In recent years, Hong Kong has seen non-stop political unrest, which has resulted in a growing number of companies moving their businesses to Singapore. It’s certainly not by chance! Singapore has been the forerunner in terms of the ease to start a company and if you’re planning a quick move to relocate your company, we can show you how to do it in a few simple steps below.
Why move your company to Singapore?
1. Ease of ownership
Foreigners are able to hold 100% ownership when setting up a company in Singapore. You will only be required to appoint a director and a separate individual for corporate secretary to start a company in Singapore. Paid up capital can be as little as $1!
2. Time to register a company is fast
It may take as little as 15 minutes to register a company with the Accounting and Corporate Regulatory Authority which is the regulator for all corporations in Singapore. This is because it is possible to submit documents online. Meanwhile, to set up a company in Hong Kong, it tends to take up more time because the documents have to be submitted in person.
3. Attractive tax system
Fear not of taxes, Singapore has one of the lowest tax systems in the world! There is no tax on capital gains and local dividends. Corporate tax in Singapore runs on a flat rate of 17% for both local and foreign companies.
Guide to register a company in Singapore
1. Appoint a registered filing agent for your company
If you are a foreigner looking to set up a company in Singapore, you have to engage the service of a registered filing agent such as a corporate secretarial firm or a law firm. They will help you to submit documents online.
2. You need to have a minimum of 1 Local Director who is a resident of Singapore
If you are a foreigner, you have two options here.
Firstly, you will require an employment pass in order to become a local director for your company here in Singapore. This is done so if you want to move to Singapore personally.
Secondly, you can appoint a Nominee Director to fulfill this criteria required by Singapore. Nominee director will not hold any power in managing the company. You can select any Singapore resident to be your Nominee Director or engage your advisory company to act as your Nominee Director. This service is popular with foreign business owners.
3. You need a Corporate Secretary who is a resident of Singapore
You will be required to appoint a corporate secretary within 6 months of registering your company. The corporate secretary must be Singapore’s resident and a natural person. If you are the director of your company, you cannot act as the corporate secretary.
4. Paid-up Capital can be as little as $1
For a start, when you start a company in Singapore, you only require a minimum of only $1 for your paid-up capital. You can increase this amount after incorporation of your company in Singapore.
5. At least one Shareholder needed
The shareholder can be a foreigner or a local residing in Singapore. Foreigners are able to hold 100% ownership when setting up a company in Singapore. If you are the sole director of your company, you can also be the sole shareholder.
6. Company Name approved by ACRA
You can come up with a company name that is unique from all existing business, the name should not contain offensive terms or include terms that are prohibited by Singapore’s Ministry for Finance. You can conduct a check on BizFile website to see if your company name is available. Finally, your company name needs to be approved by ACRA, the Accounting and Corporate Regulatory Authority which is the regulator for all corporations in Singapore.
7. Local Registered Singapore Address
ACRA requires all Singapore companies to hold a physical Singapore address. A popular option by foreign companies is to engage their advisory company to register an office address in Singapore.
Things to do after successfully registering a Company in Singapore
1. Apply for business licenses if needed
You may need to apply for business licenses with Singapore’s governmental agencies after completing registration for your company with ACRA. Check out this governmental website to find out more on the relevant licenses you need to apply for your business.
2. Open a corporate bank account for your Singapore’s company
Singapore has a wide range of options for corporate bank accounts. We could assist you to choose a suitable bank account for your company.
3. Ensure adherence to Singapore’s regulations
There are numerous compliance requirements to fulfill after incorporating your company in Singapore. Our advisors will guide you through all the hurdles and ensure seamless integration for your company.