malaysian government grant application

Malaysian Government Grants Consultant

Malaysian Government Grants Application Consultant

Patentagentip offers its advisory and consultation on the application for Malaysian Government Grants - unlike others, we will help you to create your intellectual property, perform a market research on competitors, your unique proposition business plan, strategic pricing, 5 years financial projections and define a performable go-to-market strategy. In your grant application (there are many out there), you will not have to feel alone as we will help you to strategise the best way to support your application including helping you to create and secure your patent.

Some thoughts about Malaysian Grants Consultation

When we are talking about grant application with Malaysian entities such as MTDC and Cradle, there is a lot of write up to be enclosed with the application. For the uninitiated out there, there are five main items that you will need a write-up on your business plan. But you will also have to include an Executive Summary which will give the person reading it (your write up) a sense (an urgency that your application should be attended to) of what you are proposing – this summary is very important because whether the reader will continue reading the write-up will depend on what you have to tell. If the interest of the reader is not piqued, then the chance of you getting the grant will be very slim - very little hope that you will be granted.

Unique Value Proposition

Like everything else, there is such a thing as competition so you will have to summit the best of your offer – the way you present your unique proposition inspite of a plethora of competitions left and right. Besides being novel and unique, your proposition must be able to command interest; the kind that is different from the rest of those not worthy of being mentioned. So uniqueness, being novel and the first of its kind thing will help ring a bell - a door bell at that! It is understood by all that when you go and summit a grant application, you must do your research as to whether your proposition can command an interest – an in-depth research on the internet will be required as well as some opinion from others. You will most probably be very optimistic on your unique proposition but there will be a time of reckoning that your proposition just might not make it. What would you do then? You will need to do tweaking – the kind that needs help from an industry expert – and probably paid to do it. But it is not to say that you will have no hope if your proposition is just of the mundane type (most are). We will offer you that help and more.

Market Research

A proper market research will have to be done to ascertain as to whom you are competiting with and to also see whether you will compete on pricing alone or perhaps you have no competitors - which is seldom the case. Do not believe that there will be no competitors because even if you are a first mover it goes to believe that there will be competitors coming along when people sensed that there is good profit margin to be made – unless you hold a protected intellectual property of sorts! Thus, the reader to your grant application will look out for any intellectual property being attached to your unique proposition – if no intellectual property (whether applied or granted) means you are not bankable (sad)! So what to do if you do not have an intellectual property? Simple, go to your intellectual property creator – we can help out on that.

Pricing and Revenue Generation

Pricing and Revenue - this is a very important aspect of your proposal simply because it helps determine as to whether your business model is viable or not. A lot of proposals look good on paper but fails on execution and not being able to compete in your market. Certain goods and services can only compete on pricing as they lack that thing people would want to buy even if the price reaches the sky thingy (iphones). But in general, most products and services can only compete if their marketing guys put their thinking caps on to boost its salient point – it will do you good if you have a good marketing team who can promise the world and don't have to look bad at that.

Financial Projections

Things like how much you will earn and how much you will have to spend just to get even will need to be projected – but then you can make it look positive but not out of this world – especially with a start-up company. Well, it is always good to make your financial projections on the positive side – it does work for Malaysian applications though. It is also good to look at the job creation point of view as you will get good response from the authorities if you are good at generating jobs with your project. You will also have to think of a good way to expand on your sales; find other companies to cooperate with, especially international ones. Will you be good at e-commerce - which matters now since there are frequent lockdowns to contend with?


The final and most important aspect of your proposition is how you are going to go out there and sell and for those who is already in the market, whom are you selling to. You will be better off if you have good experience in the market place but if you are a newbie, then better get good advice from others as your application will be judged on its merit if you have a doable business proposal. There is this thing called good business sense – and it might not come naturally from a person with a string of academic qualifications! So thread carefully with your application - so that it does not look un-doable. And certainly lastly but not least of importance is you must be able to persevere and not only that but you will need to show it in your application as well as otherwise nobody is going to vouch that you have that trait. All said, you should be in a better position if could just get our help - even though writing business proposals are in the back of our hands, we still need to do a lot of market researchi, brain chrunching (trying to make it unique) and also crafting out the intellectual property aspect of the proposition.

malaysian governemt grants consultant

Malaysian Government Grants Consultant

At the present moment, most grants are of the matching grant type: that is the government will match ringgit for ringgit. There are also plenty of minor grants or funds to apply for - some grants are termed as funds.

