Singapore is one of the best places to do business in the world, according to the World Bank. It is known that Singapore has a pleasant tax regulation and system that makes it easy for entrepreneurs to start their companies in the country. It only takes approximately three days for someone to start a business in Singapore, as long as the applicant follows the rules and regulations accordingly.
To set up a company in Singapore, you must first go through a company registration in Singapore process and get approved by the law. But in order to do that, there are certain documents and prerequisites you must fulfill.
1. Decide on a Business Entity
Before anything else, you must determine what type of business you are going to run in Singapore. There are a lot of different options where the laws also vary for each. Commonly, many new companies register as private limited companies with the Accounting & Corporate Regulatory Authority (ACRA). A private limited company is a business which shares are held by a maximum of fifty people. It is not available to the general public. It is the type of business entity that’s advanced, scalable as well as flexible, that’s why it is the most preferable in Singapore especially for serious entrepreneurs.
2. Incorporate Your Company
Now that you’ve decided on a type of business entity, you will need to register it with ACRA and the Inland Revenue Authority of Singapore (IRAS). Private Limited Companies in Singapore are governed by the Singapore Act. To have your company set up, you must fulfill the requirements of:
Having a company name that’s approved by ACRA
Having shareholders of a minimum quantity of one person
Having a director appointed of the company who is a Singaporean and resides within the country
Hiring a company secretary that’s also a Singapore resident
Paying up capital of at least S$1
Create a registered address that’s a physical office and must be located in Singapore
It is recommended for a newly incorporated Singaporean company to purchase a Business Profile that can be acquired from ACRA. A Business Profile contains information and report details of your business such as registration number (UEN), registration date, the name of shareholders, and other important data. A Business Profile is also required for opening a bank account for your company and apply for licenses and permits if necessary.
3. Open Up a Bank Account
After getting your company registered within the required boards, you may open a bank for your business, whether it is a local Singaporean bank or international banks depending on your necessity.
4. Additional Steps After Business Incorporation
You may need to get your business related licenses and permits, depending on the type of business your company runs. You will also need to register office hours and acquire a registration number that’s issued by ACRA. You might also need to register with the Singapore customs if your business involves the activities of import and export, as well as registering for Goods and Service Tax (GST).