2022 Foreigner’s Guide for Registering a Company in Singapore
Company incorporation in Singapore is trending. The company incorporation process is straightforward and short. Nowadays, aspiring business owners are searching for info on whether there is any way to register a company in Singapore for a foreigner without leaving their native country.
The business owners prefer to start an offshore company in Singapore. The country plays the role of an entrecote and an integral part of the global supply chain. Infrastructure-wise, it is an advanced country, and its network of trade agreements makes it a perfect place for new company incorporation.
Individual entrepreneurs can register a Sole Proprietorship, General Partnership, Limited Partnership, Limited Liability Partnership (LLP), and Private Limited Company or Pte Ltd. The partnerships and proprietorships can be registered in about a day.
The company incorporation services providers offer excellent advice and support for setting up a Singapore company for foreigners. Generally, it takes only 1-3 days to complete company incorporation in Singapore. Let us see the options available to foreigners in detail.
Private Limited Company
The business owners favour private limited companies. These are credible, dynamic, scalable and accommodate an expanding business's needs.
The foreigners need to complete pre-incorporation requirements for starting an offshore company in Singapore. They are as follows:
At least 1 shareholder
At least 1 local/resident director
Minimum initial-paid capital of S$1
At least 1 company secretary
Registered physical office address (Post Box address is not valid)
Incorporate Offshore Company & Acquire Employment Pass
You. as a foreign owner, need to appoint a company incorporation services provider who knows how to register company in Singapore for foreigners. You will need to hire a local/ resident director or pay for nominee director service.
After the company incorporation in Singapore, your company, as an employer, can apply to the Ministery of Manpower (MOM) for your employment pass. You need this pass to relocate and work in Singapore. You can remove the nominee director and act as the company's director.
To get your employment pass, you will need to earn at least S$8,000 in fixed monthly salary, have acceptable education qualifications, and a job as a managing director, CFO, or CEO.
Get an Entrepreneur Pass & Opt for Company Incorporation
Entrepreneurs who want to set up an offshore company in Singapore can also apply to the MOM and acquire an Entrepreneur or EntrePass for them. Those who have recently registered a Singapore monthly (less than 6 months old) can also apply to MOM and acquire EntrePass.
Afterwards, they can appoint a provider of services of company incorporation in Singapore and get it done. The entrepass enables you to act as the director of your company.
Anyone can apply for entrepass, provided they meet the following conditions:
I have already formed or intend to form a private limited company in Singapore with ACRA. It should not be more than 6 months old on the date of the entrepass application.
You can apply as a serial entrepreneur, innovator or investor for EntrePass. The requirements for each of them are as follows:
To qualify for an entrepass you need:
At least $100,000 from a government agency, venture capitalist (VC) or business angel, known to Singapore Government agency
Your company is a participant of an incubator or an accelerator program
You have a solid track record as an entrepreneur
You need to fulfil following requirements:
You own intellectual property (IP) rights and an advantage over your competitors
You have a research collaboration with a Singapore Government’s agency
You have a domain expertise
You want to invest capital in local tech startups. You need to submit documented proof:
Record of investments in highly-scalable companies
Should have worked in a large corporation for a minimum of eight years as in a senior role
Pay for Nominee Director Services & Register Your Company
If you cannot manage a local/ resident director, then get nominee director service from one of the company incorporation services providers. Provide them with the necessary incorporation documents and get your company registered.
A nominee director acts as an employee of the company and has no decision-making authority. They fulfil a mandatory requirement.
Prepare Documents to Set Up Singapore Company
ACRA approved company name
Description of business activities
Registered office address in Singapore
Particulars of shareholders, directors, company secretary
Foreign Entrepreneurs: Submit a copy of their passport and residential address proof (overseas)
Foreign Companies: Submit a copy of M&AA or Company Constitution
Singapore Residents: A copy of their Singapore Identity Card
After your company incorporation in Singapore, you will need to do a few tasks before starting your business activities. You will need to acquire business licenses and permits, open a corporate bank account, pay statutory contributions.
It is easy to open a corporate bank account in Singapore. There are local as well as international banks. Some of them insist on the physical presence of the shareholders and directors of the company at the time of opening a corporate bank account.
A few of the banks have moved on and are now allowing opening a business account online with a highly personalised Business Debit Card.
So, now, you can register an offshore company in Singapore without being present in the country. All you need to do is submit your incorporation and KYC documents to your company incorporation services provider and, afterwards, open a corporate bank account online.