Top Grants For SME To Boost Your Business Growth

Growing a small or medium-sized enterprise (SME) requires more than hard work. It demands financial support to scale operations, invest in technology, and stay competitive. 

Fortunately, various grants for SME businesses in Singapore can help you access funding for innovation, digital transformation, and workforce development. Whether you’re looking to enhance productivity, expand into new markets, or offset business costs, knowing which grants align with your goals is crucial.

In this guide, you’ll discover the top SME grants available in 2025, how to qualify, and what you need to prepare for a successful application. Let’s explore the best funding options to accelerate your business growth.

Key Takeaways

• SME grants provide financial support without the repayment burden, helping businesses scale, adopt digital solutions, and improve their competitiveness.
• Eligibility requirements vary by grant but typically include business registration in Singapore, financial stability, and alignment with the grant’s objectives.
• Applying through the Business Grants Portal (BGP) involves selecting the right grant, preparing necessary documents, and tracking application progress.
• Funds are usually reimbursed post-project, requiring businesses to submit claims with supporting documents for approval.
• Proper compliance and record-keeping ensure smooth disbursement and eligibility for future grants.

What is an SME Grant?

Image Credit: Piloto Asia

Small and medium-sized enterprises (SMEs) are fundamental to Singapore’s economic landscape, serving as the backbone of the nation’s economy. SMEs are defined as enterprises with an annual turnover of under S$100 million or employing fewer than 200 workers. 

They account for approximately 99% of all businesses in Singapore, highlighting their prevalence and importance. Regarding employment, SMEs play a pivotal role by providing jobs to about 71% of the workforce.

This significant employment contribution underscores their role in maintaining social stability and supporting livelihoods nationwide. Economically, SMEs contribute nearly half to Singapore’s Gross Domestic Product (GDP), reflecting their substantial role in economic growth and development. 

Beyond these figures, SMEs are instrumental in fostering innovation, enhancing competitiveness, and ensuring the resilience of Singapore’s economy. Their adaptability and entrepreneurial spirit enable them to respond swiftly to market changes, making them crucial players in sustaining the nation’s economic vitality.

Because of their significance in the nation, some SME grants or financial incentives are provided to support their growth and development. These grants are typically offered by the government and are designed to assist businesses in various areas, such as technology adoption, market expansion, and capability enhancement.

Unlike traditional loans, most SME grants do not require repayment, making them an attractive funding source. However, to qualify, businesses may need to meet specific criteria, such as demonstrating clear plans for growth or innovation. Additionally, recipients might be required to submit progress reports to ensure the funds are utilised effectively. 

By leveraging these grants, you can access essential resources to enhance your business operations, adopt new technologies, and explore new markets, driving your company’s growth and competitiveness in Singapore’s dynamic economy.

Types of SME Grants Available in Singapore

Image Credit: EDG Grant

Understanding the various SME grants available in Singapore can significantly bolster your business’s growth and competitiveness. Below are key grants tailored to support SMEs’ development and expansion efforts.

Enterprise Development Grant (EDG) 

The Enterprise Development Grant (EDG) is designed to assist Singaporean SMEs in upgrading their business capabilities, driving innovation, and venturing into international markets. 

Eligible projects under the EDG include enhancing core capabilities, improving innovation and productivity, and implementing market access initiatives. For instance, if you aim to adopt advanced digital marketing strategies or expand your reach overseas, the EDG can provide substantial support. The grant covers up to 70% of qualifying project costs for SMEs, making it a valuable resource for businesses seeking substantial transformation.

Purpose	Supports projects that enhance core capabilities, innovation, productivity, and market access.
Funding Support	Up to 70% of qualifying costs for SMEs.
Eligibility Criteria	Registered and operating in Singapore. Minimum of 30% local shareholding. Financially capable of completing the project.
Application Process	Submit your proposal through the Business Grants Portal.

Productivity Solutions Grant (PSG)

The Productivity Solutions Grant (PSG) aims to support SMEs adopting pre-scoped IT solutions and equipment that enhance productivity. The PSG can be instrumental if you want to implement digital marketing tools, customer relationship management systems, or other technological solutions to streamline operations. 

The grant offers funding support of up to 50% of eligible costs, with a maximum of S$30,000 annually. This initiative encourages businesses to leverage technology for improved efficiency and competitiveness.

Purpose	Facilitates adoption of pre-approved IT solutions and equipment to boost productivity.
Funding Support	Up to 50% of eligible costs, capped at S$30,000 annually.
Eligibility Criteria	Registered and operating in Singapore. Minimum of 30% local shareholding. IT solutions or equipment must be pre-approved under the scheme.
Application Process	Apply via the Business Grants Portal, ensuring the chosen solutions are pre-approved.

