Singapore Startup Grants: Explore Your Business Opportunities

Singapore’s economic rise is a clear example of what a nation can achieve when regulators prioritize innovation and unite for change. The city has become a top destination for startups seeking market success.

While domestic prosperity is crucial for enterprise development, Singapore legislators know they must aim higher to compete globally.

In 2017, Startup SG was launched as a unified scheme to support broader startup growth. The efficacy of grants is evident in critical areas like financial assistance, industry networking, and capability enhancement.

Tech startups have seen significant growth over the years, bolstered by government support and a thriving innovation ecosystem.

Think you have what it takes to be one of Singapore’s next enterprise champions? Here’s a list of Singapore startup grants to help you gain a competitive edge.

Startup grants you should know about

There are many government grants available, but three stand out in the tech landscape: Startup SG Founder, Startup SG Tech, and Startup SG Accelerator. For a tailored solution to find the right financing for your business, try our Singapore grants and incentives tool.

Startup SG Founder

Startup SG Founder is a key initiative by Enterprise Singapore to support enterprise development. The scheme helps aspiring entrepreneurs with innovative ideas gain access to finance and mentorship to reach their potential.

Due to the economic downturn in 2020, the grant amount was increased from SGD 30,000 to SGD 50,000 under the existing SG Founder Grant ‘Start’ track. Additionally, a new ‘Train’ track was established to provide educational support for novice entrepreneurs.

Depending on which track you chose to sign up for, there’s a different set of criteria that needs to be met:

• Your team must consist of at least 3 Singapore residents or Permanent Residents (SPRs)
• The main applicants must hold at least a 30% share in the company
• Over 51% of shareholding has to belong to the company
• The company has been operating for less than 6 months at the time of application
• All business operations are predominantly conducted in Singapore
• The applicant holds a crucial position in making decisions in the company

How to apply?

To apply for the Startup SG Founder grant, you need to go through two phases:

First, apply through the Accredited Mentor Partners (AMP) network to see if your visions align. This process is similar to pitching a product; you present your business plan, and if they like it, they’ll support you. Equity financing is also possible if they see high profitability in your proposal.

Next, you’ll work together to create a development plan with clear milestones for fund disbursement. Finally, they’ll send your application to ESG for final approval.

If your application didn’t make the list, you can always try again after making thorough adjustments to your previous proposal. Note that this is not possible for applicants who have incorporated their business for more than 6 months at the time of application.

For more information regarding the Startup SG Founder, please visit this site.

Startup SG Tech

The Startup SG Tech Grant targets startups with early-stage proprietary technology. Eligible applicants receive funding to speed up development and commercialization.

The grant supports two stages of innovation projects: Proof of Concept (POC) and Proof of Value (POV), offering up to S$250,000 and S$500,000 respectively.

Industries covered include:

• Advanced manufacturing
• Biomedical sciences & healthcare
• Precision engineering
• Telecommunication technology

To be eligible for this grant, two requirements must be met:

• Solution feasibility: You must show that your idea has the potential to disrupt markets by creating new demand or replacing an existing one. Your approach can be anything, as long as you provide clear technical or scientific proof.
• Company suitability: Your company must be a private limited entity operating in Singapore. Specifically, it should be an “SME” with at least 30% local ownership, a turnover of no more than SGD$100 million, and fewer than 200 employees.

How to apply?

To apply for the grant, follow these steps:

Step 1: Registration of interest

Send your project summary and scope evaluation along with the SG Tech Registration Form to SPRING Singapore. After screening, you’ll be notified of the result.

Step 2: Application and evaluation

Approved applications will submit a detailed project proposal, including costs, technical/scientific specifications, and commercial forecasts. Partner agencies such as IMDA, PUB, and A*STAR will conduct a second screening.

Step 3: Final panel evaluation

If you pass the second screening, a SPRING officer will contact you to prepare for a final presentation to a panel of industry experts, including executives, venture capitalists, and researchers. Be ready for a variety of questions.

For more information regarding the Startup SG Tech, please visit here.

Startup SG Accelerator

Incubators and accelerators are essential to Singapore’s goal of building an entrepreneurial ecosystem. Although both provide financial and operational support for startups, they serve different purposes.

Incubators help startups in the early stages with ideation, execution, and commercialization. Accelerators, on the other hand, focus on growth and achieving significant breakthroughs.

To boost its entrepreneurial ecosystem, Singapore has enhanced its incubators and accelerators with funding schemes that cover essential areas:

• Programme development
• Experts hiring
• Operating expenses

To be eligible for this grant, the following criteria must be met:

• The applicant must be an incubator or venture accelerator with a unique value proposition or exclusive schemes designed to help startups grow.
• The incubator or accelerator must possess a proven revenue model that ensures long-term growth.
• The incubator or accelerator must have an experienced management team overseeing the development process.

How to apply?

Incubators and accelerators interested in applying should draft a business plan and submit it to EDB for review. Please note that venture capitalists and consultancy firms are not eligible for this grant.

More information regarding the Startup SG Accelerator.

SG Grant Equity

Being recognized as one of the top smart cities in Asia, Singapore government views deep tech as a key driver for a digitized economy, yet securing funding has been challenging due to unproven commercialization capacities in the sector. This uncertainty often leads to investor hesitation.

The SG Equity Grant aims to bridge this gap by partnering with venture capital firms and third-party investors through a fund-of-fund approach, facilitating the transition from potential startups to global enterprises.

Investment parameters vary for general tech and deep tech, with distinct funding caps and co-investment dynamics.

For General Tech:

• Funding cap: SGD$2million
• Co-investment ratio:  7:3 up to SGD$250,000, then 1:1 up to SGD$2 million

For Deep Tech:

• Funding cap: SGD$4million
• Co-investment ratio:  7:3 up to SGD$500,000, then 1:1 up to SGD$2 million

Fund disbursement follows a milestone-based approach, unlocking predetermined amounts as each milestone is achieved. This grant employs equity financing, meaning the SSC will hold a stake in your company.

How to apply?

If the applicant is a startup, the following criteria applies:

• Must be a private limited company with at least SGD$50,000 in paid-up capital and not a subsidiary or joint venture.
• Should have been incorporated for no more than 5 years.
• All business operations must be conducted domestically within Singapore.
• Must demonstrate strong growth prospects and the potential for international expansion.
• Should exhibit high levels of innovation and intellectual depth in their products, services, or applications.
• Must have third-party investor(s) on board.

If the applicant is an investor, the following criteria applies:

• Should contribute to the startup’s growth through networking or mentorship.
• Must invest a minimum of SGD$50,000.

For a more detailed understanding, please refer to Startup SG Equity.

The roadmap to your first grant

While the aforementioned grants are among the most sought-after by startups, they are not the only avenues for growth. Singapore is renowned for embedding inclusivity into its enterprise development strategy. Key initiatives like the SME Grant and PSG Grant contribute to a dynamic funding landscape.

It goes without saying that enterprise development in Singapore is reaching its peak, bolstered by robust government support. In addition to substantial financial aid, Singapore offers its enterprise leaders mentorship and infrastructure development.

With ample growth opportunities, the market is poised for unprecedented success. Get a head start with our Singapore incorporation service and secure the next big break for your business.

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