How to Incorporate a Company in Singapore & Why Choose Singapore?

Nested in southeast Asia, Singapore has grown into the most advanced nation in the world. It is touted for its world-class infrastructure, robust governance, liberalized policies, and tax-friendly environment. Anyone seeking to start a new venture here must fulfill underlying legal requisites, which essentially means legalizing the entity and securing industry-specific approvals. Let’s take a closer look at the requirements concerning company registration in Singapore and related regulations.

Legal Structures for Company Registration in Singapore

Singapore is a tax-heaven nation brimming with endless growth opportunities. It is the best fit for those looking to churn consistent profit without messing up with massive compliances. Let’s take a glance at the following legal structures suitable for company registration in Singapore.

Private Limited Company (Pte. Ltd.)

The Private Limited Company, aka Pte. Ltd., is a popular legal structure in Singapore. It offers several benefits, such as limited liability, transparent hierarchy, risk diversification, etc. It can have as many as 50 shareholders. At least one director in this entity should be of native origin. Such entities are entitled to raise capital via equity.

Limited Liability Partnership (LLP)

LLP is a famous legal structure that provides for risk diversification and better control. Although it is not as robust as a private limited entity, it offers some degree of flexibility. Two or more people can constitute this structure through a binding document boasting mutually agreed norms. The members are not liable to address entire business-related losses. The member shall only render the mutually agreed amount to compensate the company’s losses. However, losses occurring from misconduct require the personal contribution of the defaulter.

Sole Proprietorship

A sole proprietorship offers 100% control to the owner owing to comprehensive ownership. However, it lacks transparency and flexibility, unlike other structures. Also, it does not boast limited liability, presenting a risk to the owner’s assets in crisis. Another big pitfall of using this structure is the possibility of higher tax rates with no exemption whatsoever.

Subsidiary Company

It serves as an aid for the parent company and is primarily used for share management. It attracts applicable corporate taxes and incentives. The parent company is not liable to adjust losses arising from such an entity.

Branch Office

A branch office is a part of the overseas parent entity; hence, it does not hold individual legal status. Losses encountered by BOs shall be the responsibility of the parent organization. Unlike subsidiary companies where tax benefits are prominent, no such liberty is available to BOs since they fall under a non-resident entity.

Representative Office (RO)

A representative office (RO) can cater to limited scope of operations. ROs have no tax and legal status. They essentially promote a company’s offerings or conduct market research. ROs are not entitled to perform commercial undertakings or enter into contracts.

Adviso: Go Global With Confidence and Clarity

At Adviso, we pay attention to every detail which could hinder your global ambition. Our strength lies in holding onto factors that can make and break your business. Our unprecedented command over regulations allows us to deliver exceptional results for clients. If you want prompt establishment of your dream venture or secure company registration in Singapore in one go, look no further than Adviso.

Here’s why you must join Adviso

• Guaranteed end-to-end support for your global ambition
• An impeccable grasp of overseas regulations
• Ensure prompt settlement of disputes, if any
• A robust network of professionals for handling complicated legalities