News & Updates
Company Registration Singapore
October 18, 2023
Ensuring efficient and streamlined processes is vital to driving growth and prosperity for commerce businesses. Among the crucial processes is the Goods and Services Tax (GST) registration, which plays a pivotal role in Singapore’s business landscape. GST registration services offer significant advantages to businesses, enabling them to thrive and flourish in a competitive market.
In this blog, we will delve into the benefits of GST registration services and how they empower businesses. But first, let us get to know what GST registration in Singapore is and why businesses should register. Read more below!
The Core of GST Registration in Singapore
GST registration holds importance for companies in Singapore as it is a mandatory requirement for businesses engaged in the supply of goods and services. Once a company’s annual taxable turnover exceeds or is expected to exceed SGD 1 million, it becomes obligated to register for GST. By becoming a GST-registered entity, the company is required to charge GST on its taxable supplies to customers and pay GST on its purchases from other GST-registered businesses.
One of the key benefits of GST registration is the ability to claim Input Tax Credit (ITC), which allows companies to offset the GST paid on their purchases against the GST collected on their sales, thereby minimising the tax burden. A GST-registered company in SG has enhanced credibility, signalling its compliance with tax laws and professional standing. This credibility can attract more customers and business partners, providing a competitive advantage, especially when pursuing government contracts and tenders, as many require GST registration.
For companies involved in international trade, having a GST registration in Singapore can facilitate cross-border transactions and open up global business opportunities. Proper GST compliance and timely remittance are essential to avoid penalties and legal consequences, making it vital for companies to understand and adhere to GST regulations.
GST registration significantly impacts a company’s tax obligations, financial management, credibility, and competitiveness in the market as a whole.
GST Registration Check: GST Registration Services Objectives
The objectives and goals of GST registration services revolve around assisting businesses in Singapore with registering for Goods and Services Tax (GST) and ensuring their compliance with GST regulations. These services are designed to help businesses achieve the following:
Facilitating GST Registration
The primary objective of GST registration services is to promote the smooth and efficient registration of businesses for GST. Professional service providers guide businesses through registration, ensuring that all necessary documents and information are properly submitted to the tax authorities.
GST registration services aim to ensure that businesses comply with Singapore’s tax laws. They assist companies in understanding the eligibility criteria for GST registration and help them determine the appropriate time to register based on their turnover. By complying with GST regulations, businesses avoid potential penalties and legal consequences for non-compliance.
Maximising Input Tax Credit (ITC)
One of the goals of GST registration services is to help businesses maximise their Input Tax Credit (ITC) claims. Service providers assist in proper record-keeping and documentation to ensure businesses can claim ITC on their eligible business expenses, thereby reducing their overall GST liability.
Simplifying GST Returns Filing
GST registration services aid businesses understand their GST reporting requirements and deadlines. They help streamline the process of filing GST returns, making it easier for companies to comply with the reporting obligations and submit accurate and timely returns.
Providing Expert Advice
GST registration services are staffed by professionals well-versed in GST regulations and updates. These experts provide businesses with valuable advice and insights, helping them navigate complex GST rules, exemptions, and any changes in the tax framework.
Supporting Audit Preparation
In the event of a GST audit, registration services can assist businesses in preparing the necessary documentation and evidence to support their GST filings and claims. This support helps companies handle audits smoothly and ensures compliance with tax authorities’ requirements.
Minimising Errors and Discrepancies
A GST-registered company in SG can minimise errors and discrepancies in GST filings by providing expert guidance and assistance. This ensures that businesses avoid overpaying or underpaying GST, which could lead to financial implications and administrative challenges.
Promoting GST Awareness
GST registration services aim to promote GST awareness among businesses. They educate businesses about the benefits of GST registration, how it impacts their operations, and how they can efficiently manage their tax obligations.
Advantages and Benefits of GST Registration Services in Singapore
Compliance with Singapore’s Tax Laws
The most fundamental advantage of GST registration services is the ability to comply with Singapore’s tax laws. Under the GST Act, businesses with a turnover exceeding SGD 1 million are required to register for GST. Failing to do so can result in penalties, fines, and legal repercussions. Availing of professional GST registration services ensures businesses full compliant with tax regulations, thus avoiding any potential risks associated with non-compliance.
