Startup Grants in Singapore: A Founder's Guide for 2026

You start a company in Singapore and within weeks someone mentions PSG. Then EDG. Then MRA. Then EDGE, the new one. There are just so many acronyms! Singapore's grant landscape is one of the most generous in the region, but the support that matters for your business depends on what you're trying to do. This guide is the version we wish someone had handed us when we started Harvest.

What counts as a "startup grant" in Singapore?

A startup grant in Singapore is government co-funding for a specific business project, paid as a percentage subsidy or fixed quantum, with no obligation to repay if you deliver what you applied for. Most schemes sit under Enterprise Singapore (EnterpriseSG) and are accessed via the Business Grants Portal (BGP). Grants are different from loans (e.g. Enterprise Financing Scheme: repayable, with risk-share from the government) and from tax incentives (e.g. Double Tax Deduction for Internationalisation: reduce your tax bill, not your project cost). Grant approval generally requires you to apply before signing vendor contracts or paying deposits, so the planning calendar matters more than the application form.

The 2026 headline: PSG, EDG, and MRA are merging into EDGE

If you read only one section, read this one. Budget 2026 announced that PSG, EDG, and MRA will be consolidated into a single new scheme called EDGE, the Enterprise Development & Growth Enhancement scheme, from the second half of 2026. Details on EnterpriseSG's Budget 2026 page. In practice this mean three things: until EDGE goes live, you apply under the existing scheme names via BGP as usual. EDGE offers up to 70% support for SMEs extended until 31 March 2029, giving a three-year planning runway, and the S$100,000 cap per new market (currently in MRA) carries through.

If you're planning a project in mid-2026, talk to your accountant about whether to apply now under the existing schemes or wait for EDGE. The answer could depend on your project timeline and how much your runway depends on cash arriving by a specific date.

Who can apply? The eligibility baseline

Most EnterpriseSG schemes (PSG, EDG, MRA, and the incoming EDGE) share a common SME definition:

• Registered and operating in Singapore
• At least 30% local equity held directly or indirectly by Singapore Citizens or PRs (Startup SG Founder requires 51%)
• Group annual turnover ≤ S$100 million, or group employment ≤ 200
• Financially viable at the point of application
• Project must be new, not commenced or paid for before applying

If your shareholding falls below the 30% local equity test, EDG and PSG support drops to the non-SME tier (around 30% rather than 50%–70%). Check your cap table before scoping the project.

At a glance: Singapore's major SME grants in 2026

SFEC is designed to sit on top of your existing grant; it covers part of your residual out-of-pocket spend after PSG, EDG, or MRA. The schemes are not mutually exclusive, but you can't double-fund the same cost item.

Productivity Solutions Grant (PSG)

The PSG is the gateway grant. It covers up to 50% of pre-approved IT solutions and equipment for SMEs. Only pre-approved solutions on the GoBusiness PSG listing qualify.

Harvest is a pre-approved vendor, and we offer several tiers of PSG packages depending if you only need subscription, or you're looking to migrate prior year information over from a prior year system, or your team needs training.

Approval takes about four to six weeks. See our PSG Grant for Xero Setup guide for the step-by-step.

After approval, the solution must be deployed for at least 30 days before you can submit a claim. The claim requires proof of full payment, a usage report, and a photo of the software licence number or equipment serial number. Disbursement is by PayNow or GIRO.

Enterprise Development Grant (EDG)

EDG funds projects under three pillars: Core Capabilities (strategy, financials, HR, branding), Innovation & Productivity (process redesign, automation, product development), and Market Access (overseas business development, free trade agreement implementation). Support is up to 50% of eligible project costs for SMEs, with up to 70% for sustainability-related projects until 31 March 2026. Eligible costs include third-party consultancy, project-specific software and equipment, and internal manpower allocated to the project.

EDG isn't a fill-in-a-form scheme. Projects are scoped, costed, and submitted as proposals via the Business Grants Portal. Approval runs six to eight weeks for straightforward applications, longer for innovation projects. See EnterpriseSG's EDG page.

Market Readiness Assistance (MRA)

For SMEs taking their first concrete steps into a new overseas market. MRA covers up to 70% of eligible costs, capped at S$100,000 per company per new market, until 31 March 2026 (continuing in some form under EDGE). The cap is typically split:

• Overseas market promotion: up to S$20,000
• Overseas business development: up to S$50,000
• Overseas market set-up: up to S$30,000

"New to market" rule: annual sales in the target market must not have exceeded S$100,000 in any of the preceding three years. Same 30% local equity and SME size criteria as PSG. Each application covers one activity in one overseas market, so plan the sequence carefully if you're entering multiple markets.

Startup SG Founder and Startup SG Tech

Startup SG Founder supports first-time entrepreneurs with an innovative business idea, delivered through Accredited Mentor Partners (AMPs) who screen applications and provide mentorship alongside the funding. The grant quantum is S$20,000 to S$50,000 depending on track and AMP (tiers revised from 1 April 2024), and the founder must match the grant amount with paid-up capital or equivalent co-investment. Eligibility: first-time entrepreneur, Singapore-incorporated company, at least 51% local shareholding, full-time founder, innovative and scalable business model. Routine and lifestyle businesses are out of scope. See the Startup SG Founder page for the current AMP list.

