Navigating the ever-evolving landscape of business enhancements, the Productivity Solutions Grant (PSG) emerges as a beacon of support for Small and Medium-sized Enterprises (SMEs) in Singapore. PSG offers a gateway to streamlined operations and heightened efficiency through the integration of IT solutions and equipment.
Thus, this comprehensive guide is crafted to illuminate the path for SMEs seeking to leverage PSG, offering insights into its application process, eligibility criteria, and the transformative benefits it brings to businesses across diverse sectors.
Key Takeaways
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Table of Contents
What is PSG Singapore?
The Productivity Solutions Grant (PSG) is a government grant in Singapore which first available for the public in April 2018 to support local SME businesses that want to use IT solutions and equipment to improve business processes and operations.
For example, PSG offers solutions for the retail, food, logistics, precision engineering, construction, and landscaping industries. This initiative aims to facilitate improvements in business processes and the automation of existing frameworks.
To partake in PSG, businesses must fulfill certain criteria:
- Registered and operating in Singapore: Companies need to be established and functioning within Singapore’s jurisdiction.
- Local equity holding: A minimum of 30% local equity held by Singaporean(s) or Singapore PR(s) is required, determined by the ultimate individual ownership.
- Company size: Companies should maintain a Group Annual Sales Turnover not exceeding S$100 million or a Group employment size not exceeding 200 employees.
- Usage of solutions within Singapore: IT solutions or equipment that are purchased, leased, or subscribed to must be utilized within Singapore’s geographical boundaries.
- Exclusions: Charities, Institutions of Public Characters (IPCs), Religious Entities, Voluntary Welfare Organisation (VWO), Government agencies and subsidiaries, and societies are not eligible for this grant.
It is important to note that businesses eligible for the SkillsFuture Enterprise Credit can also benefit from additional subsidies under the PSG scheme, expanding the opportunities for support and growth.
This eligibility criteria ensures that the obtained solutions or equipment actively improve business operations within Singapore. It matches the grant’s goal of boosting local productivity and competitiveness.
An example of an IT solution pricing scheme with a Singapore government grant can be seen below.
The Benefits of PSG Singapore
Embracing PSG offers a multitude of benefits, mainly:
1. Empowering businesses
PSG extends substantial support to local SMEs, covering up to 50% of eligible costs. With the potential to receive up to $30,000, companies witness a tangible boost in their productivity metrics. The grant caters to both sector-specific and generic solutions, offering a wide array of options that align with diverse business needs.
2. Enhanced solutions
PSG advocates for sector-specific and generic solutions that are pre-approved by EnterpriseSG and other participating agencies. These solutions are tailored to cater to various industries such as retail, construction, logistics, precision engineering, and food, ensuring that businesses across multiple sectors benefit from this comprehensive program.
How to Apply for PSG Singapore?
The application process involves several steps to ensure a smooth and efficient experience. By navigating through these steps diligently, businesses can harness the PSG to fortify their operations, embrace technological advancements, and stride towards enhanced productivity and sustainable growth.
1. Identify relevant solutions
Access a comprehensive list of adoptable solutions through GoBusiness Gov Assist. Evaluate and select solutions that align closely with your business requirements and objectives.
2. Obtain quotations
For IT solutions, secure a quotation from pre-approved vendors. Similarly, for equipment, acquire a quotation from the respective vendor. In the case of consultancy services, obtain quotations from pre-approved consultants to initiate the process.
3. Submit application on Business Grants Portal (BGP)
Utilize your Corppass account to access the BGP portal for submitting your application. Ensure compliance with the required documents.
4. Claim submission and disbursements
After the submission, monitor the progress of your application. Submit claims for reimbursement on the Business Grants Portal, adhering to the eligibility criteria. Disbursements will be processed through PayNow Corporate starting from February 1, 2023.
Conclusion
The Productivity Solutions Grant (PSG) stands as a crucial support system for local businesses in Singapore stepping into digital transformation and needing substantial investments. Through PSG, companies gain access to pivotal resources that catalyze growth, streamline processes, and foster sustainable development.
Companies aiming to improve their efficiency and embrace technology find PSG along with other Singapore grants to be highly beneficial. One of the leading IT solution ERP vendors in Singapore is HashMicro, which provides Singapore grants like EDG and NTUC CTC grant plus a free demo of its system, offering solutions that streamline operations and support the digital journey.
By adhering to the eligibility criteria and diligently navigating the application process, businesses unlock opportunities to harness PSG’s benefits, ultimately propelling them towards a future of enhanced productivity and competitiveness.
