What You Need to Know About PSG
Technology has taken up most part of our lives. Working from home has been more common than ever, since the pandemic of COVID-19. Being able to keep track of your businesses online using smartphones or any other devices is now possible with all the online cloud systems available in the market. With that, the Singapore government encourages SMEs in Singapore to adopt IT solutions and equipment for their businesses by introducing the Productivity Solutions Grant which has up to 80% funding support.
What is Productivity solutions grant (PSG)?
PSG serves as an avenue to companies who are keen on adopting IT solutions in long-term technology investments in a way to enhance their business processes. The PSG supports sectors including retail, finance, logistics, engineering, food and landscaping industries. According to the Supplementary Budget 2020, PSG will be further enhanced with the maximum funding support up to 80% from 1 April 2020 to 31 December 2020.
How will PSG benefit your company?
With PSG, we believe that SMEs can now improve their company’s performance by reducing the hassle of traditional paperwork and move towards technology which can simplify business processes. SMEs are able to maximize their marketing strategy through social media marketing, online marketing and search engine optimization (SEO), to build the foundation of the website and optimize on-page content. Your company is your brand. It is important for companies to have an escalating marketing strategy which is resistant in unlimited duration.
In addition, SMEs would be able to also utilize cloud base software systems to operate their businesses to keep track of their available inventories and account balances.
Since that the pandemic has created a situation whereby it requires people to stay home, online marketing campaigns and events have set the new trend. If a company is already fully utilizing IT solutions and equipment, they are able to make do with what they have to adapt with the current situation.
Is your company eligible for PSG?
SMEs that are interested in applying for the PSG must be registered and operating in Singapore. Hence, the purchase, lease, or subscription of the IT solutions or equipment must only be used in Singapore as well. Companies must also have a minimum of 30% local shareholding with the company’s group annual sales turnover of less than S$100 million or less than 200 employers.
Process of PSG
SMEs could visit the GoBusiness Gov Assist website (https://govassist.gobusiness.gov.sg/) for a detailed step-by-step guidance. Next, SMEs have to obtain a quotation from the pre-approved vendor in order to provide the details needed when submitting the application to BGP.
Submitting an application to BGP:
- Login into The Business Grants Portal
- Select business sector and grant type
- Verification of your eligibility status
- Fill in details of the contact person
- Submit your proposal and fill in details of equipment/IT solution
- Provide details of the project cost
- Answer questions on potential business impact
- Review of declarations and acknowledgement