PSG Grant 2025: Updated Funding, Eligibility & New GenAI Support

The PSG Grant continues to be one of those rare government schemes that actually make day-to-day business life easier. If you run an SME anywhere from Jurong East to Pasir Ris, you’ve probably felt the squeeze from higher operating costs, pricier manpower, and the never-ending push to go digital.

That’s why many business owners still look to the PSG Grant 2025. It keeps things simple: up to 50% support, a S$30,000 annual cap, and a growing list of digital tools—including GenAI solutions—that help you work smarter without blowing your budget.

PSG Grant 2025

Category	Details
Funding Level	Up to 50% support, capped at S$30,000
Who Can Apply	SMEs with 30% local ownership, turnover < S$100M OR staff < 200
New for 2025	GenAI tools for marketing, sales & customer engagement
Application Platform	Business Grants Portal (BGP) using CorpPass
Disbursement	PayNow Corporate (~14 working days) or GIRO (up to 8 weeks)

Who Can Apply for the PSG Grant in 2025?

Eligibility stays friendly for most local SMEs.
Your business must be:

• Registered and operating in Singapore
• At least 30% locally owned (Singapore Citizens or PRs)

And you must also meet one of these:

• Annual turnover under S$100 million, or
• Employment size below 200 staff

A reminder many owners overlook:
You cannot sign any contract or make payment before approval.
If you do, the application is automatically void.

The solution must also be deployed in Singapore and purchased from a GoBusiness-listed vendor.

Organisations Not Eligible for PSG

The grant is designed for commercial enterprises, so a few groups are excluded:

• Charities
• IPCs
• Religious organisations
• VWOs
• Government agencies
• Societies

The idea is to channel resources toward business productivity, not community activities.

Understanding the 30% Local Shareholding Rule

This rule trips up more SMEs than you’d expect.

Local shareholding can be direct or indirect. Authorities look at the ultimate ownership, not just the immediate shareholder list.
As long as Singaporeans or PRs hold 30% control, you’re good to go.

Consultancy Services: Updated Rules for 2025

Consultancy funding has clearer requirements this year. Your company must have at least three local employees at the time of application.

Funding breakdown:

• SMEs: Up to 50% support
• Non-SMEs: Up to 30% support
• Funding cap: S$40,262.41 per enterprise

Applications follow your UEN, and you may submit multiple requests as long as you don’t exceed the cap.
Remember: PSG works on reimbursement. You complete the work first, then file your claim.

What the PSG Grant Supports

PSG covers a wide range of digital tools that help reduce manual work and boost efficiency.

Generic Solutions (All Industries)

These are popular across almost every sector:

• HR systems
• Accounting tools
• Cybersecurity
• Document management & workflow software
• ERP and standalone systems

Sector-Specific Solutions

Designed for industries like retail, F&B, logistics, and more:

• POS systems
• Fleet management
• Restaurant management systems

Small operators—especially heartland shops and hawkers—tend to rely heavily on these.

Most Popular Categories for SMEs

Every year, the same categories dominate:

• IT automation equipment
• HR management systems
• POS solutions
• Cybersecurity tools
• Document and workflow systems
• Fleet management tools

Digital Marketing Support: Still a Favourites

PSG-supported digital marketing packages remain a lifesaver for SMEs trying to stay visible online.

These pre-approved bundles typically include:

• SEO
• SEM
• Social media marketing
• Content creation

With 50% funding, many businesses can finally afford proper digital outreach without blowing their cash flow.

New GenAI Solutions in PSG 2025

Here’s where things get exciting.

For the first time, PSG supports GenAI-driven tools—everything from marketing automation to sales workflows and customer engagement.

These tools were tested under EnterpriseSG and IMDA’s GenAI Sandbox, and now qualify for up to 50% support.
For SMEs, this means you can try modern AI capabilities without risking a huge upfront investment.

How to Apply for the PSG Grant

Step 1: Choose a Pre-Approved Solution

Browse the GoBusiness Gov Assist portal and shortlist tools that fit your needs.

Step 2: Request a Quotation

Get an official quote from a pre-approved vendor.
Do not sign or pay anything yet.

Step 3: Prepare Your Documents

Common documents include:

• Latest ACRA profile
• Three years of financial statements
• Deployment details
• Relevant licences, if any

Step 4: Submit via the Business Grants Portal

Log in with CorpPass and submit.
Processing typically takes 4–6 weeks.

Step 5: Accept the Letter of Offer

Only users with Acceptor rights can do this.

Step 6: Deploy and File Your Claims

Use the solution for at least 30 days, then submit invoices, proof of payment, and usage evidence.

What Happens After You Apply?

Most approvals come in around six weeks, though peak periods may take longer.

Once claims are approved:

• PayNow Corporate: ~14 working days
• GIRO: Up to 8 weeks

Most businesses say PayNow Corporate makes a noticeable difference.

Common Issues That Slow Down Approval

These hiccups are more common than you’d think:

• Missing documents
• Payments made before approval
• Slow responses to assessors
• Late claim submissions

A bit of discipline goes a long way.

Why the PSG Grant Still Matters in 2025

In a year where hawker meals, office rents, and manpower costs keep inching up, the PSG Grant remains one of the most dependable ways for SMEs to lighten the load.

From kopitiam owners upgrading their POS systems to logistics firms improving fleet tracking, the grant helps businesses stay competitive without burning a hole in their budgets.

And now with GenAI support, SMEs can tap into tools that were once only available to big corporations.