Currently only three per cent of Victorian start-ups are based outside of inner Melbourne, most distributed across Geelong, Ballarat and Bendigo, a survey by the government’s start-up development agency LaunchVic found.

Australia Industry Group’s regional manager Tim Farrah said not having access to the same networks, mentoring and shared experience was partly responsible for regional Border start-ups being less common and less successful than their metro counterparts.

“We hear about start-up success stories and there are some really good ones around, but for every billion dollar company, thousands of good ideas don’t even get to market,” he said.

“It’s not because they’re bad ideas, it’s just really tough.”

But VicLaunch is hoping a $2.4 million investment across Victoria will change that.

Councils from Wangaratta, Benalla, Indigo and Mansfield received $400,000 to jointly run the Innovate North East Victoria Start-ups program.

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The program will feature “hyper-local ideas fests” in each municipality, create momentum for bootcamps, mentoring and meetups, and culminate in an annual Pitchfest and North East Innovation Conference. 

The Victorian government, through LaunchVic, gave Towong Shire $100,000 for a Think-Start-Grow program focusing on building knowledge of start-up entrepreneurship through a series of workshops, networking forums, events and mentoring. 

Minister for Innovation and the Digital Economy Philip Dalidakis said the investment will give regional start-ups access to the same resources as their city counterparts, while Regional Development Minister Jaala Pulford it will create jobs regionally. 

Mr Farrah said successful start-ups create jobs and help economies, but the power of networks in supporting new businesses could not be overestimated.

“There are pitfalls in going down the start-up path so learning from other people’s mistakes increases your chance of success enormously,” he said.

“It has a good multiplier effect, those who have been through start-ups can help others go through it and then it snowballs – with more knowledge in the region you have more people who can help someone starting out.

“It means more jobs, jobs means more capacity to buy a first home, spend money, put children through university, all things that strongly affect quality of life.”

LaunchVic chief executive Kate Cornick said they believe some regional entrepreneurs were not connected to existing systems. 

She wants to create not only a regional ecosystem of connection, but for rural entrepreneurs to tap into the national and global systems.

“Founders that tap into that ecosystem are more successful than those who don’t,” she said.

“They get that mentoring, learn from other founders, and get access to investors and global supply chains.

“Entrepreneurs should be able to be based wherever they live.”