Grants, incubators, and more: Here’s how the Singapore government helps entrepreneurs

The Singapore government also provides many opportunities for entrepreneurs and startups in the form of grants and support programs. To obtain such assistance, applicants must present an original idea that can address a consumer need or demonstrate real benefits for a specific sector.

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It’s no secret that Singapore is one of the best places in Southeast Asia to start a company. It’s the only country in the region that has made it into the top 20 of the World Bank’s Ease of Doing Business Index. In fact, it came in second, next only to New Zealand. The closest ASEAN member country in the ranking was Malaysia, in 24th place.

Small wonder then that more than 35 percent of founders and investors in Southeast Asia named Singapore as their first choice for establishing a startup. They point to the city-state’s high quality of life, strong public infrastructure, access to capital resources, and ease of setting up a new business as key factors for their pick.

The Singapore government also provides many opportunities for entrepreneurs and startups in the form of grants and support programs. To obtain such assistance, applicants must present an original idea that can address a consumer need or demonstrate real benefits for a specific sector.

Below is a list of startup grants, incubators, and accelerators backed by the Singapore government.

Productivity and Innovation Credit (PIC)

The Inland Revenue Authority’s PIC Scheme provides businesses with a tax deduction of up to 400 percent, as well as a 60 percent cash payout for expenses in six business activities:

1. Acquisition and leasing of PIC automation and IT equipment
2. Training of employees
3. Acquisition and licensing of intellectual property rights
4. Registration of patents, trademarks, designs, and plant varieties
5. Research and development activities
6. Design projects approved by the DesignSingapore Council

However, the PIC Scheme will expire after the current year of assessment. That period covers expenses incurred from January 2017 to December 2017. For registered businesses, the deadline for e-filing a cash payout application under the PIC Scheme is on December 15. Paper filings ended on November 30.

Productivity Solutions Grant

Seen as a replacement to the PIC, the PSG shoulders up to 70 percent of costs of purchasing or leasing IT solutions and equipment. Depending on the sector where you operate, these systems may include management of accounts, fleets, human resources, inventory, sales, customer relationships, and more.

To be eligible for the grant, companies must be registered and operating in Singapore, use the purchased or leased IT solutions or equipment in the country, and have at least 30 percent local shareholding.

Applications may be submitted on the Business Grant Portal.

Startup SG

Led by the Standards, Productivity, and Innovation Board (SPRING), Startup SG provides support to startups, accelerators, and incubators. It has a variety of programs for different groups:

1. Startup SG Founder – designed for first-time entrepreneurs
2. Startup SG Tech – aimed at tech startups in advanced manufacturing or robotics, biomedical sciences and healthcare, clean technology, information and communications technologies, precision engineering, transport engineering or engineering services, and food science and technology
3. Startup SG Equity – co-invests in eligible startups with third-party investors
4. Startup SG Accelerator – supports incubators and accelerators
5. Startup SG Talent – helps startups attract global talent
6. Startup SG Infrastructure – provides startups with working spaces
7. Startup SG Investor – assists individuals and companies that invest in Singapore startups to access tax incentives
8. Startup SG Loan – enables access to government-backed loans

Early Stage Venture Fund (ESVF)

Seeds Capital

SG:D Spark

Technology Enterprise Commercialization Scheme (TECS)

Enterprise Development Grant (EDG)

Business Improvement Fund (BIF)