What makes Singapore a business heaven where several local and foreign businessmen or entrepreneurs start and register their business in Singapore every year? A great infrastructure, pro-business legislation, attractive taxation system and good socio-political environment are some of the reasons why local and foreign people prefer to start a business in Singapore.
Thus, if you have completed the process of company registration in Singapore you must know that you are not done yet as there are several steps that must be taken before you can start the functioning of your business.
1. Financial Year End of your Company
The first thing you should do is to know what is the financial year-end for your company. This date is of vital importance as you will be required to submit your financial statements, conduct annual general meetings, file annual return and corporate tax return.
31st March, 30th June, 30th September, and 31st December are common FYE dates.
2. Hire an Auditor
You must hire an auditor within 3 months of incorporation of company in Singapore. However, there are some conditions that exempt you from doing so:
- Your annual revenue does not go beyond S$ 10 million.
- Your company’s total assets do not exceed S$ 10 million at the end of the financial year.
- The number of your full-time employees does not exceed 50 at the end of the financial year.
3. Set up an Accounting System
It is mandatory to keep updating your accounting books by the Singapore Accounting Standards, otherwise you will be charged under tax evasion penalties. Moreover, setting up an accounting system from the beginning will help you keep track of your expenses and profits and will also help you file your taxes accurately.
4. Hire a Corporate Secretary
According to the Singapore Company’s Act, all companies must hire a corporate secretary within six months of incorporation. However, there are some conditions that must be met to hire a corporate secretary:
- He must be an ordinary resident of Singapore.
- He cannot be a company director if you have only one director.
- He must meet the qualification and experience requirements to be a corporate secretary.
5. Issue Share Certificates
Share certificates are legal documents that certify the ownership of shares by a company or an individual. It states the amount of shares that are owned by the company or the individual. You will also need this document to keep track of how many shares you have issued, bought or are owned by your company.
6. Set up Statutory Books
Statutory books are public documents and can be requested by authorities at any time. These documents include:
- A complete record of your shareholders including the information of a number of shares owned and transferred.
- Meeting minutes and agenda of the annual general meeting.
- Complete and updated information on your company’s officers (directors and corporate secretaries), CEOs and auditors.
These are statutory records of your company and are kept updated at your company’s registered office. Your company’s corporate secretary is in charge of these documents.
7. Open a Company’s Bank Account
Opening a company’s bank account will help you manage your business finances and keep your personal and business expenses separate. Here are the documents you will need to open a company’s bank account:
- Constitution of your company
- Latest ACRA business profile of your company
- Identity documents of all directors and bank signatories
Other than that, some banks may also require the physical presence of directors and bank signatories.
8. Get a Licence
Not all companies need to get a licence to start functioning in Singapore. If you are one of the businesses below, you will need to get a licence:
- Employment agency
- Travel agency
- Educational institute
- Financial services
- Importing or exporting goods
9. Set up an Office
Lastly, you must set up a company office and publish its address on your website and business documents. It must be a physical place and PO box addresses cannot be used.
We hope our blog will help you in setting up your business in Singapore. If you need any help regarding the incorporation of company Singapore or company registration in Singapore for foreigners, feel free to contact us. We are here to help you with all business and financial matters!!