As digital technology transforms every sector of Singapore’s economy, it is crucial that small and medium-sized enterprises (SMEs), defined as businesses with an annual turnover of less than S$100 million or that recruit more than 200 employees, make the most of these technologies to enhance operations and generate new revenue.
There are programmes available that can be of assistance, such as the Enterprise Solutions Grant (EDG), which provides funding for projects that help you upgrade or innovate your business, and the Market Readiness Assistance (MRA), which provides assistance to businesses that want to take their first step into the international market. Both of these programmes are examples of those that are currently in place.
PSG solutions can help develop, expand, and scale the businesses of Singapore’s small and medium-sized enterprises (SMEs) that are interested in adopting digital technology.
What exactly is meant by the term “PSG” (Productivity Solutions Grant)?
Singapore’s Infocomm Media Development Authority is responsible for carrying out the programme known as the PSG grant Singapore on the government’s behalf (IMDA). It provides assistance to small and medium-sized businesses (SMEs) in making investments in technology, information technology (IT) solutions, and equipment that would improve and automate business operations, ultimately leading to an increase in productivity. SMEs Go Digital is a programme run by IMDA that aims to make it easier for small and medium-sized businesses (SMEs) to embrace new technologies. The PSG is a component of this programme. Small and medium-sized businesses can receive financing assistance if they go with one of the pre-approved options.
What Kind of Help Does the Government of Singapore Provide in the form of the Productivity Solutions Grant (PSG)?
The Singaporean government has decided to fund the Productivity Solutions Grant with an initial sum of S$110 million over the course of the next three years. The PSG provides funding to assist small and medium-sized enterprises (SMEs) in the acquisition of productivity and technology solutions that have been pre-approved for use in certain industries.
What Does It Mean to Receive a Grant for Productivity Solutions?
The PSG focuses on providing solutions for a variety of businesses and markets, such as retail, manufacturing, wholesale trade, transportation, food, logistics, precision engineering, construction, and landscaping. In addition, the PSG provides support for more comprehensive solutions that have an effect on a wide range of industries. Some examples of these solutions include customer relationship management, online collaboration tools, data analytics, financial management, inventory tracking, virtual meeting and telephony tools, queue management systems, and temperature screening solutions.
Who May Submit an Application for the PSG?
Entities doing business that meet the following requirements are eligible to submit an application for the PSG:
- Singaporean business that is both registered and operating.
- The information technology (IT) solutions, equipment, and consulting services that were acquired or leased must be used in Singapore.
- At least thirty per cent of the company is held by stockholders from the immediate area (for selected solutions only).
- Maintain a presence of at least three local personnel at the place where the solution is being applied or deployed (for selected solutions only).
Which Documents Are Necessary to Submit an Application for the PSG?
Candidates for the PSG are required to provide the following documents along with their application:
- A copy of the latest financial statement that they’ve produced.
- A price estimate provided by the provider of a solution that has already been verified.
Reasons Why You Should Use the PSG Grant
A grant offered by the Singaporean government to help small enterprises is known as the PSG Grant. The abbreviation for “Productivity Solutions Grant” is “PSG.” The PSG Grant provides a subsidy of up to 80 per cent of the total cost of services such as the construction of eCommerce websites and accounting software. Therefore, small enterprises such as retail outlets who wish to “go digital” may create platforms for online shopping and make use of the PSG Grant to save their expenses in the process.
The PSG Grant is often used by small businesses to pay for accounting, which is something that every small business needs. And you usually have to follow strict rules set by the government. So, you need to spend money on the best PSG grant accounting softwarethat won’t waste your time with repetitive bookkeeping tasks. Even Forbes mentions how crucial accounting is for small businesses.
With much lower costs, this government grant can help you save a lot of money.
With the PSG Grant, you can save up to 80% of the cost. But there are some things that can’t be done. First of all, you can only use the PSG Grant with vendors who have already been approved. These are Singapore-based private limited companies. This means that you can’t hire a freelance eCommerce web developer to build your eCommerce platform. Instead, you have to hire one of the pre-approved web development agencies, which you can find on the Enterprise SG government website.
Use the PSG Grant to talk to experts and get their help.
You are not required to make use of a readymade choice but might instead build your very own custom-fit PSG grant software. You also have the alternative of developing your own eCommerce platform using Shopify or WordPress on your own.
Many owners of small businesses are seeking ways to reduce the expenses associated with hiring an external team, and WooCommerce is a wonderful answer for them.
However, one of the advantages of doing so is the opportunity to get guidance and assistance from experts. Your network and the contacts you have, especially in a nation as small as Singapore, are quite important.
Accountants have a greater chance of being acquainted with Xero (than you do), and they may provide you with useful hints and suggestions. They will also be able to suggest some excellent channels for you to learn from when you have some spare time. This guidance from specialists in any field is incredibly useful, and the PSG Grant provides you with the chance to engage these individuals at a cost that is a tiny percentage of what their average pay would be.