Access to Input Tax Credits
GST registration allows businesses to claim Input Tax Credit (ITC) on purchases. ITC enables businesses to offset the GST they have paid on their purchases against the GST they have collected on their sales. This system eliminates the cascading effect of taxes, ensuring that businesses are not burdened with double taxation. By availing of GST registration services, businesses can efficiently track their input and output tax and maximise their potential tax savings.
Improved Credibility and Trust
GST registration adds credibility and trustworthiness to a business in the eyes of customers and suppliers. It signals that the business is established, reputable, and committed to statutory obligations. Customers may perceive GST-registered businesses as more reliable and professional, leading to increased confidence in their products or services. Furthermore, suppliers may be more inclined to offer competitive prices and favourable credit terms to GST-registered businesses, enhancing their overall competitiveness.
Global Expansion Opportunities
GST registration can be a strategic advantage for businesses expanding beyond Singapore’s borders. In many countries, GST registration is mandatory for businesses to engage in international trade. By already having a GST registration in Singapore, businesses can expedite the process of entering foreign markets and reduce administrative hurdles associated with cross- border transactions. This advantage opens up new growth prospects and international business opportunities.
Facilitating Government Tenders and Contracts
GST registration is often a prerequisite for participating in government tenders and contracts in Singapore. Government contracts can be lucrative and provide a stable source of revenue for businesses. GST-registered companies are more likely to qualify for government tenders, giving them a competitive edge over non-registered competitors. Moreover, GST registration can enhance a business’s eligibility for government grants and incentives, further promoting growth and development.
GST Compliance Made Easy
GST registration services not only help businesses register for GST but also aid in maintaining GST compliance on an ongoing basis. These services ensure businesses file their GST returns accurately and on time, avoiding penalties and interest charges for late or incorrect submissions. Professionals well-versed in GST regulations can navigate complex tax rules and exemptions, reducing the administrative burden for businesses and enabling them to focus on core operations.
Cash Flow Management
GST registration can significantly impact a business’s cash flow management. When a business is GST-registered, it collects GST from customers and holds it in trust for the government. This collected GST can offset the GST paid on business expenses before remitting the net amount to the tax authorities. Proper cash flow management can help businesses allocate resources more effectively, improve financial stability, and plan for future investments.
Become a GST-Registered Company in SG Today!
GST registration services offer an array of advantages that empower businesses in Singapore to thrive and succeed. The benefits of GST registration are numerous, from ensuring compliance with tax laws to facilitating global expansion. By availing of professional GST registration services from a reliable service provider like ContactOne, businesses can easily harness these advantages and navigate the complex world of taxation. GST registration enhances a business’s credibility and fosters long-term growth and sustainability, positioning them for success in Singapore’s dynamic business landscape.
For more GST registration services-related information, do not hesitate to contact us at ContactOne. We dedicate our company to making business processes easy for enterprises in Singapore. Call us on +65 6333 0633 and +65 8666 3633. You may also head to our website at www.contactone.com.sg.
September 25, 2023
Carrying out regular profit-generating activities requires registration with the Accounting and Corporate Regulatory or ACRA in Singapore. Unless you are exempted, registration is not necessary anymore. Company registration in Singapore is vital to obtain essential legal documents and certifications, making your business legitimate in the eyes of customers, investors, and partners.
If you are planning to do business in Singapore, register a company because it comes with various benefits that your business can take advantage of in the long run. Credibility plays an important role in business. You can start building your name and reputation after completing the company registration process.
Find out the reasons why you need and how to register a company in Singapore with ACRA in this article. Continue reading below!
Reasons for Company Registration
ACRA requires business owners to register their companies for several reasons. Find out below:
Registering a company in Singapore with ACRA is essential to ensure that your business operates legally and complies with the regulatory requirements established by the Singapore government.
ACRA serves as the authoritative body responsible for regulating and overseeing business entities in Singapore. Registering your company ensures compliance with the Singapore Companies Act, which outlines the legal framework for company incorporation, maintenance of statutory records, and filing of financial statements. Adhering to these requirements not only demonstrates your commitment to operating within the bounds of the law but also safeguards your business’s reputation and protects the interests of your stakeholders.
