The technique for establishing a physical or internet firm is straightforward. It may be summed up in three easy stages. Read about the three easy stages to starting Setup Company Singapore and let SCI handle your company formation now!
1. Select a Business Entity
You may choose your business entity after settling on your company plan.
Despite the fact that other choices exist, many new businesses register with the Accounting and Corporate Regulatory Authority (ACRA) as “private limited companies” because of their scalability.
Furthermore, stockholders are not accountable for debts or losses in excess of their share capital.
2. Establish Your Business
The Singapore Companies Act governs the private limited company, and it must follow the requirements of ACRA and the Inland Revenue Authority of Singapore (IRAS). Among the designations are:
- ACRA Shareholders must approve the company name. A minimum of one shareholder is required.
- At least one director must be based in Singapore.
- Company secretary – Must be a Singapore resident as well.
- Paid-up capital of at least S$1 is necessary, as is a real office location.
- You may obtain a business profile from ACRA as a freshly formed Singapore firm.
This electronic report contains information about your company. It contains information such as your registration number (UEN), registration date, and shareholders.
This profile will be necessary in order to register a corporate bank account, apply for licenses and permissions, and do due diligence on possible business partners.
3. Establish a bank account
After you have formed your company, you may establish a bank account in Singapore. You may choose from a number of local and international banks.
Some common choices include:
- DBS
- UOB
- OCBC
- Maybank
What Makes Singapore a Favorite Business Destination?
Singapore has always been a popular destination for enterprises from across the globe to establish themselves in the area. It’s no surprise, given the following main impacting factors:
Low taxation
Singapore’s corporate income tax rate is 17%. Companies that are fresh startups might also benefit from tax exemptions and discounts.
The Start-Up Tax Exemption Scheme and the Partial Tax Exemption Scheme are two examples.
You may also benefit from its extensive network of Double taxes Avoidance Agreements (DTAA) to avoid double taxes. It will come in handy if you are seeking for business prospects and investments outside of Singapore.
Infrastructure of the highest caliber
The Lion City is a regional infrastructure center that scores #1 on the CMS Infrastructure Index.
It boasts a robust infrastructure ecosystem that encompasses transportation, communications, political stability, an advisory services network, and investment regulations.
Doing Business Ease
In Singapore, starting a company is straightforward. It just needs S$1 for your first paid-up capital, as well as other fundamental prerequisites that are detailed below.
If there are no concerns, your company may be formed in about 1-3 business days, making it fast and uncomplicated.
Pool of Local and International Talent
Companies expanding into Singapore may be confident that they will have access to a pool of both local and international talent. The government has increased its attempts to solidify its status as a talent center by implementing new plans and laws.
For example, it just announced the new Overseas Networks and Expertise (ONE) Pass, which is aimed towards the crème de la crème.
Singapore also develops local talent and leaders via programs such as the Global Ready Talent Programme (GRT) and the Startup SG Talent Scheme.
Ample Support
Singapore is noted for its efficient administration. Government agencies collaborate to assist companies in establishing themselves and growing in the nation.
Among the agencies that your company may choose are:
- The Economic Development Board (EDB) is a government agency.
- ACRA is the Accounting and Corporate Regulatory Authority.
- Singapore Enterprise
- SFA (Singapore Food Agency)
Business Procedures Following Incorporation
Post-registration activities may also include:
- Licenses and permissions – Some company operations need government approval or a license. Private schools, video firms, travel agencies, liquor distributors, money lenders, banks, financial consultants, childcare facilities, and liquor importers, wholesalers, and retailers are some examples.
- Registered office hours – Your office address and hours must be registered.
- Registration number – The ACRA business registration number must appear on all papers used for formal business interactions.
- Customs registration – If your firm imports or exports goods, you must register with Singapore Customs.
- Registration for the Goods and Services Tax (GST) – GST is a tax levied on the supply of goods and services in Singapore as well as the import of commodities into the country. If your yearly taxable revenue reaches S$1 million, you must register for GST.
- Registration with the Singapore Central Provident Fund (CPF) – The Central Provident Fund (CPF) is a mandatory pension fund program in which both the employer and the Singapore citizen/permanent resident employee pay a percentage of their monthly wage to the fund.
