Singapore is considered one of the most favorable locations around the world to set up an enterprise and carry out business operations.
According to World Bank data, Singapore came in 2nd in the ease of doing business index in 2019, and several factors play a critical role in making Singapore the business and investment hub it is.
Now, several factors play their part in making Singapore the investment hub that it is today, some of which are.
- A favorable taxation environment compared to other developed economies play a major role in enticing businesses to set up their operations in Singapore.
- Singapore allows for total foreign ownership of any business that sets up its operations in the country. Other developed countries require local shareholding to a certain extent, something that is not mandatory in Singapore.
- A large and educated pool of talent makes operations that much easier and more efficient.
- Singapore’s geographic location, which is centrally located, makes it a critical business location as well.
- The government of Singapore realizes the essentiality of economic development and growth, thus ensuring a conducive environment in which businesses and commercial establishments can thrive and grow. The Singaporean government provides for everything from getting the requisite licenses to grants and more.
An Edg grant in Singapore can be availed of by enterprises if they successfully meet the set criteria of the government.
Here, we will be taking a look at the significance of an Edg grant in Singapore, and how they are revolutionizing businesses on a daily basis.
Edg grant in Singapore.
An Enterprise Development Grant in Singapore is an assistance system that is forwarded by the government to SMEs that meet a set of pre-fixed rules and criteria. This grant helps businesses in Singapore to upgrade their businesses, drive innovation, and venture overseas as well if they so wish.
There are certain factors that govern Edg grant in Singapore, and anyone must know about them if they wish to venture into this realm.
- For a company to be eligible for EDG from the government, it must be registered and operating in Singapore, have a minimum local shareholding of 30%, and be financially capable of starting and finishing the project.
- The funding limits and sizes vary from one category to the other, and an Edge grant in Singapore can provide funds for up to 70% of an SME’s qualifying cost, while the figure stands at 50% for non-SMEs. According to the Singapore government, this grant figure is dependent on the group revenue and the group employment size.
- An EDG grant can be used to carry out domestic operations, as well as fund projects that would help the said business venture overseas.
- It is witnessed that projects that are funded by the EDG are usually completed within 12 to 18 months, but it is advisable that businesses that rely on EDG finish these projects as soon as possible efficiently and effectively so as to keep them in tune with the dynamic economic and market situations.
- You can apply for an EDG via the respective department’s website. It is advisable that you work with a consulting agency that can make the overall process a breeze for you.
These are some of the factors that you should keep in consideration while learning about EDG in Singapore. Now, let us take a brief look at the avenues and aspirations of a business that the government advances this grant.
Supportable Items Under EDG In Singapore.
The government of Singapore advances these grants to support the following aspirations of a business.
- These grants help businesses develop their core capabilities and make the foundation of their business stronger than ever. Under this subject, five specific areas are targeted more than anything else, namely, financial management, human capital management, strategy development, service excellence, marketing, and brand development. This helps businesses strengthen their core capabilities, grow properly, and thrive in challenging environments as well.
- Supporting innovation and productivity is a major motive that drives this funding as well. For businesses, it is crucial to make their operations effective and efficient, and this is where the EDG comes in as well.
- These grants enable automation, product development, and a redesign of the processes if the need so arises.
These grants can also be used to support the aspirations of a business that wants to grow overseas as well, and this can be done through mergers and acquisitions, standards adoption, test-bedding, and pilot projects.
If you are someone who wants to apply for an EDG in Singapore, then you can do so if the reasons behind your applying for the same fall within the aforementioned areas.
Singapore is one of the best locations in Singapore to open and run a business enterprise, and several factors contribute to this notion.
Several advantages setting up Singapore would offer, there is a large number of local businesses and enterprises that can provide solutions like the Pos system in Singapore, and government policies like that of the EDG go a long way in helping businesses grow and thrive.