A Guide to Business Grants in Singapore for 2024

As Singapore continues to evolve into a global business hub, local businesses are encouraged to grow, innovate, and embrace digital transformation. The Singapore government offers a variety of grants to help businesses enhance productivity, support workforce transformation, expand into global markets, and much more. In 2024, these grants remain crucial in supporting the business landscape and empowering organizations to thrive in a competitive global economy.

Here’s a look at some of the key business grants available in Singapore for 2024.

1) Enterprise Development Grant (EDG)

Purpose: The Enterprise Development Grant (EDG) supports projects that help SMEs upgrade, innovate, grow, and transform their businesses. The EDG is particularly useful for companies seeking to improve their processes, embrace new technologies, and expand into new markets.

How It Helps: The EDG provides financial support for projects that focus on process innovation, technology adoption, and market expansion. Companies can use the grant to fund consultancy services, software purchases, and internal manpower costs related to these transformation projects.

Eligibility:

• The company must be registered and operating in Singapore.

• The company must have at least 30% local equity held directly or indirectly by Singaporean(s).

• The business must be financially ready to start and complete the project.

Funding:

• The grant covers up to 50% of eligible costs for Singapore SMEs.

• From 1 April 2023, sustainability-related projects can receive up to 70% support until 31 March 2026.

  
  

2) Productivity Solutions Grant (PSG)

Purpose: The Productivity Solutions Grant (PSG) helps businesses in Singapore adopt IT solutions and equipment that enhance productivity. The goal is to drive innovation and increase efficiency.

How It Helps: PSG can be used by businesses to purchase off-the-shelf IT solutions or equipment, including software for finance management, e-invoicing, customer relationship management (CRM), and more. It aims to reduce costs while increasing operational efficiency and productivity.

Eligibility:

• Must be a Singapore-registered business, with at least 30% local ownership.

• The company must be purchasing pre-approved solutions or equipment.

  
  

Funding:

• Up to 70% of the qualifying costs for adopting approved productivity solutions, with higher funding rates available under certain conditions, such as for SMEs or specific sectors.

  
  

3) Career Conversion Programmes (CCP) for Employers

Purpose: The Career Conversion Programmes (CCP) help businesses in Singapore with workforce transformation by providing financial support to employers who are hiring workers for new job roles or for reskilling existing employees.

How It Helps: CCP allows businesses to hire and train employees who may need to upskill or transition to new roles. It supports companies in hiring individuals for positions that may not have been on their original job scope, such as when re-skilling employees for digital transformation roles.

Eligibility:

• Employers must be registered in Singapore.

• Employers must hire Singaporeans or Permanent Residents for the positions under the programme.

• Workers should be transitioned into new job roles or skillsets, often in areas of growth such as digital, tech, or green economy sectors.

Funding:

• Funding varies depending on the scope of training and role conversion, but businesses can receive up to 90% of eligible training costs for each employee, subject to program terms.

4) NTUC CTC (Company Training Committee) Grant

Purpose: In February 2022, the Government set aside S$100 million to scale up the Company Training Committees (CTCs) initiative, aimed at helping businesses transform and enhance productivity, job redesign, and workforce outcomes. A part of this funding supports the NTUC CTC Grant, which helps organizations with CTCs implement transformation plans to drive both workforce and enterprise transformation. Managed by NTUC’s Employment and Employability Institute (e2i), the grant co-funds proposals that focus on improving business capabilities and creating better career prospects for local workers.

What is the NTUC CTC Grant?

The Company Training Committee Grant is designed to support organizations in their workforce and business transformation efforts. This grant is available to companies that have established CTCs and need financial assistance to implement transformation projects. From August 2024, the CTC Grant will also fund training programs tied to these transformation projects.

The goal of the NTUC CTC Grant is to foster:

• Enterprise Transformation: Enhancing business capabilities, fostering innovation, and improving productivity.

• Workforce Transformation: Improving career prospects and increasing wages for local workers (Singapore Citizens / Permanent Residents), often through initiatives like job redesign. To access funding, companies must commit to at least one of the following worker outcomes:

  • Wage increase for workers

  • Recurrent Skills Allowance or One-time Allowance for workers, as determined by the scale of the project

  • Implementation of a Career Development Plan (CDP) for employees, which must be communicated to the staff.

What Can Be Supported Under the Grant?

Supportable items under the NTUC CTC Grant must be linked to the organization's transformation plans and should contribute to both business and workforce outcomes. Examples of supportable items include:

• Training tied to transformation projects

• Equipment/Software purchase and related OEM/software training

• Consultancy services to support transformation and process improvements

Eligibility:

• The grant is available to entities legally registered or incorporated in Singapore, including companies, societies, non-profit organizations (such as charities and social service agencies).

• Government bodies, statutory boards, organs of state, and wholly-owned subsidiaries of the Government are not eligible.

Funding Support:

• Up to 70% of qualifying costs are eligible for funding.

• The grant supports in-house or non-SSG-supported external training courses, provided they are directly tied to a CTC Grant transformation project.

