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What Makes Singapore The Preferred Place To Start A Business?
If you wonder if this is the right time to opt for company registration in Singapore? Then the answer is "Yes, it is!" Maybe knowing a few more things about why other entrepreneurs prefer company registration Singapore will clear the way for you.

Why Opt for a Singapore company setup?

Almost all of the countries have suffered due to the COVID pandemic. It has made people sceptical about their entrepreneurial dreams. However, you need to consider that a few of the countries are showing healthy recovery.

Singapore is on the right recovery track. It is cashing in on the strength it can leverage from its world-class infrastructure, communication networks, excellent harbours and airports offering connectivity with the outside world and strong startup ecosystem.

How to Register Company in Singapore for foreigner and Local Individuals

Accounting and Corporate Regulatory Agency (ACRA) acts as the Company Registrar of Singapore and governs all aspects of companies. You need to apply to ACRA to register a company in Singapore for foreigner or local entrepreneurs.

The process for Singapore company setup is highly streamlined. It is short, swift and has only 2 procedures.

Firstly, you have to register your company name with ACRA. You need to pay $15 in ACRA fees.

Secondly, you have to apply to ACRA for the company registration Singapore. Official ACRA fees to do so is S$300.

Setting up a company in Singapore for foreigners or, for that matter, for local business owners takes only 1-3 days. The residency status of the company depends on whether or not you choose to manage it from Singapore. You, as a foreigner, are allowed to own 100% of your company's share capital.

If you are a foreigner, you can either relocate to Singapore or choose to manage your company from your native place. For relocation and to work in Singapore, you will need to acquire an Employment pass. Your company secretary can apply to the Ministry of Manpower and get it for you. It will allow you to work as a foreign director of your company.

Setting Up a Company in Singapore for Foreigner

The basic requirements to register a Singapore company are easy to fulfil, even for foreigners. You need to be ready with:

At least one shareholder

Minimum paid-up capital of $1

At least one company secretary

At least one local director

Registered physical local office address

As a foreigner, you will need to supply ACRA with your incorporation and KYC documents, including your copies of your residential proof, passport, etc.

Singapore Startup Ecosystem

Singapore authorities really believe and invest in their startups. Local Singapore companies get tax exemptions that help them in cutting down their overheads in the initial periods. For the first 3 assessment years, the startups can claim 75% of tax exemption on their first $100,000 chargeable income. Next $200,000 are taxed at 50% of tax rate.

It is a significant saving that helps them take roots or a foothold in the market. To solidify their position, they can spend this saved money for various purposes like marketing campaigns, product research, market research, and customer research.

Singapore Corporate Tax

Singapore taxes are affordable. The corporate tax ranges from 0% to 17%. It is a single-tier tax which means that once a company pays its corporate tax, it can disperse tax-free dividends to its shareholders. There is no capital gain tax in Singapore. There is also no inheritance tax in Singapore. The authorities have made it easy for the taxpayers to pay their taxes.

Singapore Personal Income Tax

Singaporeans and permanent residents have to pay personal income tax at the resident rates. It is a progressive tax that ranges from 0 to 22%. The non-residents have to pay it at the flat rate of 15% or the resident's rate, whichever yields the high tax amount. Their tax residency depends on their work-stay in Singapore.

Cross-Border Trading

Singapore has signed numerous trade treaties with its trading partner countries. It has made cross-border trading easy for even small Singaporean companies. Avoidance of double taxation treaties helps businesses conduct their business without having to pay tax twice and deal with delays due to rules and regulations.

Operating Your Company from Singapore

Political Stability

Politically, Singapore is a stable country that can fuel and help you realise your dreams with funding, tax benefits, accelerator and incubator programs. The authorities here truly support small and new companies. They appreciate that Small and Medium Enterprises (SME) help keep the unemployment rate down.

Negligible Corruption

You can trust the Singapore government. As per the Corruption Perceptions Index 2012 prepared by Transparency International, it is one of the least corrupt government bodies.

World-class Airports and Harbours

Singapore has invested in its harbours and airports. This keeps it connected to the outside world and functions as an Entrepot facilitating trade between the East and West.

Singapore airports offer reliable air links to airports spread throughout the world, including the emerging markets in Asia. The airports are efficiently managed to cater to the needs of business travellers. There are no queues for immigration and customs desk and waiting for the luggage.

Singaporean harbours are part of the global supply chain and service more than 600 destination harbours spread worldwide. The supply chain is well supported by the logistical companies providing efficient solutions.

Secure and Clean Living

If you choose to live in Singapore, you can expect high levels of secure and clean living. The crime rate is low, and the law is efficient. Its social environment is safe to live in for the entrepreneurs and their families.

Excellent Education System

Singapore has heavily invested in its education system. It is home to excellent schools, colleges, and universities. As a result, it is a highly literate country.

If you plan to relocate your spouse and kids to Singapore after your new Singapore company setup, do not hesitate. There is no shortage of schools for the right students.

Public Transportation System

Singapore offers an efficient mass public transportation system. It is affordable and reliable. The trains are new and run with optimum efficiency and frequency. Owning a car in Singapore is costly, and most people rely on public transportation.

Yes, you are correct in going for company registration in Singapore. It is a trading economy that is focused on staying competitive. The country has the proper infrastructure, political and social stability, and financial networks to support entrepreneurs.
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