(Image taken from http://www.singaporebudget.gov.sg/)
Too busy to catch up with the full 2017 Budget Statement? Here are 9 key excerpts of the 2017 Budget that may be relevant to you as an SME
(1) Enhanced Career Support Programme (CSP)
The CSP provides wage support for employers to hire mature and retrenched, or long-term unemployed Singapore Citizen PMETs into mid-level PMET jobs. The CSP will be enhanced, for employers who hire mature PMETs, as well as to help more SMEs to qualify for the support.
For individuals (employees): http://www.wsg.gov.sg/programmes-and-initiatives/wsg-career-support-programme-individuals.html
(2) SME Working Capital Loan
(Image taken from: https://www.spring.gov.sg)
Government co-shares 50 per cent of the default risk for loans of up to $300,000 per SME, available for the next two years.
More information available at: https://www.spring.gov.sg/Growing-Business/Loan/Pages/SME-Working-Capital-Loan.aspx
(3) Corporate Income Tax (CIT) rebate
(Image taken from:http://www.channelnewsasia.com/news/)
Enhanced and extended:
(a) CIT Rebate cap will be raised from $20,000 to $25,000 for YA2017 (with the rebate rate unchanged at 50%); and
(b) CIT Rebate will be extended for another year to YA2018, but at a reduced rate of 20% of tax payable and capped at $10,000 rebate.
More information available at: https://www.iras.gov.sg/irashome/Businesses/Companies/Learning-the-basics-of-Corporate-Income-Tax/Corporate-Tax-Rates--Corporate-Income-Tax-Rebates--Tax-Exemption-Schemes-and-SME-Cash-Grant/
(4) SMEs Go Digital Programme
To help SMEs build digital capabilities, the Info-communications Media Development Authority (IMDA) will work with SPRING and other sector lead agencies.
- SMEs will get step-by-step advice on the technologies to use at each stage of their growth through the sectoral Industry Digital Plans.
- SMEs will get in-person help at SME Centres and a new SME Technology Hub to be set up by IMDA. SMEs can approach business advisors at SME Centres for advice on off-the-shelf technology solutions that are pre-approved for funding support, or connect to Info-communications and Technology (ICT) vendors and consultants. The more digitally advanced firms can get specialist advice from the SME Technology Hub.
- SMEs that are ready to pilot emerging ICT solutions can receive advice and funding support. The government will work with consortiums of large and small firms to help companies adopt impactful, interoperable ICT solutions, to level up whole sectors.
SMEs will be able to use pre-qualified solutions proven to be beneficial for SMEs and get dedicated advice in implementing impactful technologies as well as participate in pilot tech projects for emerging tech solutions. More details of SMEs Go Digital programme will be shared at the Ministry of
Communication (MCI) Committee of Supply (COS) speech in early March 2017. In the meantime, SMEs will continue to receive support through existing channels and solutions in our pre-qualified tech solution lists.
(5) A*STAR Operation and Technology Road-mapping
(Image taken from: https://www.a-star.edu.sg/simtech/Industry/Technology-Upgrade-GET-Up/OTR.aspx)
A*STAR will scale up its Operation and Technology Road-mapping initiative to help local firms develop strategic technology roadmaps that are aligned to their business goals and strategies. It will build up capacity to support 400 companies over the next four years, by partnering Trade Associations and Chambers such as the Singapore Manufacturing Federation and Singapore Precision Engineering and Technology Association.
More information available at:
(6) International Partnership Fund
To support Singapore-based firms to scale up and internationalise, the Government will set aside up to $600 million for the International Partnership Fund. The Fund will co-invest alongside Singapore-based firms in opportunities for scale-up and internationalisation, with a focus on Asian markets. Such joint investment would allow Singapore-based firms to partner other promising Asian companies to extend product lines, brands or value chains, or to gain access to markets, channels and technologies. Qualifying Singapore-based firms should be headquartered in Singapore with annual revenues of no higher than $800 million.
(7) SkillsFuture Leadership Development Initiative
Support for companies to groom Singaporean leaders by expanding leadership development programmes. This includes sending promising individuals on specialised courses and overseas postings. For a start, the programme will target to develop 800 potential leaders over the next three years.
More information available at: http://www.skillsfuture.sg/leadershipdevelopment
(8) Global Innovation Alliance
The Global Innovation Alliance (a novel collaboration among our educational institutions, economic agencies and businesses) will enable Singaporeans to gain overseas experience, build networks, and collaborate with their counterparts in other innovative cities.
Establish Innovation Launchpads in selected overseas markets. These create opportunities for entrepreneurs and business owners to connect with mentors, investors and service providers.
Through Welcome Centres, innovative foreign companies can also link up with Singapore partners to co-innovate, test new products in Singapore, and expand in the region.
Initial launch will be in Beijing, San Francisco and various ASEAN cities
(9) Industry Transformation Maps
(Image taken from:https://www.mti.gov.sg)
Under the S$4.5 billion Industry Transformation Programme, roadmaps will be developed for 23 industries to address issues within each industry and deepen partnerships between Government, firms, industries, trade associations and chambers. Six has been launched so far, and the remaining 17(Including financial services) will be launched in FY2017.
More information available at: https://www.mti.gov.sg/MTIInsights/Pages/ITM.aspx?gclid=CJv1jaLtr9ICFRJvvAodRpMHsg