How to Start a Small Business in Singapore: Complete Guide
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Singapore, an energetic island nation in Southeast Asia, has become a prominent center for entrepreneurs and investors worldwide. Securing the second position on the World Bank’s 2023 Ease of Doing Business index, Singapore provides a favourable business atmosphere characterized by minimal taxes, a stable political landscape, and a proficient workforce. Consequently, this has enticed international entrepreneurs and investors who aim to establish or grow their enterprises within the vicinity. If you aspire to start your own small business in Singapore, this all-inclusive guide will furnish you with the necessary details and procedures. Read the complete guide.
How to Start a Small Business in Singapore
Select the comprehensive business structure
To begin, it is critical to select the most appropriate business structure that meets your needs. Singapore offers a variety of business structures, including sole proprietorship, partnership, limited liability company (LLC), and branch office. Each structure possesses its own set of benefits and drawbacks, underscoring the importance of seeking professional advice for proper guidance.
Choose your Business Name
To ensure your business has a distinct identity, it is essential to secure a one-of-a-kind business name through the Accounting and Corporate Regulatory Authority (ACRA). It is important to note that the chosen name should not be offensive or infringe upon any existing trademarks.
Register your Business
To register your business online, utilize ACRA’s BizFile portal. It is essential to provide a variety of documents, such as your business name, address, and director information.
Acquire Business License
Depending on the industry, you may be required to obtain specific licenses and permits from the right governmental bodies.
Open a Corporate Bank Account
It is crucial to establish a corporate bank account to effectively handle your business finances. This account will enable you to receive payments, make payments, and avail of various financial services.
Adhere to Tax Regulations
If your annual turnover exceeds S$1 million, it is necessary to register for Goods and Services Tax (GST). It is important to comprehend your tax obligations and ensure that you file your tax returns promptly.
Benefits to Start a Small Business in Singapore
Some of the following benefits of setting up a small business in Singapore:
- Double-Taxation Avoidance: Singapore has entered into more than 50 bilateral double-tax avoidance treaties with various nations. These agreements ensure that transactions conducted between Singapore and the countries involved are not subjected to double taxation.
- Flourishing Business Environment: Singapore prides itself on fostering a thriving business environment characterized by a transparent legal system, robust intellectual property protection, and minimal regulatory burdens. These factors contribute to the ease of doing business and enable companies to prosper.
- Strategic Geographical Position: Positioned at the crossroads of Southeast Asia, Singapore serves as a strategic gateway to the vast markets of the region. This advantageous location allows businesses to tap into a large customer base and seamlessly integrate into global supply chains.
- Superior Quality of Life: Singapore has an outstanding standard of life, with high standards of healthcare, education, and safety. This appealing environment attracts both international talent and aspiring entrepreneurs who seek to establish themselves in a thriving and conducive setting.
- Abundant Pool of Talent: Singapore boasts a highly educated and skilled workforce, providing businesses with easy access to qualified employees. Moreover, the government actively encourages the influx of foreign talent through various initiatives, further enriching the talent pool.
- Government Backing: The Singapore government actively supports small businesses by offering a range of grants, subsidies, and tax incentives. This invaluable support system acts as a safety net and propels the growth of businesses.
- Exceptional Infrastructure: Singapore takes pride in its world-class infrastructure, encompassing efficient transportation networks, reliable telecommunications, and easily accessible utilities. This ensures seamless business operations and enhances connectivity.
Document needed to Incorporate a Small Business in Singapore
The following documents are required to start a small business in Singapore is mentioned below:
- Application form for business registration
- Comprehensive Business Plan
- Confirmation of business name reservation
- Identification documents of directors and shareholders
- Evidence of registered address
How OnDemand International helps you in business registration in Singapore
We are here to assist you in selecting a suitable company name and submitting it to ACRA for approval. Depending on your business requirements, we will carefully determine the most fitting organizational structure for your company. Our team will compile all the necessary paperwork for business registration and ensure its verification with the relevant government authorities. Once completed, we will proceed to register your company with ACRA and submit all the required documentation. In addition, we will appoint a director and a company secretary for your company. In addition to these services, we will assist you in opening a bank account and registering your business with the tax authorities.
Contact OnDemand International today to discuss your business objectives and let us help you set up your small business in Singapore.
Yes, You can get a business visa by opening a small business in Singapore. But you have to qualify for all the related consequences.
Yes, Non-resident Singaporeans can set up their small businesses in Singapore.
The minimum investment is up to you how much you invest, but during business registration, you need to have a minimum capital of SGD$1.