Top Government Grants for SMEs in Singapore (2026 Updated) 

Running a business in Singapore is exciting but also expensive. Fortunately, the Singapore government has been a constant helper of locals who have been pounded with various grants to fund on digitalisation, productivity, and internationalisation. In this 2026 update, we explain about the major grants to be aware and offer special expertise that can help you learn the most about them. 

Productivity Solutions Grant (PSG)

The Productivity Solutions Grant (PSG) supports SMEs in adopting pre-approved IT solutions and equipment to improve productivity and automate operations. 

Administered by: Enterprise Singapore, in collaboration with IMDA and sector lead agencies. 

Funding support: 

• Up to 50% of qualifying costs 

• Annual cap of S$30,000 per company  

Eligibility: 

• Registered and operating in Singapore 

• At least 30% local shareholding 

• Annual sales ≤ S$100 million OR ≤ 200 employees 

What it covers: 

• Digital tools for accounting, HR, inventory, project management, and ERP 

• Sector-specific solutions (e.g., for retail, food services, construction) 

Best for:
SMEs new to digitalisation and looking to implement core systems (e.g., ERP, accounting, HR) in phases with minimal risk. 

PSG is one of the most favorable government grants for small businesses to apply for, but also one of the most competitive. Make sure the solution you’re considering is IMDA-pre-approved. If you plan to use ERP, break the project into eligible modular components to stay within the grant cap. Use PSG to kick-start your digital journey. Start with core modules (like inventory or finance), then scale later with other grants like EDG. 

Enterprise Development Grant (EDG)

Enterprise Development Grant (EDG) funds projects that help companies innovate, upgrade capabilities, or expand overseas. The grant covers up to 50% of eligible project costs; up to 70% if aligned with sustainability goals (Enterprise Singapore). 

Eligibility: 

• Registered and operating in Singapore 

• At least 30% local shareholding 

• Financially viable to start and complete the project 

What it covers: 

• Consultancy, manpower, software, equipment 

• Projects in three areas: 

Core Capabilities (e.g. business strategy, HR) 

Innovation & Productivity (e.g. process redesign, ERP implementation) 

Market Access (e.g. overseas expansion) 

EDG is ideal for larger or longer-term digital transformation projects like ERP software implementation, supply chain management software integration, or sustainability reporting. However, approvals require detailed documentation, clear ROI metrics, and a credible vendor or consultant. 

Read more: 6 Tips To Streamline Your ERP System Implementation 

Market Readiness Assistance (MRA)

Planning to go global? Market Readiness Assistance /MRA is one of the top government grants for small businesses that supports SMEs with up to 70% of eligible costs, capped at S$100,000 per market. It funds market research, overseas advertising, setting up rep offices, and business matching. 

MRA helps SMEs take their first steps abroad by subsidising costs related to market expansion. 

 Administered by: Enterprise Singapore 

 Funding support: 

•  Up to 70% of eligible costs 

•  Cap of S$100,000 per market per company 

Breakdown: 

• Overseas market promotion: S$20,000  

• Business development: S$50,000  

• Market setup: S$30,000  

Eligibility:  

• Singapore-registered company  

• At least 30% local shareholding  

• Annual sales ≤ S$100 million OR ≤ 200 employees  

• Have not exceeded the S$100,000 cap in the same market  

What it covers:  

• Overseas marketing campaigns  

• Participation in international trade fairs  

• Overseas business matching  

• Market entry legal and IP support 

Overseas expansion can prove to be very complicated yet many SMEs underestimate this. To provide regional operations, you will require proper digital systems, e.g., an ERP that handles many currencies and that is tax compliant. MRA itself is not going to provide funding of an ERP software, but it will provide funds to market and establish the business when you are fully ready to grow. 

SkillsFuture Enterprise Credit (SFEC)

SkillsFuture Enterprise Credit (SFEC) offers a one-time S$10,000 credit, covering up to 90% of qualifying costs. It supports job redesign, employee upskilling, and technology implementation – make it one of the best government grants for small business! 

