Business

18 firms chosen for Scale-up SG scheme that helps them grow

Food and beverage distributor Lim Siang Huat, which has been doing business here for 79 years, plans to consolidate operations under a single warehouse, rather than to operate out of three facilities as it does now.

The company will get help to reach this goal through the Scale-up SG programme, which aims to help high-growth local companies scale up rapidly.

Lim Siang Huat is one of 18 local companies that have been selected for the second run of the programme, said Enterprise Singapore (ESG) yesterday. The companies operate in a range of industries including manufacturing and engineering, and lifestyle and consumer sectors.

The 2½-year Scale-up SG programme launched in July with 25 companies, of which almost half have established plans that are expected to help them double their growth rate.

ANALYSIS

The firms worked with consultancy companies McKinsey & Company and PwC Singapore to complete the analysis of their growth plans over the last five months and will execute their individual growth plans with support from ESG and the consultancy firms under the next phase.

Speaking after a closed-door dialogue with 20 participating companies, Trade and Industry Minister Chan Chun Sing said the ministry, along with ESG and other government stakeholders, are changing their approach of growing companies from providing subsidies and grants to building capabilities, as it is more sustainable.

"One of the interesting issues they discussed during the session was how to grow or scale a company beyond a family business, how you keep the energy levels up that transcend your family members and build to last," he said.

The next step is to look at similar programmes for small and micro enterprises, Mr Chan said, adding that the ministry is considering a version of the Scale-up programme for small businesses. - THE STRAITS TIMES

BUSINESS & FINANCE