Starting your business right in Singapore: Raising Capital for your Business.

"When starting out, ensure your business has adequate capital for growth." - Sudhir Ruparella

Consider whether you want to raise debt or equity when running or starting a business

Entrepreneurship and capitalising opportunities go together. Starting a business requires money that you likely won’t have right away. This is why you need to seek out ways to acquire capital. Most entrepreneurs incorporate a business with limited amount of capital. However, there are plenty of options available for you in your effort to raise capital. Opening your business to investors, partnerships and venture capitalists will also be potential assets towards raising capital for your business. There are also opportunities for you to apply for grants and loans through governmental bodies and business professionals like us.

Know Your Debts

(1) You are borrowing money to start your business

(2) You pay interest

(3) Debt holders have no ownership in your business

In Debt financing as a business owner, you can apply for a business loan from a bank or receive a personal loan from other parties or lenders, all of which you must pay back. The advantages of debt financing are bountiful. First, the lender has no control over your business. Once you pay back your loan, your relationship with the financier ends. Second, the interest you pay is tax-deductible. Third, it is easy to forecast expenses as loan payments do not fluctuate.

Know Your Equity

(1) Obtaining investment into your company to start your business

(2) You pay shareholders a dividend

(3) Shareholders own a part of your business, i.e. you give up ownership

In Equity financing, it is very similar to debt financing, just that it involves investors. You could offer shares of your company to anyone you deep necessary and other small investors. However, equity financing often involves venture capitalists or angel investors, who provide capital for your business start-up, usually in exchange for convertible debt or ownership equity. The advantage of equity financing is that the investor holds all of the risks. If your company fails, you do not have to pay the money back. You will in fact have more cash available because there are no loan payments. Furthermore, investors take a long-term stand and are able to give you time to grow your business. The disadvantage, however, is that equity ownership is usually more expensive – You may be required to pay a yearly dividend to your shareholders.

Looking into an infusion of capital, be it debt or equity, from private or institutional sources can drive your business to greater heights. There are various financing methods you may opt for, but do take note of the benefits and costs involved.

As someone starting out, you don’t need to know all the answers, don’t be afraid to ask questions, there’s a lot of free quality resources and friendly professionals in Singapore.

Lilia Pritchard


Starting a company in Singapore - Learn about the grants you may be able to tap on to fuel your business.

"The secret of getting ahead, is getting started." - Mark Twain

What is the business scene in Singapore?

Small and medium-sized enterprises (SMEs) have grown to be an increasingly significant contributor to Singapore’s economy. In fact, in 2020 alone, 70% of employment in Singapore was fuelled by SMEs; 43% of the $428 billion nominal value added also had come from SMEs.  

Thus, it makes sense that in the light of the COVID-19 pandemic casting a shadow over the economy, the government has put in place a plethora of schemes especially targeting the SME sector, such that businesses get all the support they need. If you are a SME business owner, you may find the following overview useful!

Find out about the 7 grants that are game-changing for your business.

1. The Temporary Bridging Loan Program (TBLP)

Source: Enterprise Singapore

The Temporary Bridging Loan Program (TBLP) has been further extended for 6 months, from 1 October 2021 to 31 March 2022. 

TBLP aims to provide access to working capital for SMEs’ business needs. 

Key points  

  • Before TBL Program, corporate SME loans’ interest rates averaged between 5-8% p.a. The current TBL Program offers interest rate capped at 5% per annum (p.a.), and averages about 2.75-4.5% p.a. (simple rate). This means that for every $100 you borrow, you only need to pay on average $2.75 to $4.50 in interest.  
  • Last day to apply: 30 September 2021 
  • Maximum loan quantum is S$3 million per borrower. An overall borrower group is subject to a higher limit of S$20 million.  

The maximum repayment period is 3 to 5 years.  

What can I use TBLP for?  

  • Immediate expenses, such as if any of your equipment suffers from an unexpected breakdown  
  • Interim business expenses while your company is seeking other long-term financing 
  • Alleviate any cash flow difficulties 
  • Fund expansion plans, e.g, relocating to a new office

Am I eligible?  

  1. Be a business entity that is registered and physically present in Singapore
  2. At least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership 

How to apply?  

  1. Approach PFIs: : SMEs may first approach any Participating Financial Institutions (PFIs) to apply for the loan (subject to banks’ credit approval). Refer to the list here for which PFIs you may approach.  
  2. Approach Loan brokers: Tap on our experiences and network in helping SMEs get loans. (insert link to why should businesses get loan brokers). 