Administered by: 

• SkillsFuture Singapore (SSG) and Workforce Singapore (WSG) 

Funding support: 

• Covers costs not already funded by other grants (e.g., PSG, EDG)  

Used to pay for:  

• Training courses  

• Job Redesign  

• Technology implementation consultancy(GoBusiness)  

Eligibility:  

• Paid at least S$750 in Skills Development Levy in a 12-month period  

• No outstanding CPF or SDL payments  

• Must have used at least one eligible program (e.g., PSG, EDG) 

In case of a new system like ERP or CRM, the processing of training and onboarding program can be subsidised in terms of SFEC. Pair it with the PSG or EDG and cut on the implementation costs and the number of employees. 

Energy Efficiency Grant (EEG)

Targeted at manufacturing and food services, EEG funds up to 70% of the cost of energy-efficient equipment. 

While this is not a digitalisation grant, it’s important if your business wants to reduce electricity costs or meet ESG targets. If your ERP or data analytics system helps monitor energy usage, it could complement EEG-supported projects. 

How to Make the Most of These Grants 

• Apply Before You Buy 

For grants like PSG and EDG, you must apply before signing contracts or making payment. This is a common mistake among first-time applicants. 

• Combine Grants Strategically 

You can stack different grants: 

Use PSG for modular solutions like accounting or inventory management. 

Use EDG for larger transformation involving consultancy or multiple departments. 

Use SFEC for training staff to adopt new tools. 

Use MRA when expanding abroad. 

•  Prepare Strong Documentation 

Especially for EDG, you’ll need a solid proposal: 

Clear objectives and timelines 

ROI or KPIs showing business improvements 

Quotation from pre-qualified vendors 

Why Synergix ERP is a Strategic Investment Backed by Government Grants 

The decision of selecting the appropriate ERP software may transform disparate operations to viable business growth. The Synergix ERP is a cloud-based ERP system developed in Singapore and it is a fully incorporated platform which is pre-approved through the PSG grant. This implies that eligible SMEs will be able to access up to 50% funding in costs of licenses and implementation. 

The difference is that it is a modular piece of ERP software – you can begin with an inexpensive core and add additional pieces to achieve new levels of functionality as the need grows. 

If you’re planning a broader transformation project – like workflow automation, data integration, or overseas expansion – Synergix ERP also qualifies under the Enterprise Development Grant (EDG) when bundled with consultancy or job redesign services. And if you’re training your staff to use the new system, the SkillsFuture Enterprise Credit (SFEC) can cover up to 90% of your training and onboarding costs. 

In short: 

Need to digitise and improve efficiency? → PSG
Planning long-term business transformation? → EDG
Need to train your team to use the new ERP? → SFEC 

With Synergix ERP, you’re not just buying software – you’re investing in a grant-backed digital backbone that scales with your growth. 

Application Timeline 

• PSG: Apply before signing any contract or making payment 

• EDG: Projects must complete in 12 – 18 months; ensure detailed proposals and proof of viability. 

Final Thoughts 

Grant money is not like winning the lottery, it is a business continuity strategy. In 2025, the Singapore grants ecosystem is robust and available particularly in relation to digitalisation, growth, and labour upskilling. It is all a matter of knowing which grant to apply which business objective and creating a clear plan of implementation. 

In case your business is intending to introduce software, reorganize business teams, or execute new markets, it would be interesting to consider how to match your undertakings with the grants. 

Up to 90 percent of digital and transformational investing, such as enterprise resource planning (ERP) implementation, can be financed through a combination of PSG, EDG, SFEC, MRA – and EEG where the latter is available through the loan agreement. Not only will this grant-based and strategic methodology reduce your capital expenditure, but it will induce productivity, innovation and high-stage growth. 

Speak to your ERP partner now innocently enough to match your implementation plan with appropriate grants and get the best funding help possible to your SME. 

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