Singapore is an economic powerhouse not only in Asia but also across the globe. It’s also one of the safest countries to start and run a business both for residents and foreigners. Most people think it’s challenging to start a business in Singapore. The truth is, with the right amount of business funding and effort, it’s easy especially with professional guidance. Before looking at how to start a business in Singapore, there are reasons why Singapore is an attractive investment spot. Low rate of corporate tax, which is currently at 17 percent No withholding tax on non-resident shareholders’ dividends Tax exemption on a company’s foreign sourced income Ranked third as the world’s most competitive economy Ranked seventh among the most innovative nations in the world Ranked the second-best country in terms of the ease of doing business Ranks top in Asia and fourth in the world for intellectual property protection Has more than 80 Double Tax Avoidance agreements Requirements for incorporating a business in Singapore Before incorporating a company in this great nation, one should: Be at least 18 years Have the right working pass like the EntrePass or Employment Pass for foreigners. However, this is not necessary if one has no plans to relocate to Singapore to run the business. In that case, a local nominee can register it. How to start a business in Singapore 1. Choose a business structure One can select from an array of legal entity forms such as partnership, sole proprietorship, branch office, subsidiary, representative office and more. Entrepreneurs should not choose a business structure randomly as this choice will affect the business in different ways such as the ability to get loans and grow the business, credulity in the eyes of customers, attitudes of banks and much more. For example, when venturing into business with a friend, choose a partnership. On the other hand, if the small business has few risks and less likely to cause legal trouble with anyone, then sole proprietorship would do. These two structures aren’t subject to corporate taxes. A private limited company is the most preferred form of
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