Market Readiness Assistance (MRA) Grant

The Market Readiness Assistance (MRA) Grant is tailored for SMEs aiming to expand their business overseas. It provides financial support for activities such as market setup, identification of business partners, and overseas market promotion. If you’re considering entering new international markets, this grant can subsidise up to 70% of eligible costs, with a cap of S$100,000 per new market. 

This includes support for market entry, business matching, and participation in overseas trade fairs, reducing the financial barriers to international expansion.

Purpose	Assists SMEs in expanding into international markets through financial support for market entry activities.
Funding Support	Up to 70% of eligible costs, capped at S$100,000 per new market.
Eligibility Criteria	Registered and operating in Singapore. Minimum of 30% local shareholding. The group’s annual sales turnover is not more than S$100 million, and the number of employees is not more than 200.
Application Process	Submit your application through the Business Grants Portal with a detailed internationalisation plan.

Energy Efficiency Grant (EEG)

The Energy Efficiency Grant (EEG) supports SMEs adopting energy-efficient practices and technologies. The EEG aims to reduce operational costs and promote environmental sustainability by providing financial assistance for energy-saving projects. This grant is particularly beneficial for upgrading to energy-efficient equipment or implementing processes that lower energy consumption. 

The funding amount varies based on the project’s scope and potential energy savings, encouraging businesses to contribute to a greener economy.

Purpose	Encourages the adoption of energy-efficient technologies and practices to reduce operational costs and environmental impact.
Funding Support	Varies based on project scope and potential energy savings.
Eligibility Criteria	Registered and operating in Singapore. Engaged in a project that leads to measurable energy savings.
Application Process	The administering agency typically provides details. Consult the relevant government body for application procedures.

Research and Innovation Scheme for Companies (RISC)

The Research and Innovation Scheme for Companies (RISC) encourages technological development and innovation activities within companies. It supports the development of new products and processes, fostering a culture of research and development. 

Suppose your business is focused on creating innovative solutions or enhancing existing products. In that case, RISC can provide the necessary funding to bring these projects to fruition, thereby improving your competitive edge in the market.

Purpose	Supports technological development and innovation activities, leading to new product and process development.
Funding Support	Details vary; consult the administering agency for specific information.
Eligibility Criteria	Registered and operating in Singapore. Engaged in research and development activities leading to innovative outcomes.
Application Process	Refer to the website.

Eligibility Requirements

To qualify for SME grants in Singapore, your business must be registered and operating within the country, with at least 30% of its shareholding held by Singaporeans or Permanent Residents (PRs). 

Additionally, your company’s group annual sales turnover should not exceed S$100 million and employ no more than 200 people. These criteria ensure that the grants are directed towards businesses that significantly contribute to the local economy and workforce.

It’s important to note that specific grants may have additional eligibility requirements. For instance, the Productivity Solutions Grant (PSG) necessitates utilising IT solutions or equipment in Singapore. Similarly, the Enterprise Development Grant (EDG) requires applicants to demonstrate financial viability to initiate and complete the proposed projects.

Before applying, it’s advisable to thoroughly review each grant’s specific eligibility criteria to ensure your business meets all requirements.

Application Process

Applying for SME grants in Singapore involves a systematic approach to ensure your business meets the necessary criteria and submits a comprehensive application. Below are the steps to guide you through the process:

Step 1: Access the Business Grants Portal (BGP)

The Business Grants Portal (BGP) is Singapore’s primary platform for submitting SME grant applications. Log in using your CorpPass credentials to begin. 

This authentication ensures that only authorised personnel can apply for your business. Once logged in, select “Get New Grant”, where you’ll be guided through a series of questions to determine the most suitable grant for your project. Make sure you have a clear understanding of your business needs before proceeding.

Key Requirement: Only Singapore-registered businesses with a valid Accounting and Corporate Regulatory Authority (ACRA) profile can apply.

Step 2: Identify the Right Grant and Prepare Your Application

After selecting the appropriate grant, provide details about your project, business objectives, and expected outcomes. Different grants have specific requirements, so ensure your project aligns with the grant’s purpose.

Documents Required:

• Project Proposal: Outline the purpose, scope, and expected benefits.
• Financial Statements: Submit your company’s financial records for the last three years.
• Vendor Quotations: Provide vendor price quotations if your grant involves third-party services or equipment.
• Certifications (if applicable): The Enterprise Development Grant (EDG) requires consultants to have Singapore Accreditation Council-accredited TR 43 or SS 680 certification.

Pro Tip: Ensure all documents are accurate and up to date to avoid application delays. 

Step 3: Submit Your Application

Once all required documents are ready, submit your application through the BGP. The system will allow you to track your application’s status and receive updates.

What Happens Next?

• Review Process: Enterprise Singapore or the relevant agency will assess your application.
• Additional Information Requests: You will be notified via the BGP if more details are needed. Please ensure you respond promptly.
• Approval Timeline: Processing times vary by grant but typically range from six to twelve weeks.

