Building a SaaS product company in Singapore means balancing product development costs, hiring technical talent, infrastructure spending, and market expansion ambitions. The Singapore government grants that usually make sense for SaaS startups are the ones that support core product activities: R&D for new features, product development projects, overseas market entry, and tech hiring.
This guide is written for SaaS founders who want clarity fast:
- Which grant matches your stage and goal (product development, R&D, expansion, hiring)
- What it can fund (and what it typically will not)
- The simple steps to apply without getting rejected for timing/eligibility reasons
Best-Fit Grants for SaaS Startups
Start Here (Quick Pick)
- You are building new product features or capabilities (engineering, design, testing) → EDG
- You are doing genuine R&D (algorithm development, technical uncertainty, experimentation) → EIS
- You are expanding into overseas markets (APAC, US, EU market entry) → MRA
- You build software for SMEs and want funded customers → PSG vendor listing
- You are hiring tech talent (engineers, product managers, designers) → EDG (Core Capabilities)
Eligibility & Timing Rules
- Apply before you pay or sign. Deposits, invoices, or signed contracts before submission can make you ineligible for EDG and MRA.
- EIS is different. Claim at tax filing, no pre-approval needed. Keep documentation.
- PSG vendor listing is a process. You apply to IMDA to get your solution pre-approved, then SME customers can use PSG to buy from you.
- Local ownership matters. Most grants require at least 30% local equity.
Top Grants for SaaS Startups
1) Enterprise Development Grant (EDG)
Use EDG when: you are investing in product development, market expansion, or building core capabilities (hiring, training, process improvements).
Good fit examples
- Product development (new features, platform upgrades, mobile apps, API development)
- Market expansion (overseas market entry strategy, go-to-market execution)
- Core capabilities (hiring key technical roles, building engineering team, leadership development)
- Process automation (internal tools, CI/CD pipelines, customer onboarding automation)
- Sustainability initiatives (green product features, carbon tracking, ESG reporting)
How much
- Up to 70% of eligible costs for SMEs (50% standard, higher for priority sectors)
- No fixed cap (funding based on project scope)
- Processing time: 8-12 weeks
When
- Apply before starting the project
- Requires a project plan with clear milestones and outcomes
How (fast path)
- Define your project scope and timeline (6-18 months typical).
- Prepare a project plan showing business impact (new revenue, market expansion, productivity gains).
- Get vendor quotes for any third-party services (consultants, contractors).
- Submit via BGP with business case and supporting documents.
Where
- See more: Enterprise Development Grant (EDG)
2) Enterprise Innovation Scheme (EIS)
Use EIS when: you are investing in genuine R&D activities with technical uncertainty (not just building features, but solving unknown technical problems).
Good fit examples
- Algorithm development (ML models, recommendation engines, NLP systems)
- Technical experimentation (new architectures, performance optimization research)
- Innovation projects with polytechnics (proof-of-concept collaborations)
- Staff training (SSG-funded courses for your engineering team)
- IP development (developing patentable technologies, licensing innovations)
- Automation equipment (if building hardware-software hybrid products)
How much
- 400% tax deduction on first S$400,000 of qualifying R&D expenses per category
- 20% cash payout option for loss-making companies (up to S$100K expenses = S$20K cash)
- Claim at tax filing (no pre-approval needed)
When
- Keep documentation throughout the year
- Claim when filing corporate tax (Form C-S or Form C)
- Deadline: 30 November of the relevant Year of Assessment
How (fast path)
- Document R&D activities with clear technical uncertainty (what problem is unknown?).
- Track staff time spent on qualifying R&D activities.
- Retain all invoices for R&D-related expenses.
- Claim at tax filing under relevant EIS categories.
Where
- See more: Enterprise Innovation Scheme (EIS)
3) Market Readiness Assistance (MRA)
Use MRA when: you are entering overseas markets and need support for market research, business development, or promotion activities.
Good fit examples
- Market entry planning (market research, competitor analysis, go-to-market strategy)
- Business development (trade shows, customer meetings, partnership outreach)
- Overseas setup (legal incorporation, bank accounts, tax registration)
- Marketing and promotion (localized marketing, PR, advertising in target market)
- Regional expansion (APAC markets, US market entry, EU expansion)
How much
- Up to 70% of eligible costs for SMEs
- S$100,000 cap per application
- Processing time: 8-12 weeks
When
- Apply before starting overseas activities
- Requires market research and business plan
How (fast path)
- Identify your target market and entry strategy.
- Prepare market research showing demand and opportunity.
- Get quotes for market entry activities (travel, legal setup, marketing).
- Submit via BGP with market plan.
Where
- See more: Market Readiness Assistance (MRA)
4) PSG Vendor Listing (For B2B SaaS)
Use PSG vendor listing when: you build software for SMEs and want to access a funded customer base.
