What costs are not covered under the Singapore Edge Grant?

The Singapore EDGE Grant does not cover every business expense, even when the spending is intended to improve productivity, adopt technology or support business growth. 

Depending on the activity, costs such as Goods and Services Tax (GST), maintenance, certain equipment purchases and expenses incurred before application submission may be excluded.

Launched on 30 September 2026, the EDGE Grant brings together support previously available under the Enterprise Development Grant (EDG), Productivity Solutions Grant (PSG) and Market Readiness Assistance (MRA) grant. 

Businesses must identify the appropriate activity and check its funding conditions before committing to a project. If you are new to the scheme, the complete guide to the EDGE Grant in Singapore explains the broader funding framework and what businesses should consider before applying.

For example, a company may be eligible for funding for an approved software solution but may still be responsible for GST, maintenance charges or other excluded expenses from its own budget.

By understanding the exclusions, you can calculate the true cost of the project and avoid overestimating or underestimating a particular type of funding.

Key takeaways

• Not every project expense is covered: EDGE Grant eligibility depends on the selected activity, its supported costs, and the approved project scope.
• Budget for excluded costs: GST, maintenance fees, certain equipment purchases, and other expenses may not qualify for funding.
• Check software costs carefully: Integrated ERP software support is capped at 12 months, while maintenance costs are excluded under this activity.
• Verify equipment and service eligibility: Hardware, consultancy, setup, customisation and data migration costs must meet the selected activity’s requirements.
• Apply before committing to the project: Starting work or paying a supplier or deposit before application submission can make your application ineligible. Review every cost before purchasing: Request an itemised quotation, check vendor and project requirements, and confirm unclear expenses with Enterprise Singapore.
• Avoid duplicate funding claims: You cannot claim EDGE support for the same expenses already approved for funding under another government grant.

06 Costs are not covered under the EDGE Grant

The EDGE Grant does not have one universal exclusion list that applies identically to every project. Each activity has its own supported costs, non-supported costs and eligibility conditions.

The following expenses deserve particular attention when you prepare your budget.

1. GST and other excluded charges

GST is explicitly listed as a non-supported cost under several EDGE activities. If your supplier's quotation includes GST, do not automatically calculate your expected grant support using the full invoice amount.

For example, suppose a company purchases an eligible digital solution for S$10,000, excluding GST. If GST is charged at 9%, the invoice total would be S$10,900.

If the entire S$10,000 qualifies for a hypothetical 50% funding rate, the potential grant support would be S$5,000, subject to approval and the applicable terms. The company would still need to account for the S$900 GST separately, along with its remaining share of the eligible cost.

The actual amount payable depends on the approved project scope and applicable funding conditions.

2. Maintenance fees and ongoing support

Maintenance and recurring service charges are not automatically eligible just because they relate to an approved solution.

Under the Integrated Enterprise Resource Planning (ERP) activity, software cost support is capped at 12 months, and maintenance costs are listed as non-supported.

For example, a business purchasing an ERP system may qualify for support for an eligible software cost but still need to pay separately for maintenance or subsequent renewals.

Before signing the contract, ask the vendor to separate the initial software subscription, implementation services, maintenance, renewals and optional support. Check each item against the activity's requirements.

3. Equipment that does not meet the activity requirements

Not every equipment purchase qualifies simply because it improves workplace efficiency.

Under the Large-scale Automation activity, certain conventional, off-the-shelf equipment installations, including copiers, laptops, tablets and mobile phones, are excluded. Equipment intended for overseas deployment is also excluded under this activity.

Other equipment activities have different conditions. For example, the Automated Tools Management System activity excludes used, refurbished, second-hand or reconditioned equipment.

If your project involves machinery or hardware, check the supported equipment category, specifications and deployment requirements before placing an order.

4. Routine replacements and upgrades

Replacing an existing product or system does not automatically qualify for EDGE funding.

Under the Sustainable Product / Service Development activity, routine replacements, standard implementations and incremental upgrades may be excluded when they do not demonstrate sufficient technological or functional advancement, unless they form part of a larger integrated system with clear advancement.

For example, replacing an existing system with a standard version that offers substantially the same functionality may not meet the activity's requirements.

