Background
Officially known as the “Republic of Singapore”, is a city-state island located in Southeast Asia with a political stable system. Once faced with severe unemployment, poor infrastructure, and housing shortage, Singapore has managed to successfully transform itself into one of the top business and financial hub of Asia. With a highly skilled workforce with English as a main language, most international business owners enjoy this as all official documents are based in English. Ranked one of the most innovating country in Asia for business owners and entrepreneurs, Singapore is also the 3rd least corrupt country throughout Asia. With over 500 FinTech firms and still growing, Singapore is targeted to become one of the world’s fintech capitals in the upcoming years.
Singapore Company Registration Guide
In addition to the ease and turnover time of application, there are many tax exemptions for start-ups and SMEs offered by the government to help grow businesses. The Accounting and Corporate Regulatory Authority (ACRA) is the national regulator of business entities, public accountants, and corporate service providers in Singapore and oversees the process for company registration.
Incorporation Process and Timeline
| Limited Liability Company (For foreigners) | Limited Liability Company (For tax residents) | Limited Liability Partnership | Limited Liability Company (Free zone) | Branch Office | Foundation (Public company limited by guarantee) *not suitable for commercial setup | |
| Minimum number of directors | 1 | 1 | 1 | 1 | 1 | 2 |
| Minimum number of shareholders | 1 | 1 | 2 | 1 | Parent Company | 2 |
| Local Presence (director/ shareholder/ officer) | Yes | Yes | Yes | Yes | Yes | Yes |
| Physical registered office address requirement | Yes | Yes | Yes | Yes | Yes | Yes |
| Minimum Paid Up Share Capital | USD 1 | USD 1 | USD 1 | USD 1 | – | USD 1 |
| Preference Shareholder Option | Yes | Yes | Yes | Yes | No | No |
| Incorporation Timeline | Less than a month | Less than a month | Less than a month | Less than a month | Less than a month | Less than a month |
| Regulator | ACRA | ACRA | ACRA | ACRA | ACRA | ACRA |
Taxation and Accounting
| Limited Liability Company (For foreigners) | Limited Liability Company (For tax residents) | Limited Liability Partnership | Limited Liability Company (Free zone) | Branch Office | Foundation (Public company limited by guarantee) *not suitable for commercial setup | |
| Annual Tax Return filing | Yes | Yes | No | Yes | No | No |
| Entry to double taxation treaties | Yes | Yes | No | Yes | No | No |
| Access to local government grants | No | Yes | Yes | Yes | No | No |
| Tax Exemption | No | No | No | No | No | Yes, Exemption from income tax if surplus funds are from members’ contributions; or if over 50% of gross revenue receipts are from members and are not tax-deductible for members |
| VAT Payable | 0% | 7% | 7% | 0% | 0% | 0% |
| Audit Exemption | A company can be exempted from being audited if it meets at least two of the following requirements: · Company’s total assets must not exceed SGD 10m for the financial year; · Company’s total revenue must not exceed SGD 10m; · Full time employees should not exceed 50 by the end of the financial year. | None | ||||
| Dividends | Dividends distributed are legally tax exempted | N/A | ||||
| Work permit requirements | Non-resident director does not need any work permit to incorporate a wholly owned foreign entity | Non-resident director needs an Employment Pass or a Dependent Pass | ||||
| Expatriate & local staff | The number of expatriates a firm can hire depends on the total amount of staff hired in a firm and the business nature of the firm | N/A | ||||
| Security Deposits | No security deposits to the authorities/ government | |||||
| International currency control on remittance | None | |||||
Others
| Limited Liability Company (For foreigners) | Limited Liability Company (For tax residents) | Limited Liability Partnership | Limited Liability Company (Free zone) | Branch Office | Foundation (Public company limited by guarantee) *not suitable for commercial setup | |
| Corporate Bank Account Available | Bank account in Asia, upon request. | |||||
| Multi-currency option | Yes | |||||
| E-banking platform quality | High | |||||
| Corporate Debit Cards | No | |||||
| Bank Account Opening Timeline | 1 – 2 months | |||||
Operational Information
| Limited Liability Company (For foreigners) | Limited Liability Company (For tax residents) | Limited Liability Partnership | Limited Liability Company (Free zone) | Branch Office | Foundation (Public company limited by guarantee) *not suitable for commercial setup | |
| Registered office option | Yes | Yes | Yes | Yes | Yes | Yes |
| Average office rental (USD) | USD 37 (sq. ft/ month) | |||||
| Average monthly salary | USD 3,000 – USD 5,000 for local skilled hires | |||||
| Minimum statutory annual salary | No requirements | |||||
Enigmatig Services in Singapore
With more than a decade of experience, our team at Enigmatig is here to meet your business needs beyond just company formation. We also provide the following services in Singapore:
· Company formation
· Provision of registered agent and registered address
· Provision of company management, directorship, and shareholding services
· License application assistance
· Singapore funds setup and structuring
· Offshore bank account introductions and applications
· Virtual office services and other corporate services
· Nominee services
Application Process:
- Submit your interest here
- Our Offshore Formation Specialists will reach out to you for an in-depth discussion
- A customised proposal will be sent to you upon uncovering your needs,
- Upon the proposal confirmation, we will require the of the following information for the application
- Proof of Identity
- Proof of Residence (within the last 3 months)
- director(s),
- shareholder(s) and
- beneficial owner(s)
Once the above has been approved, we will send you an invoice for payment.
The incorporation process will commence upon receiving payment
Enigmatig deals directly with the authorities instead of the use intermediaries in your application process. In this way, we are able to ensure our prices remain competitive while you are ensured of utmost privacy and care in your application.