Complete Guide to Setting Up a Branch Office in Singapore

How to Successfully Establish a Branch Office in Singapore A Comprehensive Guide to Essential Requirements and Procedures

In recent years, with the continuous changes in the global economic landscape, more and more companies have turned their attention to the Southeast Asian market. As one of the most attractive business centers in the region, Singapore has become a preferred destination for many companies to set up overseas branches, thanks to its stable economic environment, open policies, sound legal system, and efficient business climate.

According to the Global Business Trends Report 2025 released by Enterprise Singapore, the number of new foreign companies in Singapore increased by 12% year-on-year in 2025, with over 60% of them choosing to enter the market through branch offices or subsidiaries. This data shows that Singapore remains an ideal choice for foreign enterprises to expand into the Asia-Pacific market.

So, how can you successfully establish a branch office in Singapore? This article will provide a comprehensive analysis of the essential conditions, registration process, and legal requirements, offering practical guidance for businesses.

I. Basic Conditions for Establishing a Branch Office

When establishing a branch office in Singapore, it should be noted that a branch is not a separate legal entity but an extension of the parent company. Its legal liabilities are directly linked to the parent company. Compared to setting up a subsidiary, establishing a branch is simpler and less costly.

According to the regulations of the Accounting and Corporate Regulatory Authority ACRA of Singapore, the following basic conditions must be met when establishing a branch

1. The parent company must be legally registered Whether it is a local or foreign company, it must have a valid registration certificate and must not have had its license revoked.

2. The parent company must provide its articles of association and registration certificate These documents need to be notarized or certified to ensure their legality.

3. Appoint a local representative in Singapore A branch must appoint a local representative to handle communication with authorities and daily operations. This representative can be a Singapore citizen, permanent resident, or a foreigner holding a long-term pass.

4. Submit an application for company name approval Before formal registration, the selected company name must be checked through ACRA's company name approval system to ensure it is not already in use.

5. Prepare articles of association and a business plan Although a branch does not require separate articles of association, the parent company usually provides a business plan to outline the scope of operations and operational model of the branch.

II. Specific Process for Establishing a Branch Office

The process of establishing a branch office in Singapore generally includes the following steps

1. Company Name Pre-Approval

First, use ACRA’s company name check function to determine if the desired company name is available. If it is, submit an application to reserve the name, which is valid for 120 days.

2. Prepare Relevant Documents

This includes the parent company’s certificate of incorporation, articles of association, board resolutions, and other relevant documents. All documents must be notarized or certified, and in some cases, they may also need to be translated into English.

3. Submit the Registration Application

Submit the registration application through ACRA’s online system, BizFile+. Required information includes the company name, business type, address, director and shareholder details, and local representative information.

4. Pay the Registration Fee

According to ACRA regulations, the registration fee for establishing a branch is 500 SGD approximately 2,500 CNY. Additional fees may apply for local representative services and legal fees, if applicable.

5. Complete Registration and Obtain the Certificate

Once the application is approved, ACRA will issue the company registration certificate and notify the applicant. At this point, the branch office can officially start operations.

III. Legal and Tax Requirements

Although a branch is not a separate legal entity, it still needs to comply with Singapore’s laws and regulations, including

Company Law The branch must be registered and operated in accordance with the Company Law.

Tax Law The branch must pay corporate income tax, typically at a rate of 17%. The tax rate may be reduced if certain preferential policies apply.

Employment Regulations If the branch has employees, it must comply with Singapore’s labor laws, including minimum wage, social security contributions, and employment contracts.

Financial Reporting The branch must regularly submit financial statements to ACRA and maintain clear accounting records.

Singapore also offers various tax incentives, such as startup grants and RD tax deductions. Eligible companies can apply for these incentives to further reduce costs.

IV. Common Questions and Matters to Note

1. Difference Between a Branch and a Subsidiary

A branch does not have independent legal status, and all liabilities are assumed by the parent company. In contrast, a subsidiary is an independent legal entity with its own liability. Companies should choose based on their strategy and risk tolerance.

2. Selection of a Local Representative

The local representative should have certain business experience and legal knowledge. It is recommended to select a professional institution or lawyer to ensure compliance and smooth operations.

3. Business License

If the branch operates in a specific industry, such as finance, healthcare, or education, it must apply for a business license from the relevant regulatory authority.

4. Opening a Bank Account

After the branch is established, it must open a company bank account in Singapore for financial management and tax reporting.

V. Conclusion

Overall, Singapore is an ideal choice for companies looking to expand into the Asia-Pacific market, due to its highly open environment, sound legal system, and excellent business climate. Although the process of establishing a branch is relatively simple, companies still need to fully understand local laws, tax regulations, and operational requirements to ensure compliance.

For companies intending to establish a branch in Singapore, thorough market research, legal consultation, and financial planning are essential. By leveraging professional legal advisors and business service providers, companies can more efficiently and safely complete the branch establishment process, gaining a competitive edge in the market.

As Singapore continues to improve its business environment, more companies are expected to set up branches here in the future. Seizing opportunities and making early preparations will be key to success in the internationalization journey of enterprises.