Must-Know Steps Tips for Starting a Company in Singapore

Key Elements and Procedures to Start a Business in Singapore

In recent years, as the global economic landscape continues to evolve, more entrepreneurs and small-to-medium enterprises SMEs have turned their attention to Southeast Asia. Among regional destinations, Singapore has become a top choice for many companies looking to expand overseas. Thanks to its stable economy, efficient services, and strategic location, Singapore has maintained its appeal as a global business hub. Particularly since 2025, with the deepening implementation of the Regional Comprehensive Economic Partnership RCEP, Singapore’s role as a regional trade hub has been further strengthened, drawing in significant international capital and entrepreneurs.

If you’re planning to start a business in Singapore, what key elements and procedures should you be aware of? Let’s walk through them step by step.

1. Determine Your Business Structure

Before registering your business in Singapore, it’s essential to decide on the legal structure. The most common types include

Sole Proprietorship Ideal for individual entrepreneurs, this structure is easy to set up, but the owner bears unlimited personal liability.

Partnership Operated by two or more partners, with shared responsibilities and liabilities.

Private Limited Company Pte Ltd The most popular structure, especially for long-term growth and foreign investors. It offers limited liability protection, better tax planning, and easier access to funding.

Most entrepreneurs, particularly foreign investors, prefer setting up a Private Limited Company due to its advantages in risk management, taxation, and fundraising.

2. Apply for and Register Your Company Name

Before officially registering your business, you must submit a company name for approval to the Accounting and Corporate Regulatory Authority ACRA. The name must not be duplicated or contain sensitive terms. Once approved, the name is reserved for 60 days, during which time you must complete the registration process.

3. Prepare Required Documents for Registration

To register a company in Singapore, you’ll need the following

Company Constitution Articles of Association

Identification and address proof of shareholders and directors

Registered address in Singapore

Appointment of a company secretary - required by law, and must be a local individual

Share capital structure - the minimum paid-up capital is typically S$1

Since 2025, Singapore has further streamlined the registration process. Most steps can now be completed online via ACRA’s BizFile+ platform, significantly improving efficiency.

4. Open a Corporate Bank Account

Once your company is registered, the next step is to open a corporate bank account. Singapore is home to world-class banks such as DBS, OCBC, and UOB, all of which offer smooth and efficient corporate banking services.

To open an account, you’ll usually need

Company registration certificate

Shareholder identification documents

Business plan

In recent years, some banks have introduced online account opening services, making the process even more convenient.

5. Tax Registration and Compliance

Singapore’s tax system is known for being simple and transparent. A newly registered company will typically receive a tax assessment notice from the Inland Revenue Authority of Singapore IRAS within 18 months of incorporation.

If your business involves the sale of goods or services, you’ll also need to register for Goods and Services Tax GST, which is currently at 8%. It’s expected to increase to 9% in 2025.

Additionally, businesses must comply with annual reporting and audit requirements. Private Limited Companies are required to submit an Annual Return to ACRA and file financial statements and tax returns with IRAS each year.

6. Understand Employment and Labor Policies

If you plan to hire employees in Singapore, it’s important to understand local labor laws and employment policies. The Ministry of Manpower MOM sets clear regulations on employment contracts, work visas such as the Employment Pass and S Pass, and minimum salary standards.

In recent years, Singapore has encouraged companies to hire local talent and has adjusted quotas and salary requirements for foreign workers. Employers must ensure full compliance when hiring overseas staff.

7. Explore Government Support Programs

To encourage entrepreneurship and attract foreign investment, Singapore offers various support programs. For example

Economic Development Board EDB and Enterprise Singapore ESG provide grants, tax incentives, and financing support.

The Monetary Authority of Singapore MAS promotes fintech development and offers funding opportunities for startups.

In 2025, with increased government investment in green and digital economies, startups in these areas are more likely to receive policy support and subsidies. Entrepreneurs can align their business plans with these policy directions to enhance competitiveness.

8. Maintain Compliance and Plan for Growth

Registering your company is just the beginning. Ongoing compliance is key to long-term success. We recommend regularly checking updates from ACRA and IRAS, and maintaining accurate financial and tax records.

If you plan to expand-such as by setting up a branch or subsidiary-consider legal structure and tax planning in advance.

Summary

Starting a business in Singapore, while relatively straightforward, involves many details. For first-time entrepreneurs entering the Singapore market, thorough research is essential. When necessary, consider working with professional service providers.

Whether it’s company registration, bank account opening, tax planning, or human resource management-each step can significantly impact your business’s future. By mastering these key elements, you’ll be better positioned to establish a strong foothold and achieve success in Singapore’s vibrant entrepreneurial ecosystem.