If you run an e-commerce business in Singapore, you already know the pain of manual order processing — copy-pasting tracking numbers, updating stock counts across spreadsheets, and chasing failed deliveries. Government grants can fund up to 50% of pre-approved e-commerce software that automates fulfilment, syncs inventory, and handles payments, so you can scale without hiring more admin staff.
Two grants matter most: PSG covers up to 50% of pre-approved e-commerce solutions (capped at S$30,000), and EDG funds larger transformation projects like warehouse redesign or multi-channel integration. This guide walks through which grant fits what, the pre-approved options, and how to apply.
Scenario
Who: E-commerce seller with growing order volume
What: Automating order processing and inventory management
Grants: PSG (primary), EDG (larger transformation)
At a glance (what to apply for)
| Best Grant | What it covers | Why e-commerce sellers use it | |
|---|---|---|---|
| Online store + inventory + payments | PSG | Pre-approved e-commerce packages (vendor + package must be on the catalogue) | Automate orders, sync stock, accept online payments |
| Multi-channel scaling or warehouse transformation | EDG | Bigger projects (e.g., warehouse automation, omnichannel integration, capability building) | Best when PSG is too small for the scope of change |
What grants can e-commerce sellers apply for?
Primary Grant
- Productivity Solutions Grant (PSG) — up to 50% support, max S$30,000 for pre-approved e-commerce software including online store, inventory management, and payment processing
Conditional Grant
- Enterprise Development Grant (EDG) — supports larger business improvement projects such as warehouse automation, omnichannel integration, or full supply chain redesign (support level depends on your profile and project)
What each grant covers
| Business Need | Recommended Grant | Examples |
|---|---|---|
| Online store with payment processing | PSG | Fairmart, Verz Design Ecommerce, Eurostop E-Commerce |
| Inventory sync across channels | PSG | WooCommerce solutions with stock management, W360 E Power Pack |
| Warehouse automation or redesign | EDG | Process reengineering, automated packing systems |
| Multi-channel marketplace integration | EDG | Connecting Shopee, Lazada, own store into one backend |
PSG pre-approved software for e-commerce fulfilment
The PSG catalogue lists 29 e-commerce solutions. Here are three that cover fulfilment-relevant features (inventory, orders, payments):
- Fairmart Version 3.0 (Fairmart Technologies Pte Ltd) — S$600 to S$1,200 qualifying cost. Automated multi-channel e-commerce with inventory digitisation and sales channel connectivity.
- Verz Design Ecommerce Solutions (Verz Design Pte. Ltd.) — S$4,998 to S$9,998 qualifying cost. Shopify/WooCommerce platform with inventory management, scalable for growing operations.
- Eurostop E-Commerce Version 2 (Eurostop Singapore Private Limited) — S$9,400 to S$18,600 qualifying cost. Enterprise-grade Shopify solution with inventory integration and mobile-first design.
These solutions typically cover product catalogue management, order processing, payment gateway integration, inventory tracking, and delivery coordination.
Example budget (what 50% support looks like)
| Solution | Qualifying cost (from catalogue) | Est. grant (50%) | Est. net cost |
|---|---|---|---|
| Fairmart Version 3.0 | S$600 - S$1,200 | S$300 - S$600 | S$300 - S$600 |
| Verz Design Ecommerce Solutions | S$4,998 - S$9,998 | S$2,499 - S$4,999 | S$2,499 - S$4,999 |
| Eurostop E-Commerce Version 2 | S$9,400 - S$18,600 | S$4,700 - S$9,300 | S$4,700 - S$9,300 |
How to apply for e-commerce grants (step by step)
- Identify your bottleneck (1 week) — manual order processing, stock discrepancies, no online payment, spreadsheet-based tracking
- Shortlist a PSG package (1-2 weeks) — confirm the exact vendor + package is on the PSG catalogue under “E-Commerce”
- Get 2-3 quotes (1-2 weeks) — ask for a clear breakdown: setup, training, subscription, support, and any transaction fees
- Apply before paying (same week) — submit via Business Grants Portal; do not pay deposits or sign contracts that count as commitment
- Implement after Letter of Offer (4-8 weeks) — migrate product data, configure payment gateways, set up inventory rules, connect delivery partners
- Test fulfilment workflow (1-2 weeks) — run test orders end-to-end before going live; verify stock sync and payment reconciliation
- Use EDG only when needed — for bigger transformations (multi-channel scaling, warehouse redesign, deep process reengineering)
Expected outcomes
- Faster order processing with automated fulfilment workflows
- Accurate stock counts synced across online and physical channels
- Fewer failed deliveries through integrated logistics tracking
- Lower admin overhead by eliminating manual data entry
- Higher conversion rates with professional storefront and secure payments
E-commerce grant eligibility requirements
For both primary grants, your business must:
- Be registered and operating in Singapore
- Have minimum 30% local shareholding (Singaporean/PR)
- Meet SME size limits (group annual sales up to S$100M or up to 200 employees)
- Not have made payment to vendors before application (for PSG/EDG)
Documents needed for e-commerce grant applications
For PSG (e-commerce software)
- ACRA BizFile / business profileNot completed
- Quotation from the PSG-listed vendor + packageNot completed
- Short write-up of how the system improves fulfilment operationsNot completed
- Bank account details for claimsNot completed
For EDG (larger transformation)
- Project proposal (scope, timeline, outcomes)Not completed
- Vendor/consultant proposal (if engaging external help)Not completed
- Company financials (as required)Not completed
Common mistakes e-commerce sellers make when applying
-
Paying a deposit or signing a contract before applying — PSG and EDG do not support retrospective applications; get quotes first, then apply via the Business Grants Portal
-
Choosing a solution based on price alone without checking fulfilment features — the cheapest package may lack inventory sync or delivery integration; match features to your actual bottleneck
-
Underestimating transaction and platform fees — payment gateway fees (3-5% per transaction) are separate from the software cost; factor these into your total cost of ownership
Other PSG categories you can apply for
E-commerce sellers often benefit from complementary PSG solutions:
- PSG Accounting and ERP Solutions — automate invoicing and financial reporting
- PSG HR Management (HRMS) Solutions — streamline payroll and employee management as you scale
- PSG Cybersecurity Solutions — protect customer data and payment information
Next step
- Check eligibility and rules: /tools/psg-eligibility-check/
Frequently asked questions
Can e-commerce businesses use PSG?
Yes. The PSG catalogue has a dedicated E-Commerce category with 29 pre-approved solutions covering online store setup, inventory management, and payment processing.
How much grant funding can an e-commerce seller get?
PSG covers up to 50% of qualifying costs, capped at S$30,000 per company per year (1 Apr - 31 Mar). EDG provides additional funding for larger transformation projects, with support levels depending on your company profile.
What if I already have a Shopify or WooCommerce store?
You can still apply for PSG if you are adopting a new pre-approved package from the catalogue. However, PSG does not fund upgrades to existing non-listed solutions. Check the catalogue for Shopify and WooCommerce packages from approved vendors like Verz Design or Eurostop.
Do I need to pay the vendor before applying?
No — you must apply before making any payment or signing a binding contract. PSG and EDG do not support retrospective applications. Get quotes first, submit via the Business Grants Portal, then proceed only after receiving the Letter of Offer.