Moreover, you gain access to various benefits and privileges offered by the Singapore government by operating as a registered entity, such as tax incentives and grants, creating a solid foundation for long-term growth and success.
Business Entity Identification
Registration with ACRA provides businesses with a unique identification number known as the Unique Entity Number (UEN)—an official identifier for the company in all business transactions, establishing its distinct presence and facilitating seamless communication with government agencies, financial institutions, suppliers, and customers. This unique identification number is essential for various purposes, including opening bank accounts, entering contracts, filing tax returns, and participating in government procurement processes.
By obtaining a UEN through registration, businesses gain credibility, professionalism, and a solid foundation for building trust and establishing their brand identity in the marketplace. It also ensures the company is easily recognisable and traceable, enabling efficient and transparent business operations.
Business Contracts and Agreements
ACRA registration plays a pivotal role in enhancing a company’s credibility and facilitating the formation of contractual relationships with various stakeholders, including customers, suppliers, and other business partners.
A company registered with ACRA demonstrates its commitment to legal compliance and transparency, instilling confidence and trust among potential partners. Many entities, such as government agencies, financial institutions, and larger corporations, often require proof of ACRA registration as a prerequisite for engaging in business agreements.
This requirement validates the company’s legitimacy, financial stability, and adherence to regulatory standards. By fulfilling this criterion, the registered company can access a wider range of business opportunities, including lucrative contracts, partnerships, and collaborations.
Therefore, ACRA registration provides a competitive edge and facilitates smoother and more efficient business transactions by streamlining the verification process for potential partners.
Public Perception and Investor Confidence
Registering a company adds legitimacy and credibility, instilling a sense of trust and confidence in potential customers, clients, and investors. When a business is registered with ACRA, it becomes a recognised and accountable entity in the eyes of the law. This official recognition demonstrates that the company has fulfilled the legal requirements and is committed to transparency, compliance, and ethical business practices.
Prospective clients often prefer to engage with registered companies, as it assures that they deal with a legitimate and trustworthy organisation. Similarly, investors are more inclined to invest in registered companies as it reflects professionalism, accountability, and adherence to regulatory standards. ACRA registration enhances the company’s reputation, increases its credibility in the marketplace, and sets it apart from unregistered or unverified entities, establishing a strong foundation for building relationships and attracting opportunities, ultimately contributing to the long-term success and growth of the business.
Record Keeping and Corporate Governance
One of the mandates enforced by ACRA is that companies must maintain proper books of accounts, financial statements, and registers as part of their registration requirements. Maintaining proper books of accounts and financial statements serves multiple important purposes.
Firstly, it ensures transparency within the organisation. Keeping accurate and up-to-date records of financial transactions provides a clear and comprehensive view of its financial position, activities, and performance. This transparency is essential for stakeholders, such as shareholders, investors, creditors, and regulatory bodies, to assess the company’s financial health and make informed decisions.
Secondly, maintaining proper books of accounts and financial statements promotes accountability within the organisation. It helps in tracking the inflow and outflow of funds, identifying sources of revenue, and monitoring expenses. With this information readily available, the company can ensure that its financial resources are used responsibly and under applicable laws and regulations. It also enables effective internal control, as discrepancies and irregularities can be identified and addressed promptly.
In addition, the requirement to maintain proper records aligned with good corporate governance practices is crucial. Good corporate governance involves establishing a framework of rules and practices that guide the company’s management and operations, ensuring ethical behaviour, accountability, and protection of stakeholders’ interests. Keeping accurate books of accounts and financial statements is an essential element of good corporate governance because it helps establish trust and credibility with stakeholders and demonstrates the company’s commitment to transparency, integrity, and compliance.
To Sum It Up
ACRA registration in Singapore is essential for legal compliance, establishing a unique business identity, forming trustworthy relationships with stakeholders, enhancing public perception and investor confidence, and maintaining proper records for transparency and good corporate governance. It offers a range of benefits that contribute to the long-term growth, success, and reputation of the company.
Need Help Registering a Company in Singapore?
