Updates for Singapore Budget 2020

Updates for Singapore Budget 2020 – The Singapore Budget is one of the main things that most businesses will look at when they are running their day to day operations. Being one of the most important events for the business world, the budget will set forth the direction the government is moving towards to allow for more growth and also focus of the nation for the year. This helps all the businesses in Singapore to align with the plans and goals of the country.

Singapore Budget 2020 was an expansionary budget that will allow businesses in Singapore to grow and also to receive the support of the government to tide through this difficult period of Covid-19 slow down due to the loss of one of the core businesses in Singapore which is tourism. With the tourism industry hit, many businesses will suffer the slow down as they are linked to this industry in a way or another. Tourism contributes a big part to Singapore’s gross domestic product and this makes Singapore vulnerable.

Below is a short summary of what are the packages and support that the government will be carrying out to support SMEs and how it will affect us.

The full speech and write up can be found here too: https://www.singaporebudget.gov.sg/budget_2020.

Updates for Singapore Budget 2020
Image rights belong to Ministry of Finance Singapore

Job Support Schemes for employment support

You get back 7% of basic salary for 3 months capped at $3,600 base if you have a local worker between October to Decemeber 2020.

Corporate Tax Rebate

25% off the tax payable for YA2020 (capped at $15,000 per company)

Wage Credit Scheme

Wage increases up to $5,000 for Singapore Citizens will receive 20% support from the scheme

Working Capital Loan

Government will take up 80% of default risk for working capital loans

Quantum for working capital loan to be increased

Bridging Loans for affected industries to be announced

SME Go Digital Programme to be expanded 

Consultancy will be allowed under Pre Approved Solution

Market Readiness Grant extended

MRA will be extended for the cost of setting up overseas

Startup SG Equity fund Top Up

$300 million top up to the fund for help more high tech firms

Skillsfuture for Companies

New grant for SMEs at $10,000

Covers 90% of skills training

Avant Consulting is a Singapore SME Business Financing Consultant that works closely with SMEs in Singapore to assist in Working Capital Loan and Term Loan applications.

We have helped disburse millions of dollars in loans to our SME clients to help them grow their business and also to tide through tough cash flow times.

If you are keen to learn more about how our consultants at Avant Consulting Pte Ltd can help you, we will like to speak to you too.


Updates for Singapore Budget 2020