SMEs act as a backbone of Singapore's economic landscape as they contribute nearly half of Singapore's GDP and 70% of the local workforce. Singapore government are always been supportive on SMEs and introduce a different types of grants and schemes that specifically for the SME sector.
Here are the Top 4 Grants for SMEs in Singapore:
1. Enterprise Development Grant (EDG)
The Enterprise Development Grant (EDG) is a relatively new grant launched by Enterprise Singapore (ESG) on 25th October 2018. Essentially, this SME grant is a combination of the former Capability Development Grant (CDG) and Global Company Partnership (GCP) Grant.
The EDG aims to help SMEs in Singapore by building internal capabilities within 3 main areas: Core Capabilities, Innovation and Productivity, and Market Access.
This grant is suitable for local companies who are looking to upgrade the business, innovate or expand overseas. It funds up to 80% of qualified project costs including consultancy fees, purchase of software and equipment and internal labour costs. For enterprises that have been severely impacted by COVID-19, the maximum support level may even be raised to 90% on a case-by-case basis.
2. Market Readiness Assistance (MRA)
The focus of the Market Readiness Assistance (MRA) grant is to help Singapore SMEs to expand and gain access to overseas opportunities; from market set-up, identification of overseas partners to promotions.
This grant funds up to 70% of eligible costs capped at S$100,000 per company per new market* from 1 April 2020 to 31 March 2023 and covers:
-Overseas market promotion (capped at S$20,000)
-Overseas business development (capped at S$50,000)
-Overseas market set-up (capped at S$30,000)
SMEs must submit applications no earlier than 6 months before the project start date. Applications filed after 10 March will be treated as an application for the new fiscal year.
3. Startup SG Founder
The StartupSG Founder scheme provides first-time entrepreneurs with mentorship, funding support and comprehensive access to business networks. This scheme is relatively unique as it matches mentors to start-ups by co-matching S$5 to every S$1 raised by the entrepreneur, which can go up to S$50,000 in funding capital.
4. Productivity-Max (P-Max)
The main purpose of the P-Max program is to support SMEs in recruiting, training, managing and retaining newly-hired PMETs (Professionals, Managers, Executives, and Technicians). This scheme is best suited for local SMEs looking to hire PMETs and/or looking to improve their HR practices within the company.
Participating SMEs can also reimburse up to 90% course fee subsidy for PMET, SME training workshops and Age Management workshop (applicable for P-Max for Older Worker only).
On top of that, eligible SMEs will receive a one-time $5,000 Assistance Grant or $10,000 Assistance Grant (P-Max for Older Workers only) upon completion of the Programme and six-month retention of the newly hired PMETs.