Have you ever contemplated the idea of expanding into the Singaporean market? Maybe you have. Why wouldn’t you considering that it’s close to the emerging markets of China and India, not to mention that there are incredible tax benefits. What you should be doing is setting up a subsidiary company. What’s the point, you may ask? The losses aren’t transferred to your home-based business (the parent company) and you have the opportunity to place your product and services in other stores. Maybe you won’t make a fortune, but you’ll certainly make good profits. Basically, there’s nothing to think about. Are you interested in creating a subsidiary in Singapore? If the answer’s yes, you should better read this small guide.
Requirements for incorporating a subsidiary company in Singapore
If you want to do business in Singapore, you have to play by the rules. As you can imagine, you can’t just go ahead and set up a subsidiary; at least, not if you don’t meet the certain requirements. Your organization must have at least one shareholder, resident director, company secretary, a physical office address, and the paid-up capital for the company must be at least one dollar. These are the prerequisites you have to respect to register a company in Singapore. It doesn’t sound very hard, does it?
Registration procedure for subsidiary company in Singapore
Big companies love to extend their business operations overseas. You’re not looking to shift your profits overseas. What you want is to establish a presence in the market. Singapore doesn’t pose a challenge to lucrative businesses, so that’s where you want to sell your products and services. In order to do that, you have to:
1. Decide on a company name
The name of the subsidiary can be different from the parent company. This means that you’re free to choose whatever name you want. Well, almost. The title given to the enterprise has to be approved by the Singaporean government. You aren’t allowed to choose something undesirable, like a vulgar or offensive name. Put your imagination to the test and see what comes up. Do you like the result? No matter if the answer is yes or no, do a company name check. If the name already exists, you can’t use it.
2. Register the subsidiary company
Once the Registar of Companies authorizes your name, they will proceed to processing your incorporation application. The thing is that you’ll have to wait after having filled the application. The process can take anything from a few hours to a couple of days. Delays are normal and they are to be expected. If the authorities require additional information on shareholders or anything of the sort, you must provide it.
What documents you’ll be provided
When everything is over, you’ll receive the following documentation:
- Certificate of incorporation
- Company business profile
This is everything you need to launch your subsidiary company in Singapore. The paperwork is so easy to use that you won’t have trouble. The last thing that you have to do is to open a bank account. What you’ll need that for? To make and receive payments.