Before starting a company in Singapore, business owners need to meet the minimum requirements for incorporation. The process is online and applies to both local and foreign entrepreneurs. The first step is choosing a suitable business structure.
A private limited company (Pte Ltd) offers more benefits than a sole proprietorship. With a Pte Ltd, owners are not personally liable for company debts. Additionally, the company can access credit from both local and global financial institutions. Revenue is taxed at corporate tax rates, and the company can enjoy tax incentives and exemptions.
To start a company in Singapore, you need to meet the following requirements:
Choosing Your Business Name
Pick a unique business name and check its availability on BizFile+. If the name is already registered, consider alternative names or slight modifications. We can assist with the approval process to ensure your name complies with all regulations.
Applying for the Name
Submit your chosen name through BizFile+ for a fee of 15 SGD. Once approved, the name is reserved for you for 120 days. Complete your company registration within this period to keep the name exclusive. If needed, additional checks may be required for names with specific terms.
Company Name Approval:
Choose and get approval for your business name. We’ll help ensure it meets all regulations.
Directors:
You need at least one local director (Singapore citizen). Additional directors can be local or foreign, as long as they are over 18, not bankrupt, and have no past wrongdoing. If needed, our nominee director service can assist.
Shareholders:
Your company can have 1 to 50 shareholders, who can also be directors. Shareholders can be from anywhere, with up to 100% foreign ownership allowed. Shares can be transferred or issued later.
Company Secretary:
Appoint a qualified local company secretary within six months of registration. One person cannot be both director and secretary. We can arrange this for you.
Paid-Up Capital:
A minimum of 1 SGD is required to start. This amount can be increased later. Inform the registrar after opening a bank account and depositing the funds.
Registered Address:
Provide a real Singapore address (home or business, not a P.O. Box). We can offer our address as your registered address.
Tax Benefits:
Singapore IRAS offers several Corporate Income Tax Incentives, Rebates & Tax Exemption. No taxes on capital gains or dividends.
Sole Proprietorship:
Simple structure run by one owner who has full control and responsibility for debts and legal issues.
Partnership:
Similar to a sole proprietorship but with 2 to 20 partners.
Limited Partnership (LP):
Includes at least one general partner (fully responsible) and one limited partner (liable only up to their agreed contribution). No separate legal entity.
Limited Liability Partnership (LLP):
At least two partners create a separate entity. Partners are not personally liable for each other’s actions.
Local Company:
Has perpetual succession, can own property, and can sue or be sued.
We offer various packages to suit your business needs. Choose the one that fits your requirements. Consider if you need additional services like:
It's important to open a company bank account to keep business and personal finances separate and to track business finances for taxes. Typically, banks require key directors to be in Singapore to sign the necessary documents. Some banks might allow signing at their international branches or in front of a Notary Public. Additional documents like corporate account opening forms and certified copies of resolutions or the certificate of incorporation may be needed on a case-by-case basis.
Looking to set up a company in Singapore? Let Clooud Consulting streamline the process for you. We ensure full compliance with Singapore's company laws and regulations so you can focus on growing your business.
Now you have learned about the minimum requirements for starting a company in Singapore. Leave the complexities of company regulations to us. Contact Clooud Consulting now and let us help you establish your business in Singapore effortlessly.
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