Before starting a business in Singapore, it is essential to prepare necessary documents such as Memorandum and Articles of Association. The next step is to register the company name. You should create a good name for your company because it is the way that people will recognize you. Furthermore, you can’t use your maiden name for your company as it will not be recognised by the authorities of Singapore. Hence, it is advisable to use the company name that is registered with Accounting and Corporate Regulatory Authority (ACRA).
How to Register a Company in Singapore – Company Formation after Company Registration
A newly established business in Singapore may choose to adopt the Single Parent Company Model. Under this model, there is only one director and shareholders and all transactions are made through that director and his or her representatives. The advantage of this business structure is that there is no requirement to form two corporations in order to operate the business, i.e. the business can operate with only one director as well as without any directors.
How to Register a Company in Singapore – Registered Address for Company Registration
The main objective of Singapore company registration is to make it possible for businesspeople to carry out their business activities in the country. As soon as you have registered the business with ACRA, all the official documentations such as the Memorandum and Articles of Association should be drafted and executed accordingly. You will also have to prepare your printed documents and send it ACRA office for issuance.
How to Register a Company in Singapore – Company Registration at ACRA
The requirements of Singapore company registration include the submission of your printed documents together with the payment of certain fees to ACRA. Once the documents are received at the designated office address, the ACRA officer will ascertain if they are in conformity with the company law and will then issue a registration number. After receiving the registration number, the concerned person must register his business by paying the statutory fee. This fee is charged at the specific rate per annum and cannot be increased or decreased during the registration period. The company secretary also has the duty to ensure that all the requisite documentation is submitted to the ACRA office before the expiration of the registration period.
How to Register a Company in Singapore – How to Determine How Many shareholders
There are generally three types of shareholders in a company registration. There are direct shareholders who have the right to vote on the issues that affect the business operations and the company; shareholders who have an automatic majority; and non-direct shareholders who do not have voting rights. In Singapore, there are two types of shareholders – the limited company and the private company. In case of the limited company, only its registered office and officers are mentioned in the company register and its articles of association are under its control. On the other hand, a private company can have unlimited number of directors and officers and its registered office and its articles of association are under its own control.
Important Things to Remember When You Are Registering a Company in Singapore
Companies usually fail because of the lack of board of directors and a weak company constitution. Ensure that at the time of company registration in Singapore, you have at least one director and at the very least two members of the Board of Directors of the company. This will help safeguard the interests of the shareholders. Also ensure that the company constitution is clear and that no unnecessary clauses are present. One thing you should remember is that when there is more than one director of a company, the company becomes a dual class shareholders with privileges different from the other shareholders.