Productivity Solutions Grant (PSG) After EDGE: Pre-Approved Solutions, Claims and Funding Tips

The Productivity Solutions Grant (PSG) was the Singapore government’s flagship subsidy for SMEs adopting pre-approved digital and productivity solutions. Enterprise Singapore administered it, with IMDA and sector agencies pre-approving solutions, and it was the most-applied-for grant in the Enterprise Singapore stable because it was fast, predictable, and paid out at a meaningful percentage of cost. PSG ceased on 29 September 2026; similar purchases now fall under the EDGE Grant.

PSG was also the grant SMEs most often misunderstood. The headline 50% support rate was real, but only against a defined list of vendors and solutions, only for qualifying SMEs, and only when the application was submitted before any payment or deposit. Those rules still decide whether an approved project gets paid.

This guide covers the final PSG framework for companies with approvals: who qualified, which solutions were pre-approved, how the application worked, the claim documentation that trips most companies up, and how to avoid double funding now that EDGE has replaced PSG.

What PSG Was, and Was Not

PSG provided funding support for the adoption of pre-approved IT solutions, equipment, and consultancy services vetted by IMDA, Enterprise Singapore, or the relevant sector lead agency. It was not a research or innovation grant: it did not fund custom builds, prototypes, or first-of-its-kind work. It funded the adoption of solutions someone else had already built and approved.

For a broader overview of the Singapore grant ecosystem and how PSG sits alongside the Enterprise Development Grant (EDG) and Market Readiness Assistance (MRA) Grant, see our companion piece on EDG vs PSG vs MRA.

Final PSG Funding Levels

From 1 April 2023, the maximum support level under PSG was up to 50% of qualifying costs, and Enterprise Singapore described the grant as worth up to S$30,000. Job redesign consultancy is now funded through the SkillsFuture Workforce Development Grant (Job Redesign+); see our guide to Job Redesign+ funding.

For an approved project, the amount and percentage that apply are those in your Letter of Offer. Check the Enterprise Singapore PSG page and the Business Grants Portal for claim requirements. For new purchases, EDGE supports single-function digital solutions, integrated enterprise systems and pre-scoped equipment within a S$30,000 sub-cap: see EDGE support for digital solutions and equipment.

Who Qualified for PSG?

Your company had to satisfy all of the following at the point of application:

• Registered and operating in Singapore
• The solution being purchased must be used in Singapore
• Have a minimum of 30% local shareholding (Singapore Citizen or Permanent Resident)
• Group annual sales turnover of less than S$100 million, OR group employment size not exceeding 200 employees
• For sector-specific solutions (e.g. retail POS, food services kitchen automation): be in the relevant sector

The 30% local shareholding test is calculated at the ultimate beneficial owner level, not the immediate shareholder. Holding structures that interpose offshore vehicles between the Singapore operating company and its founders can inadvertently fail this test, and the same 30% local equity test applies under EDGE. Companies setting up incorporation structures should bear this in mind: see our piece on the Singapore entity structures comparison.

What PSG Funds: The Solution Categories

PSG-supported solutions fell into two broad buckets: sector-agnostic solutions and sector-specific solutions.

Sector-agnostic solutions (available to all SMEs)

• Accounting and bookkeeping software: Xero, QuickBooks Online, MYOB, Financio, and other approved providers
• Customer Relationship Management (CRM): Salesforce starter packages, HubSpot, Zoho CRM (selected packages)
• Human Resource Management Systems (HRMS): Talenox, JustLogin, PayrollHero, and similar
• Cybersecurity solutions: endpoint protection, email security gateways, managed detection and response
• Data backup and recovery
• Inventory management: for SMEs that need a stock control layer above their accounting software
• E-commerce platforms: Shopify, WooCommerce setup with approved digital agencies
• Digital marketing: search engine marketing, social media advertising packages from approved agencies

Sector-specific solutions

The sector lead agencies (Singapore Tourism Board for hospitality, Building and Construction Authority for construction, Enterprise Singapore for retail and food services) maintained their own lists of approved sector-specific solutions. Common categories included:

• Food services: kitchen display systems, queue management, online ordering, kitchen automation equipment
• Retail: point-of-sale systems, queue management, e-commerce platforms with payment gateway integration
• Construction: common data environment platforms, productivity equipment
• Logistics: warehouse management, last-mile delivery routing
• Healthcare and beauty/wellness: appointment management, electronic medical records

For a sector-by-sector compliance walkthrough, our F&B compliance guide covers many of the operational requirements that PSG-funded solutions address.

How the Application Worked, and the Steps That Still Apply

PSG applications closed on 29 September 2026. Steps 1 to 4 are kept for reference because an approved project is checked against what was applied for; Steps 5 and 6 still apply to every approved project. For a new purchase, see EDGE support for digital solutions and equipment.

Step 1: Browse approved solutions

Applicants browsed the list of pre-approved solutions on the GoBusiness portal (gobusiness.gov.sg/productivity-solutions-grant), filtered by industry and solution type. Each solution listed the approved vendor(s), the supportable cost, and the funding cap for that specific solution.

Step 2: Get a vendor quote

The quote from the vendor had to:

• Be on the vendor’s letterhead and dated
• Itemise the solution components, hardware/software, and subscription period
• Match the description and price band on the Tech Depot listing
• Include training and implementation hours where these are part of the supported package

Critically, no payment or deposit could be made before the application was submitted. Any payment or deposit before submission disqualified the entire application, and we advised clients not to sign or commit in writing either.