At ContactOne, we ensure that our clients receive dedicated assistance when they register a company by providing them with tailored services. Contact us at +65 6333 0633 and +65 8666 3633 to take advantage of our expertise and support.
December 14, 2022
Are you planning to start a company in Singapore? It looks like you need more than just a company name to begin with. Singapore is known to be a business-friendly place, wherein setting up a company is not as complex as other business hubs worldwide. However, the policies in place to maintain a smooth registration process do not mean business incorporation happens overnight. Days, effort, and requirements must be available to register a company.
This article will take you into an in-depth discussion of everything you need to know to register a company. With a detailed guide, you will not have a hard time opening and doing business in Singapore. Continue reading below and learn more about the requirements, procedures, and timeline of company registration in the Singaporean business landscape.
Starting a Business in Singapore
Your first question would probably be, “How to start a business in Singapore?” The idea of doing business in an accommodating market like Singapore will always be inviting. The country imposes one of the most pro-business laws and regulations, making this place ideal for investments and various corporate ventures. To start a business in Singapore, the following must be considered accordingly:
1. Choose the Desired Business Structure
Before anything else, the first step to starting a company is selecting your desired business structure. There are four types of business structures: sole proprietorship or partnership, limited partnership, limited liability partnership, and company (you may refer to the Accounting and Corporate Regulatory Authority or ACRA to learn more).
Your form of business is vital because it determines not only your start-up’s limitations but also the risks and overall corporate organisation. In other words, your business structure is the basis of the types of shares you will be handling, the corresponding share transfer rules, and the company’s administrative liabilities, such as tax rates, scalability, and compliance responsibilities.
It is essential to note that choosing a structure for your start-up relies on a few factors. Here are some questions to guide you when selecting a business structure in Singapore:
- How much capital are you willing to invest?
- How many owners will be there?
- What liabilities and responsibilities are there to assume?
- What risks are you ready to take?
- What are the advantages and disadvantages of the business structures?
- Is the business easy to close or not?
2. Register the Company with Singapore’s Company Regulator
If you want to do business in Singapore, registering a company with ACRA is a legal requirement you should take into account. As long as you carry out any activity for profit on an ongoing basis, you must register a business unless exempted. Learn more about the terms and conditions of registration exemption on ACRA’s website.
After choosing a company name and submitting it to a name application via an online registration and filing portal, Bizfile+, you may proceed to company incorporation. You will be given one hundred twenty days from the date of the name approval to complete the incorporation process. You can also check the additional approvals for specific company names, requirements to state your company name on all correspondence, and the difference between company name and trademark.
3. Set Up a Corporate Bank Account
The main reason for setting up a corporate bank account is to segregate your personal and business finances, which include business assets, cash flows, expenses, and more. Managing your business’ finances is possible without mixing up your money. This way, you can protect yourself from any liabilities that may arise since there is a noticeable separation of your personal and business finances.
Using a single bank account to manage funds may treat your business money as your own. This will put your finances at risk by creditors who seek to pierce the corporate veil. Moreover, suppose you have a separate business account. In that case, it allows you to track your company’s performance more closely, resulting in a close to an accurate evaluation.
How Long Does It Take to Register a Company in Singapore?
The timeline for company registration varies. Some applications are completed in a few hours, while others take days. The timeframe is mainly determined by how fast each shareholder and director can send their documentation for verification to the corporate secretary. The requirements for company registration in Singapore include the following:
- Company name
- Brief description of activities and Singapore Standard Industrial Classification (SSIC) code
- Details of shareholders and directors
- Registered Singaporean business address
- Share capital details
- The company’s constitution
Make Company Registration in Singapore a Breath of Fresh Air with ContactOne
At ContactOne, we provide an array of corporate solutions to help business owners start, manage, and grow their enterprises. Our expertise cover company registration, secretarial services, accounting, and tax. If you want to learn more about us and what we can do to help your business, get in touch today. Call us on +65 6333 0633 or +65 8666 3633. You may also explore our website and discover helpful insights.
November 17, 2022
When starting a corporation in Singapore, the Accounting and Corporate Regularity Authority (ACRA) has many requirements. That includes a qualified official business address that will serve as the place where all communications and notices for the company are addressed. Moreover, company registers and records are kept at the same address for safekeeping.
