Today, the issue of registering a company in Singapore is becoming relevant for an increasing number of representatives of domestic businesses, which is due to a number of reasons, the main of which are:
- Terms of taxation. The country has a territorial principle of taxation, according to which all profits received outside Singapore and not transferred to its territory are not subject to income tax. The implementation of this principle in the national tax legislation, first of all, provides excellent opportunities for legal tax optimization for those firms that do not plan to operate on the territory of the state itself. But even in the case of directly opening and doing business in Singapore itself, or transferring profits received outside the country to the territory of Singapore, this profit will still be taxed at a rate of seventeen percent, which is very low by world standards. Speaking about the advantages in terms of taxation, it should also be noted that Singapore is a party to Double Taxation Treaties with eighty states. In addition, the country is actively developing economic ties with the countries of Southeast Asia, which also gives companies involved in the Asian market of goods, works and services additional benefits.
- Optimal conditions for doing business and a simple registration procedure. Registration of a company does not take much time, and the minimum authorized capital is only one Singapore dollar. At the same time, for most types of activities, including those related to finance, it is not required to go through the licensing procedure. It should also be noted the absence of currency control and the implementation of the territorial principle of taxation.
- The policy of the state is focused on all kinds of business support. First of all, this is expressed in the annual provision of all kinds of subsidies to young small and medium-sized businesses, which gives the latter excellent opportunities for rapid and successful development. In addition, Singapore occupies one of the leading positions in terms of ease of lending, the level of protection of the rights and legitimate interests of investors, as well as the procedure for registering property.
Registration of a company in Singapore is possible in the following forms:
- Private Company limited by Shares. When choosing this form, the liability of all its participants is limited only by the amount of their contribution to the company itself. At the same time, the legislation provides for a limitation on the number of shareholders, the total number of which should not exceed fifty.
- A Public Company limited by Shares is essentially the same as a private limited company, but with no restrictions on the number of shareholders.
- Public Company limited by Guarantee. Most often, this company is created for the implementation of any non-commercial purposes. Instead of shareholders in this company, there are participants who are liable within the amount reflected in the special guarantee documents.
- Public Company limited by Guarantee. It is the most popular form for setting up a company in Singapore. This form does not allow participation in the structure of legal entities.
As mentioned above, the registration procedure is quite simple and convenient.
In this case, the founders are required to provide the following information:
- name (it is desirable to present two or three options in order of priority);
- information on the structure of the company (it is important to note here that at least 1 director must be a full-fledged resident of this country);
- information about the types of proposed activities.
