Can DP Holders Start a Small Business in Singapore and What Are the Requirements and Fees With Osome?

Yes. DP holders can start a business if they hold at least 30% shares and obtain a DP LOC. Osome helps with incorporation and LOC filing.

Until LOC approval, a local director or Osome's Nominee Director must be appointed. LOC renewals require hiring one Singaporean or PR earning S$1,600 with CPF for 3 months.

Business Ownership Structure

DP holders can be sole proprietors, partners, or directors with at least 30% shareholding in an ACRA registered company. Shareholding and registration are required to meet MOM criteria.

Letter of Consent (LOC) Requirement

LOC is required to act as director. Do ensure that a local or Nominee Director is appointment until approval of your LOC. Osome provides Nominee Director services (at a fee) when needed.

Renewal Obligations

For LOC renewals, you must hire at least one Singaporean or PR earning S$1,600 per month with CPF contributions for 3 consecutive months. Hiring obligations support renewal eligibility and proof of CPF contribution for the employee must be provided during renewal.

No Minimum Salary Requirement

There is no minimum salary to act as a director. This lowers barriers for DP holders to start a business.

How Can Osome Assist?

Osome manages company setup, document preparation, and DP LOC submissions to ensure MOM compliance. We handle incorporation and LOC workflows so you can focus on your business.