Singapore offers one of the most generous and well-administered grant ecosystems in the world for SMEs. But for founders trying to fund a website upgrade, a regional expansion, or a digital transformation, the question is rarely “is there a grant?”, it is “which grant?”. The three most frequently confused schemes are the Enterprise Development Grant (EDG), the Productivity Solutions Grant (PSG), and the Market Readiness Assistance (MRA). They sit alongside each other, all administered by Enterprise Singapore (EnterpriseSG), but each is designed for a different stage and a different type of investment.
This article compares the three side by side, walks through eligibility, funding levels, application timelines, and explains the practical decision tree for which one to choose first.
The Quick Answer: When to Use Each Grant
- PSG: Off-the-shelf, pre-approved IT solutions and equipment. Fast, capped, low-touch. Up to 50% support.
- MRA: Overseas market entry, marketing, regulatory and IP support. Up to 50% support, capped at SGD 100,000 per company per new market.
- EDG: Strategic transformation projects, customised consultancy, capability building. Up to 50% support for SMEs, projects typically range from SGD 30,000 to several hundred thousand.
Productivity Solutions Grant (PSG) in Detail
PSG is the entry-level grant most SMEs encounter first. It supports the adoption of pre-approved IT solutions and equipment across more than 30 sectors. The pre-approved list is maintained on the GoBusiness portal, and includes accounting software (Xero, Jaz, QuickBooks), inventory systems, point-of-sale, e-commerce platforms, HR and payroll tools, customer relationship management, and sector-specific solutions for food services, retail, logistics, construction, and others.
The model is simple: you pick a vendor from the pre-approved list, sign a service agreement, then claim back up to 50% of the cost via Business Grants Portal (BGP). For 2026, EnterpriseSG continues the 50% support level introduced after the post-Budget 2024 adjustments, with selected sustainability and AI-related solutions receiving up to 70% support under top-up schemes.
PSG Eligibility
- Registered and operating in Singapore.
- Purchase, lease, or subscription of the solution must be used in Singapore.
- For SMEs: at least 30% local shareholding, group annual sales of less than SGD 100 million, or group employment of less than 200.
- Have not started implementation or made payment before applying.
When PSG Is the Right Choice
PSG is right for: implementing a new accounting system, adopting an e-commerce platform, buying a chillerautomated dishwasher for a restaurant, or rolling out a CRM. The application is light, decisions usually come within four to six weeks, and the vendor often helps with the paperwork. For a full breakdown of the application process, see our PSG 2026 application guide.
Market Readiness Assistance (MRA) in Detail
MRA is the export grant. It supports Singapore SMEs taking their products and services into new overseas markets. The grant covers three core activities:
- Overseas market promotion: Trade fairs, in-market business missions, digital marketing campaigns.
- Overseas business development: Setting up a subsidiary, business matching, recruiting a country manager.
- Overseas market set-up: Tax and legal advisory, IP protection, regulatory compliance.
MRA covers up to 50% of eligible third-party costs, capped at SGD 100,000 per company per new market, with a maximum support cap of SGD 100,000 across all categories per market.
MRA Eligibility
- Business entity registered and operating in Singapore.
- At least 30% local shareholding.
- Group annual sales not exceeding SGD 100 million OR group employment of not more than 200 employees.
- The overseas target market must be one in which the applicant has not generated more than SGD 100,000 in revenue in each of the preceding three years.
When MRA Is the Right Choice
If you are exporting to a new market, or planning to set up a subsidiary in Vietnam, Indonesia, Malaysia, or beyond, MRA should be the first grant you consider. It is also one of the few grants that explicitly covers legal and tax structuring costs for the new market, which can be substantial when you are setting up a foreign entity for the first time.
Enterprise Development Grant (EDG) in Detail
EDG is the heaviest of the three, designed for strategic projects that build long-term business capability. It supports three pillars:
- Core Capabilities: Business strategy, financial management, human capital, service excellence, and business model transformation.
- Innovation and Productivity: Process redesign, automation, product development, and quality standards.
- Market Access: Pilot projects, mergers and acquisitions, and standards adoption.
EDG funds up to 50% of qualifying costs for SMEs, with specific elevated support of up to 70% for selected projects under bilateral programmes. Qualifying costs typically include third-party consultancy fees, software (custom built, not off-the-shelf), and incremental manpower directly attributable to the project.
