In the past few years Singaporean government had introduced several cash grants, tax incentives and incentives to provide funding for the medium and small enterprises. These grants were developed to project Singapore as a friendly nation that was startup.
How Do Governmental Grants Assist SME
The SMEs are helped by the government grants in improving and improving on these five factors, which interfere in the productive and financial development of the SME’s.
- Transforming Business
- Encouraging Productivity and Innovation
- Helping SME to Run Globally
- Nurturing Talent
- Important Consultancy at Different Stages
Importance of the Governmental Grant
- Government Grant aims to boost the assistance so as to transform their businesses and even allow them to overcome some of the challenges.
- Government Grants help in boosting innovation and the productivity. The government had introduced the PIC Bonus for sme insurance requirements for accomplishing such purpose.
The PIC Scheme is an advanced version of the present Productivity and Innovation Credit (PIC) Scheme, which was introduced in the funding of 2014 from the Singapore government. Under this, companies are expected to invest a minimum of $5000 in productivity and innovation activities within a year to be given a cash bonus, which would be equal to the amount. The PIC Bonus will be capped at $15000 over the 3 decades of evaluation. The bonus could be paid over and above the PIC benefits. This Scheme is thought to assist the SMEs to release the price of executing their productivity improvements.
Some of the other Important Features of Government Grants
- The Government Grants are excellent at improving the support for the SMEs in the regions of capacity, innovation and productivity upgrading. Government grants assist SMEs in restructuring their organization in addition to fostering their capabilities and at the same time remaining competitive in today’s business sphere.
- Government encourages the business collaboration for productivity improvements in a variety of fields.