Incorporation Requirement
Different types of company registration
Ecovis Singapore provides a comprehensive range of services relating to business formation, including:
- Incorporating of a private limited company
- Incorporating of a limited liability partnership (LLP)
- Registration of a branch in Singapore
- Registration of Singapore Representative Office
- Assist formation of offshore companies (e.g. British Virgin Islands, Cayman Islands, etc)
- Connecting or assisting with incorporations overseas entity (e.g. Malaysia, Thailand, Hong Kong, China, Indonesia, etc)
Our work does not end with business setup. We support every stage of a business development from company incorporation to regional expansion. We provide one-stop solutions to business.
Benefits of Incorporating a Private limited company
Private limited company is the most preferred and common business form in Singapore. The majority of companies in Singapore are registered as companies limited by shares. The reasons are:
- A private limited company is a legal entity on its own separate from its owners. Therefore, company’s directors and shareholders are not liable for company’s debts
- The company’s share can be 100% owned by a foreign individual or company
- A private limited company enjoys special tax exemptions
- No taxes on first S$ 100,000 taxable income for first three years from incorporation
- Effective tax rate as low as 5.6% on taxable income of up to S$ 300,000
- Low flat tax rate of 17% on taxable income above S$ 300,000
- Zero taxes on capital gains and dividends income
- No controls or restrictions on repatriation of profits to investors
Incorporation Requirement
A company can only be incorporated upon the approval of its proposed name. The proposed name can only be accepted if it is not identical names; undesirable (offensive, abusive or obscene); Restricted names (that minister has directed the Registrar not to accept).
A Singapore company can be incorporated with a minimum of one director. If the company has only one director, that director must be ordinarily resident in Singapore, that is, he must either be a Singapore citizen, Singapore Permanent Resident or an Employment Pass Holder. A company can have one shareholder who may be an individual or a corporate entity. There is no restriction on foreign equity participation in a Singapore company.
There must be at least one company secretary who shall have his/her principal or only place of residence in Singapore. Every company must have a registered office in Singapore to which correspondence may be sent.
In summary, the requirements to form a company are as follow:
- Approval of proposed company name
- At least one local director
- At least a qualified company secretary
- Singapore registered address for the proposed company
- Minimum one shareholder
- Minimum paid-up share capital is S$1
Please contact our consultants if you need further advice on how to form a Singapore company.