Good fit examples
- Accounting and ERP software (Xero competitors, industry-specific ERP)
- CRM and sales tools (SME-focused CRM, lead management)
- HR and payroll systems (HRMS, time tracking, scheduling)
- E-commerce platforms (marketplace connectors, inventory management)
- Cybersecurity solutions (endpoint protection, backup, monitoring)
- Document management (file sharing, workflow automation)
- Industry-specific solutions (F&B POS, clinic management, logistics TMS)
How it works
- You apply to IMDA to get your solution pre-approved for PSG
- Once approved, your customers can use their PSG grant to buy from you
- SMEs get up to 50% funding (S$30,000 annual cap)
- Your product appears in the official PSG catalogue
Why this matters for SaaS sales
- Removes budget objection (customers pay only 50%)
- Builds credibility (government-approved solution)
- Access to SME market segment actively looking for funded solutions
How to apply
- Review PSG listing requirements from IMDA.
- Ensure your product meets pre-approval criteria (scalable, SME-focused, local support).
- Prepare documentation (product specs, pricing, support commitment).
- Submit application via IMDA portal.
Where
- See more: Productivity Solutions Grant (PSG)
- IMDA vendor application: Apply to Become PSG Vendor
SaaS Business Scenarios & Which Grant to Use
| Grant | Funding | Timeline | |
|---|---|---|---|
| Building new product features (engineering, design) | EDG | Up to 70% | 8-12 weeks |
| Developing ML/AI algorithms with technical uncertainty | EIS | 400% deduction | Tax filing |
| Expanding into US/APAC markets | MRA | Up to S$100K (70%) | 8-12 weeks |
| Hiring senior engineers and product managers | EDG (Core) | Up to 70% | 8-12 weeks |
| Building software for SME market (B2B SaaS) | PSG vendor | Customer funding | 4-8 weeks |
| Staff training on new tech stack | EIS | 400% deduction | Tax filing |
| Trade show participation overseas | MRA | Up to 70% | 8-12 weeks |
| Developing API platform for partners | EDG | Up to 70% | 8-12 weeks |
SaaS-Specific Pitfalls to Avoid
1. Confusing product development with R&D
- Building features is generally not R&D (use EDG)
- R&D requires technical uncertainty (you do not know if the solution will work)
- EIS audits can challenge claims that are really just engineering work
- When in doubt: if there is a known technical approach, it is likely not R&D
2. Starting before approval
- EDG and MRA require projects to NOT have started before approval
- Do not sign contracts, pay deposits, or start hiring before Letter of Offer
- EIS is the exception (claim at tax filing, no pre-approval)
3. Missing the 30% local ownership requirement
- Most grants require at least 30% local (Singaporean/PR) equity
- VC-funded startups: check your cap table after funding rounds
- Foreign-owned subsidiaries may not qualify
4. Underestimating documentation for EIS
- EIS claims can be audited by IRAS
- Keep detailed records of R&D activities, technical challenges, and experimentation
- Document what you tried, what failed, and why
- Track staff time specifically allocated to R&D
5. Wrong timing for MRA
- Apply before booking flights, signing contracts, or starting market activities
- Retroactive expenses are not eligible
- Plan at least 3 months ahead of market entry activities
6. Not maximizing PSG vendor opportunity
- If you build B2B SaaS for SMEs, PSG vendor listing is a strategic advantage
- Your competitors may already be listed
- The application process takes time but creates a funded sales channel
7. Mixing grants incorrectly
- You cannot claim the same expense under multiple grants
- Example: If EDG covers 50% of your project, EIS can only apply to the remaining 50%
- Declare all other grant support when applying
Glossary (Quick Definitions)
- ACRA: Singapore’s business registry authority; your registered entity name is used on quotes/invoices.
- UEN: Unique Entity Number for your business.
- BGP: Business Grants Portal (where applications/claims are submitted).
- Corppass: The login system used to access BGP.
- SME: Small and medium enterprise (under S$100M revenue or under 200 employees).
- LOO: Letter of Offer (grant approval document).
- CFP: Call for Proposal (competitive grant application window).
- SSG: SkillsFuture Singapore (training courses registry).
Related Guides
Startup & Innovation
- Startup SG Program Comparison — Compare Accelerator, Founder, and Tech tracks
- Startup vs SME Eligibility Matrix — Which grants fit your business stage
- AI Grants for SMEs — EIS, EDG, ADS for AI projects
Grant Details
- EDG Explained — Full breakdown of EDG categories
- EDG Documents Checklist — Required documents for EDG
- EIS Checklist — Documents and timeline for EIS claims
- MRA Grant Explained — Understanding the 3 pillars
- MRA Documents Checklist — Required documents for MRA
Application & Pitfalls
- First-Time Application Checklist — Complete preparation guide
- Common Grant Pitfalls — Avoid common application mistakes
- EDG Pitfalls — Why EDG applications get rejected
- Singapore Grants Glossary — Key terms and definitions
Setup Guides
- Corppass Setup Guide — How to set up BGP access
- PayNow Corporate Setup — For grant disbursement
Official Links
- EDG: Enterprise Singapore — Enterprise Development Grant details
- EIS: IRAS Official Guide — Enterprise Innovation Scheme
- MRA: Enterprise Singapore — Market Readiness Assistance
- PSG Vendor Application: IMDA — Become a PSG vendor
- Business Grants Portal — Apply for grants
- Corppass User Guides — BGP login setup
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