Generally, anybody who intends to carry out business in Singapore must register with ACRA (Accounting and Corporate Regulatory Authority) which is the Singapore Registrar for Businesses. This allows members of the public to search and verify information about your business and its owners. It also makes it easy for customers to identify and transact with your business. Business owners will be able to participate in government tenders, secure intellectual property or patents for new products and technology or access to government funding. Why choose to start a business in Singapore?
- Business-friendly policies
- Strategic location
- Superb connectivity
- Conducive business environment
- Highly-developed infrastructure
- Economic and political stability
- Simple and investor-friendly tax regime
Simple rules for businesses:
- The minimum age for registration is 18 years old.
- At least one person is residing in Singapore
- For business, LLP and LP, owner or partner need to contribute to Medisave
- Comply with all requirements for registration
- Continue to comply with post-registration requirements
If you are a foreigner who wishes to set up a business entity in Singapore, you will need to:
- Engage the services of a registered filing agent to submit the online application on your behalf.
- Employ a director who resides in Singapore.
- Eligible foreigners may also consider applying for an Employment Pass with the Ministry of Manpower (MOM) in order to be eligible.
Foreigners can consider 4 types of set up:
- Transfer of Registration (Re-domiciliation)
- Setting up a Representative Office
- Incorporate a Subsidiary Company
- Registering as a Foreign Company (Branch Office)
A quick glance at registration:
- Choose a Name
- It should not be identical or similar to an existing business name
- It should not consist of undesirable names which are vulgar, obscene or offensive
- Or name prohibited by order of the Ministry for Finance
- Register the name with ACRA
- The name will be reserved for 120 days upon approval
- Select which type of entity
- Sole Proprietorship or partnership
- Limited Partnership
- Limited Liability Partnership
- Company
- Each has different characteristics and different regulatory obligations to observe
- Specify your business activity
- You have 2 choices of business activities
- Choose relevant SSIC code that corresponds to your business activity
- Registered business address
- It is a place where all communications and notices may be addressed and where register and records are kept
- It must be accessible to the public during normal office hours
- It can be the place where you carry out your business
- Or you may use your residential address but you need to seek approval under Home Office Scheme from HDB or URA
- Post Office Box is not allowed to use
Other useful information after registering your business:
- Opening a corporate bank account
- Apply for a corporate bank account with Bank of China, DBS Bank, Maybank, OCBC Bank, State Bank of India or UOB
- Taxation
- Liable for certain tax such as income tax, corporate tax, goods & services tax (GST)
- Medisave Contribution for Self-employed Persons
- Applicable to Singapore Citizens and Permanent Residents
- If yearly net trade income is more than $6,000, you need to contribute to Medisave
- Domain name reservation
- You can reserve your preferred domain names (ending with “.com.sg” or “.sg”) with the Singapore Network Information Centre (SGNIC)
- Corp Pass
- Corporate digital identity to transact with government agencies online
- The single login method for all government-to-business transactions
- Licences and Permits
- Visit GoBusiness licensing website to check if you require a licence or permit from government agencies before commencing business
- New traders can activate customs account easily and apply for import, export, or trans-shipment permits or certificates
- Employment Obligations for Employers
- WorkRight Initiative to understand employees and employers’ rights and obligations respectively
- Application of Central Provident Fund (CPF)
- If you intend to hire employees, you will require a CPF Submission Number (CSN) to make monthly Central Provident Fund (CPF) contributions for them.
- Applying for Work Injury Compensation Insurance
- All employers are required to cover Work Injury Compensation Insurance (WICI) for all their local or foreign employees who are under a contract of service or contract of apprenticeship, regardless of salary, age, or nationality.
- Cyber Security for Business
- To boost cyber resilience for your business entity
- Registration of trademark
- A trademark is a sign that you can use to distinguish your business’ goods or services from those of other traders.
- It can be represented graphically in the form of your company’s name or logo
- Subscription to GeBIZ Alerts
- An e-service offered by Enterprise Singapore which updates subscribers on the latest Government procurement opportunities
- Subscription to SME Portal Newsletter
- Get updates on the latest business insights.
- Provide information, tools and services that can help them build sustainable and competitive businesses.
In the process of growing your business, you may also require services like:
- Bookkeeping and management accounts
- Preparation of financial statements and group financial statements
- Tax and GST reporting
- Payroll services*
- Employment pass, DP and other passes
- Audit services
- Website creation, web hosting and email setup
*Payroll services include:
- Process net salary, CPF and other statutory contributions
- Generate payroll details and summary reports
- Submit CPF contributions electronically
- Process and e-file NS man reservist claims
- Process and e-file child care leave and maternity leave claims
- Issue electronic pay advice
- Prepare hard copy or electronic Forms IR8A
- Prepare hard copy or electronic Forms IR21
- Attend to survey from CPF Board
At Mi2u, we provide support to your business at every stage. We have an extensive network of business associates to bring you a comprehensive range of services that will help you manage some of your administrative functions. We are on the ground with you and regardless of the size of your business or the complexities of any services required, we will guide you through.
