Singapore Private Limited Company Registration
Singapore private limited company registration offers an opportunity to the owners of handling a versatile business structure. Depending on the number of shareholders, a Limited Liability Company can be either an Exempted Private Limited Company or a Private Limited Company.
Most of the Entrepreneurs Opt for Singapore Private Limited Company Registration
The private limited company is also known as a Private Limited Liability (PLL) company in Singapore. It is necessary for it to use terms like ‘Pte Ltd’, ‘Private Limited’ or ‘Limited’ in its name. It is a locally incorporated company where the number of shareholders is limited to 50 individuals or the corporate entities.
In a Pte Ltd Company, the liability of the shareholders remains limited to the amount that they have used to buy its shares. Upon paying the full share value, the shareholders become free of further liability towards the debts or losses incurred by their company.
Singapore private limited company registration is carried out under the rules and regulations mandated by the Singapore Companies Act, Chapter 50. A Pte Ltd enjoys an independent legal identity and has the rights of a natural person.
Characteristics of a Singapore Private Limited Company
- It is a legal entity separate from its stakeholders; shareholders and directors
- It can sue or be sued in its own name
- It can have 1 – 50 shareholders
- It has perpetual existence
Requirements for Singapore Private Limited Company
- Minimum initial paid-up capital of S$1
- At least 1 Shareholder
- At least 1 Resident Director
- At least 1 Company Secretary
- A local registered address for Singapore office
Start-up Tax Exemption Scheme for Singapore Tax Resident Companies
Singapore authorities assist tax resident startup Singapore companies in their initial three years of operation. They provide 100% tax exemption to these companies on their initial taxable income of up to S$100,000. Next chargeable income of up to S$200,000 also gets 50% of tax exemption. It immensely eases their cash flow.
Incorporation of Company in Singapore
Our Singapore incorporation services include:
- Name check and getting it approved from the ACRA
- Reserving the name for the use of the proposed company
- Putting together a company memorandum & articles of associations for the new company
- Preparation of forms to incorporate the company
- Soft copy of the Certificate of Incorporation (Email)
- Company Seal and Stamps
- Taking care of Share certificates, register and minutes book
- Minutes of first board meeting of the new company
- Resolution to open a corporate bank account with the local branch of a Singapore bank
Immediately after the accomplishment of Singapore private limited company registration, it is a must for the company to appoint at least one Company Secretary within 6 months. Remember, the company secretary must be a natural person, residing locally in Singapore. The individual must be experienced and skilled enough to take on the responsibilities of the job. The sole director of the company cannot assume this position. The secretary of a public company must comply with the section 171(1AA) of the Companies Act., and must possess the following qualifications:
- He / She should be a secretary of a company for at least 3 of the last 5 years, immediately before his appointment as secretary of the public company.
- He / She should be a qualified person under the Legal Profession Act (Cap. 161)
- He / She should be a Public accountant, registered under the Accountants Act (Cap. 2)
- He / She should be a member of the Institute of Certified Public Accountants of Singapore
- He / She should be a member of the Singapore Association of the Institute of Chartered Secretaries and Administrators
- He / She should be a member of the Association of International Accountants (Singapore Branch)
- He / She should be a member of the Institute of Company Accountants, Singapore
Locally Registered Office Address
- The Company Act requires all the businesses registered in Singapore to have a locally registered address to facilitate official communication
- It also stipulates that it must be accessible to the general public during the working hours
Singapore Incorporation Process
Step 1# – Submit Your Request and Provide us with Your Incorporation Details and Documents
After receiving your company incorporation details, one of our dedicated experts will:
- Check the availability of the name for your proposed company
- Provide answers to your queries, if there are any, and advise accordingly.
- Provide you with an invoice for the rendering of our services.
Step 2# – Make Payment
We will prepare your incorporation documents after receiving the payment for services as reflected in the invoice. You have the option of paying us using debit or credit cards, net banking, cash, cheque, or via, a telegraphic transfer.
You will then have to put your signature on the freshly created incorporation documents in Singapore, at our office.
Step 3# – Incorporating Your Company
Our expert will submit your documents to the Company Registrar of Singapore (Accounting and Corporate Regulatory Authority of Singapore (ACRA)). After the successful incorporation of your company, we will assist you in the opening of a corporate bank account in the local branch of a Singapore Bank.
Opening a Corporate Bank Account in Singapore
Required Information and Documents
- Name of the new company
- Details of the proposed business activities
- Details of shareholders
- Details of directors
- Local registered address
A New Singapore Private Limited Company also Needs to Appoint
Directors – With effect from 1 March 2009, a company must have at least one director who is a local resident of Singapore and 18 years or more in age. However, certain individuals (e.g. Bankrupts and individuals convicted of offenses involving fraud or dishonesty) are disqualified from holding this position.
Auditor – Once the process of Singapore private limited company registration is finished, it is necessary to understand the statutory obligations and take efforts to comply with them. One of such obligation is to appoint an auditor within 3 months from the date of its incorporation unless it is exempted from audit requirements under the Section 205B, or 205C, of the Companies Act. Failure to do so, results in fines, penalties and in a rare instance, court proceedings.