How To Start A Business in Singapore 2024 Complete Guide

On top of that, controlled goods require further authorisation from Competent Authorities before they may be imported into Singapore. Examples of such goods include chewing gums, firecrackers and telecommunication equipment. Separately, if a business wishes to export its goods out of Singapore, it must also go through the above process to obtain an export permit. For more information on the registration process, as well as the relevant exemptions from registration, you may refer to this article on registering a business. Additionally, for a sole proprietorship or partnerships, the registration will expire once it has lapsed and was not renewed. However, the business name remains registered until the registration is cancelled.

What Is the Cost of Registering a Company in Singapore?

1. Incorporating a business in Singapore costs SGD 15 for the company name application and SGD 300 for the registration fee.
2. If you fail to submit these forms within the stipulated timelines, ACRA will impose a S$300 fine for non-compliance.
3. For more information, you may refer to our other article which discusses in depth the filing processes for corporate tax in Singapore as well as the penalties for late or non-payment of corporate tax or inaccurate tax filings.
4. The purchase of equipment, rental costs, start-up costs, and production costs all translate into financial costs which must be met for a business to operate smoothly.

If you want to run a business alone with no partners involved, then you should choose to register your business as a sole proprietorship. In short, you will own and control the business without any partners. This can be done online using the Singaporean government’s official platform – BizFile+.

While a sole proprietor may only need a small amount, certain larger structures like a private limited company may require a larger sum. Basically this structure is used when you want to start a business that has a legal entity which is separate and different from its directors and shareholders. By following these steps, you ensure compliance with local laws and set a solid foundation for your business operations. With its streamlined company registration process, coupled with its business-friendly environment, robust legal framework, and competitive corporate tax rates, Singapore continues to be a magnet for entrepreneurs worldwide. A corporate secretary, also known as a company secretary, is required by the Companies Act of 1967.

Do note that Housing Development Board (HDB) flats and private normal balance of accounts residential properties are intended for residential use, and there are conditions and guidelines that need to be followed. Most importantly, the property must still be used for residential purposes and the business activity must be kept at a small scale to avoid causing disamenities to your neighbours. If you’re starting a business in Singapore, the first question to consider is whether you need to register it. You may wish to contact a Banking and Finance lawyer for professional advice and help on such matters.

This is because although shareholders who provide capital are entitled to be paid dividends (i.e. a cut of the company’s profits), these dividends can only be paid out of the company’s profits. This requires the company to be profitable before any dividends may be issued, which means that a company need not worry about issuing dividends should it not be making profits. Debt interest, however, is payable irrespective of whether the business is profitable. A business may either raise capital by issuing shares in return for shareholder capital, or by borrowing from creditors. For instance, raising debt capital is relatively cheaper to obtain in comparison to share capital, as the latter requires listing costs and other expenses. The purchase of equipment, rental costs, start-up costs, and production costs all translate into financial costs which must be met for a business to operate smoothly.

What is the minimum capital I need to start a business in Singapore?

For owners/residents of private residential authority, the Home Office Scheme is administered by the Urban Redevelopment Authority (URA). More information on the Scheme and application procedures can be found here. If you do not intend to rent any office space, you can consider registering your home address as your business address under the Home Office Scheme. Additionally, you should also run your proposed business name through the entity search function on the BizFile+ website, which is ACRA’s online filing and information retrieval system.

A Guide to Starting a Business in Singapore

On a more legal aspect, it is usually commonplace for creditors such as banks to require a form of security in finance agreements when offering financial facilities. Companies can put up their assets, for example, office machinery or shares, as security. For instance, an unregistered blogshop owner being owed money by a client may find himself without legal remedies to reclaim the payment inventory carrying cost formula examples tips to lower it as their contract with the client cannot be enforced.

Start-up Guide

Failure to register your business may result in a fine partnership income tax forms of up to $10,000, or even imprisonment of up to 2 years, or both. You may refer to the guidelines on selecting a business name issued by ACRA to make the process of choosing a business name more efficient. On the other hand, as a company, remember that you must submit your yearly financial statements to ACRA and conduct an annual audit. To file your registration under the BizFile+ portal, log in and use SingPass.