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EDG Grant for Engineering Companies

Getting machinery subsidized by the EDG Grant has always been a debate. While the grant used to be more generous with machinery in the past, today, it is much more difficult to get machinery subsidized. That being said, it is not impossible, as cases are still assessed on a case by case basis.


The biggest no-no for machinery comes when the EDG Grant classifies the machine as a business cost. If this happens, that the company would be expected to purchase the machine at their own cost because it is part and parcel of running the business. For example, if the company is a metal fabrication company producing metal products, and needs to get laser cutters or bending machines to process the metal, then this would be considered a business cost to the company. Most likely, it will not be subsidized.


However, there are several scenarios where machines can be subsidized, whether in whole or partially. In this article, we will cover one case where the machines were subsidized partially.


This case involved a metal fabrication and machine shop that produced high quality metal products. This includes customized metal fabrication based on customer needs. This company had an engineering shopfloor with 26 machines in total. The company's strength was in precision metal fabrication, and their ranges of machines on the shop floor included Laser Cutting, Turret Punching, Milling, Press Break Bending, Pem Serting, MIG/TIG Welding, Tapping/Countersinking/De Burring, Tubing Bar Stock Cutting, and more.


This company had an aggressive growth plan in mind, and wanted to purchase more machines. However, they were informed that as new machines would be considered business cost, there would be a low chance that they would be subsidized. However, what was interesting was that the machines that this company loved to use were AMADA machines. And one strength that the AMADA brand has is its Software. Therefore, we suggested that even though the machines may not be the supportable, part of the cost (the software), could be.


While most machines simply come with in-built software, AMADA software come with state-of-the-art Internet-of-Things capabilities to digitally transform the shopfloor. This includes sensors and software to monitor and control the shopfloor machinery remotely to a certain extent. This software implementation would bring tremendous benefits to their shopfloor and all the other compatible AMADA machines that are already in their possession.


As a result, this company managed to get the AMADA Software approved under the grant, (the hardware was not supported due to business cost) which was better than not having any grant at all.


AMADA comes with a wide range of software, including its renowned Kaizen monitoring software for the shopfloor. If you would like to know more about how this can benefit your engineering business, feel free to contact us today!



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