How to Decide Which Grants Are Suitable for Your Singapore Business

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Running a business in Singapore comes with many advantages: a strategic location, a pro-business environment, and access to government support in the form of grants. The Singapore government provides various grants tailored to different business needs—from digital transformation to workforce development, R&D, and overseas expansion. However, with so many grants available, business owners often find themselves overwhelmed when trying to determine which ones are the most suitable for their specific situation.

In this article, we break down the steps you can take to decide which grants are best aligned with your business goals, operations, and industry.

1. Understand Your Business Stage and Goals

The first step is to assess where your business is in its growth cycle and what you are trying to achieve. Common stages include:

  • Start-Up Stage: You may need funding for business incorporation, prototyping, or market validation.
  • Growth Stage: You might be looking to expand operations, increase productivity, or enter overseas markets.
  • Mature Stage: You could be focusing on innovation, talent development, or sustainability initiatives.

Matching your business goals with the objective of a grant increases the likelihood of a successful application. For example:

  • If your goal is digital transformation, grants like the Productivity Solutions Grant (PSG) or Advanced Digital Solutions (ADS) would be relevant.
  • If you’re expanding overseas, the Market Readiness Assistance (MRA) grant is a better fit.
  • For manpower development, consider the SkillsFuture Enterprise Credit (SFEC).

2. Know the Types of Grants Available

Singapore offers a diverse range of grants administered by different agencies. Some of the most common types include:

a. Productivity and Innovation Grants

  • Productivity Solutions Grant (PSG): Supports SMEs in adopting pre-approved IT solutions and equipment to enhance productivity.
  • Enterprise Development Grant (EDG): Helps businesses grow and transform through projects related to core capabilities, innovation, and market access.

b. Talent and Manpower Development

  • SkillsFuture Enterprise Credit (SFEC): Encourages employers to invest in enterprise transformation and employee training.
  • Career Conversion Programmes (CCP): Supports mid-career individuals in acquiring new skills and switching to growth sectors.

c. Overseas Expansion

  • Market Readiness Assistance (MRA): Assists companies entering new overseas markets, covering costs for market promotion, business development, and set-up.

d. Digitalisation and Cybersecurity

  • SMEs Go Digital Programme: Offers resources and support for adopting digital technologies.
  • CTO-as-a-Service: Provides access to Chief Technology Officers to help businesses identify digital needs and solutions.

e. R&D and Sustainability

  • Startup SG Tech: Grants for early-stage tech-based start-ups to develop and commercialise solutions.
  • Energy Efficiency Fund (E2F): For companies keen on reducing energy consumption and improving sustainability.

3. Assess Eligibility Criteria Carefully

Each grant has specific eligibility requirements, and understanding these can save your business time and effort. Common criteria include:

  • Business must be registered and operating in Singapore
  • A certain percentage of local shareholding
  • Must be financially viable to complete the project
  • Project must be new (not commenced at the point of application)

Make sure you meet both general and grant-specific criteria before applying. If your company doesn’t meet the basic eligibility, your application will likely be rejected automatically.

4. Evaluate Your Resources and Capabilities

Grants often require co-funding—this means your business must be able to front part of the costs. Before committing to a grant:

  • Check how much capital or cash flow you can set aside
  • Understand the scope of the project (timeline, manpower needs)
  • Assess whether you have the internal capabilities or if you need to hire vendors or consultants

Some grants, like the EDG, cover up to 50% of eligible costs, so your business must be ready to fund the remaining portion. If your business cannot support this, you may want to start with smaller grants like the PSG, which offers pre-approved solutions with a more straightforward application process.

5. Look at the Application Process and Timeline

Grant applications can vary from simple to complex, with some requiring:

  • Detailed project proposals
  • Budget estimates
  • Financial documents
  • Outcome projections (e.g. productivity improvements)

Some grants, such as PSG, have an application turnaround of a few weeks, while others like EDG may take 1-2 months for approval.

Consider your urgency and bandwidth. If you need fast support, look for grants with simpler procedures and faster disbursement timelines. If you can afford to plan long-term, more comprehensive grants can be more beneficial.

6. Explore Industry-Specific Schemes

Certain grants are tailored to specific sectors, such as:

  • Food Services and Retail: Grants under the Food Services and Retail Digitalisation Package
  • Construction and Built Environment: Construction Productivity and Capability Fund (CPCF)
  • Maritime, Logistics, Healthcare, etc.: Sector-specific digital or transformation grants

You can check with your industry’s trade association or relevant agency (like Enterprise Singapore, IMDA, or BCA) for guidance.

7. Consider Long-Term Impact and ROI

While it may be tempting to apply for a grant just because it’s available, you should always consider the long-term value. Ask yourself:

  • Will this grant help my business scale or innovate?
  • Will it reduce long-term costs or increase productivity?
  • Will the outcomes align with my company’s mission and goals?

Avoid applying for grants that create unnecessary complexity or commitments that may not align with your core operations.

8. Speak to a Grant Consultant or Business Advisor

If you’re still unsure, consider seeking help from:

  • Grant consultants like GrantConsultant.sg
  • Business advisors from agencies such as SME Centres and Enterprise Singapore
  • Accounting firms that specialise in SME advisory

These professionals can guide you through the decision-making process, help prepare documents, and even advise on how to align projects with grant expectations.

Conclusion

Singapore’s robust support system through government grants provides businesses with the financial boost to grow, innovate, and succeed. However, not every grant is suitable for every business. By understanding your business needs, evaluating your resources, assessing eligibility, and planning strategically, you can select the grants that truly align with your goals.

Always remember: the right grant should complement your business direction—not complicate it. Take the time to plan, seek advice, and apply wisely.

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