support material cover page and each attachment should be clearly labelled. Applications are limited to 50 pages including the form and supporting material (not including financial information).
Visit artistic support material for information relating to accepted formats.
Help with your application
We recommend you seek advice from a program officer before submitting your application. Program officers are a useful source of information and can provide advice on your application at any stage of the process.
Program officer Cathryn Gurrin is available to discuss your low-interest loan application.
You can make an appointment with Cathryn for a face-to-face meeting or contact her directly via phone or e-mail.