How to Start a Business in Singapore: 7 Essential Steps
- Modified: 28 August 2026
- 8 min read
- Starting a Company
Melody Huang
Author
Melody Huang, a content specialist at Osome, helps Singaporean entrepreneurs navigate the world of incorporation, accounting, and business success. With a gift for simplifying complex ideas, she turns regulatory topics into clear, actionable guides. Melody’s content supports local business owners with the knowledge they need to start strong and grow with confidence.
Imran Marican
Reviewer
Imran Marican, ATA SCTP member, is our Corporate Tax Assistant Manager based in Singapore, with almost a decade of experience in Singapore corporate tax. With in-depth knowledge of Singapore corporate tax law and regulations, he can help with corporate tax compliance that matters to every company. While our business writers transform complicated tax jargon into easy-to-understand concepts, as a reviewer for the Osome blog, Imran ensures our content is accurate and relevant, helping our readers boost their businesses with helpful tips and insights.
Nisah Rahim
Reviewer
Nisah Rahim is our go-to expert reviewer for all things Corporate Secretary-related in Singapore. As the Corporate Secretary Team Lead and content reviewer, Nisah meticulously examines our blog posts to ensure we provide comprehensive information on Corporate Secretary services such as local regulatory compliance, managing board meetings, maintaining company records, and providing expert advice on corporate governance matters.
Setting up a business in Singapore means registering with the Accounting and Corporate Regulatory Authority (ACRA) before trading, invoicing, or opening a corporate bank account. A paid-up capital of S$ 1 does not mean the full setup is free: government fees, a registered address, and officer appointments still apply. This guide covers business structure choice, what to prepare, seven BizFile registration steps, costs and timelines, foreign-founder rules, lean or home-based setups, and post-incorporation obligations.
Key Takeaways
- Singapore offers a competitive tax regime, digital ACRA filing, and open rules on foreign shareholding for most private companies.
- A private limited company needs a local resident director, a Singapore registered address, and at least S$ 1 in paid-up capital.
- After incorporation, ongoing duties typically include company secretarial filings, accounting, and GST or CPF registration where thresholds or hiring apply.
Benefits of Starting Up a Business in Singapore
Singapore is an ideal launchpad for a new business: clear rules, digital filing, and competitive tax treatment. The headline corporate tax rate is a flat 17% on chargeable income, with further relief for qualifying new companies under IRAS start-up exemption rules.
Most private companies can be 100% owned by a foreign company, so long as they have a local director who is ordinarily resident and a registered local address. This allows an established company in another nation to easily set up a subsidiary company or representative office in Singapore.
For many founders, company registration is the first step toward hiring and regional growth, not a late chore. Upon filing, ACRA issues a Unique Entity Number (UEN) as the official company registration number, which serves as a unique identifier for the business in all government and commercial transactions. UEN unlocks banking and grants, allowing the foreign parent company to raise funds. UEN is also required before the new company can properly deal with government agencies.
Planning to launch a business in Singapore? Osome’s company incorporation service helps you handle the registration process and get your company set up for growth. From choosing the right business structure to meeting local requirements, getting the setup right from the start can save time and avoid compliance issues later.
Is Business Registration Always Required?
Anyone carrying on business in Singapore must register with ACRA, including a sole proprietorship trading under the owner's own legal name.
Operating without registration can block banking, client onboarding, and grant applications, and may attract penalties. A UEN is the identification number banks and many platforms expect for legitimate business payments.
- Sole proprietors, partnerships, and private limited companies operating as a separate legal entity all fall under ACRA’s rules for each type of business.
- Trading informally does not remove tax or licensing duties that later apply.
- A registration number (UEN) is typically required before a corporate bank account can be opened.
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Which Business Structure Fits Best?
The right business structure should match business goals, risk, and whether the plan is to raise funds as the business grows. A sole proprietorship suits low-risk, owner-operated work. A limited partnership or limited liability partnership can suit two or more individuals in a co-owned practice. Foreign companies may also use an LLP where that form fits.
Most foreign entrepreneurs who plan to hire, raise capital, or build longer-term credibility choose a private limited company (Pte Ltd).
Structure | Liability | Best for | Notes |
|---|---|---|---|
| Sole proprietorship | Unlimited liability (owner and business are not separate) | Freelancers and simple, low-risk trades | Lower setup cost; income taxed as personal income |
| Partnership / LLP | Shared; LLP offers limited liability for partners | Professional or co-owned practices | An LLP has a separate legal identity; a general partnership does not |
| Private limited company (Pte Ltd) | Limited to share capital | Startups and growing SMEs | A separate entity; usually preferred for grants and investment |
Subsidiary vs. Representative Office vs. Branch Offices
If an established foreign company wants to carry out business activities in Singapore, they usually register for one of the following options: a subsidiary company, a representative office, or a branch office. All three options build on existing brand and reputation, giving a competitive edge over entrepreneurs starting a business from scratch in Singapore.
A subsidiary company is a separate legal entity independent from the parent company, protecting the latter from becoming directly liable for its actions. Once established, the subsidiary is taxed under Singapore's corporate tax rate automatically and can also benefit from any tax schemes it qualifies for.
A representative or branch office is not considered a separate entity. A representative office registers as a temporary liaison arrangement for the parent company and cannot conduct any business activity that directly raises funds or generates revenues. Meanwhile, a branch office registers as a foreign company carrying on its business in Singapore. The foreign company is directly liable for the actions of its representative and branch offices.
