Singapore-Registered Foundation Key Processes Considerations Overview

Key Procedures and Considerations for Registering a Foundation in Singapore

In recent years, with the growing global awareness of philanthropy and the increasing number of cross-border charitable initiatives, more individuals and organizations are choosing to establish foundations overseas to achieve their public service goals. Singapore has become a popular destination for setting up foundations due to its stable economic environment, robust legal system, and favorable policies toward nonprofit organizations. According to data from the Accounting and Corporate Regulatory Authority ACRA, the number of registered nonprofit organizations increased by more than 12% year-on-year in 2025, with foundation-type organizations showing particularly significant growth.

If you are considering registering a foundation in Singapore, the following procedures and considerations will help you navigate the process smoothly and ensure compliance for ongoing operations.

1. Clarify the Legal Nature and Purpose of the Foundation

In Singapore, a foundation is typically treated as a nonprofit organization NPO whose purpose must be charitable, educational, scientific, or aimed at promoting public welfare. Unlike a for-profit company, a foundation must not pursue financial gain as its primary objective. Therefore, the stated mission must align with Singaporean legal requirements.

Currently, Singapore does not have a unified legal framework specifically for foundations. As a result, many choose to register as a Public Company Limited by Guarantee or a Society, and may apply for Charity status with the relevant authorities. Obtaining charity status enables the foundation to benefit from tax exemptions and enhances public trust.

2. Overview of the Registration Process

1. Name Approval and Registration Application

The first step is to submit a name application through ACRA’s online system to ensure the proposed name is available and meets regulatory standards. Once approved, the foundation must submit its constitution, director details, and registered address to complete the registration.

2. Establish Governance Structure

A foundation must have a board of directors or management committee, typically consisting of at least three directors, one of whom must be a Singapore resident. All directors must be at least 18 years old, have no criminal record, and maintain a good reputation.

3. Draft Constitution and Internal Policies

The constitution serves as the core operational document, outlining the organization’s mission, governance structure, financial management procedures, and members’ rights and responsibilities. It is advisable to engage a professional lawyer to assist in drafting this document to ensure legal compliance.

4. Apply for Charity Status if applicable

To qualify for tax exemption and public credibility, the foundation may apply to the Commissioner of Charities COC for charity status after registration. The application requires detailed documentation, including project plans, financial forecasts, and organizational structure.

5. Open a Bank Account and Manage Funds

Once registered, the foundation must open a bank account in Singapore to receive donations and manage finances. Banks typically require documents such as the certificate of registration, constitution, and identification of directors.

3. Key Considerations

1. Ongoing Compliance and Annual Reporting

Singapore enforces strict regulations on nonprofit organizations. Foundations must submit annual financial statements and director reports to ACRA. If the foundation is a charity, it must also submit an annual charity report and audited financial statements to COC. Late submissions may result in fines or deregistration.

2. Financial Transparency and Audit Requirements

Foundations must maintain transparent financial records and undergo independent audits. Charities, in particular, must engage licensed accounting firms to perform annual audits.

3. Tax Treatment and Incentives

Charities may enjoy tax exemptions on income used for charitable purposes. However, funds used for non-charitable purposes may be subject to taxation.

4. Funding Sources and Anti-Money Laundering Obligations

The Monetary Authority of Singapore MAS has strict regulations regarding funding sources. Foundations must conduct due diligence on donors to prevent money laundering, especially for international donations.

5. Project Operations and Public Trust

A foundation’s social impact is closely linked to its transparency. It is recommended to regularly publish progress reports and allow public oversight to enhance credibility.

4. Recent Trends and Policy Developments

According to the latest 2025 report from Singapore’s charitable sector, there is an increasing emphasis on strengthening oversight of nonprofit organizations, particularly in areas of financial transparency and anti-money laundering. In 2025, the COC conducted audits on over 50 charities and identified issues such as unclear fund usage and poor project execution, leading to corrective actions or suspension of charitable status.

With the advancement of digital technology, more foundations are adopting blockchain and artificial intelligence to improve donation transparency and operational efficiency. For example, a Singapore-based charity foundation launched a blockchain-based donation tracking platform in early 2025, allowing donors to monitor fund usage in real time-a move that has received widespread acclaim.

5. Conclusion

Registering a foundation in Singapore is a comprehensive process that requires careful planning in legal, financial, and governance aspects. Choosing the appropriate legal structure, establishing compliant internal systems, and maintaining transparency are essential for long-term stability and growth.

As global philanthropy continues to evolve, Singapore’s role as an international financial and charitable hub is expected to strengthen, offering foundations a broader platform and more resources. For individuals or organizations considering setting up a foundation in Singapore, it is advisable to consult professional advisors in the early stages to fully understand the regulatory environment and procedural requirements-laying a solid foundation for meaningful social impact.