Enterprise Development Grant (EDG) — Costs and fees breakdown

Raffles Corporate Services works with a panel of corporate and employment law firms; this article is general information, not legal advice.

The Enterprise Development Grant (EDG) is a Singapore government grant administered by Enterprise Singapore that co-funds projects helping local companies upgrade, innovate and expand overseas. Eligible SMEs can receive support covering a portion of qualifying project costs such as consultancy, software, and internal manpower, with the co-funding level and scope depending on the project category and the company’s profile.

The Enterprise Development Grant (EDG), explained

The EDG supports projects under three pillars: Core Capabilities, Innovation and Productivity, and Market Access. It co-funds qualifying third-party consultancy, software and equipment, and certain internal manpower costs. Enterprise Singapore administers the grant on a reimbursement basis against approved, outcome-linked project plans. It is a discretionary grant, not an entitlement. See the official guidance at www.enterprisesg.gov.sg.

Who is eligible

Applicants must be registered and operating in Singapore, have at least 30% local shareholding, and be financially viable to start and complete the project. The grant targets SMEs genuinely investing in transformation, not routine operating expenses.

Support level, scope and thresholds

Support levels are set by Enterprise Singapore and have historically been up to 50% of qualifying costs for SMEs, with enhanced support periodically offered for specific priorities. Qualifying costs include external consultancy fees, software and equipment directly tied to the project, and defined internal manpower. Projects must deliver measurable outcomes such as productivity gains, new capabilities or overseas revenue.

Costs, fees and timeline

There is no fee to apply through the Business Grants Portal. Consultants who help scope and write applications typically charge S$3,000 to S$10,000 or a success-based fee; Enterprise Singapore discourages disbursing grant monies to pay for the grant-writing itself. From submission to outcome, allow 8 to 12 weeks for evaluation, and projects then run over an agreed period, often 12 months, with claims reimbursed after milestones and audit. Budget for cash flow, since the company funds costs first and is reimbursed later.

Step-by-step process

Define a project with clear outcomes and a budget. Confirm eligibility, including the 30% local shareholding test. Prepare the proposal and cost breakdown. Submit through the Business Grants Portal. Respond to Enterprise Singapore’s evaluation queries. On approval, execute the project, keep evidence, and submit claims with an auditor’s certification where required.

Common mistakes and gotchas

Applicants frequently submit vague projects lacking measurable outcomes, or apply for costs already incurred, which are not supportable. Others underestimate the documentation and audit burden at the claim stage. Using grant funds to pay the grant consultant is not permitted and can jeopardise the award.

Related guides across the Raffles group

Official references

FAQs

How much does the EDG cover?
Support levels are set by Enterprise Singapore and have historically reached up to 50% of qualifying costs for SMEs, subject to the project and prevailing policy.

What can the grant fund?
Qualifying third-party consultancy, software and equipment tied to the project, and defined internal manpower costs, all linked to measurable outcomes.

Can I claim for money already spent?
Generally no. Costs incurred before approval are not supportable, so approval must precede project spending.

Need help with this? Call, SMS or WhatsApp +65 8501 7133, or email [email protected]. Raffles Corporate Services works with a panel of corporate and employment law firms; this article is general information, not legal advice.