If you’re a Singapore SME taking your first steps toward digital adoption, the Productivity Solutions Grant (PSG) is usually the fastest path to funding. This Singapore government grant covers pre-approved software and equipment that help you reduce manual work, improve efficiency, and free up staff time. For custom IT needs that go beyond the catalogue, the Enterprise Development Grant (EDG) is the next step.
This guide is for first-time applicants who want to understand what PSG funds, how to avoid common pitfalls, and how to apply without getting rejected.
Best-Fit Grants for First-Time Digital Adopters
Start Here (Quick Pick)
- You need pre-approved software (POS, accounting, CRM, HR/payroll, inventory, cybersecurity) → PSG
- You need pre-approved equipment (hardware, machinery) that improves productivity → PSG
- You need custom IT solutions not available in the PSG catalogue → EDG
- You’re planning a larger transformation project with consultants and milestones → EDG
Eligibility & Timing Rules
- Apply before you pay or sign. Do not make payments, place deposits, or sign contracts before submission. Retrospective applications are not permitted.
- Match your ACRA entity name. Your grant application and vendor quotes must use your exact registered business name from ACRA.
- Use pre-approved solutions/vendors where required. PSG IT solutions must use pre-approved vendors from the catalogue; equipment can use any vendor as long as it matches the pre-approved model.
- Check local shareholding. You need at least 30% local equity (Singaporean or PR ownership).
- One application at a time. Each UEN is limited to one active PSG application at a time.
1) PSG (Productivity Solutions Grant)
Use when: you’re adopting pre-approved software or equipment from the PSG catalogue to improve day-to-day operations.
Good fit examples
- Point-of-sale (POS) systems with inventory integration
- Accounting software and HR/payroll tools
- Customer relationship management (CRM) and loyalty programmes
- Digital marketing, e-commerce platforms, and online ordering
- Warehouse management systems (WMS) and logistics tools
- Cybersecurity solutions (endpoint protection, network security)
- Productivity equipment (hardware, machinery) listed in the catalogue
How much
- Up to 50% of eligible costs for SMEs
- S$30,000 cap per application
- S$30,000 annual cap per company (1 Apr–31 Mar grant year)
- Administrative fees (delivery, installation, training beyond what’s bundled) are not covered
When
- Apply before any payment or contract signing
- Processing time is typically ~6 weeks for straightforward applications
How (fast path)
- Browse the PSG solutions catalogue on GoBusiness and pick a pre-approved solution.
- For IT solutions, contact a pre-approved vendor listed in the catalogue; for equipment, any vendor is acceptable as long as the equipment model matches the catalogue.
- Get a vendor quote addressed to your ACRA registered entity name.
- Log in to Business Grants Portal (BGP) using Corppass.
- Submit your application with:
- Vendor quote
- Latest financial statements or management accounts
- Business profile (UEN, ACRA details)
- Respond promptly to clarifications if requested.
- Upon approval, proceed with purchase, implementation, and claim submission.
Where
- See more: Productivity Solutions Grant
2) EDG (Enterprise Development Grant)
Use when: you’re planning a larger business transformation or need custom IT solutions not available in the PSG catalogue.
Good fit examples
- Custom software development for unique business processes
- Multi-phase digital transformation with consultants and project plans
- Business process re-engineering and automation roadmaps
- Innovation and R&D projects with clear milestones
- Market expansion tied to capability-building
How much
- Up to 50% of qualifying costs
- Up to 70% for sustainability projects approved between 1 Apr 2023–31 Mar 2026
- No fixed cap (project-based evaluation)
When
- Apply before the project starts (before any work, payment, or contract signing)
- Typical approval time: 8–12 weeks
How
- Define your project scope and outcomes (Core Capabilities / Innovation & Productivity / Market Access).
- Prepare a project plan with clear milestones, timelines, and vendor quotes.
- Submit via BGP with financials and supporting documents.
- Respond quickly to clarifications and refine the proposal if needed.
- Upon approval, implement the project and submit claims according to milestones.
