Expand to Indonesia with MRA Grant Support: A Practical Guide for Singapore SMEs

Introduction: Expand to Indonesia with Government Support

If you’re a Singapore-based SME looking to expand to Indonesia, the Market Readiness Assistance (MRA) Grant can significantly reduce your risk and financial burden. Provided by Enterprise Singapore, the MRA Grant is designed to support local businesses as they venture into new overseas markets.

This article will guide you through how the MRA Grant works, what expenses it covers, how to apply, and how you can use it effectively when entering the Indonesian market.

Why Choose Indonesia for Expansion?

Indonesia is one of the most attractive markets in Southeast Asia for international expansion. Here are several reasons why companies are choosing to expand to Indonesia:

• A population of over 270 million people, making it the fourth most populous country in the world

• A young, digital-savvy demographic with increasing purchasing power

• A fast-growing middle class fueling demand in various sectors

• Rapid e-commerce adoption and strong mobile-first behavior

• Strategic location within the ASEAN economic corridor

While the opportunities are vast, entering the Indonesian market requires a thoughtful strategy and sufficient resources—this is where the MRA Grant plays a crucial role.

What Is the MRA Grant?

The Market Readiness Assistance (MRA) Grant is a financial support scheme initiated by Enterprise Singapore to assist local SMEs in their international expansion plans.

Key details include:

• Covers up to 50 percent of eligible costs

• Capped at SGD 100,000 per new target market per fiscal year

• Applies to activities under three categories: market set-up, overseas marketing, and business development

• Intended for companies with less than SGD 100 million in annual revenue or fewer than 200 employees

By using the MRA Grant to expand to Indonesia, SMEs can reduce financial risk while receiving professional assistance to ensure a successful entry.

What the MRA Grant Covers for Indonesia Expansion

When expanding to Indonesia, the MRA Grant can be applied across three primary areas of activity:

1. Overseas Market Set-Up

This involves costs associated with establishing your business in Indonesia.

Eligible expenses:

• Legal and tax advisory services

• Incorporation of a PT PMA (foreign-owned company)

• Market entry research and feasibility studies

• Intellectual property applications

• Translation of essential documents for compliance

Non-eligible expenses:

• Routine legal or administrative filings not directly related to market entry

2. Overseas Marketing Promotion

This focuses on promotional efforts tailored for the Indonesian market.

Eligible expenses:

• Marketing campaigns on Indonesian platforms

• Design and production of localized marketing materials

• Print, digital, and outdoor advertising

• Public relations and media outreach within Indonesia

• Participation in trade exhibitions held in Indonesia

Non-eligible expenses:

• Advertising to audiences outside the target market

• Costs related to hospitality or non-business functions

3. Overseas Business Development

This category supports your effort to secure partnerships, distribution, and customer acquisition in Indonesia.

Eligible expenses:

• Business matching and networking services

• Engagement of consultants for partner sourcing

• Travel and accommodation for business development activities

• Market visits and exploratory trips

Non-eligible expenses:

• Ongoing operational or sales commissions

• Product shipping or logistics costs

Who Can Apply for the MRA Grant?

To use the MRA Grant for plans to expand to Indonesia, a business must meet the following criteria:

• Registered and operating in Singapore

• At least 30 percent local equity held directly or indirectly by Singaporeans or PRs

• Group annual sales turnover not exceeding SGD 100 million or employment size not exceeding 200

• Have not already generated more than SGD 100,000 in revenue from the target market in the last three years

These criteria ensure the grant is targeted toward businesses that are genuinely exploring new market entry.

How to Apply for the MRA Grant

The application process is straightforward but requires attention to detail. Here is a step-by-step breakdown for businesses intending to expand to Indonesia:

Step 1: Develop a Market Entry Plan

Prepare a detailed proposal that includes:

• Justification for expanding to Indonesia

• Activities to be undertaken (e.g., legal registration, marketing, business matching)

• Timeline and estimated costs

• Projected outcomes and success metrics

Step 2: Work with Qualified Vendors

Some services require vendors that are pre-approved by Enterprise Singapore. Ciptamata is experienced in supporting MRA-backed expansions and meets the relevant criteria for advisory and marketing services.

Step 3: Submit the Application via Business Grants Portal

Access the Business Grants Portal, sign in with CorpPass, and complete the application form. Required documents include:

• ACRA BizFile

• Latest audited financial statements

• Vendor quotations and activity breakdown

• Project proposal with KPIs and cost estimates

Step 4: Await Approval

Enterprise Singapore typically processes MRA applications within two to six weeks. You should only begin incurring project expenses after formal approval unless otherwise advised.

Step 5: Complete the Project and Submit Claims

After completing the activities, submit a claim with:

• Receipts and invoices

• Proof of payments

• Evidence of deliverables (e.g., marketing samples, trip reports, research findings)

• Final summary report evaluating outcomes against the plan

Real-Life Example: Successful Expansion with MRA Support

A Singapore-based consumer electronics brand sought to expand to Indonesia and approached Ciptamata for guidance. Their goal was to establish brand awareness and identify regional distribution partners in Java and Sumatra.

Activities covered by the MRA Grant included:

• Market research and competitor analysis

• Translation and adaptation of campaign materials

• A hybrid PR and influencer launch event in Jakarta

• Business matching meetings arranged in Jakarta and Surabaya

With the grant covering 50 percent of their expansion-related costs, they secured three distributors and achieved brand visibility within the first six months of launch.

Tips for Maximizing the MRA Grant

To get the most from your MRA application:

• Align each proposed activity with a clear market entry objective

• Choose vendors with direct experience in Indonesia’s regulatory and commercial environment

• Use the grant to test different aspects of your market strategy

• Keep thorough documentation of every project activity

• Report results clearly in relation to your original KPIs

How Ciptamata Supports MRA-Backed Market Expansion

Ciptamata offers end-to-end support for companies looking to expand to Indonesia under the MRA Grant. Our services are aligned with grant requirements and include:

• Market feasibility studies and strategy reports

• Legal and compliance guidance for PT PMA registration

• Business matching with vetted partners, distributors, and buyers

• Creative localization of marketing content

• MRA proposal planning and documentation assistance

Our dual understanding of Enterprise Singapore’s processes and the realities of doing business in Indonesia ensures smoother execution with measurable outcomes.

Conclusion: Expand to Indonesia with Confidence and Financial Support

Indonesia offers vast potential, but expanding into this market requires careful planning and local insight. The MRA Grant is a valuable financial tool that helps Singapore SMEs enter Indonesia with confidence, reduced risk, and structured support.

By working with an experienced partner like Ciptamata, you can navigate the process strategically and meet both your business and compliance goals effectively.

Interested in expanding to Indonesia with MRA Grant support?
Contact Ciptamata to begin your market expansion journey today.