EDG + SFEC Explained: What a $10,000 Software Project Actually Costs a Singapore SME in 2026

Digitizing your business usually stalls at one number: the invoice. A proper system, whether it is a custom build or an off the shelf tool, costs money up front, and a lot of small business owners quietly shelve the project once they see the quote.

What often gets missed is how much of that quote the government is already willing to cover, and how little most owners understand about stacking two schemes together properly. This guide walks through the Enterprise Development Grant (EDG) and SkillsFuture Enterprise Credit (SFEC) in plain terms, with a worked example on a $10,000 software project, so you can see the real number before deciding a project is out of reach.

What the Enterprise Development Grant Actually Covers

EDG is administered by Enterprise Singapore and it is a co-funding scheme, not free money. As of 2026, the standard support level is 50 percent of qualifying costs for SMEs, and 30 percent for non-SMEs. There was an enhanced 70 percent rate for sustainability related projects, but that expired at the end of March 2026, so 50 percent is the number to plan around for most transformation, automation, or digitalisation work.

Qualifying costs typically include third party consultancy fees, software, equipment, and some internal manpower cost tied directly to the project. It runs on a reimbursement basis: you pay the vendor first, then submit claims as milestones are completed and verified, and Enterprise Singapore reimburses the approved portion afterward. There is no fixed project cap, projects range from a few tens of thousands of dollars to well over a million, and each one is assessed on its own scope and outcomes rather than against a fixed schedule.

One thing worth flagging for later in 2026: Enterprise Singapore has announced plans to fold EDG, together with the Productivity Solutions Grant (PSG) and Market Readiness Assistance (MRA), into a single consolidated scheme called EDGE. If you are planning a project, it is worth checking the current status before assuming today's rules still apply.

Who Qualifies

Broadly: a Singapore registered company with at least 30 percent local equity held by Singaporeans and/or Singapore PRs, financially ready to start and complete the project, and the project must not have already started before approval is granted. Management consultancy costs specifically require a TR 43 or SS 680 certified consultant. Software and technical vendor costs do not carry that requirement.

What SkillsFuture Enterprise Credit Adds on Top

SFEC is a separate, one off $10,000 credit. You do not apply for it. If your company was assessed as eligible, based on past CPF contribution and headcount criteria, Enterprise Singapore already notified your Corppass administrator, and the credit is sitting in your Business Grants Portal and SkillsFuture for Business accounts right now, waiting to be used.

Where it gets useful is that SFEC can cover up to 90 percent of your remaining out of pocket cost, after EDG or PSG has already paid its share, on top of the underlying grant. It is not a discount on the full project. It is a second layer that eats into what EDG left behind. According to Enterprise Singapore, current SFEC support is set to expire on 30 November 2026, after which unused credit will not carry forward, and a new digital wallet scheme is expected to replace it.

Worked Example: A $10,000 Software Project

Here is how the math plays out on a straightforward $10,000 project, assuming standard EDG support and an eligible SFEC balance.

One extra cost worth planning for: for a project this size, EDG requires an independent audit of the qualifying costs before your final claim gets paid out. That audit typically runs about $1,800, and it counts as a qualifying cost itself, so it gets the same 50 percent EDG co-funding.

That is roughly 5 percent of the total cost, audit fee included. The exact figures on any real project will depend on how the grant assessor scopes your costs and whether your company's SFEC balance is still intact, but the shape of this math holds for a lot of small transformation projects.

Where This Fits If You Are Building or Buying Software

If what your business needs is a fully custom system, tailored workflows, integrations across multiple functions, something built specifically around how you operate, that is exactly the kind of project EDG is designed for, usually under its Innovation and Productivity pillar. It is worth going through the grant process for a build like that.

If what you actually need is standard back office functionality, bookkeeping, payroll, invoicing, receipt scanning, that is a different situation. app.kevinchia.sg already covers all of that for Singapore micro businesses at a flat SGD 365 a year, about a dollar a day, with no per-user or per-scan limits. For a lot of small business owners, the admin overhead of a grant application costs more time than the subscription itself, so it is worth weighing whether you actually need the custom route before committing to it.

FAQ

How much of my project does EDG actually pay for in 2026?

The standard support level is 50 percent of qualifying costs for SMEs. There was a temporary 70 percent rate for sustainability projects, but that expired on 31 March 2026.

Can I use SFEC if I was never notified about it?

No. SFEC eligibility was determined by Enterprise Singapore based on past criteria and companies were notified directly. There is no fresh application. You can check your balance, or confirm you have none, by logging into the Business Grants Portal with Corppass.

Does EDG cover an app.kevinchia.sg subscription?

EDG is built for custom, tailored transformation projects assessed on their own scope, not for buying an existing off the shelf subscription outright. A standard SaaS subscription like app.kevinchia.sg typically is not the kind of cost EDG is meant to fund.

How long does EDG approval usually take?

Processing commonly runs 8 to 12 weeks from a complete application, though this varies with project complexity and how quickly supporting documents are provided.

What happens to unused SFEC credit after the deadline?

Based on current guidance, unused SFEC credit does not carry forward past its expiry and a redesigned scheme, expected to run as a digital wallet, is set to take its place from the second half of 2026.

Start With the Cheaper Route First

Before spending weeks on a grant application, it is worth checking whether a standard back office tool already solves the problem. app.kevinchia.sg is built specifically for Singapore micro businesses, bookkeeping, payroll, invoicing, and receipt scanning in one place, no grant paperwork required.