Where
- See more: Enterprise Development Grant
Fast Application Checklist (Copy/Paste)
Before you submit, ensure you have:
- ACRA business profile (UEN, registered entity name, shareholding structure)
- Latest financial statements or management accounts
- Vendor quote(s) addressed to your ACRA registered entity name
- Pre-approved solution selected from the PSG catalogue (for PSG applications)
- Pre-approved vendor for IT solutions (for PSG IT applications; equipment can use any vendor)
- Corppass access set up for BGP login (see Corppass Setup Guide)
- PayNow Corporate or GIRO enabled for grant payouts (see PayNow Corporate vs GIRO: How to Choose?)
- No payments, deposits, or contracts signed before submission
Suggested Application Order
- PSG for immediate productivity gains with pre-approved software and equipment
- EDG when you’re ready for custom IT, larger transformation, or multi-phase projects
Start with PSG to get quick wins and build familiarity with the BGP system. Once you understand the process and have more complex needs, move to EDG for custom solutions.
Common Pitfalls (Avoid Rejection)
- Paying or signing before applying. This is the most common rejection reason. Apply before any payment, deposit, or contract signature.
- Using non-approved vendors for IT solutions. PSG IT solutions must use pre-approved vendors from the catalogue. Equipment can use any vendor.
- Submitting multiple applications at once. Each UEN can only have one active PSG application at a time.
- Exceeding the annual cap. PSG has a S$30,000 annual cap per company (1 Apr–31 Mar). Plan your applications accordingly.
- Mismatched entity names. Vendor quotes must match your exact ACRA registered entity name.
- Incomplete documentation. Missing financials, vendor quotes, or business profiles will delay processing.
- Not responding to clarifications. Agencies may request additional information; respond promptly to avoid delays or withdrawal.
For a comprehensive list, see: Grant Pitfalls Guide
Not a Fit (Unless Your Business Scope Changes)
- Energy Efficiency Grant (EEG): Only if you’re upgrading to pre-approved energy-efficient equipment (refrigeration, HVAC, lighting, etc.).
- Market Readiness Assistance (MRA): Only for overseas market entry (trade fairs, business development, market setup).
- Startup SG programmes: Only for early-stage startups (incorporated less than 6 months for Startup SG Founder, less than 10 years for Startup SG Tech).
- Enterprise Financing Scheme (EFS): Loan risk-sharing, not a grant.
Glossary (Quick Definitions)
- PSG: Productivity Solutions Grant - funds pre-approved software and equipment for productivity improvements
- BGP: Business Grants Portal - the online system where you submit and track grant applications
- Corppass: Singapore’s corporate login system for government services; required to access BGP
- UEN: Unique Entity Number - your company’s unique identifier (e.g., 202012345A)
- ACRA: Accounting and Corporate Regulatory Authority - Singapore’s business registry
- Pre-approved solution: Software or equipment vetted and listed in the PSG catalogue
- Pre-approved vendor: A vendor listed in the PSG catalogue to implement a specific IT solution
- SME: Small and Medium Enterprise (group revenue ≤S$100M OR ≤200 employees)
- Local equity: At least 30% ownership by Singaporeans or Singapore Permanent Residents
For more terms, see: Singapore Grants Glossary
Related Guides
- How to Choose? PSG vs EDG vs ADS — comprehensive 3-way comparison for your digital journey
- Grant Pitfalls Guide - Common pitfalls to avoid when applying for grants
- Corppass Setup Guide - Step-by-step guide to set up Corppass for BGP access
- PayNow Corporate vs GIRO: How to Choose? - Choose the right payout method for grant disbursement
- PayNow Corporate Setup Guide - Step-by-step setup for faster payout method (~14 working days)
- GIRO Setup Guide - Step-by-step setup for payout method (for special account types)
- Singapore Grants Glossary - Quick definitions for grant terms and acronyms
- How to Choose? PSG vs EDG - Use this matrix to choose between PSG and EDG
- PSG E-Commerce Grant Guide - Up to 50% funding for e-commerce platforms, inventory, and CRM
Official Links
- Business Grants Portal (BGP) - Submit and track grant applications
- PSG Solutions Catalogue (GoBusiness) - Browse pre-approved solutions and vendors
- Enterprise Development Grant (EDG) page - Official EDG information
- Corppass (sign up / user guides) - Set up corporate login for BGP access
- ACRA BizFile - Verify your business registration details
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