8 major tips for incorporation of singapore company
  • May 20, 2022

Singapore is considered a heaven for businesses and rightly so!! Singapore has one of the best infrastructures, business-friendly taxation policies, and easy immigration rules, and above all Singapore is the world’s second-best economy and it can be a great gateway to expand your business to Asian countries.

So, if you are looking to expand your business or want to start a business in Singapore, here is a guide that can help you do so. Although company registration in Singapore is easy, you have to take care of certain rules and regulations which can be a bit tricky for you. Here are 8 tips that will help you with the incorporation of Singapore Company.

1. Understand the Requirements

Understanding the requirements is critical for completing any government or official work. The better you understand the requirements the better you would be able to do it and your time would not be wasted. So, let’s understand what are the requirements for any company that provides registration service in Singapore?

  • You must have at least one shareholder. It can be a company or an individual. Moreover, it can also be a foreigner.
  • You can register a company with a capital of just 1 S$. Obviously, it is not enough but it is the requirement for company incorporation and you can invest as much money as you want.
  • You must appoint at least one director to register a company. It must be a person and resident of Singapore.
  • You must appoint a company secretary. The company secretary must be a resident of Singapore.
  • Have a registered address for the company office. It must be a physical address and PO Box numbers are not acceptable.

2. Choose A Corporate Structure For Your Company

The first thing you should do is determine what would be the corporate structure of your company. This will help you answer many questions asked during the incorporation process. For foreigners, there are three types of corporate structures.

  • Subsidiary Company: A subsidiary company is the most popular corporate structure for foreigners who want to start a business in Singapore. The foreign parent company can hold the majority of the shares and the subsidiary company is a separate legal entity in Singapore. This means that the parent company is not responsible for any debts. Liabilities, or assets acquired by the subsidiary company. The subsidiary company can have a different name from its parent company and its scope of work can also differ from its parent company.
  • Branch Office: A branch office is an extension of the parent company and unlike the subsidiary company, the parent company is responsible for any debts, liabilities, and assets acquired by the branch office. The branch office is liable to acquire the same name as the parent company and their scope of work must also be the same as their parent company.
  • A Representative Office: A representative office is a great option for foreign companies who want to explore the Singapore market. They don’t have any legal status and they cannot perform any commercial or profitable activities. The representative office must have the same name as the parent company and the parent company is completely liable for the representative office.

3. Get Your Company Name Approved

The next step is to get your company name approved by ARCA. Following are the requirements or guidelines to choose a name for your company:

  • The company name should be unique and must not be similar or identical to any existing company in Singapore.
  • You cannot choose a name if it is already been reserved by a person or entity.
  • The company you choose must not violate any trademark or copyright rules.
  • The name you choose must not be obscene or vulgar and must not include any obscene or vulgar words.

4. Hire A Resident Company Director

For incorporation of a Company in Singapore, you must appoint a company director who fulfills the below criteria:

  • He must be a Singapore citizen, a Permanent resident of Singapore, or holds a valid Singapore pass.
  • He can also hold an employment pass but in such a case he must seek a Letter of Consent (LOC) from the Ministry of Manpower before being appointed as Company Director.
  • He must be an adult that is at least 18 years old.
  • He must not have any criminal record.
  • He must never have been declared bankrupt.

If you fulfill all the above criteria, you can be the company director. There is no obligation for the owner to be the company director.

5. Hire A Company Secretary

Just like a company director, hiring a company secretary is also required for company incorporation in Singapore.

  • A corporate secretary must be at least 18 years old.
  • He must have sound knowledge of Singapore corporate practices.
  • He must be a Singapore citizen, Permanent resident of Singapore, or Singapore pass holder.

A company director can also be a company secretary. However, if you have more than one company director, you must appoint a new company secretary.

6. Register Your Company Address

Another key requirement of company registration in Singapore is you must have a registered office address. This address will be used as your official address and you will use it for all your official communications. So, this address must fulfill some requirements:

  • It must be a physical location and not a PO Box number.
  • It must be located in an area marked for industrial, office, or commercial purposes in Singapore.
  • The office must operate for at least 5 hours a day and during business hours.

You can also opt for virtual or co-working options but they have certain limitations and you must consult company incorporation services Singapore provider to help you with it.

7. Complete Registration Documents

Now that you have fulfilled all the requirements, you must complete the documentation. Here is a list of documents you will need for complete registration:

  • The company name
  • Brief description of business activities
  • Shareholders’ particulars
  • Company Directors’ particulars
  • Registered address
  • Company secretary particulars
  • Company’s constitution
  • The last day of your fiscal year.

If you are engaging a third party, you need to provide the following document as well.

  • For non-residents: a copy of passport, address, and other documents.
  • For Singapore residents: a copy of the Singapore identity card.
  • For corporate entity holders: a copy of registration documents.

Make sure that any non-English language documents are accompanied by a notarized translation.

8. Register with ACRA

The last step of Singapore company incorporation is to register with ACRA. The process is relatively simple and ACRA has digitized it. You will need to login to BizFile website with your identification card number and Sign Pass. However, if you don’t have a Sign Pass, you can consult company that provides incorporation services in Singapore to help you with the process.

TN Corporate Management Pte Ltd is a trusted corporate and company incorporation services provider in Singapore. Since 2004, we have helped many new businesses register and establish their business in Singapore. Feel free to contact us for corporate help or any company that provides registration service in Singapore.