A $27,500 Victorian Government Community Enterprise Grants Program will secure the long-term future of the Creswick of the Lindsays Art Trails - a project of the Creswick and District Development Association.

Ballarat East MLA Geoff Howard said the new trails would improve recreational opportunities for locals, preserve and enhance the town's heritage and arts assets, attract visitors and increase employment opportunities.

"The funding will contribute to a feasibility analysis and the development of a business plan, which will involve community consultation to establish the trail route and themes for each art site," he said.

CDDA secretary and arts trail supporter Margaret Giles said the feasibility study and business plan would include the scoping for four trails following the themes of mining and forestry, The Magic Pudding and public art.

The trails will also reveal the town's history through the eyes of the Lindsay family who lived in the town for over 100 years.

"Through the creation of a self-sustaining iconic tourism project such as these trails, Creswick will be able to increase visitors to the town, support local businesses and provide greater opportunities for employment," she said.

Ms Giles said many local people volunteered their time to get the project to this stage.

The Hepburn Shire Council contributed $15,000 to the project, while the Creswick community also raised funds.

Trail construction is expected to begin next year.