EDG Eligibility
- Business entity registered and operating in Singapore.
- At least 30% local shareholding.
- Financially viable to start and complete the project.
EDG does not have a small-company size cap, meaning larger Singapore companies can also apply, but support quantum drops accordingly.
When EDG Is the Right Choice
EDG is the right grant when you are tackling a project that requires a consultant or a custom-built solution, not an off-the-shelf product. Examples include: developing a new go-to-market strategy with McKinsey or a boutique strategy firm, building a custom inventory or production-planning system, redesigning your manufacturing line for automation, or commissioning an HR transformation programme. The application process is more rigorous, businesses must submit a detailed project proposal with milestones, expected outcomes, and a clear theory of change.
Side-by-Side Comparison
| Feature | PSG | MRA | EDG |
|---|---|---|---|
| Purpose | Off-the-shelf IT & equipment | New overseas markets | Strategic transformation |
| Support level (SME) | Up to 50% | Up to 50% | Up to 50% |
| Funding cap | Per pre-approved solution | SGD 100,000 per market | Project-by-project, no fixed cap |
| Typical processing time | 4–6 weeks | 6–10 weeks | 10–16 weeks |
| Application format | Lightweight, vendor-led | Standard form, market plan | Detailed project proposal |
| Best for | Implementing a tool | Going overseas | Transforming the business |
| Pre-approval | Must use pre-approved vendor | Vendor must be qualified | Vendor selected by business |
Can You Stack the Three?
Yes, but with rules. You generally cannot claim the same cost under more than one grant (the principle of no double-funding). However, you can run all three in parallel for different project components:
- Use PSG to roll out a new e-commerce platform in Singapore.
- Use MRA to set up your Indonesia subsidiary and run digital marketing for that market.
- Use EDG to commission a McKinsey-style strategy review of your regional expansion plan.
The same expense cannot be claimed twice. A consultant fee covered by EDG cannot also be claimed under MRA. Smart sequencing is key, talk to your corporate secretary or accountant before you start a project, not after.
What All Three Grants Have in Common
- All three are administered through the Business Grants Portal (BGP) at businessgrants.gov.sg.
- All three require Corppass to log in. Set up Corppass early.
- All three are reimbursement-based, you pay first, then claim back.
- All three require the project to start after the application is approved. Starting early is a common reason applications get rejected.
- All three require post-grant compliance, see our guide on post-approval claims, compliance and audit.
Other Singapore Schemes Worth Knowing
Beyond these three flagship grants, several other schemes complement them:
- SkillsFuture Enterprise Credit (SFEC), a SGD 10,000 employer-side credit for workforce and business transformation.
- Energy Efficiency Grant (EEG), for energy-saving equipment in retail, manufacturing, and F&B.
- Enterprise Innovation Scheme (EIS), a tax-based incentive offering up to 400% tax deduction on qualifying R&D, IP, and innovation expenditure.
- Startup SG schemes, including Startup SG Founder, Startup SG Tech, and Startup SG Equity for early-stage capital.
Common Mistakes to Avoid
- Starting work before approval. EnterpriseSG will not fund retroactive expenses.
- Choosing the wrong grant. Applying to PSG for a custom-built solution, or to EDG for an off-the-shelf tool, leads to a rejection and a wasted six weeks.
- Weak project proposals. EDG in particular requires you to articulate measurable outcomes and a credible theory of change.
- Inadequate vendor due diligence. The vendor’s track record on previous EnterpriseSG projects matters.
- Forgetting post-grant compliance. Missing the claim deadline or failing the post-project audit can claw back the support amount.
How Raffles Corporate Services Helps
Our team supports Singapore SMEs through the full grant lifecycle, from eligibility assessment, project scoping with the vendor, application drafting, to claims processing and post-grant audit. We work alongside your operations team to identify the cleanest grant for the project at hand, and we ensure you do not double-fund or trigger a clawback. For founders running multiple parallel projects, we also coordinate sequencing so that PSG, MRA, and EDG complement rather than overlap.
For statutory background and the latest grant rules, refer to EnterpriseSG and the Business Grants Portal. Information on PSG pre-approved solutions is at GoBusiness.
— The Editorial Team, Raffles Corporate Services