Are you an SME looking to develop deeper capabilities, scale up, and internationalise your business?
Now you can do so with the help of the Singapore government’s grant - Enterprise Development Grant (EDG)!
In this article, we shall mainly focus on grants for software projects to automate your business process. These types of applications can be filed under the category of - Innovation and Productivity - Automation. Before we understand eligibility criteria and the procedure to apply for EDG, let’s understand what EDG is.
What is an Enterprise Development Grant (EDG)?
EDG is a grant from the Singapore government that is aimed to help companies to upgrade their business, innovate or venture overseas. EDG is applicable for three categories:
- Core Capabilities
- Innovation and Productivity
- Market Access
However, the software costs that are supported under the Productivity Solutions Grant (PSG) are not supported under the EDG grant.
What is the Grant Amount?
Singapore government’s EDG assists SMEs up to 80% and non-SMEs up to 60% of qualified costs. The enhanced maximum support level of up to 80% is up to 31 March 2022.
Are you eligible for EDG?
Before you initiate the EDG application process, you should know if your business entity is eligible for the EDG.
To qualify for the PSG grant, your business entities must fulfil the following criteria:
- The company should be registered and must be operating in Singapore.
- The company should have a minimum of 30% local shareholding.
- The company should be in a financially viable position to start and complete the project.
What are the documents required for the EDG application?
If you are eligible and you are keen to apply for the grant, get ready with the necessary documents. Here is a list of required documents for filing an EDG application successfully.
- A project proposal in the specified format
- Latest ACRA (not more than six months old)
- Audited fInancial statements
- Quotation for the project from the vendor
How to apply for EDG?
If you have your documents ready and you are all set to apply for the EDG, log into Business Grants Portal and submit your application.
Accept Letter of Offer
After your application is processed, log into the Business Grants Portal and accept the Letter of Offer. Letter of offer will mention the amount of grant approved. It will also mention project deliverables and the project qualifying period.
If the Letter of Offer is not accepted during its validity period, it will expire.
Continue with your Project
Complete your software implementation and training in a stipulated time frame.
File for Claim
If you are ready to submit your claim, ensure that your company meets these criteria:
- The company has used the solution mentioned in the application.
- The company has paid in full for the solution.
- The company has submitted all the below mentioned documents.
After the approval of claims, disbursements can be made.
Documents Required during Claim Process
- Invoice and Receipts from the vendor
- Project summary report in specified template form
- Documentation of project deliverables as mentioned in the project proposal
- Bank statement confirming payment is made to the vendor in full.
How to Submit Claims?
- Log into Enterprise Singapore Grants Portal
- Upload above mentioned documents
- Select an auditor from the pre-qualified panel who will audit your claims
- Submit the claim application
- After a claim is submitted, an EDG officer may contact you if clarifications are required regarding project deliverables. Similarly, the selected auditor may also contact you to verify the claims
Once the claim is processed, the amount will be transferred to your company designated account using GIRO.
Top Most Frequently Asked Questions
How much grant support can I receive? Is there a cap on funding?
The Enterprise Development Grant (EDG) funds up to 80% of qualifying costs for SMEs, and up to 60% of qualifying costs for non-SMEs. Grant applications are assessed based on group revenue and group employment size.
1. When must an EDG funded project be completed?
The projects are expected to be completed within 12 to 18 months upon successful grant application.
2. What is the processing time for applications?
After submission of the required information, applications are processed within 6-8 weeks.
3. What is the processing time for claims disbursement?
After submission of the required information, claims are processed within 6-8 weeks.
4. How will the EDG disbursement take place?
EDG approved amount will be credited directly to the company’s designated bank account through GIRO, after the approval of your claims.
5. Can you purchase the solution or start work before filing for EDG Grant?
No. Your grant application will be rejected if you have signed the quote, made payment to a vendor or have started any work on the project before you file for the grant application.
6. Do you need to wait for grant approval before you start work on the Project?
No. If you wish, you can sign a quote, make advance payment and start work on the project after you have submitted your grant application. However, you run the risk in case the grant is not approved for any reason.
7. When should I consider applying for an EDG grant?
You should consider applying for EDG Grant if :
- The solution that you wish to implement is not listed under PSG
- The solution involves heavy customization
- The company’s group annual sales turnover is more than S$100 million, or the company's group employment size is more than 200 workers and hence your company is not eligible for PSG.
For more information, click here!
How can Pepper Cloud help you?
We, at Pepper Cloud CRM, help our customers to avail all applicable grants and assist in transforming their sales process by implementing CRM. You can mould and digitise your business operations while we take care of all the grant-related paperwork. Get in touch with us for a free consultation.
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