Singapore Company Registration: Everything You Need to Know

So, you are ready to set up a company in Singapore. Are you sure about the ins and outs of Singapore company registration process with ACRA (Accounting & Corporate Regulatory Authority)? Which type of entity should you prefer? What are the pre-requisite conditions for registration? And, ultimately, “Why incorporate with ACRA?” These are the questions that linger in your mind when you plan to set up a company in Singapore.

This blog excerpt will outline everything you need to know about company registration Singapore, right from the procedure of incorporation to legal requirements.

Which Type of Company to Incorporate in Singapore?

Private Limited Company is the most common and preferred type of company that majority of entrepreneurs choose for incorporation. The reason behind this preference is the various benefits the private limited company has to offer. Tax efficiency, scalability, credible image, legal identity, etc. are the few of the advantages of the private limited company in Singapore.

Nevertheless, the compliance requirements for the company is comparatively complex than many other business structures like sole-proprietorship and Limited Liability Partnerships. Filing of annual returns, maintaining financial statements, XBRL filing and holding of AGMs (Annual General Meetings) are to name a few. Even the process of winding up of a company is bit tedious and time-taking. Despite these limitations, the majority of entrepreneurs opt to incorporate their business as a private limited company due to its manifold advantages.

A Few Things to Take Note of Before Company Registration

• Director: There is no limit on the numbers of the director in a Singapore company. But, at least one local director should be appointed. He has to be either a local resident (citizen or PR) or holder of Employment Pass. He/she must be of minimum 18 years and above. Also, the director must not have any previous record of bankruptcy or criminal conviction. Non-shareholder can also become a director of a company.

• Shareholder: A Singapore company must have the minimum of one shareholder. The maximum number of the shareholder can be up to 50. As per the law, 100% local or foreign shareholding is allowed in a Singapore company. A shareholder can either be an individual or entity. The issue of new shares and transfer of existing shares can be done even after company incorporation.

• Paid-up Capital: The minimum paid up capital required for Singapore company registration is S$1. The amount can be raised any time after incorporation. There is no concept of authorized capital in Singapore.

• Registered Office Address: There must be one local registered office address. It can be either commercial or residential address. You must take prior approval from the authorities like HBD or URA for using HDB and private properties respectively. Please note that P.O. Box address is not allowed.

• Company Secretary: The appointment of a qualified company secretary is mandatory for all Singapore-based company as per the local jurisdiction. It has to be done within six months from company incorporation.

Singapore Company Registration: The Process

The process of company registration Singapore is acclaimed to be one of the easiest and straightforward in the world. It involves just two simple steps- company name approval and company registration (filing of application form). The complete process is computerized. It takes very less time to get a company registered with ACRA in Singapore as long as the applicant adheres to the laws and regulations.

Company Name Approval

One must have two to three proposed company names and get one company name approved by the authority, i.e., ACRA. You can search over the ACRA’s website to know the availability of the company name. More often than not, it takes very less time to get the name approved unless the application requires the approval of the external authority.

Follow the below-stated tips to improve your chances of fast company name approval.

• Unique name, not identical or similar to any existing company name.

• It must not violate any copyright law or trademarks.

• It is not obscene or vulgar

An approved company name will remain reserved for 60 days from the date of application. Ideally, the company registration process must be done within this period. You can appeal for an extension of the reserved period for another 60 days before the expiry date.

Singapore Company Registration: Final Step

Once your company name has been approved, you can proceed for filing the application form along with required documents. The necessary documents include share details, registered address details, particulars of directors, shareholders, company secretary, Memorandum & Articles of Associations.

Upon successful submission of the application form, you will receive an email from ACRA notifying about your Singapore company registration. The email will contain incorporation certificate along with the UEN (Unique Entity Number). The email will be treated as the official incorporation certificate.

Also, be sure to fulfill the post-registration formalities before commencing the business operation.