Companies in Malaysia can receive a government subsidy of 50 percent, up to a maximum of MYR 5,000, to digitalise their business processes. Interested companies can apply until 17 February 2025. The experts at Ecovis in Kuala Lumpur know who is eligible and how the application process works.
The SME Digitalisation Grant is an initiative by the Malaysia Digital Economy Corporation (MDEC) to encourage SMEs to adopt digitalisation in their business operations. Through this initiative, the government will provide companies with a 50% matching grant, up to MYR 5,000 (approx. EUR 1,100) for the subscription of digital services that will enhance their productivity and competitiveness.
Which digitalisation projects does the MDEC support?
There are several areas of digitalisation services available, including:
- Procurement
- Enterprise resource planning (ERP) / accounting and taxation
- E-commerce
- Remote working
The scheme is worth MYR 500 million over 5 years and is limited to the first 100,000 SMEs. As part of the lead agency’s three strategic framework pillars – digital jobs, digital businesses and digital investments – the MDEC aims to empower companies to take full advantage of digitalisation and automation to supplement their business.
Together we can apply for digitalisation funding for your company.Lim Hoey Ling, Director Business Process Outsourcing, ECOVIS MALAYSIA BPO SDN BHD, Kuala Lumpur, Malaysia
Criteria for the funding application and required documentation
SMEs which meet the following criteria are eligible and encouraged to apply:
- Must be at least 60% Malaysian-owned
- Must be registered under the relevant Malaysian laws and classified as an SME
- Must have been in operation for at least one (1) year
- SMEs which have been in operation for one (1) year are required to have an annual minimum sales turnover of MYR 100,000 for the first year
- SMEs which have been in operation for two (2) years or more are required to have a minimum sales turnover of MYR 50,000 for the preceding two (2) consecutive years
Documents required for the application:
- Completed SME Digitalisation Grant application form
- A copy of the identification card or passport of the director(s) / partner(s) / proprietor(s) of the SME / applicant appointed by the co-op, whichever is applicable
- A copy of the business registration licenses (CTC required)
- A full set of audited financial statement for 2020, with the company stamp and signature on every page, including the cover page OR the latest continuous management account from the latest audited accounts with company stamp and signature OR bank statements for the last two (2) months (with company stamp and signature, CTC not required)
- Company profile
- Invoice/billing details (with company stamp and signature, CTC not required)
- Service agreement (service order form) from an authorised vendor listed by the MDEC (with company stamp and signature, CTC not required)
- Additional information and documents as and when required by the bank
The COVID-19 pandemic has highlighted the importance of managing uncertainty and the growing need for businesses to digitalise their services. In time, those who fail to adapt may find themselves unable to compete. As Malaysia is now on the road to recovery from the pandemic, it is a critical time for SMEs to leverage on technology to increase their productivity and ensure business continuity.
For further information please contact:
Lim Hoey Ling, Director Business Process Outsourcing, ECOVIS MALAYSIA BPO SDN BHD, Kuala Lumpur, Malaysia
Email: hoeyling.lim@ecovis.com.my