When
an entrepreneur plan to start a business, it is obvious to arise a few
questions on his mind. “Which location will be ideal for bootstrapping?”
“What is the best business structure in Singapore?” “How friendly
Singapore government policies are for start-ups?” “What are the benefits
of the private limited company?” “How much cost does company incorporation Singapore takes?” You will look for the answers to these questions before taking the final plunge.
This guide will give explain the benefits of Singapore company incorporation and an idea of the cost of registration.
What are the Benefits of Company Incorporation in Singapore?
In
Singapore, many of aspirants prefer private limited company as the best
choice for incorporation. To begin with, let us leaf through the
benefits of the private limited company (business structure).
- Limited Liability:
Protection of personal assets of the shareholders is guaranteed even in
the business face any loss or could not repay the debts. Their
liability is limited up to the amount of money they have invested in the
shares of the business.
- Separate Legal Identity:
It has its own separate identity, distinct from its members
(shareholders & directors). It can own assets and can sue or be sued
in its business name.
- Perpetual Succession: The company continues to endure even after the death, resignation or insolvency of shareholders or directors.
- Raising Capital is Easy:
Company’s capital can be raised any time after the incorporation by
bringing new shareholders or issuing new shares to existing
shareholders.
- Credible Image:
An incorporated company portrays a better image of the business among
the potential customers, suppliers, creditors, and others. They take the
business more seriously and are willing to associate with it.
- Ownership is Easily Transferable:
The ownership of the company can be wholly or partially transferred,
either by selling shares to other shareholders or issuing new shares to
additional shareholders.
Besides
the benefits of the private limited company in Singapore, there are
many other advantages which you can tap into when doing business in
Singapore.
Incorporation Process is Easy: The process of company incorporation Singapore
is easy and effortless. It involves just two simple steps: 1) Company
Name Approval and 2) Company Registration. You hardly get to experience
any involvement of bureaucracy in the procedures. The timeline required
for successful Singapore company incorporation
is very less unless the name application requires some additional
approval. Luckily, it is possible to incorporate a company in Singapore
with just a sum of S$1. 100% Foreign shareholding is allowed as per the
law.
Progressive Taxation Regime:
A Singapore-incorporated company is entitled to enjoy a plethora of tax
benefits under the local jurisdiction. While the headline corporate tax
rate is 17% only, there are exemption schemes to lower the effective
tax rates. For instance, a newly incorporated company can enjoy zero tax
exemption as long as it meets the requirements of the authority.
The
effective corporate tax rates for companies (both new and existing
ones) is 8.5% under the partial tax exemptions. There are no capital
gains tax and dividend tax. The wide network of more than 70 Double Tax
Agreements (DTAs) prevents tax payers from paying double taxation.
Availability of Funding Assistance of Government:
The government of Singapore has always been supportive when it comes to
enhancing its economy. It encourages foreign investors and
entrepreneurs to come and contribute to its economy by facilitating
pro-business policies in the Republic. The government has rolled out
several initiatives to provide succor to the startups through its
various programs such as cash grants, incubator schemes, debt financing
schemes, tax incentive schemes and equity schemes.
The
factors such as skilled labor, world-class infrastructure, strategic
location, wide transportation network, high quality of life, etc. are
also contributing to its image as the best business hub.
The
cost of company incorporation is affordable when compared to many other
developed jurisdictions. Many firms are offering A to Z requirements of
your company incorporation needs such as documentation (M&AA, Form
45, Form 45B, etc.), checking name availability & reservation,
company profile, company seal, share certificate(s), company kit, bank
account opening assistance.
You will get complete assistance throughout the process of company incorporation Singapore.
You may consider firm like SBS Consulting as the firm offers a
comprehensive incorporation package at just S$699 (including ACRA Fee)
along with free corporate secretarial services and registered office for
one year.
About/Bio: SBS
Consulting Pte Ltd is one of the leading incorporation specialists in
Singapore. The unrivaled combination of competitive price, experienced
team and quality-driven solutions sets the firm apart from its
competitors.
Contact us:
SBS Consulting Pte Ltd
Visit: https://www.sbsgroup.com.sg
High Street Centre,
#17-02, 1 North Bridge Road,
179094 - Singapore
Phone: (65) 6536 0036
Email: info@sbsgroup.com.sg