4 Things Entrepreneurs Should Do in Singapore
There is no doubt that Singapore is one of the best destinations to register your company. The country straddles the vital sea-link between East and West that sees USD 5 trillion worth of trade. It is a perfect entrepot that inspires owners and holders of EntrePass and employment pass Singapore for company incorporation.
As per the World Bank report 2020, Singapore ranks 2nd for the ‘Ease of Doing Business’ indicator. It also ranks 1st in the IMD World Competitiveness Ranking 2020. Its strong economic performance is rooted in the international trade, investment, low unemployment rate, and skilled labour market.
Singapore is home to as many as 17,000 foreign companies, including established MNCs, SMEs, small businesses and startups. If you are opting to set up a company in Singapore, you should focus on the things discussed here.
Acquire Business Licenses and Permits
Before you start your business activities in Singapore, you need to get the proper business licenses and permits. It will help you to visit Enterprise One portal. It gives a comprehensive list of licenses and permits by industry. You can apply for these online or get your registered filing agent to do so.
Use Public Financing and Schemes for Your Startup
Raising capital for your new business could be difficult. Many entrepreneurial journeys are cut short because of the lack of funds. A few of them use their own money to finance their company.
However, finding capital to propagate an innovative business idea is easy in Singapore. You should check out schemes like Business Angel Fund and Early-Stage Venture Fund, etc.
Singaporean government provides qualified start-ups with full or partial tax exemptions in their initial days to reduce their operational costs. They also benefit from corporate tax rebate and the partial tax exemption scheme.
Get EntrePass to Relocate and Work in Singapore
If you are a serial entrepreneur and has a vast experience to support, your new adventure in Singapore gets Entrepreneur Pass. You will need to apply to MOM to acquire it. Then, you can form your new Singapore business. You will need S$1 in minimum initial paid-up capital to do so. Earlier, it was S$50,000 (for EntrePass holder).
Of course, you can also register your Singapore company on an Employment pass Singapore. However, you will not be able to act as its local or resident director. As per the employment pass guide, those on this pass can only work for their employing company.
So, you will need to hire a Singapore resident or a nominee director for your company. You will be one of the shareholders of your company.
When it comes to investing their hard-earned money, investors always prefer public limited companies over private limited companies. When you go public, you not only get market price for your shares in the company, but the move also brings in fresh capital for the growth of the company.
Going public may not be your immediate priority or goal. However, being open to it is going to play an important role in deciding how far you want to run with it. You may find the option difficult to execute but focus on the benefits of doing so.
Singapore is the easiest country to do business in. It attracts tons of Foreign Direct Investment (FDI) because of its simpler and transparent regulatory system, lower tax rates, political stability. Even in the COVID-19 affected economic scenario, it successfully attracted US$15.4 billion in FDI in the 3rd quarter of 2020. Yes, Singapore is a great place to establish a new business.