You may have heard of government grants such as the Enterprise Development Grant (EDG) if you are planning to join a company in Singapore or run a Singapore-registered corporation. Recently, the maximum support level of the EDG has been raised to 90% in response to COVID-19, especially for those who are seriously affected by the pandemic. But, what is EDG, precisely? Know how to check your eligibility for Enterprise Development Grant along with other details.
What is the grant for Enterprise Development?
The Enterprise Development Grant (EDG) is a programme administered by Enterprise Singapore that, by providing financial subsidies, helps Singapore’s businesses strengthen their business foundations, seek innovation and boost productivity.
Originally, depending on whether the organization is a Small Medium Enterprise (SME), and whether the expenses are linked to software and facilities, the EDG covers up to 30%-70% of eligible project costs. Enterprise Singapore has announced that, on a case-by-case basis, the grant will cover up to 80 percent of the costs and this will be effective until 31 December 2020. And, depending on individual circumstances, those whose operations have been destroyed by the COVID-19 pandemic qualify for 90 percent assistance levels.
Who would be able to apply for the EDG?
Businesses with a good financial record are eligible for applications, but they must know the hiring tips for businesses and eligibility criteria:
- To be registered and active in Singapore.
- Have a 30 per cent local shareholding minimum.
- Be financially able to initiate and complete the project proposed.
Enterprise Singapore will evaluate applications based on project scope, project performance and service provider competency.
How to apply for getting EDG?
Consider several factors which determine your application success before applying for EDG support. Check if your organisation is worthy for the grant. Your project categories must also be defined, e.g., Core Skills, Creative Efficiency, or Market Access.
Consider seeking assistance from a company consultant or a firm that is also supporting you with your ventures.
Role of EDG:
- Core Capacities
Core Skills programmes help companies plan for growth and change by improving their company foundations. These can go beyond fundamental roles like sales and accounting.
- Productivity and Creativity
Innovation and Productivity programmes help businesses that pursue new areas of development or search for ways to increase production. These may involve evaluating workflow and processes and redesigning them. To make repetitive tasks more effective, businesses should also tap into automation and technology.
- Access to Markets
Market Access programmes assist companies in Singapore that are eager and prepared to move overseas. To reduce some of the costs of increasing into overseas markets, you can choose the EDG. The purpose is to enable your company to grow into new markets by establishing a presence abroad to begin marketing and/or business growth activities.
You should be aware that the EDG only helps new projects which are new and do not produce any income at the time of the grant application. If suppliers and service providers have already signed a contract, or if any work on the project scope has begun, or if payment for the project has been issued, a project is considered to have started.