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government grants for SMEs in Singapore

Government Grants for SMEs in Singapore

In Singapore, government grants are provided for businesses to enhance productivity and competitiveness. Even for payroll software, there are specific grants. Some examples include:

Productivity Solutions Grant (PSG)

Technology is not just fancy and expensive high-end solutions. You can kick-start your digital transformation by automating existing processes and improve productivity. PSG provides funding of up to 80% of the cost of adopting pre-approved IT solutions and equipment to help SMEs enhance productivity and business capabilities.

For a start, PSG covers sector-specific solutions including retail, food, logistics, precision engineering, construction and landscaping industries. Other than sector-specific solutions, PSG also supports adoption of solutions that cut across industries, such as in areas of customer management, data analytics, financial management and inventory tracking.

The list of readily adoptable solutions can be found on GoBusiness Gov Assist. Applicants should consider their business needs to select the relevant and right-sized PSG support packages.

Employers eligible for the SkillsFuture Enterprise Credits (SFEC) can also qualify for additional subsidies under the scheme.

Start Digital Tech Grant 

IMDA and EnterpriseSG have extended the Start Digital initiative to support more SMEs in building their foundational digital capabilities with easy-to-deploy solutions. These solutions, or Start Digital Packs, are offered by five partners – DBS, Maybank, OCBC, UOB, and Singtel.

SMEs can sign up for Start Digital Packs through any Start Digital partners or access Chief Technology Officer-as-a-Service (CTO-as-a-Service) at https://go.gov.sg/startdigitalsolutions to view the list of Start Digital solutions. SMEs can select minimally one foundational digital solution from any of the following categories and receive six months of fee waivers (or equivalent). After the fee waiver period, SMEs pay for the solutions as per partners’ rates and contractual terms.

For more details on Start Digital, SMEs may also visit the following Start Digital Partners’ websites:

DBS https://www.dbs.com.sg/sme/startdigital.page
Maybankhttps://www.maybank2u.com.sg/en/business/local-enterprise/sme/sme-smart-digital.page
OCBChttps://www.ocbc.com/business-banking/smes/business-tools/start-digital
UOBhttps://www.uob.com.sg/business/start-digital/index.page
Singtelhttps://www.singtel.com/business/solutions/grow-your-business/smedigital

If you are a SME that has just started your business or are new to digital solutions, you can now take up a Start Digital Pack to get a head start in going digital.

Enterprise Development Grant (EDG)

EDG provides funding of up to 80% of the costs for SMEs to undertake projects to enhance productivity, transform or diversify their businesses, and develop new and innovative capabilities.

Today and into the future, companies that thrive are the ones that have strong business foundations and strategies, adopt technology and innovative processes, and grow their overseas presence.

EDG helps Singapore companies grow and transform. This grant supports projects that help you upgrade your business, innovate or venture overseas, under three pillars:

Core Capabilities

Projects under Core Capabilities help businesses prepare for growth and transformation by strengthening their business foundations. These should go beyond basic functions such as sales and accounting.

  • Business Strategy Development

Spur the growth of your company through interventions in business strategies.

  • Financial Management

Optimise your company’s financial performance in order to support corporate strategy and growth and/or equip your management team with the right competencies so they can be good stewards of your company’s assets and resources.

  • Human Capital Development

Strengthen your company’s Human Resource (HR) capabilities, so as to support business growth strategies.

  • Service Excellence

Improve your company’s service delivery by gaining a deeper understanding of customers’ needs and decision-making processes.

  • Strategic Brand and Marketing Development

Better capture target audiences and markets by differentiating your brand, and your products and services.

Innovation and Productivity

Projects under Innovation and Productivity support companies that explore new areas of growth, or look for ways to enhance efficiency, or optimise resource usage to improve their sustainability performance. These could include reviewing and redesigning workflow and processes. Companies could also tap into automation and technologies to make routine tasks more efficient and sustainable.

  • Automation

To support your company’s usage of automation and technology which can result in tangible benefits, significant growth and resource efficiency.

  • Process Redesign

To help your company review existing processes and identify possible areas to improve efficiency and sustainability performance. This is a critical first step before introducing automation or technology.

  • Product Development

To help your company develop innovative technology and products with the end goal of commercialisation.

Market Access

Market Access projects support Singapore companies that are willing and ready to venture overseas. You may tap into EDG to help defray some of the costs of expanding into overseas markets.

  • Growing through Mergers and Acquisitions (M&A)

This may be in the planning, assessment of potential mergers and/or acquisition or post-M&A stage integration.

  • Pilot Project and Test Bedding

This helps your company expand into new geographical or product markets by building your track record.

  • Standards Adoption

Adopt internationally-recognised standards and certifications in key industries, as well as in new and emerging sectors. By doing so, your company should achieve outcomes such as increased business competitiveness locally and internationally, enhanced market access, and/or increased trust in your products and services.

Lastly, it is important to note that each of these government grants have different criteria and eligible expenses, and not all of them can be used for payroll software. For more detailed information about these government grants and to determine which one(s) your business may be eligible for, it’s recommended to check the official website of the agency in charge of the grant or consult with an accountant.

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