Before budgeting for an upgrade, identify the business improvement it will deliver and confirm that the proposed project meets the selected activity's conditions.

5. Expenses incurred before application submission

The timing of your application is important.

According to Enterprise Singapore's official EDGE Grant FAQ, retrospective applications are not supported.

An application is considered retrospective if the business has started work or made a payment or deposit to a supplier, vendor or third party before submitting the application.

For example, if your company pays a software vendor a deposit on 10 October and submits its EDGE application on 15 October, the application may be considered retrospective.

Submit your application before starting work or making a payment or deposit. Do not assume that applying shortly after a purchase will make the earlier expense eligible.

6. Expenses outside the approved project scope

EDGE funding is tied to the selected activity, its supported cost components and the approved project deliverables.

For example, if your company applies for an eligible ERP solution, adding an unrelated marketing subscription to the same supplier invoice does not automatically make that additional expense claimable.

Similarly, an optional service that falls outside the approved scope may need to be funded entirely by your business.

Review the activity requirements and your Letter of Offer before expanding the project, adding services or purchasing additional products.

Which costs may be eligible or ineligible under EDGE?

The EDGE Grant may support software, equipment and professional services, but the type of expense alone does not determine whether it qualifies for funding. The solution must fit an eligible EDGE activity and meet its specific requirements.

For example, a business implementing an integrated enterprise resource planning (ERP) system may qualify for support for its software costs. However, GST and maintenance costs are excluded under the dedicated ERP activity. Software costs are also capped at 12 months.

The same principle applies to other business investments. A solution that improves productivity may still fall outside the grant's scope if it does not meet the requirements of the activity you choose.

Before committing to a purchase, review the individual cost components rather than treating the entire project quotation as eligible.

Imagine your company plans to implement an ERP system to bring its financial records, inventory and purchasing processes into one platform.

The first step is to confirm that the proposed system meets the requirements of EDGE's Integrated Enterprise Resource Planning activity. If it does, the supported software cost is subject to the activity's 12-month cap. GST and maintenance costs remain excluded under that activity.

If the vendor also charges for data migration or system integration, do not automatically include those charges in your funding estimate. Enterprise Singapore advises businesses to refer to the relevant solution package to determine whether these costs are supported.

This approach helps you separate potentially supported expenses from costs you may need to pay entirely out of pocket.

For a detailed overview of the funding framework and digitalisation requirements, read the EDGE Grant guide for CRM in Singapore.

Is CRM software, marketing automation or other business software covered under EDGE?

CRM software, marketing automation tools and other business applications may be considered as long as they meet the requirements of an eligible EDGE activity. However, not all products or subscriptions offered in the market are supported.

For example, if a company is considering investing in a CRM system, it should identify the relevant digitalisation activity and determine whether the proposed solution meets the stipulations.

Those considering a CRM investment can also consult Pepper Cloud's CRM solutions and business software resources in conjunction with the official grant requirements while taking the activity specifications as the determining factor for eligibility.

Integrated ERP systems have specific stipulations. In the case of the Integrated ERP activity, Enterprise Singapore requires at least three core functions from the list of financial management, human resources management, project management, supply chain and inventory management, and sales and customer relationship management.

A standalone CRM or marketing automation subscription should not be taken as an eligible integrated ERP solution. Eligibility should be determined based on the relevant activity.

Before making a purchase, it is necessary to verify the supported solution, funding limits, eligible expenditures and any vendor stipulations.

Are software setup, customisation, integration and data migration costs eligible?

These expenses are neither automatically eligible nor automatically excluded across all EDGE activities. Their treatment depends on the selected activity and the cost components included in the approved solution.

For example, a software package may include initial configuration and implementation services. Other services, such as data migration, customisation or integration with existing systems, may be quoted separately and require additional checks.

Before signing a contract, ask the vendor to itemise:

• Software licences or subscription fees.
• Initial setup and configuration.
• Customisation and integration.
• Data migration.
• Staff training and implementation services.
• Maintenance and ongoing technical support.

Compare each item with the official supported-cost breakdown. Enterprise Singapore directs applicants to the relevant digitalisation solution information for details of supportable cost components.

If a service is not listed or its eligibility is unclear, contact the relevant programme authority before committing to the expense.

