As a business owner you have a large responsibility towards your country, especially in Singapore. The country is now starting to release their annual budget for small and medium enterprises (SMEs). In order to make sure that your business takes advantage of the funding that is available to you, you will have to learn about the different ways SMEs can tap into the 2016 budget.
1. Research Business Grants
Most of the time it can be relatively impossible for small business owners to get the cash needed to start a business, particularly if you don’t look into business grants. Take the time to visit the Business Grants Portal, which is a new addition to the Singaporean government that allows business owners to see the different leverage schemes to help expand and support their businesses.
2. Access to Better Funding
It can also be difficult to be approved for the funding that you need for your business. If you research the SME Working Capital Loan, you’ll learn about how you might qualify for up to $300,000 for your new business. It’s also important to note that the Singaporean government is willing to take 50% of the risk away from the loans if you find a financial institution enrolled in the program.
3. Take Advantage of Automation
The government in Singapore is quite interested in businesses that want to become innovators in the country, which is why they have established the Automation Support Package. If your business is interested in starting an automation project, you can get up to 50% worth of grants to cover your project costs and the government will take 70% of the risk with your loan.
4. Look at the Expenditure Plans
The most important thing that you need to do is take a look at how the government is dividing their budget for small and medium businesses interested in getting funding to either start or expand their company. This can give you a clear idea of the amount of money that you might be able to get your hands on. For example, the government is lowering the Productivity and Innovation Credit to 40% from 60% this year.
5. Tax Deductions
If your business is the type of business that spends money on hotels, airfare, and hiring employees in other countries, you might be applicable to receive the Double Tax Deduction (DTD). This great opportunity gives businesses the ability to claim 200% of their expenses, as long as they qualify for the program. You will be able to use the DTD up to 2020 and you can claim expenses up to $100,000. You’ll need to take the time to keep track of your international expenses in order to claim these deductibles.
6. Volunteering is Key
As another great way to take advantage of tax deductions, you can always sign your employees up to provide volunteering services. This can give you the ability to get 150% off of your taxes at the end of the year, with a cap of $250,000. This is available until 2018 and is part of the IPC (Institution of Public Character) scheme.
About the Author
Morris Edwards is a content writer at A1 Business Pvt.Ltd, he writes different articles related to Doing Business in Singapore. A1corp.com.sg offers Singapore Virtual Office address and Company Incorporation.