• In-house training is funded at S$9/hour, and non-SSG-supported external courses are funded up to 70% of course fees. Funding caps may apply, and the quantum will be assessed based on:

  • The strength of the project from a business transformation perspective

  • The cost of the project from a worker outcomes perspective

• To receive funding disbursement, applicants must meet the worker outcomes as outlined in the Letter of Award (LOA).

5) Market Readiness Assistance (MRA) Grant

Purpose: The Market Readiness Assistance (MRA) Grant helps companies expand into new markets overseas by defraying the costs of overseas market promotion, business development, and market setup.

How It Helps: The MRA Grant is designed to support businesses seeking to expand internationally. The grant helps cover costs related to market research, overseas marketing, business development, and setting up operations in foreign markets.

Eligibility:

• The company must be registered and operating in Singapore.

• The company must have at least 30% local equity held directly or indirectly by Singaporean(s).

• The company must be new to the target overseas market.

• The business must have a Group Annual Sales Turnover not exceeding S$100 million or a Group employment size not exceeding 200 employees.

Funding:

• The MRA Grant provides an enhanced funding cap of up to S$100,000 for eligible activities, which include market promotion, business development, and market setup.

• The grant is available until 31 March 2025.

6) SkillsFuture Enterprise Credit (SFEC)

Purpose: The SkillsFuture Enterprise Credit (SFEC) aims to encourage employers to invest in the training and upskilling of their employees, as well as in adopting new technologies to stay competitive.

How It Helps: The SFEC provides financial support to employers to offset the costs of training programs and workforce transformation initiatives. It encourages businesses to upskill employees in areas that will drive their future growth.

Eligibility:

• Employers must be registered and based in Singapore.

• Businesses must have a Singaporean or Permanent Resident workforce.

• The company must have been making CPF contributions for at least six months.

Funding:

• Companies can receive up to S$10,000 in credits to offset the costs of training and development initiatives for their employees.

7) Special Grants for Startups

The Singapore government recognizes the unique challenges faced by early-stage businesses and startups. To support their growth, several grants have been introduced to provide financial assistance, resources, and mentorship. Here are two key grants aimed at fostering startup success:

A) Startup SG Founder

Purpose: The Startup SG Founder grant provides essential support to first-time entrepreneurs by offering both financial assistance and mentorship. It encourages new business founders in Singapore to take the leap and start their own ventures, providing a safety net to ensure they have the guidance needed to succeed.

How It Helps: This grant helps early-stage entrepreneurs set up and develop their businesses. The grant offers up to S$50,000 in financial assistance, as well as access to mentorship to guide first-time entrepreneurs through the challenging early stages of their startup journey. The program is designed with two tracks to meet the varying needs of entrepreneurs:

• ‘Train’: For those new to entrepreneurship and needing guidance on setting up a Private Limited company.

• ‘Start’: For businesses that have already been established and need assistance refining their business models.

Eligibility:

• Must be a first-time entrepreneur with no previous experience in setting up a Private Limited company.

• The entrepreneur must also be Singaporean or Singapore Permanent Resident.

• The applicant must commit a co-matching fund of S$10,000 to ensure that they have a personal stake in the company's success.

Funding:

• The grant provides up to S$50,000 in funding for eligible startups.

• The applicant must invest S$10,000 as co-matching funds, which ensures the entrepreneur’s commitment to the business.

B) Startup SG Tech

Purpose: The Startup SG Tech grant is designed to accelerate the development of proprietary technology solutions and stimulate the growth of startups with innovative technology and scalable business models. This grant plays a key role in nurturing the technology sector by bridging the gap between early-stage innovation and market-ready products.

How It Helps: The grant supports early-stage tech startups in the critical Proof-of-Concept (POC) and Proof-of-Value (POV) stages. These stages are vital for startups looking to validate their technologies and refine them into marketable products. The grant enables startups to de-risk the high costs of development and ensures they are ready for commercialisation.

Eligibility:

• The applicant must be a tech startup with innovative products, solutions, or services at the Proof-of-Concept (POC) or Proof-of-Value (POV) stage.

• The business must be incorporated in Singapore and owned by Singaporeans or Singapore Permanent Residents.

  
  

Funding:

• The grant provides up to 70% funding for early-stage technology development at the POC and POV stages.

• The funding supports startups in validating their technologies, refining their products, and preparing for market entry.

Conclusion

The wide range of grants available in Singapore provides businesses with significant opportunities to transform, innovate, and expand. Whether your business is looking to improve productivity, go global, or upskill employees, the government offers several funding options to help you achieve your goals. As 2024 progresses, businesses should take advantage of these grants to stay competitive and continue their growth journey.

For more detailed information or guidance on applying for these grants, consider speaking with a business consultant or engaging with the relevant agencies to ensure you maximize the funding opportunities available.

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DISCLAIMER: The views and opinions expressed in this article are those of the author and do not necessarily represent the views and opinions of any individuals or organizations with which the author may be affiliated, either in a professional or personal capacity, unless explicitly stated.

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