A Businessman Working With A Lot Of Documents

What You Need to Know About Incorporating a Company in Singapore

The incorporation of a company or registration of an entity is an important step all new businesses must take in Singapore. Besides, in order for your business to sell or conduct business legally in the country, it must be registered with the Accounting and Corporate Regulatory Authority (ACRA). However, procedures for registration of an entity and incorporation can get a bit tricky for those who are unfamiliar. In this article, we aim to give you an overview of the things you need to know to help you get started.

Types of Business Entities in Singapore

Singapore offers many business structures to choose from when one plans to set up their business in Singapore. Each of these types feature its own requirements and grants you different benefits. Common options include sole proprietorships (registration of business name), partnerships, limited liability partnerships, and private limited companies. Among them, the private limited company is the most preferred due to the advantages that come with it. Public companies limited by guarantees are commonly used for charities and other non-profit organisations. To find out more, read our article on the types of business entities in Singapore

Company Registration Procedure

The company registration or incorporation process in Singapore is relatively simple, but it requires companies to adhere to specific procedures and fulfil various requirements. 

Step 1: Select a unique name for your company. You’ll need to ensure that the name complies with the ACRA naming guidelines and does not infringe on existing trademarks or by obscene and offensive. You may only proceed with registering your company after the name is approved. 

Step 2: Now, if you are incorporating a simple private company with individual directors and shareholders who are in Singapore, you may choose to start the registration process by applying online through the BizFile+ portal. However, you’ll need to have or provide the following:

  • A Singpass (for all Directors and Shareholders) to access the online portal
  • Your chosen and approved company name
  • A brief description of your business activities
  • A local address in Singapore to serve as your company’s registered address. This address will be used for official correspondence and must be accessible to the public during regular business hours that meets the requirements of the Companies Act 1967.
  • The particulars for your shareholders, directors, and company secretary
  • The amount of share capital for your company

Do keep in mind that it is mandatory for you to appoint a resident director who is a Singapore citizen, permanent resident, or holder of an employment pass/entrepass (subject to conditions). This is to ensure the company complies with local regulations and fulfils statutory obligations. While foreigners can serve as directors, a local resident director is necessary to meet legal requirements.

Learn More: Compliance Requirements for Companies in Singapore

Step 3: Prepare the necessary documents and information for submission. These include:

  • Constitution (needs to comply with the requirements of the Companies Act 1967 
  • Particulars of shareholders, directors, and company secretary
  • Details of share capital including the number of shares, amount issued and amount paid-up

Step 4: Submit your application on the BizFile+ portal and pay the registration fee, the amount of which will depend on your chosen business entity. 

Singapore’s attractive business environment is a great place for businesses to venture into. Whether it’s our robust economy, low corporate tax rates, or excellent infrastructure, there are lots to benefit from when you choose to set up a base here. If you’re planning to do so, we hope that this article has helped you understand the company incorporation process in Singapore.

But if going through all the paperwork yourself is something you are not keen on, there are company incorporation services that you can tap on for assistance. 

K E Wee & Associates PAC offers professional services to help with new company incorporation, registration, and even GST compliance. Drop us a message today for more information.