That and all other things between starting and growing a business make registered address service in Singapore crucial to every corporation in one of the world’s most business-friendly yet competent economies.
Learn more about registered business addresses, including the services available when incorporating a company in Singapore. If you read through the content below, you will discover everything related to registered business address services, from qualifications to application. Stick around and take note of the critical points to help with the business formation.
What Is a Registered Office Address, and Why Is It Important?
Forming a company does not happen overnight. The truth is that it takes many preparations, including long processes and compliance with several mandatory requirements set out by the Singaporean authorities. One of these is to have a local registered office address in Singapore as mandated under Section 124(1) of the Companies Act, Cap. 50.
There is no reservation when it comes to having an official office address. Every business in Singapore should have one to abide by ACRA’s rules and regulations. The primary purpose of having an official address is to provide a location where all communications and notices may be addressed. A registered office address should also be open to the public for at least three hours during ordinary business hours per business day.
Expect to receive mail from government entities at the registered address, like notifications on annual requirements, new incentives, and bank correspondence. It is necessary to check the mail daily to not miss out on essential information your business might need in line with its presence in Singapore’s business industry.
Home Address as a Registered Office Address: Is It Allowed?
You can register your home address as an official office address if you live in Singapore. But note that it should undergo specific qualifications and processes before its approval. To ensure that you do this right, get help from the Urban Redevelopment Authority (URA) or Housing and Development Board (HDB). With the Home Office Scheme criteria that must be met, complying with all the conditions is vital to avoid breach or non-issuance of the permit.
Moreover, considering the types of business activities under the Home Office Scheme is a must. Find out more about the activities permitted by looking them up online on reliable sources like URA and HDB. For an introduction, food catering, manufacturing, courier services, and beauty services, to name a few, are not allowed to have a home address as a registered address.
Another factor to consider is that having your home address as an office address will compromise privacy. A registered office address should be known to the general public for business purposes. Keeping this address inaccessible will not designate it as an official business location. Now that you have a good grasp of a registered office address, it is the best time to learn the requirements.
Requirements of Registered Office Address
Although a registered office address must be open to the public, it does not include Saturday, Sunday, and public holidays. This allows the public to access or reach out to the business if needed and assist in sending legal documents from appropriate offices. Failure to do so will incur a S$5,000 fine.
Based on the regulations established by ACRA covering registered office addresses, an office address should be in Singapore. However, it does not need to be the place of operation. It means that the registered office address can be a separate location and not necessarily the same as where your business operates. Everything will fall on the right track if you follow the requirements and qualifications of registering an office address.
Sign Up for Registered Office Address Services in Singapore
Incorporating an enterprise in Singapore should not be complicated. Don’t think twice about reaching out to the experts. The least that you should be worried about is how to register a business address. Let a professional help you! ContactOne has been helping start-ups through our wide range of corporate solutions designed to make starting a company accessible and less time-consuming.
With us at the forefront of your business, particularly business incorporation, we ensure that every requirement will be covered and our process will comply with Singapore’s laws and regulations. Explore our website if you want to learn more about us and what we can do to help your business. Many great things related to corporate support await there. You may also call us on +65 6333 0633 or +65 8666 3633.
May 25, 2022
Statistics show that there are over 500 million businesses worldwide. As development in various industries continues, more and more aspiring entrepreneurs start their businesses. But before one can be on top of the game, they have to undergo the company registration process.
If you are planning to establish a business, here are some steps you can take to make the procedure more efficient.
Choose a Suitable Business Structure
Before you proceed with the company registration services, you must first choose the business’s structure. In doing so, make sure that it matches the nature of your enterprise. And remember, the requirements you have to submit to offices, the standards you have to meet, the taxes you pay, your liability, and your earning potential will largely depend on the business structure you have chosen.
Types of Business Structures
Private Limited Liability Company:
Also known as sole tradership or individual entrepreneurship, a sole proprietorship is a type of business owned and managed by one person. It means that the owner of the company is the one who will pay the income tax and enjoy the revenue earned.
In most countries, you don’t need to register a company established as a sole proprietorship. Still, you have to obtain the necessary permit and licenses for business legitimacy and legality. Taking that into consideration, most sole proprietors find this type of business structure the easiest to establish.