Tip: Check your BGP account regularly to monitor progress and respond to requests quickly. 

Step 4: Receive Your Grant and Implement the Project

If your application is approved, you will receive a Letter of Offer, which you must accept through the BGP before receiving the funds. After that, you can start implementing your project following the approved guidelines.

Key Considerations:

• Keep Records: Maintain receipts and reports as proof of project completion.
• Claim Process: Some grants require you to submit a claim after completing the project to receive the funds.

Final Advice: Adhering to the grant terms ensures smooth disbursement and maintains eligibility for future government funding opportunities. 

Benefits of Obtaining Grants

Applying for SME grants in Singapore can be a game-changer for your business. These grants offer financial support to help you scale, innovate, and stay competitive in a rapidly evolving market. 

Here’s why securing a grant can be beneficial for your business:

• Financial Relief Without Debt: Unlike business loans, SME grants provide funding without requiring repayment. This means you can invest in digital marketing, automation, or business expansion without taking on financial risk. For example, the Productivity Solutions Grant (PSG) funds up to 50% of digital solutions costs, reducing your out-of-pocket expenses. 
• Accelerated Business Growth: Grants enable businesses to scale faster by funding essential upgrades. Whether you need advanced digital marketing tools, AI-driven customer analytics, or CRM software, SME grants can offset these costs, allowing you to compete with larger enterprises.
• Encourages Innovation and Digital Transformation: Government grants often prioritise businesses that adopt new technologies. For instance, the EDG supports automation, internationalisation, and innovation projects. This funding helps SMEs implement cutting-edge solutions without straining their budgets. 
• Enhances Credibility and Competitive Edge: Being awarded a government grant boosts your business reputation. It signals that your company meets eligibility standards and is financially stable, increasing trust among investors, partners, and clients and giving you a competitive advantage.
• Supports Manpower and Talent Development: Some grants, like the SkillsFuture Enterprise Credit (SFEC), help SMEs train employees in digital marketing, business analytics, and leadership skills. This ensures your team is equipped with the latest industry knowledge, improving overall productivity. 

By strategically leveraging SME grants, you can reduce costs, boost efficiency, and stay ahead of competitors. Start exploring grant options today to take your business to the next level. 

How to Apply for Grants for SME

Applying for grants for SMEs in Singapore can be crucial to scaling your business, adopting digital solutions, and staying competitive. 

Start by identifying the right grant, ensuring your business meets eligibility criteria, and preparing a strong application through the Business Grants Portal (BGP). Maintaining records and complying with grant requirements will also help secure future funding opportunities.

For expert guidance, work with MediaOne, an accredited PSG Grant Vendor, or consult the SME Centre for professional assistance. These experts can help you navigate the grant application process and maximise funding to grow your business.

Frequently Asked Questions

What is the small business recovery grant in Singapore? 

The Small Business Recovery Grant (SBRG) was a government support measure for businesses affected by COVID-19, providing one-off financial aid. As of 2025, SMEs should explore grants like the Productivity Solutions Grant (PSG) or Enterprise Development Grant (EDG) for funding opportunities. Check with Enterprise Singapore for the latest SME recovery initiatives.

Who is eligible for the SG Founder Grant? 

The SG Founder Grant supports first-time entrepreneurs looking to start a business in Singapore. To qualify, you must be a Singaporean citizen or PR, undergo a structured mentorship programme, and commit to a co-matching investment. Applications must be submitted through an Accredited Mentor Partner (AMP) approved by Enterprise Singapore.

Do SME grants require businesses to co-fund the expenses?

Many grants operate on a co-funding model, where businesses must contribute a percentage of the project costs while the grant covers the remaining amount. The co-funding ratio varies depending on the grant program, industry, and project type.

For example, some digital transformation grants may cover up to 70% of the costs, while others may require businesses to shoulder a larger portion. It’s important for SMEs to factor in these costs when applying for grants.

Can SMEs apply for multiple grants at the same time?

Yes, SMEs can apply for multiple grants simultaneously as long as they meet the eligibility criteria for each grant. However, some grants may have restrictions on stacking, meaning that businesses cannot use multiple grants to fund the same expense.

It’s important to review the terms and conditions of each program to ensure compliance. Additionally, managing multiple grants requires careful financial planning and reporting to avoid administrative challenges.

Are there grants specifically for startups, or do they only apply to established SMEs?

Many grants cater specifically to startups, offering financial support for early-stage business development, research, and market entry. These startup grants often focus on innovation, technology adoption, and business model validation.

However, established SMEs can also access a broader range of grants designed for business expansion, digitalization, and overseas growth. It’s crucial for startups and SMEs to explore the different funding options available based on their growth stage.