Over 60% of Businesses Used Government Support in 2025: Here’s What’s Available for You

If you’re running a small business in Singapore, you’re likely no stranger to rising costs, tighter margins, and the push to digitise. This year, more than 60% of businesses have leaned on government support to ease that pressure—and for good reason.

These schemes aren’t just short-term solutions. They’re long-term tools that help business owners operate more efficiently, invest with confidence, and scale sustainably. But as with anything involving funding, eligibility, and paperwork—knowing what to prepare is half the battle.

Why Tapping into Government Support Makes Business Sense

Government assistance in 2025 is designed to reward good planning. Businesses that keep their financial records up to date, monitor their cost structures, and manage cash flow carefully are typically in the best position to benefit.

Whether you’re upgrading systems, hiring staff, or preparing to expand abroad, the right documentation—and financial clarity—can open doors.

Grants and Incentives Available in 2025

1. Enterprise Development Grant (EDG)

This grant supports business improvement, innovation, and market expansion efforts.

  • Funding: Up to 50% of qualifying project costs for SMEs
  • Covers: Consultancy, process automation, sustainability projects, and internationalisation
  • What’s new: Faster processing for projects under S$100,000 and added emphasis on green business practices

2. Productivity Solutions Grant (PSG)

Helps businesses adopt ready-to-use technology tools to increase operational efficiency.

  • Funding: Up to 70% of approved solution costs
  • Applies to: Common business functions like finance, HR, and inventory
  • Good to know: Clear records and documented processes strengthen your application

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3. Skills Future Enterprise Credit (SFEC)

Encourages businesses to invest in employee development and job redesign.

  • Top-up support: Additional 90% funding on qualifying programmes
  • Eligibility: Minimum of three local staff on CPF over the past year
  • Ideal for: Businesses building internal capability and looking to adapt job scopes

4. Market Readiness Assistance (MRA) Grant

Designed to help SMEs take their products or services to overseas markets.

  • Funding: Up to 70% of eligible expenses
  • Cap: S$100,000 per market, per year
  • Useful for: Overseas business development, promotional activities, and setup costs

5. Energy Efficiency Grant (EEG)

Supports energy-saving investments, particularly in cost-heavy industries.

  • Base tier: Up to S$30,000 for pre-approved energy-efficient equipment
  • Advanced tier: Higher support for large-scale sustainability efforts
  • Sectors covered: Retail, food services, and manufacturing

Corporate Income Tax Rebate (Announced in Budget 2025)

A 50% corporate income tax rebate—capped at S$40,000—is being offered for the Year of Assessment 2025.

Even companies with low taxable income will benefit, as a minimum S$2,000 cash grant is being offered to active businesses that employed at least one local staff member in 2024.

Making Support Work for You

Securing grants often comes down to preparation—particularly having a clear financial picture. Accurate revenue tracking, cost reporting, and forward planning all play a role in demonstrating eligibility and project feasibility.

Many of these schemes require proof of business viability, well-organised financials, and records that show where funds will be used. That’s why having robust systems in place is just as important as finding the right grant.

Summary

Government support in 2025 isn’t just about weathering challenges. It’s about creating space to grow—smarter, faster, and with lower risk. With more than half of local businesses already tapping into these schemes, the opportunity is there. If your business is already planning upgrades, hiring, or overseas expansion, it may be worth looking into which programmes can help stretch your resources further.

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