Question 1

WHY INCORPORATE SG COMPANY

Accepted Answer

The main advantage of having a private limited company in Singapore is that it allows you to limit your liabilities exposure and thus guard your personal assets against prying creditors.
In addition, new companies enjoy tax exemption on up to S$200k of its tax profit annually for the first three years from incorporation**. That's potentially tax saving of up to S$102k for 3 years! The current corporate tax rate is 17%.

AVOID BEING PERSONALLY LIABLE FOR DEBTS AND LAWSUITS
A company is a totally separate legal entity from any individual. In the legal sense, it is the company not the shareholders or the company officer that enters into a business transaction and is responsible for the outcome. In the event of a lawsuit or if your business should fail, no one can seize your personal assets, your home, car, bank accounts, etc. Your exposure to loss is limited to the assets of the company.
This limited liability feature of companies is not available in a sole proprietorship or partnership, where the individual or partners are personally liable for all business debts.

REDUCES PERSONAL LIABILY
Incorporating a company helps separate your personal assets from that of your business. Sole proprietors and partners are subject to unlimited personal liability for business debt or lawsuits. Having a company on the other hand avoids you from being personally liable for debts and lawsuits of the Company.

ADD CREDIBILITY AND STATURE TO YOUR BUSINESS
A Private Limited structure gives a credibility and stature in the eyes of general public than does a sole proprietorships or partnership. An incorporated company gives the perception to your bankers, customers, suppliers, and other business associates about your commitment to the ongoing success of your venture.

TAX BENEFITS AND INCENTIVES
To encourage and reward entrepreneurs who start up new companies to pursue their business ideas, qualifying new companies will now enjoy tax exemption on the first $200,000* of their tax profit annually for the first 3 years from incorporation. That's potentially tax savings of S$102,000 for 3 years. Current corporate tax rate is 17%.
This scheme will enable new companies to retain a larger portion of their earnings to be ploughed back into their businesses.
In addition, a host of tax schemes and incentives are in place to help companies grow their businesses. These incentives are not available to other types of entities such as sole proprietorship, partnership or Limited Liability Partnerships (LLPs).
* IRAS conditions apply

EASIER ACCESS TO CAPITAL FUNDING
Company can raise capital by issuing stock, bonds or other securities. Capital can be more easily raised with a Company through the sale of shares. With sole proprietorships and partnerships, investors are much harder to attract because of the personal liability. Investors are more likely to purchase shares in a company where there usually is a separation between personal and business assets. Also, some banks prefer to lend money to companies.

A PERPETUAL EXISTENCE
A Company has perpetual existence. Company may continue on regardless of what happens to its individual directors, officers, managers or shareholders. If a sole proprietor or partner dies, the business may automatically end or it may become involved in various legal entanglements.

EASY TO TRANSFER ASSETS AND OWNERSHIP
Estate and family planning is simplified since shares of a Company can be easily transferred or distributed to family members. Ownership of a Company may be transferred, without substantially disrupting operations or the need for complex legal documentation, through the sale of its shares.

Question 2

REQUIREMENT & PROCEDURE

Accepted Answer

To register your Singapore private limited company, you need the following:
Issued Share Capital
Minimum issued share capital is one share of S$ 1 each.
Registered Office Address 
P.O Box are not allowed to be used for registered office address of your company. HDB flats are not allowed to be used for registered office address of your company without prior permission from Housing & Development Board (HDB) If you do not have any address appropriate for registered office address of your company, you may use our registered office facilities.
Directors
A minimum of one director, who must be a Singapore resident individual. i.e. a Singapore Citizen, a Singapore Permanent Resident, a person who has been issued an Employment Pass/Approval-In-Principle letter. Any person above the age of 18 years may be appointed as a director. However, some individuals e.g. bankrupts, are disqualified from being directors. We provide nominee director to facilitate the incorporation.
Company Secretary
Companies are required to appoint a resident company secretary, who must be a natural person. Our corporate secretary service provides this.
Shareholders
A minimum of one shareholder is required. Shareholders may be local or foreign corporations or individuals.

Question 3

TERMS & CONDITIONS

Accepted Answer

The great BUDGET deal package only includes one try of company name and up to 2 directors and 2 shareholders for incorporation. Additional fee of S$50 per person will be levied.
Government fees are chargeable separately
Termination of service on or before expiry of contract in the first year is subject to termination fee of S$120
* An administrative fee of S$120 applies for preparation of Annual General Meeting and Annual Return document for first year.
Our Corporate Secretarial retainer fee is subject to auto-renewal at S$499 per annum (inclusive of preparation of Annual General Meeting and Annual Return document)
*IRAS conditions apply

Affordable corporate services
FOR ENTREPRENEURS ON BUDGET.