Setting up a company in Singapore is a relatively straightforward and comparatively inexpensive process. The prices range for company incorporation in Singapore may vary depending on the corporate secretarial agency engaged and the expected intricacy of the services.
Overview Of The Minimum Requirement For Incorporating A Company In Singapore
Before incorporating a Singapore company, business owners need to ensure they have fulfilled the minimum requirements for company incorporation. In Singapore, the process of company incorporation for both local and foreign entrepreneurs involves an online process. The first step they need to do is to select a suitable business structure.
A private limited company or Pte Ltd business entity offers more advantages over Sole Proprietorship. With a private limited company, business owners will be free of company debts liability. Also, the company will have greater access to credit facilities from both local and global financial institutions. Revenues are taxed at corporate tax rates, and the company will enjoy tax incentives and exemptions.
Some key requirements to incorporate a company in the country include:
- Approved company name: Business owners need to get their company name approval from ACRA. They can submit a name application through ACRA’s electronic portal called BizFile+.
- Appointing directors: Business owners need to have at least one resident director for company registration. The director can be either Singaporean, a permanent resident or an individual with a valid employment pass. A foreign company with no local people to appoint as a director can find a nominee either by itself or through professional agencies. The foreign company can also appoint its Singapore hired personnel as its company director to fit their needs.
- Appointing a qualified company secretary: The Singapore Companies Act requires every registered company in the country to appoint an eligible corporate secretary within six months of its incorporation. If the company only has one director or shareholder, business owners need to appoint a separate natural individual to become the company’s secretary.
- Shareholders: Private limited Singapore companies need to have at least one and not more than fifty shareholders. Shareholders can be a person or another legal entity.
- Registered office address: When registering with ACRA, the company needs to have a local Singapore address. The address should not be a P.O. Box.
- Paid-up capital: When starting a Singapore company, business owners need to prepare a minimum paid-up or share capital of SGD 1, which means they only need minimal investment. They can raise the capital at any time after registration.
Related Fees for Company Incorporation in Singapore
The online company registration process via the BizFile+ helps the overall fees. The following are the relevant fees for company incorporation in Singapore.
- ACRA’s company incorporation fees:
- Name application: SGD 15
- Registration fee: SGD 300
- Total administrative fees: SGD 315
- Other potential ACRA fees:
- Annual filing: SGD 60
- Conversion within types of company: SGD 40
- Notice of Error lodgement: SGD 60
- Registration of particulars associated with charges: SGD 60
- Amalgamation registration: SGD 400
Although Singapore’s company registration process is relatively straightforward, business owners may need professional help to do it correctly. Moreover, Singapore law does not permit foreign entrepreneurs or entities to self-register their companies. Therefore, reliable Singapore incorporation services are necessary for the smooth and legally-compliant company incorporation.
The cost of company registration differs depending on the services that the business owners want. The incorporation packages offered by agencies in Singapore usually range between SGD 500 and SGD 1500. The following are some typical company incorporation fees that business owners can expect when working with a services firm:
- Registered office address provision: SGD 110 TO SGD 420 for one year
- Company secretary services: SGD 1800 to SGD 2000 for one year
- Employment pass application: SGD 800
- Striking-off company: From SGD 600
Business Owners May Also Need the Help of a Professional Accounting Service. Below Are the Estimated Changes for This Service:
- Accounting system setup: From SGD 350 to SGD 400 (one-time fee)
- Bookkeeping: From SGD 250 to SGD 2500 every month
- Corporate tax filing: From SGD 350
- Financial statements compilation: From SGD 400 onwards
- Application for GST: From SGD 300
Getting Help From a Professional Company Incorporation Services Provider in Singapore
Professional company incorporation Singapore agencies have the expertise on incorporation regulations and registration process. They help business owners, especially foreign entrepreneurs, set up a Singapore company correctly and compliantly.