NOTE: You’ll be happy to hear that Tisch Global has helped many of our clients apply successfully for the TBLP. Additionally, some banks do offer preferential rates for existing clients. Drop us an email at to enquire about your loan application needs. 

2. P-Max

P-Max is a Place-and-Train (PnT) programme under Workforce Singapore (WSG) that aims to help SMEs in terms of human resources and help job-seeking PMETs into suitable SME jobs.  

  • Hiring SMEs can enjoy up to 90% course fee subsidy for PMET, SME training workshops and Age Management workshop (applicable for P-Max for Older Worker only). 
  • Eligible SMEs will receive a one-time $5,000 Assistance Grant or $10,000 Assistance Grant (P-Max for Older Workers only) upon completion of the Programme and six-month retention of the newly hired PMET(s). 


  • Companies registered or incorporated in Singapore; 
  • Employment of not more than 200; OR Annual sales turnover of not more than S$100 million; 
  • At least 30% local shareholding being held by Singapore Citizen or Singapore Permanent Resident 
  • Hired a PMET within the last three months (i.e. 90 days) prior to enrolment into programme, offering a gross monthly salary of at least $2,500 

How to apply?  

Indicate your interest for the P-Max Programme by filling up the form, via the link provided in the P-Max Factsheet, available on the Workforce Singapore website.  Alternatively, contact the P-Max Programme Managers. Their contact details are available in the above-mentioned factsheet as well.

Learn more about the P-Max Programme here.  

3. Productivity Solutions Grant (PSG)

The PSG supports SMEs in adopting IT solutions and equipment to enhance their business processes in Singapore’s bid to progress towards a truly Smart Nation.  

Key points  

  • These solutions offered range from cloud accounting to financial management and inventory tracking. One example is the popularized use of QuickBooks, a cloud accounting software.  
  • The list of readily adoptable solutions can be found on GoBusiness Gov Assist. Applicants should consider their business needs to select the relevant and right-sized PSG support packages.  


  1. Registered and operating in Singapore 
  2. Purchase/lease/subscription of the IT solutions or equipment must be used in Singapore 
  3. Have a minimum of 30% local shareholding; with Company’s Group annual sales turnover less than S$100 million, OR less than 200 employees (for selected solutions only) 

How to apply?  

  1. Visit GoBusiness Gov Assist to access the list of supportable solutions and identify relevant solutions that best suit your business needs. 
  2. For IT solutions: Get a quotation from the pre-approved vendor. 
  3. For equipment: Source for the equipment and get a quotation from the vendor 
  4. Submit an application on the Business Grants Portal (BGP). You will need to register for a CorpPass account to transact on the portal.  

Facing difficulties in applying for PSG? Not to worry. As Tisch Global has helped many of our clients with their PSG applications successfully, simply contact us at for assistance!  

Learn more about PSG here.  

4. Enterprise Development Grant (EDG)

The EDG offers support to projects that help SME owners upgrade their business, innovate or venture overseas, under the 3 pillars: Core Capabilities, Innovation and Productivity, Market Access.  

What is more – as part of Budget 2021, the enhanced maximum support level of up to 80% for the EDG has been extended from 30 September 2021 to 31 March 2022!   

What can I use EDG for?  

EDG may fund project costs, such as third party consultancy fees, software and equipment and internal manpower costs. Specifically, in alignment with each Pillar mentioned above:  

  • Core Capabilities: Business strategy development, financial management, human capital development, service excellence, and strategic brand and marketing development. 
  • Innovation and Productivity: Automation, process redesign, and product development. 
  • Market Access: Mergers and Acquisitions (M&A), pilot project and test bedding, and standards adoption. 


  1. Be registered and operating in Singapore 
  2. Have a minimum of 30% local shareholding 
  3. Be in a financially viable position to start and complete the project 

How to apply?  

  1. Identify the key project category you wish to apply for. 
  2. If you need help in scoping your project, you may approach the SME Centres to discuss your project.  
  3. Identify suitable providers to support your project. For companies applying for consultancy-related costs, be sure to engage management consultants with Enterprise Singapore-recognised certification. In fact, as a registered Management Consultant, we have  the expertise in assisting clients with this aspect. Do drop us an email at for enquiries.  
  4. Consultant to prepare project proposal.  
  5. Prepare documents required in the EDG Application Checklist here.  
  6. Complete application.  