Are consultancy fees, professional services and equipment covered under the EDGE Grant?

Yes, certain consultancy fees, professional services and equipment costs are supported under the EDGE Grant. However, the cost must be relevant to the activity that the supported business applies for.

For example, the Resource Management and Optimisation activity supports hardware, software and professional services as long as they are relevant to a project that helps the business to manage resources more efficiently. Please note that GST is not supported under this activity.

1. When are consultancy fees eligible for EDGE funding?

Consultancy fees may be supported if the service is relevant to any of the eligible activities.

For example, businesses applying under the Standards business area may be supported for consultancy and certification costs, subject to certain conditions.

Among other things, the consultant must possess the relevant SS 680 certification and the certification body must be accredited accordingly.

Before engaging a particular consultant, ensure that he/she meets the required qualifications and that the proposed services are relevant to the activity. General consultancy services relating to business advice do not automatically qualify for funding.

2. When are hardware and equipment costs eligible?

Hardware and equipment costs may be supported if they are relevant to the selected EDGE activity.

For example, the Resource Management and Optimisation activity supports costs incurred on hardware purchases relevant to eligible projects that aim to improve resource efficiency, e.g. adopting an appropriate solution to reduce energy consumption, water consumption or waste. 

However, general business equipment is not automatically eligible. The proposed purchase must be relevant to the activity and intended to achieve the expected project outcome.

Please consult the relevant activity guidelines before making any purchase.

3. What should you check before hiring a vendor?

Before engaging a vendor, there are three things to do:

• Check the activity requirements to ensure that the proposed service or equipment falls under the supported costs.
• Check the vendor's qualifications if the activity requires a certified professional or accredited certification body.
• Ask for an itemised quotation, to review consultancy, equipment, software and other charges separately.

Most importantly, do not start work or make a deposit payment, before submitting your application to Enterprise Singapore as we do not support retrospective applications.

Are software subscriptions, renewals, maintenance and ongoing support eligible?

Depending on the software application, certain subscription activities may be subject to eligibility according to different criteria. For instance, Integrated ERP activity notes that the software subscription cost is only supported for 12 months, whereas GST and maintenance costs are explicitly noted as unsupported.

In this regard, a company that buys a software package, separately pays for a maintenance bill and subscribes to a new plan for the next year can receive support for the first two elements. 

However, they should still clarify with their vendor which costs they are eligible for before the contract is signed.

In addition, a company should ask their vendor to differentiate between the initial subscription, renewals, maintenance and optional support, and, if relevant, the additional year. 

The organisation will better understand its expected expenditure on software subscription costs and ensure there are no additional expenses when the supported period is over.

Can you claim expenses incurred before your EDGE Grant application is approved?

You must distinguish between expenses incurred before application submission and those incurred after submission but before approval.

Before application submission: EDGE does not support retrospective applications. Starting work or making a payment or deposit to a supplier before submitting the application can make the application ineligible.

After application submission but before approval: Enterprise Singapore states that a business may purchase the solution after successfully submitting its application. A payment made after submission and before approval may be supported if the application is subsequently approved and all relevant conditions are met.

For example, a company submits its application and purchases the proposed software while waiting for a decision. If the application is rejected, the company bears the financial risk of that commitment.

Submitting an application does not guarantee funding. Review the official EDGE Grant application and claims FAQ before committing to a purchase.

Can you use the EDGE Grant to pay an overseas software vendor?

It will depend on the activity selected and its stipulations, such as deployment and payment needs.

For instance, Integrated ERP requires the purchase or subscription of a digital solution to be used or deployed in Singapore. There may be other conditions imposed on suppliers and the project delivery for other activities.

Therefore, it is not possible to make assumptions about whether an overseas supplier is allowed or not. You should check if the activity requires a pre-approved vendor/solution and if the proposed one satisfies the stipulations.

Before making any payments to an overseas vendor, it is essential to ensure that they and the proposed solution meet the requirements of the activity, that your organisation is the one making the payment and that invoices and payment records can be produced.

If there are any ambiguities or questions about the guidelines, clarification from Enterprise Singapore should be sought before making any payments.

Can you combine EDGE with another government grant for the same project costs?

