BENEFITS OF DOING BUSINESS IN SINGAPORE
Buying a company in Singapore is beneficial, given that the country is considered one of the top ones where it is easier to do business. Setting up a company requires a share capital of 1 SGD. For most types of business, an additional license is not required. Tax rates in the country are relatively low. A company can be registered by a resident or a non-resident of the country.
Conducting a business in Singapore allows you to increase the founder's reputation and expand the company itself 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 as well as 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, transferred to a local bank account in the jurisdiction, or 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, regardless of the source of income, each firm in the country must keep an account. An audit is considered mandatory.
Most often foreigners choose to register a private limited liability company. 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 residents 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 open 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, 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 a nominal service.
If the company is residential, the 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 have to collect scanned copies of passports of members of the company structure and provide a package of documentation, including the charter.