Congratulations on deciding on your new business venture! To seal the deal, you’ll have to incorporate your company in Singapore. This means to formally register your business on our shores.
It is relatively easy to incorporate a company in Singapore. With easy online application options and low initial capital required, Singapore is one of the best places in the world for striking out on your own.
Our step by step guide will take you through the process of incorporating a company in Singapore, starting with a checklist of things to take note of.
Why should you open a company in Singapore?
There are many reasons why foreign business owners, entrepreneurs and corporations all over the world choose Singapore. After all, the country is well-known as Southeast Asia's startup hotspot, with a thriving economy and business-friendly ecosystem that's conducive for growth. If you're still on the fence, here are (just some) of the main reasons for starting a company in Singapore:
- Strong government support for start ups
- Low tax rates
- World-class legal system
- No limitations on foreign ownerships
- Zero capital gains tax
- Strong government support
For a more in-depth look at why you should consider setting up a company in Singapore, be sure to check out this article.
What you’ll need to know before incorporating a company in Singapore
Registering your company might be an easy process, but there are some things you’ll need to have to prepare. Before starting the incorporation process, see if you’ve checked these requirements off the list:
1. Company Name
Your company name has to be approved prior to the incorporation process
2. Share Capital
The minimum share capital (or paid-up capital) needed to incorporate a company in Singapore is S$1. This value can be increased at any time after your company has been incorporated.
3. Directors
An unlimited number of local or foreign directors can be appointed in your company, but at least one has to be a Singapore resident. Singapore residents include anyone who is a Singapore Citizen, Permanent Resident, or Employment Pass holder.
4. Shareholders
Your company can have anywhere from 1-50 shareholders. These can consist of both local and non-local individuals or companies, and can be made up of entirely non-local shareholders. Shares can be transferred after your company has been incorporated.
5. Company Secretary
Your company will have to appoint a qualified company secretary within 6 months of incorporation. This person has to be a Singapore Resident, and cannot be a shareholder or the sole director of your company.
6. Registered Address
Having a local, physical address is compulsory if you’re incorporating a company in Singapore. The registered address cannot be a P.O. box, but can be residential or commercial.
If you’re not a Singaporean Resident and would like to incorporate a company, click here for more information.
All set? These are the 3 final steps to incorporate a company in Singapore:
All companies in Singapore are registered through the Accounting and Corporate Regulatory Authority (ACRA) services, and can be wrapped up in a day. Here’s what you have to do:
1. Get your company name approved
Your company name will first have to be approved by ACRA. This procedure can usually be completed in an hour.
Want your company name to be approved quickly? Make sure that the name:
- Is not reserved
- Is not identical to an existing business or company in singapore
- Does not include obscene or vulgar language
- Does not infringe on copyright
Approval time might be delayed if your proposed company name contains regulated words such as: bank, finance, law, or media.
If approved, your company’s name will be reserved for up to four months.
2. Gather your incorporation documents
Once you’ve gotten your company’s name approved, you’ll need to get the following documents ready:
- Company name
- Description of business activities
- Company Constitution
- Director’s particulars
- Shareholder’s particulars
- Company Secretary’s particulars
- Address proof documents
A company constitution is a legal document that lays out the business’s regulations, structure, and shareholder rights.
3. Register with ACRA
Once you’ve prepared these documents, head to the ACRA website to incorporate your company. The incorporation fee is S$315.
Registration is conducted online and normally takes less than an hour. In some cases, ACRA might request for more information from your shareholders or directors.
What’s next after incorporating a company in Singapore?
You’re all set and ready to start your business. After successfully incorporating a company, the next course of action is opening a business account in Singapore.
Not sure which business account is the best for your company? We’ve compiled a handy comparison guide on the best business bank accounts in Singapore for your needs.
But what if we told you that you could incorporate a company and open a business account all in one day?
At Aspire, we offer four online company incorporation packages via Aspire Kickstart, of which two are tailored to foreign directors.
Local directors, we haven’t forgotten about you. Register your company online with Aspire Kickstart for only S$280. That’s 11% cheaper than if you incorporated your company online yourself.
The best part? Registration is 100% online. It takes just five minutes. Register your company in Singapore with Aspire Kickstart today.
Frequently Asked Questions
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