5 Best Government Grants For Startups In Singapore

Over the years, Singapore has established itself as one of the most progressive countries. This is due to its politically stable government and diverse economy. Singapore is also ranked number one in terms of economic freedom which makes it one of the best countries to start a business. 

So what differentiates Singapore’s system from other countries? Firstly, the country has adopted a business friendly policy that is highly supportive of startups. This comes in the form of schemes and grants as a way to fund businesses during their early stages. 

There are many types of grants and they each have their own benefits. With that, we’ve listed 5 of the best government grants in Singapore and how you can apply for them.  

Let’s get started! 

Startup SG Founder (SSGF)

The Startup SG Founder (SSGF) is one of the six startup pillars of the Startup SG grant. It was launched in 2017 and is considered one of Singapore’s most popular grants. The SSGF aims to support aspiring entrepreneurs by providing financial support and mentorship. 

This includes a $50,000 SGD funding and a 12 month mentorship program. The programme is designed for first time entrepreneurs and it is supported by Enterprise Singapore.

• 合格
  Similar to the first grant, your business idea needs to be unique and viable to the market. It also needs to have a clear demonstration of how it can be applied. Here are other criterias you should consider:
  • The business must be incorporated in Singapore where core activities are carried out. 
  • The business must have a physical operation in Singapore and at least 31% local shareholdings. 
  • The company must not have a turnover of more than $100 million SGD a year.
  • The employment size of your business should not exceed 200 workers. 
  • The company must not be a subsidiary of another corporation.

• Application Process
  1. Stage 1 (Registration of Interest, ROI): Applicants must submit a summary of your proposed project and a completed ROI form. Email the following items to Enterprise Singapore and you will be duly notified of your projects eligibility.
  2. Stage 2 (Application and Evaluation): Upon confirmation of stage 1, you will be invited to submit a formal application consisting of a cost breakdown and a full business proposal. Your proposal will be assessed based on innovation and market potential.
  3. Stage 3 (Final Panel): Shortlisted applicants from stage 2 will present their proposal to a panel of industry experts. The panel’s decision will determine the approval of your application.

Startup SG Tech (SSGT)

The Startup Singapore Tech (SSGT) is another grant under the Startup SG program. The SSGT is aimed to help tech startups grow and develop through early stage fundings. You can apply for either the Proof of Concept (POC) or Proof of Value (POV) grant. 

The POC grant is for projects in the conceptualization phase and the POV is for those with an established concept. Both grants are capped at $250,000 and $500,000SGD respectively.

• 合格
  Similar to the first grant, your business idea needs to be unique and viable to the market. It also needs to have a clear demonstration of how it can be applied. Here are other criterias you should consider:
  
  • The business must be incorporated in Singapore where core activities are carried out. 
  • The business must have a physical operation in Singapore and at least 31% local shareholdings. 
  • The company must not have a turnover of more than $100 million SGD a year.
  • The employment size of your business should not exceed 200 workers. 
  • The company must not be a subsidiary of another corporation.
    

• Application Process
  1. Stage 1 (Registration of Interest, ROI): Applicants must submit a summary of your proposed project and a completed ROI form. Email the following items to Enterprise Singapore and you will be duly notified of your projects eligibility
  2. Stage 2 (Application and Evaluation): Upon confirmation of stage 1, you will be invited to submit a formal application consisting of a cost breakdown and a full business proposal. Your proposal will be assessed based on innovation and market potential.
  3. Stage 3 (Final Panel): Shortlisted applicants from stage 2 will present their proposal to a panel of industry experts. The panel’s decision will determine the approval of your application.

Business Improvement Fund (BIF)

The BIF is targeted for tourism related startups. It is managed by the Singapore Tourism Board (STB) and it encourages technological innovation and implementation within the sector. The level of support will vary depending on the size of your business. 

Applicants under Small Medium Enterprises (SME) will receive a funding of up to 70% whereas non SMEs can get up to 50%. The qualifying costs include; travel, training, third party related, manpower and hardware.

• 合格
  The grant is open to all businesses that look to undertake tourism related activities. The companies will also have to be:
  • Technology companies that create innovative products and services to improve the industry. 
  • Tourism  companies that are capable of development within the field. 
  • Companies that have the capability to innovate.
    

• Application Process
  1. Applicants will have to declare if they are SME or non-SME. They also have to provide a summary of their proposed project. 
  2. An STB officer will then advise you about the eligibility of your project and if you can proceed with the application. 
  3. Upon confirmation, you’ll need to prepare your proposal along with relevant quotations. You’ll be duly informed once your application has been approved.

Enterprise Development Grant (EDG)

The EDG is aimed at helping startups strengthen their business foundations. Managed by Enterprise Singapore, the program focuses on:

• Core capabilities: This includes basic brand and marketing development along with proper financial management.
• Innovation and Productivity: The need to explore new areas of growth and improve sustainability performance through technology.
• Market Access: To prepare your business for overseas expansion.

The grant operates under these 3 pillars and eligible applicants can get up to 70% off in subsidies. It covers a wide range of industries such as education, agriculture and finance to name a few.

• 合格
  SMEs must meet the following criteria to qualify for this grant:
  • A registered business that is operating in Singapore. 
  • Be in a financial position to complete this project. 
  • Your business needs at least 30% of local shareholding.
    

• Application Process
  1. First and foremost, you need to identify the 3 key project categories you wish to apply for (the 3 pillars mentioned above). 
  2. Next, you need to choose the right service provider for your project. This is followed by submitting your project proposal through the Business Grant Portal. 
  3. Your application will take 8 to 12 weeks to process and it will be assessed on project scope, outcome and the capability of your service provider. 
  4. You will receive a letter of offer upon confirmation along with the amount of funds awarded.

Productivity and Solutions Grant (PSG)

PSG is a grant for companies that look to integrate IT solutions into their business process. It was built on the idea of helping businesses equip themselves with IT equipment to enhance their productivity. IT solutions are a great way to give startups an edge. 

Successful applicants can receive up to 70% of funding for the purchase of IT products. The  grant covers IT driven businesses such as retail, F&B and construction to name a few. The grant is managed by Enterprise Singapore and it is sought after by many businesses.

• 合格
  • A business that is already registered and operating in Singapore 
  • Your company turnover rate should not exceed $100 million SGD a year.
  • The employment size of your business should not exceed 200 workers. 
  • Have at least a 30% of local shareholding. 
  • The purchase of IT equipment or solutions must be used in Singapore

• Application Process 
  1. You need to identify the right solution or equipment for your business needs. Click here to access the list of supported IT products and services. 
  2. After choosing your solution or equipment, you’ll have to get a quotation from the pre approved vendor or the source for the equipment. 
  3. Submit your application on the Business Grant Portal and duly wait for your approval.

Conclusion

Singapore is an economically rich country, making it one of the best places to start a business. It has a highly supportive government that supports startups through various grants and schemes. This lays the foundation for startups by funding them during their early stages. 

The list above are some of the best government grants for start ups in Singapore. They cover various industries and we reckon you’d find one that suits your needs. Keep in mind that you should always check the eligibility requirements before applying. 

To ease the application process, you should also prepare the relevant documents prior to applying. All in all, be sure to spend your grant wisely by using it efficiently and effectively.

If you want to know more about business expansion and finance, do visit our website here.