The Complete PSG Grant Guide for Singapore Startups and SMEs

The Productivity Solutions Grant (PSG) is a government initiative to support Small and Medium-sized Enterprises (SMEs), including startups, in adopting IT solutions and equipment to improve productivity. 

Designed to co-fund up to 50% of digital tools, equipment, and consultancy services, the PSG helps you upgrade critical business functions without draining your capital. But too many businesses miss out because they don’t understand how it works — or where to start.

This guide breaks it down for you. From eligibility and application steps to choosing the right solutions and becoming a PSG-approved vendor, you’ll get everything you need to turn government support into a growth advantage.

How to Apply for PSG in Singapore

Applying for the Productivity Solutions Grant (PSG) in Singapore involves several steps that help businesses leverage government support for adopting digital solutions. Here’s a detailed guide on how to apply.

Step 1: Identify Eligibility and Relevant Solutions

Ensure your business is registered in Singapore, has at least 30% local equity, and meets the size criteria: an annual sales turnover of less than S$100 million or an employee size of less than 200.

Determine which pre-approved digital solutions align with your business needs. These can include digital marketing tools, e-commerce platforms, or customer relationship management (CRM) systems.

Step 2: Gather Required Documents

• Business Registration Documents: Obtain your company’s ACRA BizFile and ensure it reflects your current business activities.
• Financial Statements: Prepare financial statements for the past three years. For newly incorporated companies, provide unaudited financial statements or management accounts.
• Vendor Quotations: Get quotations from pre-approved vendors for the chosen solutions, ensuring they include the PSG supportable cost.

Step 3: Create a CorpPass Account

If your company doesn’t have a CorpPass account, register for one as it is necessary for transacting with government agencies.

Step 4: Register on the Business Grants Portal (BGP)

Use your CorpPass account to log in to the BGP and register your business. This portal is where you will submit your PSG application.

Step 5: Submit the Application

• Fill Out the Application Form: Provide detailed information about your business, the project, and the specific digital solutions you intend to adopt.
• Attach Required Documents: Upload the vendor quotations, financial statements, and other necessary documents.

Step 6: Await Evaluation

The application will be evaluated by the relevant government agency. This process typically takes about six weeks but can vary based on the application’s complexity.

Step 7: Purchase and Implement the Solution

Once approved, proceed to purchase and implement the pre-approved solution from the vendor. Ensure you follow the guidelines provided to be eligible for grant disbursement.

Step 8: Claim Reimbursement

After implementing the solution and ensuring it has been used for at least 30 days, submit your reimbursement claim through the BGP. Include all necessary supporting documents.

To explore the full range of pre-approved Productivity Solutions Grant (PSG) solutions tailored to your business needs, visit the official GoBusiness PSG Solutions page. This resource provides detailed information on sector-specific and generic solutions available for funding.

What is a PSG Vendor?

A PSG vendor is a company that offers pre-approved digital solutions, equipment, or consultancy services under the Productivity Solutions Grant (PSG) program in Singapore. These vendors provide solutions aligned with the PSG’s objectives of enhancing business productivity and are recognised by the government for their quality and effectiveness.

How to Become a PSG Vendor

To become a PSG vendor, follow these steps:

1. Research PSG Categories:
   • Familiarise yourself with the different categories of PSG solutions, such as IT solutions, equipment, and consultancy services. Identify which category aligns with your business offerings.
2. Prepare Your Proposal:
   • Develop a well-structured proposal highlighting your product or service offerings, competitive advantages, and value proposition. Ensure it meets the specific requirements of the PSG category you are targeting.
3. Submit Your Proposal:
   • Submit your proposal through the relevant government portal. Ensure you have all necessary documents, such as company registration details and product/service descriptions.
4. Evaluation and Approval:
   • Your proposal will be evaluated based on factors such as relevance to PSG categories and the quality of your offerings. Be prepared for potential follow-up queries during the evaluation process.
5. PSG Vendor Registration and Onboarding:
   • Once approved, complete the vendor registration process. This involves signing a vendor agreement and maintaining transparency throughout the process.

Benefits of Being a PSG Vendor

• Access to Government Funding: As a PSG vendor, you can offer your services to businesses seeking PSG funding, which can boost business growth.
• Enhanced Credibility: Being recognised as a PSG vendor enhances your credibility and can leverage your marketing efforts.

To explore the full range of pre-approved PSG solutions and learn more about becoming a vendor, visit the official GoBusiness PSG Solutions page.