Owning a business in a competitive environment is a major challenge for business owners in Singapore. It’s quite a task to penetrate the market without substantial investments, especially for small and mid-sized businesses.
This is where government initiatives like the ESG startup grant have emerged as a gamechanger, enabling businesses to prosper
This post will highlight the essentials of the ESG EDG grant and how business owners can apply for it. Find out the eligibility criteria, application process, grant limits, and more in this article to get started with your ESG grant application to excel in your business’s technological innovation.
What is the ESG Productivity Grant?
The ESG Productivity Grant is also known as the Productivity Solutions Grant. It is a government initiative looked after by Enterprise Singapore that promises business acceleration and upgradation through quality grants.
The ESG grant aims to ensure local businesses that adopt equipment and technological solutions to improve business efficiency receive the deserved funding for their efforts. The ESG PSG Grant is one of the key elements responsible for the digital transformation of businesses to help them grow in a competitive and evolving market.
What is the ESG MRA Grant?
The Market Readiness Assistance (MRA) grant is an initiative by the ESG for local SMEs. It allows them to expand beyond Singapore. This grant aims to establish the business by ensuring entry into the market. It provides funding for market entry assessment, in-market business development, business matching activities, etc., which can help a business with overseas market entry.
What are the Eligibility Criteria for a PSG Grant?
The eligibility criteria for availing the ESG PSG grant is a multi-step process involving multiple documentation and financial requirements. It ensures that only medium and small-sized businesses having limited manpower can avail of the grant. This way, only the most deserving companies can access the grant of up to S$30,000. So, here is what you should know about the eligibility criteria:
- The business must be registered and operational in Singapore
- Singapore PRs or Singapore nationals must hold at least 30% local equity in the business. Moreover, the ownership must be held by a Singapore individual.
- The company must not have an annual sales turnover of over S$100 million. Moreover, if the company has more than 200 employees, it cannot qualify for the ESG grant
- The IT resources and equipment deployed by the business must be leased, subscribed to, and purchased within Singapore.
- The applicant company must provide services or products in areas categories other than:
- Religious Entities
- Institutions of Public Characters (IPCs)
- Government Agencies and Subsidiaries
- Voluntary Welfare Organizations (VWOs)
How Much ESG Grant is Awarded to Eligible Businesses?
The ESG Productivity Solutions Grant is awarded after rigorous scrutiny. It covers up to 50% of the eligible costs for local SMEs. Eligible businesses can earn a grant award of up to S$30,000 based on their application and business goals, specifically related to digital transformation.
How Long Does it Take for the Application Approval?
All applications are processed six weeks after submitting all the documents and requirements. Based on the application, it can take up to four months for the application process. However, the ESG contacts the applicants eight to ten weeks after document submission.
What Type of Solutions are Supported by the ESG?
While there are hundreds of business niches, the ESG aims to provide support to businesses that provide:
Sector-specific solutions are targeted at businesses operating within specific industrial sectors. These are tailored solutions that fit the criteria for sector-specific agencies, which then collaborate to align such solutions with the industry roadmaps like the Industry Transformation Maps (ITMs) and Industry Digital Plans (IDPs). These solutions solve unique business challenges, boosting productivity in niche industry sectors.
Generic solutions can be implemented by companies operating in diverse business sectors and industries. They are tailored to enhance the efficiency of common business operations and procedures. Such solutions offer advantages to organizations, irrespective of their specific industry or sector.
How Does the ESG Grant Help Business Finances?
Thanks to the PSG program, there is 50% financial support for eligible businesses capped at S$30,000. It can boost the finances of any business and help them pay any debts or start operational and technological acceleration. Simply put, it supports businesses in bypassing budget constraints that often prevent them from taking productive initiatives.
Can ESG PSG Grant Boost Business Productivity?
Yes, the ESG Singapore Grant motivates businesses to improve their technological and operational processes by adopting automated and simpler ways to complete various business tasks. Enterprise Singapore prefers businesses that aim to streamline, optimize, and automate manual tasks, allowing business owners to spend more time on productive ideas. Such initiatives reduce operational costs and boost efficiency, enabling businesses to stay ahead in a competitive environment.
Will ESG Singapore Grant Help Beat My Competitors?
When you leverage the technological aspects of your business, you boost your efficiency and improve your capabilities of serving your customers. Integrating digital solutions can improve your business agility and responsiveness to clients, which means more customers for your business. Eventually, it improves your standing in the marketplace, allowing you to serve more customers and get a competitive edge over your peers.
What are the Documentation Requirements for an ESG Grant?
The following documentation is required for the ESG grant application.
- Grant Quotation
- Financial statements for the previous two to three years
- Company’s revenue forecast, potential headcount, and wages.
Getting the ESG Singapore grant is a great way for businesses to improve their technological and operational processes. However, the process can be slightly confusing for new business owners. Moreover, as business owners are already occupied with jobs to improve their business, it’s a good idea to seek professional help filing the ESG grant application.
If you own a business or startup and are looking to apply for the ESG grant Singapore, contact us, and we will take you through the entire application process, making it easier to earn your deserving business grant.