Startup SG Tech funds deep-tech startups that own (or have rights to) novel technology and need non-dilutive capital. Proof-of-Concept (POC) projects receive up to S$250,000 to test technical and scientific viability; Proof-of-Value (POV) projects receive up to S$500,000 to demonstrate commercial viability after POC. Disbursed by milestones. The adjacent scheme is Startup SG Equity, where EnterpriseSG and the National Research Foundation co-invest equity alongside accredited private investors.

SFEC, EEG, and Tech.Pass

SkillsFuture Enterprise Credit (SFEC): a one-off credit of up to S$10,000 per employer, covering up to 90% of out-of-pocket spend on training and selected EnterpriseSG transformation programmes, on top of existing subsidies. Qualifying conditions: at least S$750 of Skills Development Levy (SDL) contributed over the qualifying period, three local employees every month, and no defaults on government loans or grants.

Energy Efficiency Grant (EEG): up to 70% for SMEs (until 31 March 2026), up to S$350,000 at the advanced tier. Suits manufacturing, F&B, and energy-intensive operations.

Tech.Pass: EDB-administered work and residence pass (not a grant), lets established tech founders base themselves in Singapore. If "startup grant" searches keep surfacing Tech.Pass, that's why.

Common reasons applications fail

The grants are generous, but the bar to qualify is real. Applications we see rejected usually trip on one of five things:

1. The company paid the vendor before applying. Once a deposit hits the invoice or a contract is signed, the project is no longer "new" for grant purposes.
2. Local shareholding falls below 30%. Foreign founders sometimes hold more than 70% directly or through holding companies; the 30% local equity test must be met at the point of application.
3. Financial statements aren't ready. EDG expects up to three years of audited statements (or management accounts for newly incorporated companies). If your books aren't current, the application stalls.
4. The PSG vendor isn't pre-approved. Confirm the solution is on the GoBusiness PSG listing before you commit.
5. The project scope is vague. "Improve productivity" is not a project. EnterpriseSG wants specific deliverables, costed line items, and a measurable business outcome.

Which grant for which stage?

A rough sequencing strategy we use with clients:

• Setting up (months 0–6): Startup SG Founder if you're a first-time founder; PSG for Xero, HR, and CRM tooling.
• Building capability (months 6–18): EDG for business strategy or process redesign; SFEC stacked on relevant training.
• Scaling overseas (months 18+): MRA for the first market entry (and EDGE-Market Access once live).
• Going deep tech: Startup SG Tech POC and then POV, alongside Startup SG Equity for co-investment.

This is just a guide. In practice real companies skip steps, double-back, or run two grants in parallel. Not all companies will go into deep tech, EDG, or even have plans to scale overseas. However many can benefit from small grants on tools.

Budget 2026 cash measures alongside grants

These aren't grants in the project sense, but they free up cash you can use to co-fund grant projects:

• 40% Corporate Income Tax (CIT) rebate for YA 2026, capped at S$30,000
• Minimum CIT Rebate Cash Grant of S$1,500 for companies with at least one local employee in CY2025

For how Singapore corporate tax shapes a founder's cash position, see our corporate income tax filing guide.

How to apply through the Business Grants Portal

Most schemes flow through the Business Grants Portal. The steps are similar across schemes:

1. Identify the right scheme for your project; don't apply for PSG if your real need is EDG-scale consulting.
2. Shortlist a pre-approved vendor (for PSG) or scope the project and get quotes (for EDG, MRA).
3. Prepare the documentation: ACRA business profile, last financial year statements, project proposal or vendor quote.
4. Submit via BGP using Corppass and Singpass corporate access; respond to clarifications promptly.
5. Receive the Letter of Offer, sign vendor contracts only after approval, implement the project, then submit your claim with supporting documents.

Frequently asked questions

Are government grants in Singapore taxable?

Generally, yes. Most government grants that defray business expenses or supplement revenue (EDG, PSG, MRA) are treated as taxable income under IRAS guidance. Capital grants may be treated differently depending on the conditions. The treatment follows IRAS's published guidance on government grants. Check with your accountant before booking the grant in your accounts.

Can I apply for multiple grants at the same time?

Yes, provided you don't double-fund the same cost item. You can run EDG for strategy and PSG for IT implementation in parallel, then use SFEC to cover residual training spend. Declare all support you're receiving on each application.

How long does PSG and EDG approval take?

PSG typically takes four to six weeks if the application is complete and the vendor is pre-approved. EDG runs six to eight weeks for straightforward applications; complex innovation projects can take longer. Plan your project timeline backwards from when cash needs to flow.

Do I need to use a pre-approved vendor for PSG?

Yes. PSG only funds solutions and vendors on the GoBusiness PSG listing. EDG and MRA don't require pre-approved vendors but expect competitive quotes.

Do I have to repay the grant?

No. Grants are not loans. Provided you deliver the approved project, file claims correctly, and meet post-project conditions, the disbursed amount stays with you. The agency can claw back funds if you misuse them, provide false information, or breach the terms.

If you're looking to switch to Xero and take advantage of the PSG grant, or need to get your financials up to date to submit for a larger grant, speak with us and we'll help you take the next steps to get set up on Xero quickly, efficiently, and save you money while doing so.