Singapore is famous for being a global financial hub and home to a thriving business landscape, attracting entrepreneurs from all over the world. One of the biggest challenges those business leaders face is securing capital, but the government of Singapore offers numerous financial incentives to support entrepreneurship and innovation in the country.
While the Singapore government provides business grants for startups, small and medium enterprises (SMEs), and large businesses, securing approval requires extensive research and preparation by the applicant. This article will break down how your business can adhere to all guidelines.
What is a Business Grant?
A business grant is a form of funding provided by either a government agency or a private organisation. This form of funding typically does not require repayment and is awarded to businesses that meet specific guidelines set by the granting organisation. It is aimed to support business growth through funding activities such as starting and scaling a business, conducting research and development, and launching innovative projects such as new technology investments.
Business Grants in Singapore
A business grant in Singapore is financial assistance or another type of support offered by either a Singapore government agency or a private organisation to a business that meets specific criteria. Businesses operating in Singapore of varying sizes, across different industries, and with different levels of annual revenue may receive monetary assistance, subsidies, or tax incentives when they are approved for a business grant. They are typically offered to develop the economy, promote innovation, and create jobs. Examples of Singapore government agencies offering business grants are:
- Enterprise Singapore(opens in a new tab)
- Infocomm Media Development Authority(opens in a new tab)
- Monetary Authority of Singapore(opens in a new tab)
- Singapore Tourism Board(opens in a new tab)
- Workforce Singapore(opens in a new tab)
Who is Eligible to Apply for a Business Grant in Singapore?
Businesses in Singapore applying for a business grant will need to meet a specific set of requirements to get approved. Depending on the type of guidelines set by the granting organisation, they may need to prepare multiple documents such as:
- Local permits/licences
- Certificates proving adherence to local regulations
- Shareholder status
- Industry requirements
- Financial performance such as annual sales turnover or number of employees
- Operational performance indicators
Benefits of Applying for a Business Grant
Applying for a business grant can provide several benefits to entrepreneurs and businesses, including:
- Financial assistance to fund business expenses and relieve financial burden.
- Increased company credibility and reputation for being recognised by the granting organisation.
- Assistance to scale operations locally or internationally.
- Funding to launch new products and services.
- Access to additional support and resources such as mentorship programs and networking opportunities.
- Access to the latest technologies that help facilitate business growth.
Challenges of Business Grants
While business grants in Singapore provide valuable financial support to businesses, it is crucial to be aware of potential challenges before investing a significant effort in the application process. Companies applying for a grant may encounter challenges such as:
- Finding the right grant. Before heading into the complex and time-consuming process of applying for a grant, businesses should understand which of the grants available align with their business goals. It is essential to research and understand the eligibility requirements to assess the likelihood of getting approved for a grant.
- Time-consuming applications. When applying for a business grant, some businesses may find the process to be too long or not fast enough to meet their business goals. Businesses should realise that the time it takes to get approved for a grant varies depending on the guidelines set by the granting organisation and the preparedness of the business applying for the grant.
- Putting together the required documents. Understanding the specific requirements for each grant requires extensive research and understanding of the guidelines set. Preparing documents needed by the granting organisation requires attention to detail as even the smallest error or omission can lead to the rejection of the application.
- A highly selective process. Some granting organisations may require companies to provide a business case to assess their eligibility. This process may include preparing a project proposal or business plan, meeting a set of eligibility requirements on financial statements, and supplying other documents required by the granting organisation.
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How to Apply for a Grant in Singapore?
Entrepreneurs and businesses must practice due diligence when applying for business grants. While a business grant will not burden the business with financial debt, finding grants that align with their specific needs and goals, as well as how to meet the eligibility criteria set by grant agencies, will increase the likelihood of getting approved. The steps to apply for a business grant in Singapore may vary depending on the programme the business is applying for.
Here are 5 steps to consider when applying for a business grant:
- Identify the programme or grant that is relevant to your business. This can be done by visiting government agency websites such as Enterprise Singapore and the IMDA.
- Review the requirements set by the granting organisation.
- Prepare all necessary documents and information required for the application. This may include financial statements, business registration details, and project proposals.
- Submit your application according to the guidelines provided by the granting organisation.
- After submitting the application, follow up with the granting organisation to check for any additional information needed.
Qualifying for Business Grants With the Help of NetSuite
Singapore grants offer a compelling opportunity to help your business reach its goals. While the requirements to qualify for some grants can seem overwhelming, receiving the right grant can help your organisation grow while reducing financial constraints. Companies need real-time insights into their financial and operational processes to qualify for and secure grants, and a powerful ERP system like NetSuite ERP can provide those insights. NetSuite unifies core business functions such as finance and accounting, inventory management, project management, CRM, and more to report on the performance of your business and automate processes. The software tracks the critical business data you need to receive these valuable grants.
With grants for Singapore businesses such as the InvoiceNow and Career Conversion Programme, investing in a powerful system such as NetSuite that will help you grow and compete is now within reach for more organisations. This is an opportunity that leaders need to capitalise on.
Business Grants FAQs
How much are business grants?
The money provided by business grants can range from a few hundred dollars to millions and varies depending on various criteria set by the granting organisation. Some grants may only cover a portion of the project or business expense, while other grants may provide the full funding amount.
How do business grants differ from loans?
Unlike loans, grants do not accrue interest and do not have to be repaid as long as the business fulfills the requirements set by the granting organisation.
Can my business apply for multiple grants?
Yes, as long as your business meets the eligibility criteria for each grant, you can apply and get approval for multiple grants.
Are business grants only available to startups?
Business grants cover a wide variety of company profiles. There are grants designed specifically for startups to help them secure funding, while others target established businesses seeking to innovate, upgrade their technologies, or expand into new markets.
How do I know if my business qualifies for a particular grant?
To determine the eligibility of your business for a specific grant, you’ll need to review the programme guidelines set by the granter. Some grants have a specific industry focus, business size restrictions, or annual revenue requirements.
What documents do I need to prepare for a grant application?
Required documents are based on the guidelines set by the granting organisation. Common documents required include business plans, financial statements, project scope or proposals, and relevant permits and licenses.
How long does the grant application process typically take?
The time to process grant applications varies depending on the grant program. It may take several weeks to a few months depending on the complexity of the grant, the volume of applications, and the evaluation process to determine grantees.
