Singapore Representative Office Registration
Singapore representative office registration is a definitive opportunity to foreign companies, for investigating the local market. A representative office (RO) is generally, tasked with conducting market studies and research activities. Although a valid Singapore representative office registration procedure is followed, the RO is not allowed to participate in any kind of business activities.
Understanding the Concept of Singapore Representative Office Registration
Indulging in Singapore representative office registration is an ideal option for interested foreign companies wanting to test the waters in Singapore, before making a huge investment in future. Such foreign companies by setting up a representative office can analyze, interpret and understand the potential of Singapore and surrounding markets for their business. After completing Singapore representative office registration, the RO is considered as a temporary setup engaging mainly in administrative tasks such as market research and feasibility studies.
The representative office is allowed to carry out only the tasks, that in no way are entitled to generate profit. The ROs are refrained from indulging in core business activities, which generates revenue for the company. The RO do not possess any legal identity in the Singaporean corporate environment; therefore, is mainly viewed as a liaison office. Even if the parent company carries out a lawful Singapore representative office registration procedure, it is prohibited from indulging in any type of contracts, negotiations, or getting involved in trading or leasing of any kind.
Few Facts about Singapore Representative Office Registration
- Name of the representative office should be the same as that of the parent company
- The RO should have one chief executive who should look after the operation of the RO
- The RO can hire maximum 5 local employees as a part of the support staff
- The validity of Singapore Representative Office Registration is 1 year; however, provisions are there to extend the same up to 3 years.
- Once the license expires, the RO should be converted to a subsidiary or a branch office to continue its operation
- The parent company should have an annual turnover of S$250,000, to be eligible to setup RO in Singapore
- The parent company must have an established identity of more than 3 years
- If in case the parent company becomes dormant, the RO will get deregistered in Singapore
- In case of changes in the structure of the RO, for example, change in address and activities, the change must be notified to ACRA at least one month prior to the change
- If the name of the parent company changes, a certified copy of the parent company’s ‘Certificate of Name Change’ should be provided to ACRA
- The RO can obtain a central registration number for importing and exporting sample products and materials to and from the parent company. However, trading activities using the central registration number is strictly prohibited.
Singapore Representative Office Registration Requirements
The following documents are required for the registration purpose of a representative office:
- Certificate of incorporation of the parent company
- A completed application form
- The latest annual reports and audited accounts of the parent company
- A an endorsed undertaking which states that the representative office will abide by the terms and conditions governing the representative offices in Singapore
How SBS Consulting Can Help You?
If you are a foreign company and looking for Singapore representative office registration, then it is better to take the assistance of a professional company incorporation service provider like us. When you engage us for the service, we are committed to provide:
- Full assistance in completing the application of Singapore representative office registration process which are compliant to the framework of the approving authorities
- Prepare and file all the necessary paperwork
- Be a first point of contact for all the clarifications and queries raised by the authorities
- Application for the employment pass for the employees who will be relocating to Singapore
- Assistance in opening a bank account with any of the banks in Singapore
- Assistance in renewal of the license
- Assistance in converting the representative office to a subsidiary or a branch office