Maximum investment under Startup SG Equity Scheme doubles

Startups under the scheme can now get up to $8m.

Startups under the Startup SG Equity Scheme can now receive up to $8m, double the amount from the previous $4m cap, according to a speech by senior minister of state for trade and industry Koh Poh Koon.

He mentioned that he aims to further aid deeptech startups in the areas of pharmaceuticals, biotech and medtech, advanced manufacturing and agri-food tech. This follows after the government announced in the Budget 2020 that they will top up $300m to the scheme.

Koh added that a portion of the allocated $300m will go to global venture capital firms (VCs) through a new “fund-of-funds” approach, to attract more investors into Singapore’s startup scene.

“To encourage funds and fund managers to invest a larger proportion of their funds in Singapore-based startups, we will also extend the relevant tax incentives by five years,” he added.

In addition, Koh plans to launch a new SIMTECH Innovation Factory in Jurong Innovation District. It will be a coworking space that focuses on equipment design, medtech devices, and electromechanical modules.

“It will be equipped with the necessary tools for companies to prototype their designs, and will have resident design and technology experts to help companies through their innovation journey. This is very useful for SMEs who do not have the scale or technical capabilities to do this on their own,” Koh said.

These firms may also access one of the two A*STAR model factory facilities for pilot production.