SME Grants & Funds in Malaysia 2025: What You Can Claim for Digitalisation
Many Malaysian SMEs know that grants exist, but few understand how to actually claim them. This guide helps you uncover the most relevant and accessible grants for Malaysian SMEs, especially those planning to digitise their operations.
Published 05 August 2025
In this article, you will learn about
1. System Requirements & Preparation
2. Installing SQL Accounting Software
3. Creating a New Company Profile
4. Setting Up Core Accounting Structure
5. Configuring Inventory (Optional)
6. Inputting Opening Balances
7. Daily Operations Overview
8. Maintenance Tips & Best Practices
In this article, you will learn about
1. Why Grants Matter for Malaysian SMEs in 2025
2. HRD Corp Levy – Claiming Training Through HRD Registered Products
3 . SME Digitalisation Grant (SME DG) – MDEC & Bank Simpanan Nasional (BSN)
4. Selangor SME Digitalisation Matching Grant (2025 Active)
5. MIDA Smart Automation Grant (SAG) – Still Open in 2025
6. TEKUN Nasional Digitalisation Support – Micro SMEs (2025 Programs Active)
7. How to Know If Your Digital Tool Is Claimable
8. Common Mistakes When Applying for Grants
9. Claiming Our Product Through HRD Corp or SME Grant
Many Malaysian SMEs know that grants exist, but few understand how to actually claim them. While government funds are made available each year to support small businesses, a lack of guidance, confusing paperwork, and missed deadlines often cause business owners to give up. In 2025, with Malaysia's continued push for digitalisation, automation, and human capital development, SMEs have more support than ever if they know where to look.
This guide helps you uncover the most relevant and accessible grants for Malaysian SMEs, especially those planning to digitise their operations. Whether you're running a small retail business, a service-based agency, or a growing tech startup, this article explains what you can claim, how to apply, and how to avoid common mistakes.
Why Grants Matter for Malaysian SMEs in 2025
With rising operational costs and tighter competition, SMEs in Malaysia must find ways to stay lean and competitive. Grants offer the opportunity to:
• Reduce digital adoption costs (e.g. accounting systems, eCommerce platforms, CRMs)
• Train employees without increasing payroll cost
• Improve operations without taking loans
• Signal legitimacy when working with banks or investors
The Malaysian government offers multiple targeted initiatives to help SMEs grow in specific areas like HR, tech, marketing, and finance. In 2025, many of these are focused on digitalisation and human capital upskilling.
HRD Corp Levy – Claiming Training Through HRD Registered Products
HRD Corp (formerly HRDF) manages a levy fund that registered employers pay monthly (1.0% of payroll, rising to 1.5% from August 2025). If you're a registered employer under HRD Corp, you can claim training-related expenses via:
• SBL & SBL-Khas Schemes: Used for in-house or external training providers
• Claimable Areas: Digital skills training, accounting software onboarding, business strategy workshops, compliance training, etc.
• Process: Apply via the e-TRiS portal, submit proposal, attendance sheet, invoice, evaluation
Key Tip:
If you're buying business software or digital tools, check if the provider is HRD-claimable. Some providers (like CRM, ERP, or accounting platforms) offer onboarding services claimable under HRD.
SME Digitalisation Grant (SME DG) – MDEC & Bank Simpanan Nasional (BSN)
This grant continues to be available in 2025. It offers 50% matching, up to RM5,000, for digital tools and services. Administered by MDEC and BSN, it supports SMEs that want to digitise core parts of their operations.
Eligible Areas:
• Cloud accounting systems (e.g. SQL, Xero, QNE)
• Digital marketing solutions
• eCommerce enablement
• Payroll & HR software
• POS systems
• Customer Relationship Management (CRM)
Eligibility:
• 60% Malaysian ownership
• In operation for at least 6 months
• Annual turnover < RM50 million
• Must not have received the grant previously (one-time only)
Application Process:
• Choose an authorised Digital Service Provider (DSP)
• Request invoice/quotation
• Apply online through BSN/MDEC portal
• Once approved, pay the balance 50% and submit claim docs
Selangor SME Digitalisation Matching Grant (2025 Active)
The Selangor government continues to offer its own matching grant in 2025 for SMEs located in the state. It functions similarly to the federal SME DG but is targeted at Selangor-registered companies.
Highlights:
• 50% matching up to RM5,000
• Supports digital tools such as:
- Cloud software
- Website & eCommerce development
- Digital advertising solutions
• Eligibility is limited to SMEs registered and operating within Selangor
Visit Invest Selangor or SIDEC for open application windows and DSP lists.
MIDA Smart Automation Grant (SAG) – Still Open in 2025
The Smart Automation Grant (SAG) by MIDA continues to be active in 2025, particularly aimed at manufacturing and selected service sectors.
Key Features:
• Up to RM1 million grant per company
• Designed to boost automation, reduce reliance on low-skilled labour
• Covers purchase of:
- Software (ERP, AI, IoT)
- Machines, robots, and automation systems
- Implementation and training services
Application Requirements:
• Proposal including ROI and productivity targets
•Company must be in manufacturing or selected services with proven digitalisation goals
This grant is more technical but offers large-scale support for businesses undergoing full operational transformation.
TEKUN Nasional Digitalisation Support – Micro SMEs (2025 Programs Active)
While primarily a loan provider, TEKUN Nasional offers digitalisation-related support programs with soft loans and partial grants for micro SMEs, especially those in:
• B40 communities
• Women entrepreneurs
• Youth startups
Program Highlights:
• Financing up to RM20,000–RM50,000
• May include partial subsidies or zero-interest terms
• Can be used to purchase software, devices, or services relevant to digital operations
Check the TEKUN Nasional portal for available application cycles and required documents.
How to Know If Your Digital Tool Is Claimable
Before buying any business system, ask the vendor:
• Are you an HRD-claimable training provider?
• Are you a registered DSP under SME DG?
• Have other customers used grants to buy from you?
Vendors who say “yes” to these questions often have pre-made documentation packs that make claiming much easier.
Common Mistakes When Applying for Grants
• Not checking vendor eligibility before purchase
• Missing required documents like invoices, agreements, implementation proof
• Overclaiming or claiming wrong categories
• Late submission (many grants require claim within 30–90 days)
• Assuming approval without confirmation
Avoid these by preparing early and communicating clearly with grant bodies.
Claiming Our Product Through HRD Corp or SME Grant
If you’re purchasing [Your Company’s Product] (e.g. sales platform, accounting suite, CRM), check if:
• Our training is HRD-claimable ✅
• We are listed as a DSP for SME DG ✅
• We assist with claim documentation ✅
Reach out to our support team to verify your eligibility. We’ve helped dozens of SMEs claim their tools under government support programs.
Conclusion
Claiming grants is not just about saving money, it's about building a more competitive business without burning cash flow. Malaysia’s ecosystem is increasingly supportive of SMEs that want to digitise, automate, and train their workforce.
Whether you’re buying tools for marketing, sales, HR, or finance, there’s probably a fund that supports it.
Don’t leave free money on the table. Use this guide as a starting point, claim what’s rightfully yours, and grow smarter in 2025.
FAQs
What happens if I submit incomplete documents?
Most agencies will ask for revisions or additional documents, but it can delay approval or result in rejection. Always double-check your checklist.
What if I don’t use the funds after approval?
Unutilised grants may lapse. For HRD Corp, unused levies may expire or be deducted under the 15% PLM policy. Always act within the validity period.
Can I get help with the application process?
Yes. Many vendors (including us) offer grant support. Choose providers familiar with submission platforms like e-TRiS or BSN's SME portal.
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