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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.