Upward Trend in Singapore Company Registration Raises Hope
The slowdown of the Chinese economy in 2015 caused a great concern to the investors. It also affected its neighboring countries like Singapore. These economies have been the major source of input to the Chinese manufacturing sector.
In fact, Singapore barely managed to prevent itself from being tainted by the technical recession. Still, in this shaky economic environment, the investors and entrepreneurs have shown their faith in Singapore. During the Q3 2015, the number of Singapore company registrations has actually increased.
Singapore authorities has worked very hard over the last decades to make their country a business hub of southeast Asia. The country have signed a number of Avoidance of Double Taxation Treaties with its trading partner countries. They also allow free repatriation of profits. And most importantly, it levies no capital-gain tax on the dividends distributed by the companies. It is one of the USP of investing and incorporation of a company in Singapore.
The total number of company incorporation Singapore, during the Q4 2014 – Q3 2015 was 68753. During this period, the entrepreneurs registered 29712 exempt private limited companies.
The number of Singapore company incorporation in Q3 2015, alone, were 17608. The period saw the registration of 7258 exempt private limited companies, 7736 sole proprietorship, and 556 limited liability partnerships.
It is natural that for the locals to take the initiative in Singapore company registration as 65% of the companies have the local shareholding. Singapore allows the foreign entrepreneurs to own 100% of shares. 24% of companies registered in Q3 2015 are owned by the foreigners. And 11% of companies have attracted both locals and foreigners as the shareholders.
Singapore straddles one of the most important sea routes in the world. It witnesses a trade of $5 trillion between the East and West. As an important entrepot of the world, it offers best port facilities to the traders such as wholesalers and commodity traders. 19% of the 17608 company incorporation in Singapore completed during the Q3 2015 were initiated by the wholesalers. They have added a value to the Singapore’s reputation as a trading and distribution hub.
Singapore boasts of a qualified and experienced workforce. Most of these individual are speak English proficiently. It is a quality that is appreciated and capitalized on by the MNC’s.
During Q3 2015, Singapore has witnessed 12% and 10% of new business formations in the financial services and Head Office and Management sector, respectively. World-class facilities, infrastructure, communication networks and the convenient time-zone plays an important part in attracting these type of business entities.
The corporate that are looking beyond their national boundaries consider Singapore a first-class financial destination. It is often the case with Small and Medium Enterprises that want to escape the stifling tax rates, procedures and other bureaucratic hurdles at home. These entities have a way out and it starts with knowing how to register a company in Singapore.
Ambitious businessmen, innovative entrepreneurs, and other business minded individuals come to this small island for the Singapore company formation. They benefit from the start-up ecosystem, the presence of efficient accounting services, connectivity with neighboring countries and emerging markets of Asia, trade agreements, service platforms, and a network of service providers and intermediaries.