What Do You Need to Start a Business in Singapore?

If you have decided to start a business in Singapore, congratulations!  Singapore has been ranked as the best country in the world to do business for the 9^th year running, which is hardly surprising when you see how much the economy favours both old and startup businesses alike.  However, there is a bit more to starting a business in Singapore than simply flying to the country and finding some rental space in Singapore.  Keep reading for some guidance on what you need to take care of before you can open your doors.

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Get the Right Visa

Before you can start a business in Singapore, you need to have the correct visa.  This is called an EntrePass and mandates that you meet the following requirements:

• The company needs to be less than six months old at the time of application
• The company should have a minimum of 50,000 SGD capital
• You are unable to own more than 30% of the company’s shares
• Your business must be registered as a Private Limited Company

If you plan on being actively involved in how your company operates, an EntrePass is vital.

Register Your Business

Once you have the right visa, your next step is to register your business.  If you are registering a new company and have already obtained the right license, you can register your business with the Accounting and Corporate Regulatory Authority.  Alternatively, you will need to register with the International Enterprise.  Two local Singapore residents will be required to act on your behalf, however the process is very simple and shouldn’t take too long at all.  Just make sure that you have done the following before registering:

• Obtained all the required permits and licenses
• Found a suitable business location
• Found out the SSIC code for your company
• Found out if your company name is still available
• Adhered to the eligibility requirements

If you would rather not have the hassle of sorting all of this out yourself, you can hire a professional to help you register your business.  It will cost you 15 SGD to register your business name, and then between 300 and 1200 SGD to register your business.

Taxes

Finally, you also need to be aware of the taxes that you will need to pay once your business is in operation.  The tax rates are below:

• Stamp duty – this varies based on the price of the transaction
• Property tax – 10%
• Withholding tax – this varies depending on the purpose, but is usually between 10 and 20%
• Goods and service tax – 7%
• Income tax – this depends on the type of business you are running

If you are new to Singapore, you may want to get an accountant to help you with your taxes.  This way, you won’t be worrying about doing things wrong.

Singapore is a fantastic business location, and is somewhere that is becoming increasingly popular with business owners.  The tax rates are low, the ease of doing business is simple, and the climate is amongst the best in the world.