1. What is SME Digitalisation Initiative?
The Ministry of Finance is now giving grants to SMEs to encourage more local businesses to digitalise daily operations. By going digital, SMEs can optimise processes, increase efficiency of business operations and easily reach target markets.
2. What is the SME Digitalisation Grant?
➥ This grant is provided by the Government for a period of 5 years starting from 17th February 2020. This is limited to the first 100,000 SMEs applying to upgrade their systems.
➥ The Government will provide a grant amounting up to 50% or a maximum of RM5,000 from the total invoice amount per company.
➥ This grant is limited to 1 application per SME only. However, SMEs are allowed to apply up to 3 digitalisation services with 1 or more service providers that is endorsed by the Malaysia Digital Economy Corporation (MDEC).
Key Digitalisation Services:
→ Electronic Point of Sales (e-POS) System
→ Human Resource Payroll System / Customer Relationship Management
→ Digital Marketing / Sales
→ Procurement
→ Enterprise Resource Planning / Accounting & Tax
→ E-Commerce
→ Remote Working
3. Who is eligible to apply?
➥ The Company is at least 60% owned by Malaysians.
➥ The Company is registered under the relevant laws of Malaysia.
➥ The Company has been in operation for at least 1 year.
➥ For companies which has been in operation for 1 year, the Company is required to have a minimum annual sales turnover of RM100,000 for the first year.
➥ For companies which has been in operation for 2 years or more, the Company is required to have a minimum annual sales turnover of RM50,000 for the preceding 2 consecutive years.
➥ Are you qualified for SME Digitalisation Grant? Check Now
4. How to apply?
➥ The Company must contact and appoint one or more panel of Service Providers listed by MDEC to perform any of the digitalisation services available (maximum of 3 services).
➥ The Company must complete and submit the Application form together with the required supporting documents (refer below) to any of the Bank’s branches. Appointment of any third party for collection and submission of application forms is not allowed. The bank application process takes 15 working days.
➥ Once the application is approved, the Company is responsible to pay the difference of the total invoice after deducting the subsidised amount granted from the Initiative and to provide proof of payment to any of the Bank’s branches.
➥ After proof of payment is provided, subject to the total invoice amount, the Bank will make a direct 50% payment of the total invoice amount or up to RM 5,000 to the Service Provider in one lump sum payment or in stages based on the Bank’s discretion.
5. What documents are required for the application?
➥ The Company must contact and appoint one or more panel of Service Providers listed by MDEC to perform any of the digitalisation services available (maximum of 3 services).
➥ Copy of Identity Card or Passport of Director (s) / Partner (s) / Proprietor(s), whichever is applicable.
➥ Copy of business registration licenses (CCM, Form A/B, Form 24 & 49 and M&A or any similar forms under the Companies Act 2016).
➥ Audited financial statement for the last financial year and the latest management account or evidences of sales turnover (if any).
➥ Company’s bank statement for the last two (2) months.
➥ Company’s profile (if any).
➥ Invoice/billing and service agreement from authorized vendor listed by MDEC.
7. How can Kiddy123 assist you?
As an approved Technology Solution Provider (TSP), we are one of the many companies identified to support Malaysian SMEs in digital adoption under the SME Business Digitalisation Grant announced in the budget 2020.
We build digital marketing solutions to help your education institution grow your brand fast. If you are looking to generate immediate leads in a cost-effective manner, all year round, connect with us today. We’d love to hear from you!
Ready To Apply or Have More Questions?
