Thinking of setting up a business in Singapore? If so, this is one of the smartest investment moves. The country is not only a financial hub in Asia but also a top investment destination for foreign businesses. There are many MNCs in the country attracted by a favourable business environment, ease of doing business, some of the best corporate taxes, political stability and government support. Singapore also boasts one of the best infrastructures in the world, skilled personnel and a robust economy.
But like with other international markets, many investors are cautious with company registration. While the company registration in Singapore is seamless, you still need to learn everything about the process and how to safely complete the requirements.
This post takes you through the key steps to help you safely register your company and leverage the immense potential in the country.
Understand the Company Registration Basics
Before you get started with the registration, you need to arm yourself with the right information. Company registration in Singapore happens through The Accounting & Corporate Regulatory Authority (ACRA) which acts as the Company Registrar. The process is anchored in law under the Companies Act, Chapter 50 which means you have to fulfil all compliance requirements.
Anyone above 18 years can register a company in Singapore. This includes resident Singaporeans, immigrants in Singapore like EP holders or Dependant Pass holders, and foreigner investors living abroad.
If you’re a foreigner interested in setting up a business in the country, you need to hire a registered filing agent for the process. Foreigners can’t self-register a business in the country and the services of a reputable company incorporation service come in handy.
Foreigners also need a Singapore work visa or pass and as you apply for this, the business registration can continue with your filing agent. By using a filing agent, you save a lot of money which you would have used to fly back and forth and invaluable time which allows your business to start operations sooner.
One of the main considerations at this point is the type of business structure you wish to register. The following options are available:
- Private Limited Company (Pte. Ltd.)
- Sole Proprietorship
- Limited Liability Partnership (LLP)
A PLC offers multiple benefits for both local and international investors. There’s limited liability to the investors, and you have a wider access to credit locally and internationally. There are also corporate tax benefits, perpetual succession and easy transfer of ownership. Your filing agent helps you understand each of the business structures to maximize tax benefits.
Understand the Key Requirement for Company Registration
Now that you understand the basics of company registration in the country, the next crucial step is to assess the requirements. While you’re working with a foiling agent, you need to understand these requirements for a more seamless working relationship.
With this insight, you can provide all the relevant details and documentations to your company registration provider. Key requirements for business registration are:
- Company name: You have to apply for an approval by ACRA and your filing agent does this for you. This is the first step in business registration and once you get an approval, the process officially begins
- Capital: You need minimum of S$1 in initial paid-up capital
- Directorship: You need at least one local director who can be a Singapore Citizen, Singapore Permanent Resident or EntrePass holder. When you do your company registration in Singapore with Voplus, the service provider handles all these requirements for a smooth registration process
- Registered Local Address: You need a physical address in the country (not P.O BOX) and a reliable filing agent provides this for you
- Shareholding: Your company requires a minimum of 1 and a maximum of 50 shareholders
- Secretarial services: Your new company requires a company secretary within six months from the registration date and the best registration service provider will cater for this
For foreigners: You have to employ a local director (Singaporean, Permanent Resident, or EntrePass holder) and a registered filing agent. Apply for an Employment Pass or an EntrePass. Your company registration service acts as your local director, company secretary and also provides a registered local address. They also help apply for permits, licenses and any other requirements for your specific business.
Organize the Required Documentation
To start the company registration in Singapore, you need some essential documents listed below:
- Approved company name
- Description of business activities
- Details of the shareholders (Identification and residential address details)
- Details of the directors (Identification and residential address details)
- Details of the Company Secretary and the rest of your team (Identification and residential address details)
- Local registered address
- Signed Consent to Act as a Director for each director
- Signed Consent to Act as Company Secretary by the company secretary
- Company Constitution. You can use the standard format provided by ACRA
Complete the Company Registration
Now that you have all the documents ready and have understood all requirements, your filing agent completes the process online through the BizFile+, a web portal maintained by ACRA. You’ll receive a confirmation email from ACRA after a successful incorporation of the company. Your filing agent can apply for a physical copy of the certificate of incorporation.
Company registration in Singapore doesn’t have to be a hassle. When you work with a reputable company registration service, you’re assured of a safe and speedy registration. The company represents you throughout the process and saves you time and money.
