Advanced launches with $25 million to boost startups

Advanced, an Australian research and development finance firm, has launched with $25 million in funding to support startups across the country.

Founded by Alex Knight and based on the Sunshine Coast, Advanced provides research and development (R&D) finance by offering loans secured against a company's future R&D Tax Incentive refund. This model enables innovative firms to access capital prior to the end of the financial year, with the aim of accelerating product development and supporting growth without requiring founders to relinquish ownership stakes.

The newly announced funding pool consists predominantly of debt financing, alongside $2.3 million in equity. The oversubscribed round attracted contributions from family offices, angel investors, and former founders, including Adrian Bunter, Alan Hegerty, Wayne Gerard, and Phil Cummins. Cummins is also joining Advanced's board of directors.

Knight, who has experience with ventures such as VentureCrowd, Mr Yum (now me&u), and Vitable, said Advanced is committed to providing rapid, flexible capital that supports scaling companies and delivers cumulative benefits over time.

"Our north star goal - our 'big hairy audacious goal' in startup terms - is to generate a cumulative billion dollars of economic impact in Australia in the next five years," said Knight. "We'll do this by enabling startups and innovative companies to turn their R&D Tax Incentive into a growth engine – by accessing it early, investing it into more R&D and thereby growing their refund to power even more R&D."

In establishing Advanced, Knight drew on personal experience of the barriers that slow, hard-to-access capital can present to startups and growth-stage firms. He explained that the company's priority is to remove these obstacles through speed and ease of access.

"We know what it's like to be hampered by available capital and have to hold off on critical projects that delay getting products to market, and compromise commercial success," Knight said.

"That's why we handle approvals within 48 hours and provide funding as soon as 24 hours after signing. We're a fintech, not a traditional financier, and we're proud to see the positive impact this has on the startups we work with."

Advanced has signalled its commitment to the broader community by participating in Pledge 1%, pursuing B Corp certification, and supporting local initiatives such as Cyclone Alfred relief. This approach includes contributions to causes that matter to the founders and innovators the company funds.

"With every R&D tax advance that we make, we also advance a cause that's bigger than our own," Knight said. "If the founders and innovators we're funding are passionate about a particular social, environmental or cultural cause, we contribute to that with our own funds, and we're always keen to hear about local causes we can support."

While raising its capital, Advanced has already executed over 50 R&D finance loans. These have supported a range of businesses in sectors including biotechnology, manufacturing, software, and deep technology, with companies such as Rainstick, Sicona Battery Technologies, GapDrone, and HowToo among its early clients.

Advanced is positioning itself as an Australian-owned, founder-built firm with a strong focus on backing local talent and innovation. Knight referred to the national context, noting the importance of unlocking capital for the Australian startup ecosystem, particularly as science and technology have become Australia's third-largest sector while R&D investment remains comparatively low.

"We love being part of the Australian startup ecosystem and backing local innovation to make waves well beyond our shores. With science and tech now Australia's third-largest sector - and R&D investment lagging - we're unlocking the capital founders need to move faster, drive innovation forward and build a brighter future," Knight said.