How to Register a Foundation Company in Singapore Key Steps Things to Watch Out For!

Registering a Foundation Company in Singapore Key Points and Steps You Must Know

In recent years, as global businesses and individuals place increasing emphasis on compliance and sustainable development, more attention has been drawn to foundations - non-profit organizations that serve the public interest. Singapore, as one of the world’s leading financial and business hubs, offers a stable environment, a robust legal system, and highly attractive tax incentives, making it an ideal location for setting up a foundation.

In 2025, with growing global awareness around social issues such as philanthropy, environmental protection, and education, the number of applications to register foundations in Singapore has seen a noticeable increase. According to data from the Accounting and Corporate Regulatory Authority ACRA, the number of registered non-profit organizations in the first half of 2025 rose by 12% year-on-year, with foundations showing particularly strong growth.

If you are considering registering a foundation company in Singapore, here are the essential points and steps you need to know.

1. Understand the Nature and Purpose of a Foundation

First and foremost, it's important to understand that a foundation in Singapore is typically a non-profit organization NPO. Its primary purpose is to serve the public interest through charitable, educational, scientific, or socially beneficial activities - not to generate profit for individuals or shareholders.

Before registration, clearly define the foundation’s mission, target beneficiaries, and operational methods. Singapore maintains strict regulations around foundations, especially concerning fund usage, transparency, and annual audits. At the outset, it's crucial to establish a clear governance structure and management procedures.

2. Know the Legal Framework

In Singapore, the registration and operation of foundations are regulated by several key authorities and laws

1. Accounting and Corporate Regulatory Authority ACRA Handles foundation registration, annual reporting, and public disclosure of basic company information.

2. Charities Regulatory Authority CRA If the foundation wishes to be recognized as a charity, it must apply to the CRA.

3. Inland Revenue Authority of Singapore IRAS If the foundation seeks tax-exempt status, it must submit relevant documents to IRAS.

While a foundation can be registered with ACRA as a Company Limited by Guarantee, to enjoy tax benefits or build public trust, it is advisable to also register as a charitable organization and obtain tax exemption from IRAS.

3. Key Steps to Register a Foundation in Singapore

1. Determine the Foundation Structure and Name

Foundations in Singapore are usually registered as Companies Limited by Guarantee, without shareholders, and managed by a board of directors. First, submit a company name search to ACRA to ensure the name is available and complies with naming rules.

2. Prepare the Constitution and Governance Documents

This includes the Constitution, which must clearly define the foundation’s purpose, membership criteria, board structure, meeting procedures, and financial management rules. This document will serve as the legal basis for the foundation’s operations and must be detailed and compliant.

3. Appoint Directors and a Company Secretary

Under Singapore law, all registered companies - including foundations - must have at least one local director Singapore citizen, permanent resident, or foreigner with an Employment Pass. A qualified company secretary must also be appointed within six months of registration.

4. Register the Company and Obtain Permits

Submit the registration application via ACRA’s BizFile+ system, providing details such as directors, company secretary, constitution, and registered address. Upon successful registration, the foundation will receive a Unique Entity Number UEN.

5. Apply for Charitable Status and Tax Exemption

If the foundation intends to receive public donations and enjoy tax benefits, it should apply to the CRA to be registered as a charity and to IRAS for tax exemption. The application typically requires a detailed business plan, financial projections, and governance structure.

6. Open a Bank Account and Establish Financial Management

After registration, the foundation must open a dedicated bank account and set up a proper financial management system. All financial transactions must be transparent, and audited financial statements must be submitted annually to ACRA.

4. Key Considerations for Foundation Operations

1. Compliance is Critical

Even though foundations are non-profit, they must strictly comply with Singapore’s laws. Any violations - such as misappropriation of funds or false declarations - can result in the revocation of the foundation’s status or even criminal liability.

2. Transparency Builds Trust

Public trust in charitable organizations is built on transparency. Foundations should regularly publish financial reports, project updates, and outcomes to enhance credibility.

3. Careful Planning of Funding and Expenditure

Funding sources may include private donations, grants, and corporate sponsorships. However, all funds must be used strictly in line with the foundation’s stated purposes and cannot be used for personal gain or unrelated activities.

4. Annual Reporting and Renewals

Each year, foundations must submit an Annual Return and audited financial statements to ACRA. If registered as a charity, they must also submit an annual report to the CRA.

5. Why Choose Singapore for Your Foundation?

Beyond its stability and strong legal system, Singapore offers several key advantages

Tax Incentives Eligible foundations can enjoy tax exemptions, reducing operational costs.

Global Reputation Singapore’s strong international standing helps foundations attract global donations.

Mature Financial and Legal Services There is a wealth of professional lawyers, accountants, and trust institutions to support compliance and operations.

Strategic Location As a hub in Asia, Singapore is well-positioned to expand regional operations, especially in Southeast Asia.

6. Conclusion

Registering a foundation in Singapore is not just a legal process - it’s a commitment to social responsibility. Whether your goal is to promote education equity, protect the environment, or support vulnerable communities, a foundation can serve as a powerful platform for achieving public good.

However, it also comes with strict compliance requirements and operational challenges. If you are considering setting up a foundation in Singapore, it’s highly recommended to consult with professional advisors early on to ensure each step meets legal standards and lays a solid foundation for long-term success.

After all, a well-run foundation not only advances social causes but also becomes a symbol of public trust.