No. Businesses cannot claim EDGE support for the same expenses that have already received grant approval from Enterprise Singapore or another government agency.

For example, if your company has already received government funding for a particular software implementation cost, it cannot claim the same expense again under EDGE.

Businesses that previously received support under PSG, EDG or MRA may apply for EDGE for new projects, subject to the relevant eligibility and activity requirements. However, the same previously supported project should not be submitted again for funding.

If you are reviewing earlier funding arrangements, the guide to Singapore government grants explains the broader grant landscape and the transition to EDGE

How can you check whether an expense qualifies before purchasing?

Follow these steps before signing a contract, paying a deposit or starting work.

Step 1: Identify the right EDGE activity

Start with the business outcome you want to achieve, such as digitalisation, automation, resource efficiency, standards adoption or international expansion.

Use the official EDGE Grant directory to identify the relevant activity. If you are exploring technology adoption more broadly, our article on Singapore's digital transformation grants provides additional context on the funding landscape.

Step 2: Review supported and non-supported costs

Read the activity page carefully. Check whether the specific software, service, equipment or consultancy expense is listed as supported, excluded or subject to conditions.

Do not rely solely on a vendor's statement that a product qualifies for a grant.

Step 3: Request an itemised quotation

Ask your vendor to separate software or equipment costs from setup, integration, training, GST, maintenance and other charges.

Compare each item with the activity's cost rules. This helps you identify expenses your business may need to fund independently.

Step 4: Check vendor and project requirements

Confirm whether the activity requires a pre-approved solution, a particular vendor, specified consultant qualifications or other supporting documents.

Also check whether the proposed deployment location and project deliverables meet the conditions.

Step 5: Submit your application before committing to the project

Do not start work or make a payment or deposit before application submission. Although qualifying purchases made after submission but before approval may be supported, you bear the financial risk if the application is rejected.

Keep quotations, contracts, invoices, payment records and other required documents.

Step 6: Confirm unclear expenses before spending

If a cost is not clearly covered, contact Enterprise Singapore or the relevant programme contact before committing to it. Ask about the specific activity and cost component rather than relying on a general statement about grant eligibility.

Conclusion

The Singapore EDGE Grant can help eligible businesses adopt technology, improve productivity and strengthen their business capabilities. 

However, not every project expense qualifies for funding. Costs such as GST, maintenance, certain equipment purchases and expenses incurred before application submission may be excluded, depending on the activity and its requirements.

Before committing to a purchase, check the eligible and ineligible costs for your chosen EDGE activity. Request an itemised quotation from your vendor and confirm which expenses may qualify for support. 

Submit your application before starting the project or making payments, in line with the grant’s requirements.

Reviewing these details in advance will help you plan your budget accurately and reduce the risk of spending money on costs that are not eligible for funding.

FAQs

1. Does EDGE cover GST on software and equipment purchases?

GST is listed as a non-supported cost under several EDGE activities, including Integrated ERP. Businesses should check the non-supported costs for their selected activity and budget for GST separately where applicable. 

2. Can I claim software maintenance and renewal fees under EDGE?

Not automatically. Integrated ERP software support is capped at 12 months, and maintenance costs are listed as non-supported. Renewal fees and ongoing support must be checked against the requirements of the selected activity or solution package. 

3. Can I purchase software after submitting my EDGE Grant application but before approval?

Yes, Enterprise Singapore states that a business may purchase a solution after successfully submitting its application and before receiving approval. The expense may be supported if the application is approved and the relevant conditions are met. However, the business bears the financial risk if the application is rejected. 

4. Can I claim the same project expenses under EDGE and another government grant?

No. Businesses cannot apply for EDGE support for the same eligible expenses after receiving grant approval from Enterprise Singapore or another government agency. 

Previous recipients of EDG, PSG or MRA may apply for EDGE for new projects, subject to the applicable requirements.

5. Can I use an overseas software vendor for an EDGE-funded project?

Vendor and deployment requirements depend on the selected activity. For Integrated ERP, the digital solution must be used or implemented in Singapore. Check whether the activity requires a pre-approved vendor and confirm that the proposed supplier, solution and payment arrangements meet the applicable conditions before committing to the purchase.