Step 3: Submit the application via Business Grants Portal

Applicants logged in to the Business Grants Portal (BGP) at businessgrants.gov.sg using Corppass, selected PSG, the relevant solution and the vendor, and uploaded the quote together with the latest financial statements (or, for newer companies, management accounts and the ACRA business profile).

Companies that struggle to produce clean financial statements at application or claim stage often discover that their bookkeeping is not in shape. Our payroll and accounting guide covers what records you should be keeping monthly.

Step 4: Outcome and Letter of Offer

Enterprise Singapore evaluates the application on company eligibility, solution fit, and the appropriateness of the proposed budget. Applications submitted before 30 September 2026 are still assessed under the PSG rules. The outcome is communicated by email and via the BGP, and the Letter of Offer specifies the supportable amount and the funding percentage.

Step 5: Purchase, implement and pay vendor in full

After approval, sign with the vendor and deploy. PSG works on a reimbursement basis: you pay the vendor 100% of the cost, then claim back the supportable percentage from Enterprise Singapore. Enterprise Singapore’s claim checklist expects the solution to have been deployed for at least 30 days and paid in full before you claim.

Step 6: Submit claim with proof of payment

By the claim due date stated in your Letter of Offer, submit the claim through BGP. If you need more time, submit a change request on BGP before the due date. You will need:

• Vendor invoice marked as paid
• Bank statement showing the outgoing payment
• Proof of solution deployment (screenshots, photos of installed equipment, training attendance records)
• Subscription confirmation for SaaS solutions

Funds are disbursed to the company’s bank account about 14 working days after claim approval by PayNow Corporate, or up to eight weeks by GIRO. The claim form also asks for licence or serial numbers for software and equipment where relevant.

Common Mistakes That Got PSG Applications Rejected

• Buying first, applying second. The single most common reason for rejection. PSG required the application to be submitted before any payment or deposit was made to the vendor, and the same rule applies under EDGE.
• Choosing a non-approved vendor. The vendor had to be listed for that specific pre-approved solution. A general “we use Xero” did not qualify if the implementation partner chosen was not on the approved list.
• Failing the local shareholding test. Companies wholly owned by foreign parents did not qualify. The 30% local rule is calculated through to the ultimate individual owners.
• Stale or unaudited financial statements. If the latest financials were more than 12 months old, Enterprise Singapore could ask for management accounts.
• Quote does not match the package listing. Items and costs had to match the pre-approved package; extra scope or hardware was not supported, and the claim could be queried.
• Double funding. If part of the solution is funded by another scheme, you cannot also claim PSG for that portion. Disclose all overlapping funding.

Combining PSG with Other Grants

PSG could be combined with other Singapore government support only where the funding addressed different costs or scopes. Where things stand for approved projects:

• PSG + SkillsFuture Enterprise Credit (SFEC): SFEC could top up the company’s out-of-pocket portion of an approved PSG project. Final SFEC-supported claims for EDG, MRA and PSG are due by 30 November 2026, and EDGE projects cannot be supported under SFEC.
• PSG + EDGE: A company with PSG support can apply for EDGE for a new project. The PSG grant does not count towards the EDGE cap, but the same project cannot be claimed again under EDGE.
• EDG and MRA: These ceased with PSG on 29 September 2026. Approved projects continue to claim; new overseas projects go to EDGE internationalisation support.

The cardinal rule of grant stacking: never apply twice for the same cost. Our deeper guide on stacking Singapore government grants walks through the boundaries in detail.

What Happens After Approval

An approval letter is not a free hand. Enterprise Singapore can review an approved project after disbursement, and the Letter of Offer sets out how long records must be kept. Keep all supporting documents (vendor invoices, payment proofs, deployment evidence, training records) for at least that period.

If a company is found to have made false declarations or used the funded solution outside Singapore, Enterprise Singapore can recover the grant, and false declarations can expose the company and its officers to criminal liability.

Our piece on post-approval compliance and audits covers what to expect.

PSG vs Buying Without a Grant

For a Singapore SME purchasing a S$10,000 cloud accounting + payroll bundle:

• Without PSG: Out-of-pocket cost S$10,000
• With PSG (50%): Out-of-pocket cost S$5,000; reimbursement of S$5,000 from Enterprise Singapore
• With PSG + SFEC top-up (where applicable, final claims by 30 November 2026): Net cost could come down further

The cash flow profile matters: you pay the vendor in full upfront, keep the solution deployed for at least 30 days, then wait for the claim to be approved and paid. Plan working capital accordingly.

Conclusion

The Productivity Solutions Grant was one of the most accessible forms of Singapore government support for SMEs. Its 50% funding rate and pre-approved solution lists took much of the guesswork out of digitalisation projects. If you hold a PSG approval, the priority now is to deploy, pay in full and claim by the due date in your Letter of Offer.

For new purchases under EDGE, the most important rule is unchanged: apply before you pay anything. Any payment or deposit before the application is submitted makes it retrospective, and retrospective applications are not supported.

If you would like help with a PSG claim or change request, or with an EDGE application for a new solution, the team at Raffles Corporate Services can assist, with your company remaining the applicant. We also provide the underlying bookkeeping and financial statement support that grant applications and claims require.

Information checked against official sources on 6 November 2026.

The Editorial Team, Raffles Corporate Services