At the moment, there are seven entities that offer grants. ( there are more minor ones).

1. Malaysian Technology Development Corporation matching grant. learn more about MTDC Requirements

2. Cradle Fund prove of concept development fund. learn more about CRADLE Requirements

3. MOSTI (ministry of science and technology) matching grants. MOSTI Requirements

4. Applying through National Technology & Innovation Sandbox (NTIS) - an alternative channel is through MTDC

5. Yayasan Inovasi Malaysia offers innovation grants. learn more about YIM Requirements

6. MIDA offers (Industry4WRD) application Incentives - Matching basis 70:30 learn more about MIDA Requirements

7. Malaysian Rubber Council (MRC)- funding for Automation and Green Technology. learn more about MRC Requirements


Companies applying for grants must have a sixty percent Malaysian equity. Start-ups should apply for Cradle Fund to move forward. Commercial companies that have a strong technology (should have filed intellectual property) field should apply for MTDC commercialising grants whilst researchers and entrepreneurs can avail themselves to the MOSTI prove of concept matching grants.

It must be noted that for grant applicants to have a filed intellectual property in order to be approved as they will not get the grant if they have no proof of intellectual property ownership - that is they are not fundable. As a service to the small and medium enterprises of Malaysia, Patentagentip will offer its expertise in the creation of intellectual properties (patents to upgrade your marketing status) to help business entities to better compete with their peers. Patentagentip does not only help in the drafting of patents, but also in the creation of patents for their clients - all we need is just a vague idea from the client

Malaysian Green Tech Initiative - you may also apply for soft loan through the Green Technology Funding Scheme. Both, producers and users of green products can apply for the soft loan. Maximum loan (government absorbs 2% of interest) for producers is RM50 million.

What are the sectors that can apply for soft loans through GTFS 2.0 (GTFS 3.0 is coming)?

Energy - solar, wave, biomass, wind, geothermal

Water Treatment & Generation

Building & Township - utilising green technology

Transport - electric, hydrogen

Waste Treatment - recycling

Manufacturing - green, automation


For Manufacturers - RM100 million/group (soft loan)

For Users - RM50 million/group (soft loan)

For ESCOS - RM25 million/group (soft loan)

General Criteria

All products, equipment and systems which satisfy the following criteria:-

Minimize degradation of environment;

Zero or low green house gas emission;

Safe for use and promotes healthy and improved environment for inhabitants;

Conserve the use of energy and natural resources;

and Promote the use of renewable energy resources.

Soft-loan scheme for Automation & Modernisation (SLSAM)-4.0% interest rate per annum for SMEs

Industry Digitalisation Transformation Fund (IDTF)-government provide 2% subsidy on loan interest - targets AI, Robotics & Automation.

Intervention Fund- 70:30 matching grant up to RM 500,000.

Industry 4WRD DISF -60:40 Matching Grant

Domestic Investment Strategic Fund (DISF) - 50:50 matching grant (for selected industries)

Digital Transformation Acceleration Program (DTAP) - 1:1 matching grant (target large and mid-tier corp withDigital Transformation Labs)

Automation CA of 200%

on the first RM2 expenditure incurred within 5 years

SME Digitalisation for the Services Industry - A critical part of Pelan Jana Semula Ekonomi Negara (PENJANA), the #SMART Automation Grant (SAG) is a matching grant for services companies. Each successful application will receive up to 50% of the total project cost, subject to a ceiling limit up to RM200,000 or, whichever is the lowest, through this matching grant.

