Register company in Singapore
What is firm incorporation in Singapore?
- A stable state economy, attractive investment policy, and no restrictions on foreign property ownership.
- Good reputation of the country in the international arena.
- Favorable geographic location and access to the Southeast Asian market
- Opportunity to do tax planning on favorable terms – the first 3 years, the company is subject to income tax of up to 100,000 SGD with a 75% discount.
- If the profit is up to 200,000 SGD, the tax is 8.5%, and 17% if the threshold is exceeded;
- Application of international double taxation treaties.
- No capital gains tax.
- Income received from foreign sources is not taxed.
Our advantages in company formation in Singapore
Steps to set up a firm in Singapore
- There is no personal liability of the participants for the debts, obligations, and losses.
- The standard corporate rate is used for tax purposes.
- Dividends are not subject to taxation.
- You can take advantage of tax incentives for newly established companies.
- High reputation component (Pte Ltd is a full-fledged business unit without significant restrictions).
- Legal advice and strategy development.
- Choosing a name, creating a structure, forming a charter, appointing a director.
- Submission of documents to the registration authorities and registration of a legal address.
- Incorporating a legal entity and opening a bank account locally or in any other state.
- Business start-up and supervision (accountant, tax expert assistance, annual reporting).
- The company directors must inform the hiring entity of all available shares, contracts, and interests.
- Restrictions on the transfer of shares are fixed in the company’s constitution.
- Restrictions on doing real business in Singapore are prescribed in the company law. How critical and significant they will be in your case, we do not know. But even involuntary violations threaten you with serious sanctions and loss of reputation.
- Annual mandatory reports.
- High administration requirements.
- Insufficient level of privacy.
- Compliance with ACRA / IEAS requirements is strictly mandatory.
The fair cost of the company is formed from many details. Doing business here is not cheap, considering the huge demand for local offices, high-quality professionals, elevated salaries, and simply a standard of living.
Singapore company registration cost comprises the following expenses:
- Services of the incorporation agent and state fees.
- The legal address of the business, which must be renewed annually.
- Salary of a corporate secretary.
- Nominee resident director services (or obtaining resident status for owner/director or their representative).
- DHL delivery of papers to and from Singapore.
- Maintaining and filing financial statements.
- Annual audit (if necessary for some sort of economic activities).
Tthe business itself also requires particular expenses. The price can also be extremely high if you buy services and goods inside the country. Registering a legal entity in Singapore takes up to 2 weeks. Setting up an account may take more time. You will need to provide a set of documents, translate them into English, and check it with us. In some cases, you’ll need to be present in person.
The bonus is that PTE Ltd is automatically exempt from mandatory audits if the annual turnover does not exceed SGD 5 million. Those who could not or did not want to exceed the yearly volume of SGD 5 million simply submit solvency declarations signed by the organization’s director and secretary. As long as the limited liability company is solvent, there is not even a requirement to file financial declarations, which increases the confidentiality of managers and stockholders. The obligation to maintain accounting records and prepare reports remains, which makes such companies attractive to serious and large banks.
Private persons must submit a scanned copy of the internal ID and papers to confirm the registration address (usually a certificate of residence or utility bills). Legal entities present copies of the passports of all founders and beneficiaries and other persons with the right of significant control. Along with this, it is essential to show the constituent documents, namely the certificate of incorporation, the charter, and protocols of the board of directors meeting.
If you plan to operate in regulated sectors of the economy, such as trading in financial markets, providing banking, or other money-related functions, the list will include proof of the relevant education and experience of key people in the firm and official confirmation of the absence of criminal records.
Private individuals do not need such services. But under national corporate law, a secretarial assistant is a mandatory position, not an optional one. The main tasks that they will solve are the following:
- Maintaining all mandatory registers, as well as the Book of Records.
- Storage of all statutory documents of the company with legal responsibility for safety.
- Preparing the necessary data for holding a general shareholders meeting, protocols, and reports.
- Drafting and submission of annual reports to state and regulatory authorities.
- Storage of the company’s stamp and seal.
It is easy to see that the functions of the secretary are mostly nominal, but we all have to come to terms with this requirement of corporate law.
Or you can register a new company with your own title and details. It will take about 2 weeks, not counting the period for collecting and preparing documents. Also, opening a bank account takes more time, as many banks are reluctant to open accounts for newly incorporated organizations. But don’t worry. We will help you choose the right reliable bank with the most comfortable conditions for your business.
The legislation does not allow foreign individuals or legal entities to register companies independently. You can do this only through a local agent (a specialized firm that will represent your interests in government agencies).
If you do not plan to move to the state to live, you can freely manage your business abroad. In this case, you need to hire a local managing director and corporate secretary. It is usually possible to employ a nominal director. Whenever a foreigner needs to visit Singapore, they can come on a regular tourist visa. If you plan to fully engage in the management process, you must be present in the country. An employment pass or an entrepreneur visa is mandatory in this case.