Business benefits of Singapore
Buying a company in Singapore is beneficial, as the country is considered one of the first where it is easier to do business. To set up a company requires a share capital of 1 SGD, for most types of business does not require an additional license, tax rates are relatively low. A company can be registered by a resident or non-resident of the country.
Setting up a business in Singapore allows you to increase the founder's reputation, expand the company in Asia. Singapore has a stable financial side.
Features of business registration
You cannot register an offshore in Singapore. If a company works with local clients and partners and transfers funds to local financial institutions, it must pay a 17% fee on the companies' profits. Corporate income tax is not levied only on funds received from abroad, not transferred to a local bank account in the jurisdiction, not spent on the purchase or lease of real estate within the country.
Firms that derive income from abroad and are exempt from the levy are similar to offshore companies. However, despite the source of income, each firm in the country must keep accounts. An audit is considered mandatory.
Most often foreigners choose to register a private company, which has limited liability. This legal form is the most popular and suitable for many activities.
To register a company in Singapore, you need to do the following:
- Choose a unique name for the company;
- Gather data on directors and shareholders;
- Establish a legal address within the jurisdiction.
It is required that the local director and secretary are resident in Singapore. The company may be established remotely or by personal presence. Setting up a bank account often requires personal presence. If you need to set up a company in Singapore, please contact our IT-OFFSHORE specialists.
Requirements for registration
There are three most common forms of business in total. These are companies with liability, which is limited to shares or a guarantee, and companies with unlimited liability. For non-residents, it is most beneficial to start a limited liability company.
The basic requirements for registration:
- The size of the authorized capital is not regulated, but must be at least 1 dollar;
- Additional permission will be required to work in some areas;
- It is possible to use nominal service.
If the company is a resident, income tax is paid at the rate of 17%. The tax is not taken from businesses that work with other countries. It does not apply to foreign investments, funds that have not been used to purchase or rent an office within Singapore. Each company must keep accounts and file a report. An audit is mandatory.
Collection of documents
In order to set up an offshore company in Singapore, it is necessary to find a unique name. To establish a firm in the jurisdiction, you need to collect a number of documents.
Individuals need to present identification documents. Legal entities need to collect scanned copies of passports of members of the company structure, provide a package of documentation, including the charter.