In a partnership, two or more parties agree to oversee and run a business. With that, they also share the company’s liabilities and profits. Partnerships can either be general or limited.
A general partnership means that all the parties who agree to run the business will work hand-in-hand to manage the business’s daily operations. They also share equal responsibilities, profits, and losses.
On the other hand, a general partnership includes general and limited partners. While the general partners are involved in business management, limited partners only serve as the company’s investors. Therefore, they typically don’t have the rights when it comes to decision making.
Private Limited Liability Company (Pte Ltd) is a business structure that safeguards the owners from debts, liabilities, and other personal responsibilities. The owners are therefore separated from companies and are not obligated to pay the debts of their company. With this arrangement, the assets that the creditors can pursue are only those that belong to the company, not to the members.
In law, a public company is an independent legal organization whose operations are separate from its owners. Like Pte Ltds, a corporation protects you from personal liability, but there are more regulations and requirements that you are obligated to comply with when you choose this business structure.
In deciding which business structure you will implement for your organization, make sure that you take into consideration your liability, taxes, control over the business, and the volume of paperwork involved. Choose wisely!
Establish Your Brand
Your company name is the foundation of your brand. Considering its importance in the entirety of your company’s reputation, you have to think of a company name that will best represent your brand’s values. See to it that the name is easy to remember, unique, and will suit the nature of your business at the same time.
Additionally, you may add in your company name the abbreviation that corresponds with your business structure (e.g., Ltd or Limited. For corporations, Pte Ltd or Private Limited for private limited liability company, etc.). It is also important to note that names with regulated words like bank, broker, or legal may take longer to approve during the company registration process.
Find a Strategic Location
If you are about to build a brick-and-mortar store, choose a location that gives your business a great advantage to scale. Make sure that the area has high foot traffic so you can generate more profit. Aside from that, you also have to check if the area is safe and if the price fits your budget.
Whether you are establishing a physical or online store, bear in mind that your business’s location affects the taxes you pay, the requirements you will comply with, and the revenue you will receive.
Compile the Requirements Beforehand
For a more efficient company registration process, it would help to complete your requirements before proceeding with the registration. Typically, you need to submit a company constitution, signed consent to act, and documentation that reflects essential information about your company, including its name, purpose, and address.
If you start your company with ContactOne, we’ll take care of the company registration procedure for you. Just check our website to know the requirements you need to send us, so we can proceed with the registration. With our affordable company registration services, you have one less thing to worry about.
Get an Employer Identification Number
A Unique Entity Number (UEN) is a number assigned to your entity for immediate recognition by the all statutory boards in Singapore including the Inland Revenue Authority of Singapore (IRAS), Ministry of Manpower (MOM) and the Central Provident Fund Board (CPF). The UEN is thus the the identification number for the company. Obtaining a UEN is a requirement for all regulatory matters including tax reporting. Without this number, you also can’t open a bank account for your business.
Obtain Licenses and Permits
A business can only have a smooth-sailing operation if it has the necessary licenses and permits asked by the state and/or country. However, note that the licenses and permits you need to have for your business vary, depending on your business activities, location, and the state and government rules. With that, the fees you have to pay and the documents you need to submit will also be different.
For this process, you must do your research to ensure that you have everything you need and to keep track of whether or not the licenses and permits need renewal after a specific period.
Open a Business Bank Account
When you have a company, it is vital to have a bank account dedicated to the business alone. Doing so allows you to manage your cash flow. Plus, you need a business account for employee compensation.
In most cases, banks require you to submit proof of identity of you and your partners who own more than a certain % of the business depending on the bank you are opening the account with. Also, you need to present the Company Constitution other the details of your Company.
Save Time, Skip the Line, Start Your Company with ContactOne!
We hear you! Setting up a company consumes your time and energy. That is why ContactOne is here to help you with your company registration at a price that you can surely afford. Give us a call now, dial 8666 3633 for company registration and secretarial matters or send an email at [email protected].
May 25, 2022
The location of your business plays a significant role in its success. Remember, no matter how much you take care of the internal factors of your company, it will still face threats of failure if you don’t look into the internal environment. For this reason, you need to choose a place that will only give you little to no hassle from company registration to operations.
