For entrepreneurs who are planning to start a Singapore company, the process of business registration is relatively easy particularly if they have already secured certain documents that are required by the Accounting and Corporate Regulatory Authority (ACRA).
Meanwhile, these are the most important things entrepreneurs have to consider before they register a Singapore company (or more commonly referred as corporation in other countries including the US):
● Company name. Before incorporating a company, businessmen should first register their company name to ACRA. It is important that the business name does not violate the trademark of other organizations, not deemed indecent and vulgar, and not currently used by an existing business in the country.
● Shareholders. The owner of a company may range from one to 50 individuals or corporate entities. But if the company decides to go “public,” it can have more than 50 shareholders.
● Resident directors. There should be at least one resident director who may be a Singaporean citizen or a foreigner who holds EntrePass, Dependant Pass, or Employment Pass.
● Company secretary. A secretary should be a “natural” person who must be a resident in Singapore. (Under the Singapore Companies Act, a company should appoint a qualified secretary within six months of its incorporation.)
● Paid-up capital. The minimum paid-up capital needed for the registration of a Singapore company is S$1 (or its equivalent in any currencies) which may be increased anytime after successfully incorporating the business.
● Registered address. The authorities have stipulated that every company should have a registered office address in Singapore which may be a commercial or residential address. If it is residential, the shareholders should seek permission from the Housing and Development Board or the Urban Development Authority.
● Memorandum and Articles of Association. These documents, which must be filed to ACRA, show the commercial activities and policies governing the internal management of a company.
Important Things Foreign Businessmen Should Know
Foreign companies and businessmen are legally required, under the Singapore Companies Act, to hire a business registration firm during the incorporation process. In this way, they will not overlook important compliance matters and provisions.
In addition, foreign businessmen who want to “personally” handle their Singapore company are required to apply for EntrePass or Employment Pass.
But in case that they have no plans of relocating in the country, they should at least appoint one resident director who may be a Singaporean citizen or a foreign staff who has Employment Pass or EntrePass.