There are many benefits of incorporating your company in Singapore, even if you're not a Singapore citizen, and we at Cityhub can help.
Are you a foreigner looking to set up a company in Singapore?
Look no further! Singapore is the perfect choice for foreign company incorporation, with a multitude of benefits that will help your business thrive.
Reduced tax liability
Firstly, there are tax benefits to incorporating in Singapore. The tax system is simple and low, with tax incentives, relief measures, and no capital gains or dividend tax. Plus, foreign-sourced income can be exempt from Singapore tax.
Incorporating in Singapore also communicates credibility and a serious legal entity, as Singapore is not a tax haven. This will help your business gain the respect and trust of stakeholders like employees, bankers, and other professionals.
Singapore is also known for its easy incorporation process. Ranked as the world’s second easiest place to do business, the registration process is quick, efficient, and free of bureaucratic red-tape.
Open Foreign Ownership Policy
There’s a liberal foreign ownership policy, with 100% foreign shareholding allowed in all sectors and no prior approval required from Singapore authorities.
Stable Political Environment
Political stability is also a significant benefit. Singapore is rated as the most politically stable country in Asia with a high integrity and pro-business approach. The level of risk involved in setting up and operating a Singapore offshore company is minimal, making it an ideal location for businesses.
Advanced Banking Services
Sophisticated banking facilities are also available in Singapore, with a broad choice of reputable local and foreign banks for opening an account. Banks in Singapore offer a wide array of attractive features, making it easy for your business to manage its finances.
Checklist for Incorporation in Singapore
CityHub can help you with the incorporation process, including bank account opening, GST registration, ongoing compliance requirements, and more. The incorporation process is quick and can be accomplished in a single day in most cases.
1. Company Name Approval
- The proposed name of your Singapore company must be approved by the Company Registrar prior to incorporation.
- Company name reservation is part of CityHub’s foreign company incorporation service.
- Minimum of one local resident director (Singapore citizen, Singapore permanent resident, or Singapore work pass holder)
- Any number of additional local or foreign directors can be appointed. Directors must be natural persons and above 18 years of age.
- If you are unable to satisfy the local director requirement, CityHub offers nominee director service.
- A minimum of one local or foreign shareholder is required.
- There can be a maximum of 50 shareholders.
- A director and shareholder can be the same or different person. A shareholder can be an individual or corporate body.
4. Company Secretary
- A local resident and qualified company secretary is required.
- Company secretary must be a natural person and not a corporate body.
- A sole director/shareholder cannot act as the company secretary.
- CityHub can act as the company secretary for all companies incorporated in Singapore.
5. Paid-up Capital
- Minimum paid-up capital of S$1 is required.
- No authorised capital required.
6. Registered Address
- The company must have a local registered address (commercial or residential).
- A PO Box is not allowed.
- CityHub provides registered address service for all offshore companies they incorporate.
7. Appointment of Incorporation Agent
- It is important to engage a professional firm such as CityHub to register a Singapore offshore company.
- Singapore law does not allow foreign individuals or entities to self-register an offshore company in Singapore.
8. Documents Required for Incorporation
- Passport copies of proposed shareholders and directors
- Residential address proof of proposed shareholders and directors
- Details of the parent company if the shareholder is a corporate entity
9. Bank Account Opening
- CityHub can assist you with bank account opening for your company in Singapore.
10. Registration for GST
- If your company needs to register for Goods and Services Tax (GST) in Singapore, please refer to Singapore GST registration guide.
- CityHub can assist you with GST registration and ongoing compliance, if you decide to register for GST.
11. Obtain Business Licenses or Permits
- Certain types of businesses such as retailers, construction firms, and hotels require a a business license or permit.
- The business license(s) must be obtained from the relevant government agencies after company incorporation but before commencing business operations.
- CityHub can assist you with business license application filing if required.
12. Follow Ongoing Compliance Requirements
- After the company has been incorporated, we can assist your company with ongoing compliance and filing requirements including year-end accounting and tax filing matters.
13. Relocation to Singapore
- You are free to incorporate and operate your Singapore offshore company from overseas without the need to relocate.
- You can visit Singapore on a visitor visa whenever required, to attend to company matters on a short-term basis.
- If you plan to relocate to Singapore to operate your company, you must obtain either an Employment Pass or Entrepreneur Pass type of work pass.
- We can assist you with filing your work pass applications as required.