Singapore Business Entity categories

Here is a simple break down of the various business forms available in Singapore's company formation:

1. Private Limited Company
2. Limited Liability Company
3. Subsidiary Company
4. Branch Office
5. Representative Office

Establishing a Branch Company in Singapore

A private limited company in Singapore holds a unique legal status which differentiates it from its owners and directors. These individuals are only partially accountable for the company's debts and losses. Meanwhile, the business owner possesses the rights to own property.

Key Requirements for Establishing Your Company

The following essentials are needed to set up your private limited company:

• One Individual/Corporate Shareholder: It could be a single person or a corporate entity.
• One Resident Director: The company should have at least one director who resides in Singapore.
• One Company Secretary: Your firm needs to appoint a company secretary.
• Minimum Paid-Up Capital: Your business needs to have at least one dollar in paid-up capital.
• One Registered Address: Your firm must have a registered address in Singapore.

  Singapore Business Representative Office
  A representative office in Singapore is a provisional establishment that has a maximum duration of three years. Foreign businesses can set up a company in Singapore, allowing them to temporarily relocate to the city-state. This provides them the opportunity to connect directly with local distributors and study the local market extensively. Acquiring a Singapore incorporation employment pass is essential for this relocation.

  
  Basic Requirements for Setup:
  For Indian enterprises looking to register a company in Singapore, the following conditions need to be fulfilled:

  • The annual sales turnover should exceed $250,000.
  • The business should have been operational for a minimum of three years.
  • The proposed representative office can have a maximum of five employees.

    Registering a Limited Liability Partnership in Singapore
    A limited liability partnership merges the advantages of a private limited company and a partnership. This offers optimum liberty and distinct legal entity separate from your associates.
    
    

    Basic Setup Prerequisites:

    1. A minimum of two partners is mandated
    2. A full-time resident manager is needed
    3. A registered address is compulsory.

       Essential considerations for registering a business in Singapore

       1. Legal Entity and Liability
       The primary consideration in selecting an organization's form is the liability structure. It is advantageous for both the business owner and the organization to be distinct entities. This ensures a defined limit to who/what bear responsibility for the company's debts.

       
       2.  Sustainability and Growth
       A universal and enduring goal for every company is sustained growth. Thus, business owners should evaluate which organizational format will enable them to expand their scope, delve into new markets, or launch novel products/services.
       3.  Startup Costs
       If you're starting a new business, it's crucial to contemplate the capital you have at your disposal for registration in Singapore.

        

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