Establishing a company in Singapore is a popular choice for entrepreneurs and businesses due to its business-friendly environment, low tax rates, and strategic location. However, the process of incorporating a company in Singapore can be complex and time-consuming, especially for those who are not familiar with the regulations and requirements. In this article, we will outline the 10-14 day timeline and requirements for business owners to incorporate a company in Singapore.
Day 1-2: Business Planning and Registration
The first step in incorporating a company in Singapore is to plan and register your business. This involves deciding on the type of business structure, company name, and business activities. You will also need to appoint a local resident director and a company secretary, who will be responsible for ensuring compliance with Singaporean regulations.
To register your business, you will need to submit an application to the Accounting and Corporate Regulatory Authority (ACRA), which is responsible for regulating and overseeing the registration of companies in Singapore. The application must include the following information:
- Company name and type
- Business activities
- Authorized share capital
- Number of shareholders and directors
- Contact details of the company secretary
- Contact details of the local resident director
ACRA will review your application and conduct a name search to ensure that the company name is unique and not already in use by another company in Singapore. Once your application is approved, you will receive a Notice of Registration, which serves as proof of registration.
Day 3-4: Preparation of Company Documents
After receiving the Notice of Registration, you will need to prepare the necessary company documents, including:
- Memorandum and Articles of Association (M&AA)
- Share Certificate
- Company Constitution
- Resolutions of the Board of Directors
- Resolutions of the Shareholders
The M&AA sets out the company’s objectives, powers, and rules for management and decision-making. The Share Certificate is issued to the shareholders and confirms their ownership of the company. The Company Constitution outlines the company’s internal rules and procedures. The Resolutions of the Board of Directors and Shareholders are necessary to appoint the directors and officers of the company.
Day 5-7: Opening of Corporate Bank Account
A corporate bank account is necessary for the company to operate and conduct business in Singapore. You will need to open a bank account with a Singaporean bank, such as DBS, OCBC, or UOB, and provide the necessary documents, including:
- Notice of Registration
- Memorandum and Articles of Association
- Company Constitution
- Resolutions of the Board of Directors
- Resolutions of the Shareholders
The bank will verify the authenticity of the documents and may request additional information or documentation. Once the account is opened, you will need to deposit the authorized share capital, which is the minimum amount of capital required to be paid up by the company.
Day 8-10: Filing of Annual Return and Tax Return
As a company incorporated in Singapore, you will need to file an Annual Return and Tax Return with ACRA and the Inland Revenue Authority of Singapore (IRAS), respectively.
The Annual Return must be filed within 14 days of the anniversary of the company’s incorporation and includes information such as:
- Company name and type
- Business activities
- Authorized share capital
- Number of shareholders and directors
- Contact details of the company secretary
- Contact details of the local resident director
The Tax Return must be filed within 3 months of the financial year end and includes information such as:
- Company income and expenses
- Company tax liabilities
- Company tax payments
Day 11-14: Compliance and Maintenance
Once your company is incorporated, you will need to ensure compliance with Singaporean regulations and maintain accurate and up-to-date records. This includes:
- Maintaining a register of shareholders and directors
- Conducting annual general meetings (AGMs) and filing AGM minutes
- Filing annual returns and tax returns
- Maintaining accurate financial records
Failure to comply with Singaporean regulations can result in fines, penalties, and even the dissolution of the company. Therefore, it is essential to work with a professional company secretary or accountant to ensure compliance and maintenance of your company’s records.
Conclusion
Incorporating a company in Singapore can be a complex and time-consuming process, but by understanding the 10-14 day timeline and requirements, business owners can ensure a smooth and successful incorporation process. From planning and registration to preparation of company documents and opening of a corporate bank account, each step is critical to establishing a successful and compliant company in Singapore.
FAQs
Q: What is the minimum number of shareholders required to incorporate a company in Singapore?
A: The minimum number of shareholders required to incorporate a company in Singapore is one.
Q: What is the minimum amount of authorized share capital required to incorporate a company in Singapore?
A: The minimum amount of authorized share capital required to incorporate a company in Singapore is SGD 1.
Q: What is the role of the company secretary in Singapore?
A: The company secretary is responsible for ensuring compliance with Singaporean regulations and maintaining accurate and up-to-date records of the company.
Q: What is the role of the local resident director in Singapore?
A: The local resident director is responsible for ensuring compliance with Singaporean regulations and overseeing the daily operations of the company.
Q: How long does it take to incorporate a company in Singapore?
A: The incorporation process typically takes 10-14 days, depending on the complexity of the application and the speed of ACRA’s processing.
Q: What are the tax rates in Singapore?
A: The tax rates in Singapore are as follows: corporate tax rate is 8.5% on the first SGD 300,000 of chargeable income, and 17% on chargeable income above SGD 300,000.