Malaysian Rubber Council Grants


i. To encourage the rubber product industry to adopt automation and green technology to enhance the industry's competitiveness;

ii. To alleviate labour shortage problems in the rubber product industry; and

iii. To promote the adoption of green technology towards achieving sustainability in the rubber product industry

Eligibility - SME and Non SME


i. Automation - The project(s) should incorporate elements of Industry 4.0 (i.e. real-time data collection and statistical analysis and reporting) and shall be for use in at least one of the following areas:

a. Materials handling;

b. Processing;

c. Packaging - with automation in mind;

d. Inspection and testing; and

e. Other related activities which are part of the manufacturing process.

Note:The Fund for Automation and Green Technology does not cover the following:

* Purchase of automation equipment or system for investment in a new plant.

* Duplication of existing equipment.

ii. Solar Energy

The energy produced from the project(s) should be utilized directly in the manufacturing process. Further, the adoption of renewable solar energy should also be able to reduce the consumption of fossil fuel-based electricity generation. The installation of photovoltaic (PV) panels and all relevant facilities shall comply with the standards determined by the relevant authorities, i.e MS1837:2018

iii. Biomass Energy

The energy produced from the project(s) should be utilized directly in the manufacturing process. Further, the adoption of renewable solar energy should also be able to reduce the consumption of fossil fuel-based electricity generation.


The Fund for Automation and Green Technology does not cover the following:

* Utilization of Refuse Derived Fuel (RDF).

* Purchase of raw materials used for the production of bio-energy e.g. wood pellet, wood chips, palm kernel shell, palm fibre, rice husk, sawdust, etc.

v. Water Treatment

The technology used in wastewater recycling and rainwater harvesting should be able to treat or purify the water and use it directly in the manufacturing process. The technology should also be able to constitute more than 30% if mixed with Public Utility Water Supply (PUWS) in the manufacturing process.


The Fund for Automation and Green Technology does not cover the following:

* Simple reuse of untreated water in the manufacturing process without any further treatment or tertiary wastewater treatment system.

* Reuse of water for simple cleaning or washing of equipment or factory premises.

Amount of Grant

The quantum of fund approved is according to the project application and up to 50% of total project cost, subject to average cess contribution in the last 3 consecutive years. The maximum grant amount claimable by SMEs and Non-SMEs subject to the cess contribution band

Additional Incentives via Pioneer Status

Income tax exemption of 70% - 100% of statutory income for 5 to 10 years. Unabsorbed capital allowances and accumulated losses incurred during the pioneer period can be carried forward and deducted from the post pioneer status of the company.

Investment Tax Allowance

An allowance of 60% - 100% on qualifying capital expenditure (factory, plant, machinery or other equipment used for the approved project) incurred within 5 to 10 years from the date the first qualifying capital expenditure is incurred.

A company approved with a Pioneer Status certificate can enjoy income tax exemption between 70% - 100% of statutory income for 5 to 10 years, whereas for Investment Tax Allowance, a company can get allowances between 60% - 100% on qualifying capital expenditure incurred within a period of 5 to 10 years.

For projects with longer gestation period and high capital expenditure, it would be more beneficial to opt for Investment Tax Allowance. Companies should study the options before applying either for Pioneer Status or Investment Tax Allowance.


There are 5 types of categories promoted activity and products for incentive which stated as below:

Short List of Promoted Activity and Products - AGRICULTURAL PRODUCTION


* Manufacture of rubber products

* Manufacture of Chemicals & Petrochemicals

* Pharmaceuticals

* Wood base products

* Pulp, Paper & Paperboard

* Kenaf

* Textiles

* Medical Device

* Plastics

* Clay & Mineral Based Products

* Ferrous & Non Ferrous

* Protective Equip

* Hotel & Tourism

* Manufacture of Palm Oil Products

* Manufacture of machinery and components

* Electricals & Electronics

High Technology - Design of advanced electronics and computing

-Professional, medical, scientific and measuring devices or parts

- Biotechnology products

- Advanced materials

- Alternative energy technology

- Super fine wire of diameter 2.0 mm and below

Small Scale Companies

Selected Industries


If you need advice or consultation, please email a request to