Detailed Guide on Steps to Establish a Company in Singapore

1. Why Establish a Company in Singapore?

Singapore is one of the most business-friendly countries in the world. With its attractive tax policies, straightforward procedures, and advanced infrastructure, Singapore attracts many entrepreneurs from around the globe to invest and set up businesses.

2. Types of Business Entities in Singapore

Before starting the registration process, you need to choose the right type of business entity. In Singapore, the main types of business entities are:

• Private Limited Company
• Sole Proprietorship
• Partnership

3. Legal Requirements for Establishing a Company in Singapore

To establish a company in Singapore, you must meet the following legal requirements:

• At least one director must be a Singapore citizen, permanent resident, or holder of an Employment Pass/EntrePass/Dependant Pass
• At least one shareholder, which can be an individual or a corporation
• A registered address in Singapore
• A Company Secretary within six months of incorporation

4. Steps to Establish a Company in Singapore

The process of establishing a company in Singapore involves the following steps:

Step 1: Choose a Company Name

The company name must be unique and not infringe on any trademarks. You can check the availability of the company name on the Singapore Accounting and Corporate Regulatory Authority (ACRA) website.

Step 2: Prepare the Required Documents

The necessary documents include:

• Company name approval from ACRA
• A brief description of business activities
• Details of shareholders, directors, and company secretary
• Registered address
• Company constitution (formerly known as Articles of Association)

Step 3: Register the Company with ACRA

Submit the application along with the required documents to ACRA. The registration process is typically completed within a few hours if all documents are in order.

Step 4: Open a Corporate Bank Account

Once the company is incorporated, you need to open a corporate bank account. Most major banks in Singapore offer business banking services.

Step 5: Obtain Necessary Business Licenses and Permits

Depending on your business activities, you may need to obtain specific licenses and permits. Check with the relevant authorities to ensure compliance.

Step 6: Register for Goods and Services Tax (GST)

If your company’s annual turnover exceeds SGD 1 million, you must register for GST with the Inland Revenue Authority of Singapore (IRAS).

Step 7: Comply with Ongoing Statutory Requirements

After incorporation, your company must comply with ongoing statutory requirements, including annual returns filing, financial statements, and holding annual general meetings (AGMs).

5. Tips for a Successful Start

Here are some tips to help ensure a successful start for your company in Singapore:

• Engage a professional services firm for guidance on compliance and regulatory matters.
• Develop a robust business plan to guide your operations and growth strategy.
• Network with local business communities and industry groups to establish connections and gain insights.
• Utilize Singapore’s government grants and incentives for startups and SMEs.

Source: CompanyPlanX