Well-developed countries like Singapore give company owners and aspiring entrepreneurs a conducive environment for business success. Here’s why:
Ease of Doing Business
Provides a Strategic Location
Excellent Tax Structure
Singapore constantly clinches one of the top spots when it comes to the best countries in the world to do business. As featured in Forbes, Singapore ranked eighth in 2018, while it is first in trade freedom and sixth in property rights in the same year.
Not only that, data from The World Bank revealed that Singapore ranks second in the ease of doing business index in 2019, right next to New Zealand. The reason being is that the country has business-friendly regulations.
Singapore has continuously proved these findings by being efficient in the company registration process and requiring only 1 Singaporean Dollar for paid-up capital. It will only take you about two days to incorporate your business in the country as long as you prepare the requirements beforehand.
Being in the central part of Southeast Asia, Singapore opens doors to countless opportunities for entrepreneurs. In addition, the country’s world-class ports pave the way for convenient flights to over 330 major cities in the world, which ultimately established connections with prominent countries.
For these reasons, Singapore’s logistics performance is among the best in the world—making it easier for businesses to complete economic transactions.
The country is also home to approximately 120 commercial banks, 30 merchant banks, and 600 capital markets services license holders. Therefore, business owners have a stable location and less risky investment possibilities.
One thing that adds a burden to business owners is the tax they have to pay to the government. In most cases, these are the types of taxes a business must pay:
- Income Tax
- Goods and Services Tax
– It is the money levied by the government based on the income a business earns. To determine how much tax t are obliged to pay, they need to file an income tax return on a yearly basis.
– It is the money collected by the government for the sale of goods and services. This is the additional percentage that the consumers have to pay when purchasing goods or acquiring services. However, businesses don’t directly pay sales tax to the authorities since the retailers collect it during the point of sale, then transfer it to the government. *You only need to account for GST if you are a GST registered entity.
So, what makes Singapore different in terms of taxes?
The simplicity and rationality of the country’s tax system is something that merits an acknowledgement. The governing body in Singapore doesn’t levy tax on a business’ capital gains and dividends. Moreover, Singapore’s headline corporate tax rate is only 17% as of this writing.
Reliable Legal System
Based on data from Forbes, Singapore ranks sixth as the least corrupt country in the world as of 2018. The country’s officials and its citizens value transparency, giving business owners an assurance that there will be no fiscal distortions and financial damage is less of a possibility.
Furthermore, the strong legal system of Singapore protects both investors and business owners from fraud.
Access to Exceptional Talent Pool
For a corporate entity, skilled workers are the lifeblood of their operations. Without these people, it will be impossible to deliver quality products or services to the customers.
In Singapore, the lack of skilled employees is not something you have to worry about. The country has exceptional talents, who are mostly bilingual—establishing effective communication between parties. The workers in Singapore are also productive and efficient, who follows good conduct and ethics.
Singapore’s world-class infrastructure is a great advantage for business owners. First, it enables the workers to report to work safely and on time. Also, it helps customers to go to your stores more easily.
The country’s world-class airport also provides a smoother path for trading, which can power business. Apart from ports, it also has an advanced highway system, towering commercial buildings, and modern subways.
Availability of the Latest Communication Technology
Now that we are in the modern era, having fast internet speed is essential, especially in the field of communication. It fosters good relationships and enables collaboration between teams. In Singapore, this is something you can enjoy. In fact, about 99% of the citizens have access to the country’s broadband network.
Start a Business Today!
Data from the Accounting and Corporate Regulatory Authority (ACRA) showed that Singapore has over 547,000 registered business entities as of July 2021. It is an increase of approximately 8,000 registrants from the 539,000 registered businesses last January 2021. As the country’s economy continues to rise, more and more entrepreneurs establish their businesses in Singapore.
Now that you know the advantages of setting up a business in Singapore, are you planning to follow the paths of the business people who succeeded in the country? If so, leave the company registration process to our skilled company registration consultants. Take care of your business plans while we set up your company in Singapore. Call us on 8666 3633 for company registration and secretarial matters, and let’s do business.