Facts About Company Incorporation Singapore for Local Residents

Last modified: March 25, 2016

Facts-About-Company-Incorporation-SingaporeCompany incorporation Singapore for local residents is a matter of smooth experience than it is for a foreigner. Unlike the foreigners, a local resident of Singapore does not require a work pass and can act as a local director. That is why a Singaporean resident can take full advantage of Singapore company registration.

Although the regulation set by the Singapore government for an overseas business entrepreneur is quite liberal and open than any other nation, it still offers an edge to the local business owners. However, the general guidelines for company registration Singapore are same for both.

According to the Singapore Companies Act, any person whether foreigner or a local person above the age of 18 years can opt for a Singapore company incorporation.

How to Register a Company in Singapore

The following are certain facts about company incorporation Singapore for local residents:

  • Pick a Unique Company Name: The basic and initial requirement for a company is its name. Pick a unique name for the proposed company and apply to ACRA for its approval, then proceed with the registration of the company. The name has to be decent and not identical with existed names of the companies and must not infringe any copyright law.
  • Get a Registered local Address: For a business registration, having a local registered address is mandatory. The address must be a physical address and not simply a P.O. Box address. Being a local resident, you can easily produce a physical address for business formation. Address of an HDB or UDF apartment can also be used for the purpose after taking permission from the concerned authorities.
  • Local Residential Director: Your company must have a local resident director (a Singapore Resident or a Pass holder). A director is responsible for the proper management and administration of the company. He/she should be above the age of 18 years and must not be convicted of any malpractices and bankruptcy in the past. For a Singapore company, there is no limitation on the number of directors. A pass holder must have Entrepass, employment pass, or Dependent’s pass to act as the director.
  • Shareholders (Owners of the Company): The shareholders are the owners of the company. A private limited company in Singapore can have a minimum of one and maximum of 50 shareholders. A director or shareholder can be the same or different person. A shareholder can be a person, company, entity, or trust.
  • Company Secretary: Every company must appoint a professional company secretary within 6 months of its incorporation. As per Singapore Companies Act, a shareholder acting as the Sole director of a company cannot work as the company secretary of the same concern. The company secretary must be a local resident of Singapore.
  • Minimum Paid-up Capital: The minimum amount of paid-up capital that a company needs at the time of incorporation is S$1. It can be increased at any point in time after the company incorporation. There is no provision of any authorized capital for the Singapore companies.

Once the company incorporation Singapore is complete, there are certain post-registration tasks to be done by the company owner, such as obtaining a certificate of incorporation, company profile, and opening a corporate bank account in the local bank, or acquiring business licenses and GST registration, if needed. Post registration, the Singapore Companies Act also demands fulfillment of certain annual filing requirements and discharging of duties like payment of taxes and etc.

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