A Detailed Guide for Mainland Chinese to Start a Company in Singapore - Take Your First Step Toward Globalization with Confidence

A Practical Guide for Mainland Chinese Individuals to Set Up a Company in Singapore - Start Your Global Journey Quickly

In recent years, as China's economy continues to grow and globalization accelerates, more and more mainland Chinese individuals are looking to overseas markets for broader development opportunities. Singapore, a financial hub located in Southeast Asia, has become a top choice for entrepreneurs and investors due to its stable environment, strategic location, efficient business system, and low tax policies.

According to a 2025 report by China Daily, China has remained one of the top foreign investment sources for Singapore for many years. More and more small and medium-sized business owners and individual entrepreneurs are now trying to expand overseas, and Singapore has become their first stop on the path to internationalization.

So, how can mainland Chinese individuals successfully set up a company in Singapore? This article offers a practical and down-to-earth guide to help you get started.

Why Choose Singapore?

Before registering a company, let’s first explore the key advantages that make Singapore attractive to mainland individuals

1. Business-Friendly Policies and Environment

Singapore consistently ranks high in the World Bank’s Ease of Doing Business Index. It encourages foreign investment with a simple, transparent registration process and fast approval times.

2. Low Tax Rates and Incentives

The maximum corporate income tax in Singapore is 17%, significantly lower than China’s 25%. Newly incorporated companies may also enjoy tax exemptions on part of their profits for the first three years.

3. Global Financial Hub

As a major financial center, Singapore offers a robust financial system and multilingual services, making it ideal for international trade and cross-border investments.

4. Strategic Location Connecting Asia

Located at the heart of ASEAN, Singapore serves as a gateway to Southeast Asia, South Asia, and Oceania-making it an excellent base for regional expansion.

Can Mainland Chinese Individuals Set Up a Company in Singapore?

According to the Accounting and Corporate Regulatory Authority ACRA, any individual or entity aged 18 or above can register a company in Singapore without needing to be a local resident. This means mainland individuals can legally set up and operate a Singapore company without relocating.

However, there is one key requirement the company must have at least one resident director-someone who holds Singapore citizenship, permanent residency, or an Employment Pass EP. If you cannot live in Singapore long-term, you can hire a local director through a registered agency, which many service providers offer.

Basic Steps to Register a Company in Singapore

1. Choose the Company Type

The most common form is a Private Limited Company Pte. Ltd., which has a separate legal identity and offers limited liability protection-ideal for most entrepreneurs.

2. Approve the Company Name

Submit your preferred name via ACRA’s website. Results are usually available within minutes. Prepare 2-3 alternative names in case of duplication.

3. Prepare Required Documents

You’ll need the following

Company name

Company constitution Articles of Association

Passport copies of shareholders and directors

Registered address can be virtual

Appointment of a local director if you’re not a Singapore resident

4. Open a Corporate Bank Account

While remote account opening is possible after registration, it’s recommended to visit Singapore in person to increase approval chances. Major banks like OCBC, DBS, and UOB support account opening for non-residents.

5. Apply for Business Licenses If Required

Certain industries e.g., food, healthcare, education require a Business License from the relevant authority.

Frequently Asked Questions

Q Can a mainland individual own 100% of a Singapore company?

A Yes. There are no restrictions on foreign ownership.

Q What is the minimum capital requirement?

A There’s no minimum. A common practice is to start with 1 or 100 SGD, with the option to increase later.

Q Is annual auditing required?

A Yes. All companies must submit audited financial statements and an Annual Return.

Q How does tax filing work after registration?

A Singapore uses a territorial tax system, meaning only income earned in Singapore is taxed. Companies must submit Form C Corporate Income Tax Return on time.

Practical Tips and Things to Note

1. Choose a Reliable Registration Agent

Many agencies offer one-stop services. Pick one with a good reputation and local secretary support.

2. Plan Your Company Structure Carefully

If you plan to expand across Southeast Asia, design your company structure early to allow for future subsidiaries or holding companies.

3. Stay Compliant

Singapore has strict regulations. Regularly consult with local accountants or lawyers to ensure compliance and avoid penalties.

4. Leverage Government Incentives

Programs like the Startup Tax Exemption Scheme can significantly reduce your initial tax burden.

Conclusion

As one of the world's most competitive business hubs, Singapore is drawing increasing numbers of mainland Chinese entrepreneurs. Setting up a company here not only diversifies your assets and opens up global markets but also enhances your brand’s international credibility.

For those aiming to go global, now is the ideal time to establish a presence in Singapore and begin your international journey. With proper planning, clear understanding of the process, and a focus on compliance, you can successfully build your business in this vibrant market.