Learn more about the EDG here.

5. Wage Credit Scheme (WCS)

The WCS, introduced in Budget 2013 and meant to continue until 2020 initially, has been extended by one more year to 2021 as announced in Budget 2021.  

Key points 

  • To help SMEs cope with rising wage costs in today’s tight labour market, WCS aims to allow businesses to make investments in their productivity.  
  • WCS 2021 offers government co-funding ratio at 15% and the qualifying gross wage ceiling at $5000. 

Who qualifies for WCS?  

Employers giving wage increases to employees who:  

  • Received CPF contributions from a single employer for at least 3 calendar months in the preceding year; 
  • Have been on the employer’s payroll for at least 3 calendar months in the qualifying year (i.e. employer must have paid employee CPF contributions for at least three calendar months in qualifying year); and 
  • Have at least $50 gross monthly wage increase (up to the Gross Monthly Wage ceiling) 
  • Must not also be the business owner of the same entity (i.e. sole proprietor of the sole proprietorship, or a partner of the partnership, or both a shareholder and director of a company) 

Learn more about this scheme and whether your business is eligible here.

6. Start Digital Pack

Also part of IMDA’s ‘SMEs Go Digital’ programme, the Start Digital Pack contains foundational and easy-to-deploy digital solutions, which has since been enhanced to include digital collaboration tools that enable remote working (increasingly important in the current COVID-19 climate) digital marketing and integrated digital utilities like e-invoicing and e-payment.  

SMEs can apply for any 2 solutions, at no cost for at least 6 months with a minimum 18-month period contract.  

Solutions that Start Digital Pack offers  

  • Category 1: Accounting Solutions, e.g. QuickBooks  
  • Category 2: HR Management System & Payroll Solutions, e.g. DashBod HR 
  • Category 3: Digital Marketing Solutions, e.g. MailChimp  
  • Category 4: Digital Transactions Solutions, e.g. Shopify  


  1. Have at least 30 percent local shareholding; 
  2. Have annual revenue of not more than S$100 million or have fewer than 200 employees, at group level; and 
  3. Have not taken up solutions under Start Digital before. 

How to apply? 

  1. Approach any Start Digital Partner for more details and to sign up.  
  2. If you wish to adopt an accounting solution such as QuickBooks, drop us an email at to enquire.    

Learn more about the Start Digital Pack at IMDA’s page.

7. Industry Digital Plans

As part of Infocomm Media Development Authority (IMDA)’s ‘SMEs Go Digital’ programme, Industry Digital Plans aims to offer SMEs support in adopting digital technologies, regardless of which stage they are in on the digitalisation journey.  

Key points  

  • IDP provides SMEs with an easy-to-use, step-by-step guide on the digital solutions to adopt at each stage of growth.  
  • IDP also offers training programmes to enhance SMEs’ employees’ digital skills. 

Which sectors is IDP applicable to?  

  • Accountancy  
  • Construction and Facilities Management 
  • Environmental Services 
  • Food Manufacturing 
  • Food Services 
  • Hotel  
  • Land transport  
  • Logistics  
  • Retail  
  • For the full list, do refer to the IMDA page on IDP.   

Learn more about IDP here.  

Refer to our Ultimate Guide to SME schemes in Singapore here.

How we helped

At Tisch Global, we are professionals of over 30 combined years in anything Accounting and Finance. Being your modern business advising firm, we bring the best-in-class knowledge and tools to support the startup, growth and maturity of businesses in the many industries throughout Singapore.

We are your growth partners at different business stages:

If you are a Young StartUp, let us materialise your vision.

If you are a Fast-Growing Small Business, let us support your business goals.

If you are a Mature SME, let us give you that competitive edge.

How we helped

At Tisch Global, we are professionals of over 30 combined years in anything Accounting and Finance. Being your modern business advising firm, we bring the best-in-class knowledge and tools to support the startup, growth and maturity of businesses in the many industries throughout Singapore.

We are your growth partners at different business stages:

If you are a Young StartUp, let us materialise your vision.

If you are a Fast-Growing Small Business, let us support your business goals.

If you are a Mature SME, let us give you that competitive edge.

Written by, Sai Prema | Starting Your Business Right | 08 June, 2022 | #TGInsights