If you have a plan to start a business in Singapore, one of the direct questions you may face is: How much does it cost?
First, let's take a look at the fees for registering a private limited company in Singapore published on the ACRA (Accounting and Corporate Governance) website:
– Name approval fee: 15 Singapore dollars
– Registration fee: SGD 300
This is because the total cost of merging the new company with ACRA is S$315. But that's not all.
You also need to consider the cost of maintaining the company each year because the operating company is involved in many other administrative matters.
Depending on your needs, you may find yourself hiring a professional to help manage the company registration process and other related services to help ease the burden on you as a company director. These are the costs you need to consider.
What are the four basic areas you need to be aware of? Let's see.
1. Registered address
You need an office address to set up a company in Singapore.
If you don't rent an office, you can choose to work from home and use your address as your business address, as the HDB Home Office plans to allow. You can even use your home as an approved business office, such as consulting, e-commerce and writing-related business!
However, one disadvantage of using a home address is that it does not portray your company's professional image compared to using a business address.
An easy solution is to register a registered address service (also known as a virtual office address).
You can then register your company with ACRA using their address and print it on your business card and official documents.
JJ&E will also help you collect emails sent to their business address (such as a letter from a government agency or view a customer's payment) and they will notify you by email so that you can collect it.
You can check out JJ&E's virtual office service here.
2. Company seal
Some people may think that you don't need a company seal, especially if you run a small business. But from personal experience, I still recommend you buy one.
Depending on the customer's requirements, sometimes you may need to use the company seal as an official receipt or document.
I have received training from local government associations and I was asked to sign a training agreement and sign it with my official company seal.
So, just in case, it's always a good idea to prepare one, because you don't want to encounter such a situation and ask you to use your company seal, but you don't even have it!
For me, the most convenient way I found was to order the company seal from the company's service provider when I first registered the company with the company.
Many corporate registrars do include corporate seal services in their packaging, so keep an eye out for this.
3. Tax report
When it comes to tax issues, I always want my accountant to help me with the necessary reports.
If you are not familiar with accounting matters, I suggest that you outsource your work to a professional accountant or tax consultant.
The Internal Revenue Service of Singapore (IRAS) requires each company to submit its estimated taxable income (ECI) annually, unless your company meets the following criteria:
The annual income for the current fiscal year does not exceed $1 million; and
For YA, ECI is NIL. ECI should be the amount before the exemption amount before the partial tax exemption plan or the new business tax exemption plan is deducted.
For most of us who have not received accounting training, we may not fully understand the meaning of the above, and we may encounter problems that miss critical deadlines.
To minimize this risk, it is best to seek professional help to reduce stress and work stress. If you don't know any accountants, you can always contact the company service provider who helped you sign up for the company.
Typically, they also provide bookkeeping and tax reporting services to help you ensure that your company remains compliant at all times.
4. Annual General Meeting of Shareholders
As a company director, you need to hold an annual general meeting of shareholders (AGM) with all shareholders. This is a mandatory requirement of ACRA for all companies in Singapore. After the meeting, you will need to submit an annual report to ACRA.
This is another area where you can seek help from your professional accountant to help you with the necessary filings.
A1corp is the best place that is offering Company registration services in Singapore.
If you want to know more information on Company registration, visit https://www.a1corp.com.sg/singapore-company-formation
