Singapore is famous for its “Pro-Business” ecosystem, and a big part of that is the funding available for SMEs. If you are looking to digitize your operations or expand overseas in 2026, you have likely heard of the Productivity Solutions Grant (PSG) and the Enterprise Development Grant (EDG).

But many business owners rush to apply, only to be rejected. Why? Often, it’s not the project that is the problem—it’s the company’s compliance status.

In this guide, we break down the difference between these two grants and explain the accounting & ACRA requirements you must have in place before you apply.

1. The Productivity Solutions Grant (PSG): For “Quick Tech”

The PSG is designed for businesses looking to adopt “pre-scoped” (off-the-shelf) IT solutions.

  • What it covers: Accounting software (Xero/QuickBooks), HR systems, Inventory Management, and even Laptops (under specific windows).

  • Funding Level: Typically up to 50% of eligible costs, capped at S$30,000.

  • The Requirement: You simply choose from a list of pre-approved vendors. It is fast and administrative-light.

2. The Enterprise Development Grant (EDG): For “Strategic Growth”

The EDG is for companies undertaking significant business transformation. It is much harder to get than the PSG.

  • What it covers: Custom projects like Branding Strategy, Overseas Market Expansion, or Process Redesign.

  • Funding Level: Up to 50% (or 70% for sustainability projects).

  • The Requirement: You need a detailed project proposal and usually a certified management consultant.

3. The “Hidden” Eligibility Checks (Where We Come In)

This is the part most business blogs don’t tell you. Before Enterprise Singapore approves any money, they check your “Financial Hygiene.”

You will likely be rejected if:

  1. Your Accounts are Messy: For EDG, you must submit your latest financial statements. If your P&L doesn’t make sense or your Balance Sheet is weak, they may deem your company “financially unviable.”

  2. ACRA Non-Compliance: If you have outstanding Annual Returns or penalties with ACRA, your grant application will be blocked immediately.

  3. Wrong SSIC Code: Does your business activity code match the project you are applying for? Inconsistencies raise red flags.

4. PSG vs. EDG: At a Glance

Feature PSG (The “Fast” Grant) EDG (The “Strategic” Grant)
Project Focus Pre-approved IT Solutions (e.g., Xero, Inventory) Custom Strategic Projects (e.g., Branding, Expansion)
Complexity Simple Application Complex Proposal Required
Approval Time Fast (~4 to 6 weeks) Slow (~8 to 12 weeks)
Consultancy Not covered (Vendor only) Heavily supported (Consultant fees)
Financial Check Minimal Strict Review (Audited Accounts)
Best For… Digitizing daily operations Scaling the business model

Conclusion: Get “Grant-Ready” First

At Excellence Singapore Group, we do not write grant proposals. However, we are the financial gatekeepers who help you pass the eligibility checks.

Before you approach a grant consultant, ensure your house is in order. We help you prepare the Unaudited Financial Statements and ensure your ACRA Compliance is spotless so that when you do apply, your financial health isn’t the reason for rejection.

Need to clean up your accounts before applying? Contact us for an Accounting Health Check