MDEC Smart Automation Grant SAG
Matching Grant up to RM 200,000 with Smart Automation Grant
Application open from 26/08/21 till 25/09/21
 What is Smart Automation Grant (SAG)?

Malaysian Government’s Initiative

SAG is a matching grant for services companies to automate their business processes and move towards digitalisation. 

The companies from the service sector include Retail, Wholesale, Food and Beverages, Tourism, Logistics, Transportation, Education, Healthcare, Real Estate, Professional Services and Financial Services. The list of services sector will be regularly updated.

SAG Objective 1

To future-proof Malaysian companies and ensure their competitiveness in the coming years by assisting them to move up the value chain from a technology frontier in automating their business operations.

 SAG Objective 2

To identify pain points, gaps of their business and identify potential solutions to automate their business operations via appointed technology solution providers.

Each successful application will receive up to 50% of the total project cost,
subject to a ceiling limit of RM200,000.

Eligibility Criteria

 The applicant is required to meet the following criteria at all times and to continuously meet the criteria throughout the project period.

  • 1. Local company
    • Incorporated in Malaysia under the Companies Act 1965 or the Companies Act 2016;
    • Minimum issued and paid-up capital of RM50,000;
    • Minimum of 51% equity held by Malaysian(s). For companies which shareholders are another company, the same rule applies. The checks are limited to three tiers of shareholding.
  • 2. Enterprises / Sole Proprietorships / Partnerships
    • Enterprises / Sole Proprietorships / Partnerships:
    • Registered under Registration of Business Act 1956;
    • Minimum of 51% owned by Malaysians; and
    • Providing professional services which includes but not limited to Legal, Accounting, Surveying, Engineering, Architectural, Consultation, Management, Employment and Security (Private Agency) Services;
  • 3. Limited liability partnerships
    • Registered under Limited Liability Partnerships Act 2012;
    • Minimum of 51% owned by Malaysians; and
    • Providing professional services which include but not limited to Legal, Accounting, Surveying, Engineering, Architectural, Consultation, Management, Employment and Security (Private Agency) Services; ”
  • 4. In operation for at least 1 year

  • 5. Not the subject of winding up order and has no going concern issue
    • Not the subject of winding up order and has no going concern issue*. (*If the Applicant has going concern issue as reported in their latest audited account, the Applicant to provide a letter of undertaking by the shareholder and/or director of the Applicant to undertake that in the event that their application is approved, the Applicant shall perform its obligations under the terms & conditions to be issued by MDEC and to provide financial support to the Applicant to enable the Applicant to meet its obligations and/or liabilities under the terms & conditions.)
  • 6. To declare and disclose if there is any close business relationship with any of MDEC’s director or employee
    • Company director/ shareholder/ partner/ senior management to declare and disclose if there is any close business relationship/close family relationship with any of MDEC’s director or employee.
  • 7. To declare if they are under any litigation
    • Company director/ shareholder/ partner/ outsourced partner to declare if they are under any litigation (not applicable for grants under RM 50,000).
  • 8. Companies with common shareholder/s can only submit application for one company only

  • 9. Must demonstrate the completion and success of previous funded project.
    • If previously has received any MDEC/government grant, the applicant must demonstrate the completion and success of the funded project/s.
  • 10. The business nature of the company – to see if it falls under the following categories.
    • Non-technology related service – Registered business activities comprising primarily traditional or non-technology activities from the service sector .
    • Professional services – Registered under Registration of Business Act 1956 or Limited Liability Partnerships Act 2012 or any other relevant Malaysian law or regulation as well as providing professional services which includes but not limited to Legal, Accounting, Surveying, Engineering, Architectural, Consultation, Management , Employment and Security (Private Agency) Service.

Reimbursement Process

Implementation Cost

50% of the approved grant amount or up to 50% of the actual cost incurred whichever is the lower, in respect of the payment made by the SAG Recipient to the Technology Solutions Provider/s (TSPs) in relation to the implementation of the project. 


Supported with the following deliverables, completed and submitted to the satisfaction of MDEC by the set timeline. 

- Written engagement commitment of SAG project implementation between the SAG Recipient and the TSPs.

- User Acceptance Test document.

- Demonstration of project implementation.

Remaining Cost

Balance of up to 50% of the approved grant amount or up to 50% of the actual cost incurred whichever is the lower, in respect of the payment made by the SAG Recipient to the Technology Solutions Provider/s in relation to the implementation of the project, based on the final outcome achieved. 


Supported with the following deliverables, completed and submitted to the satisfaction of MDEC by the set timeline. 


- A report (in such format as may be specified by MDEC) and supporting documents indicating the completion of the Project ie. Certificate of completion by TSP/s and achievement from one of the 5 expected project outcomes.

- Such additional information and/or other documents as may be requested by MDEC.

Project Duration

Total 4 Months Duration


  • Project implementation period is up to 1 month.


  • Post monitoring to achieve project outcome is up to 3 months.

Application is now closed.

Why Choose Goldsoft
Approved by MDEC as one of the Technolgy Solution Provider

Anytime, Anywhere

Manage business operations anytime, anywhere through a web browser. No longer to be based at office to get work done.

Industry Focus ERP

End-to-end control purchases, inventory, accounts and reports for retail, consignee, franchisee, outright and online channels.

Real-Time Insights

Easily view your business sales through real-time dashboard from phones, tablets or pc.

Mobility Technology

Mobile responsive mobile scanning to increase stock accuracy throughout inventory processes.

Success Story

Successful project implementation with SAG Grant Initiative

 

"With MDEC Smart Automation Grant (SAG) initiative, Kong Brothers managed to implement a cloud ERP system- Goldsoft JERP that enables us to manage business anytime anywhere, improve orders and stock efficiencies, and achieve a better relationships with our suppliers and customers." Ms. Ice Kong, COO of Kong Brothers Enterprise Sdn. Bhd.

Full Story

List of Goldsoft software solutions can apply SAG

Name of Solutions Key Benefits
JERP System for Retail On-cloud or on-premise end-to-end retail business management
JERP System for Trading On-cloud or on-premise end-to-end trading and distribution business management
Warehouse Management System Real-time visibility with 360-degree warehouse management
Business Intelligence Turns your business data into actionable insights
JMobile eComm Auto sync sales orders and stock info from multiple online stores and marketplaces
eCommerce Website Fully responsive website to sell more online

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How to Digitalize Your Business with JERP via SAG

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