Registering a subsidiary, representative, or branch in Singapore requires accurate details, including business name, description of main business activities, information for shareholders, directors, and secretary, a local registration address, and company constitution.
What Is Needed Before Registration?
A typical Pte Ltd filing in Singapore requires the name, people, address, capital, SSIC code, and constitution details before you submit a new business entity. This section is a checklist, not the filing sequence.
- Company name: Must be unique and acceptable to ACRA; restricted words may need extra approval.
- Local director: At least one director who is a Singapore citizen, permanent resident, or eligible pass holder ordinarily resident in Singapore.
- Shareholder(s): At least one shareholder (individual or corporate); up to 50 for a private company; 100% foreign ownership is allowed.
- Company secretary: Those in Singapore starting a new company must appoint a company secretary within six months of incorporation. The secretary must be ordinarily resident in Singapore.
- Local registered address: A physical Singapore address; P.O. boxes are not accepted. Home or virtual office addresses may be used if ACRA access rules are met and relevant approvals are received.
- Paid-up capital: Minimum S$ 1 (or equivalent in another currency).
- SSIC cod e: The code describing the main business activity.
- Constitution: ACRA’s model constitution is acceptable for many private companies.
- Identification documents: NRIC, FIN, or passport details for officers and shareholders, as required on Bizfile.
Foreign founders without Singpass cannot self-file and must engage a registered corporate service provider (filing agent). Resident-director options are covered in the foreign-founder section below.
7 Steps to Register a Business With ACRA
Most applications are filed online through ACRA’s Bizfile portal. These seven registration steps assume the structure and checklist above are already decided.
Singapore citizens and other Singpass holders can often file directly; applicants without Singpass must use a registered filing agent.
- Confirm the business structure. Select the sole proprietorship, partnership, limited liability partnership, or Pte Ltd that matches liability needs and growth plans.
- Reserve the business name. Search and reserve the name on Bizfile; an approved name is typically held for 120 days.
- Enter the registered address. Add the local registered address that will receive official correspondence for the business entity.
- Add officers and shareholders. Enter directors, shareholders, and company secretary particulars, with required documents ready for each role.
- Enter business activity, capital, and constitution. Provide the SSIC code for business activities, the paid-up capital amount, and the model or custom constitution.
- Submit and pay the registration fee. File the application on Bizfile and pay the applicable ACRA registration fee for the chosen structure.
- Receive the UEN and incorporation documents. After successful registration, ACRA issues the UEN — the entity’s identification number — and the business profile; a hard-copy incorporation certificate, if ordered, attracts additional fees.
Straightforward company applications are often approved within one to three working days after payment. Names with sensitive terms, or activities that need referral to another agency, can take longer.
Restricted words in a proposed name, or regulated activities such as education or financial services, can extend review beyond the usual one-to-three working days.
How Much Does Registration Cost and How Long Does It Take?
Government fees for a standard Pte Ltd total S$ 315 (S$ 15 name application plus S$ 300 incorporation), and uncomplicated filings often clear within one to three working days.
Item | Indicative fee | Notes |
|---|---|---|
| Name application | S$ 15 | Applies before registration |
| Sole proprietorship / partnership registration | S$ 100 (one year) | Plus S$ 15 name fee; three-year options exist where eligible |
| Private limited company registration | S$ 300 | Plus S$ 15 name fee |
| Common first-year add-ons | Varies | Company secretary, registered address, and nominee director services if required |
DIY government fees are only part of the cash needed in year one. A fuller company registration cost breakdown also covers secretary, address, and nominee fees beyond the S$ 315 ACRA total.
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Can Foreigners Open a Business in Singapore?
Foreign founders and foreign companies can incorporate under the same ACRA framework used for starting a business in Singapore as a foreigner. A standard Pte Ltd may be 100% foreign-owned, but it still needs a locally resident director and a Singapore registered address.
- Shareholding: Individual and corporate foreign shareholders are generally permitted with no foreign-ownership cap for a standard Pte Ltd.
- Local director: At least one director must be ordinarily resident (Singapore citizen, PR, or eligible pass holder). A nominee director is a common route when no resident co-founder is available.
- Corporate service provider: Foreigners without Singpass or a foreign parent company must appoint a registered filing agent to submit the incorporation on Bizfile.
- Banking: Corporate account opening remains at each bank’s discretion; a foreign parent company may face longer KYC timelines than resident teams.
Employment Pass holders and other foreign professionals can usually own shares, but an EP does not automatically satisfy the resident-director requirement for a separate company. Pass conditions and Ministry of Manpower rules still govern whether the holder may work for that entity.
Corporate Secretary Team Lead
How to Start a Small or Home Business With Little Capital?
Lean launches are possible, especially for service businesses. S$ 1 paid-up capital does not remove ACRA fees or the cost of a resident director, secretary, and registered address. Founders without a local resident often also budget for a nominee director.
- Choose a low-overhead structure first (sole proprietorship for simple freelance work; Pte Ltd when limited liability or grants matter).
- Use a home address or compliant virtual registered address instead of leasing an office on day one.
- Defer optional spend such as a physical office or voluntary GST registration unless there is a clear commercial reason.
- Prefer service-based offers that need little inventory while testing demand.
Home operation and registered address rules are related but not identical: correspondence must still reach an address that meets ACRA’s accessibility requirements. Regulated trades (for example, F&B or education) may need licences on GoBusiness before trading starts.
Confirm SSIC codes and licence needs on the GoBusiness Licensing portal before you register to determine if an activity is regulated. This way, missing approvals won't delay the application. Feasibility studies can also help founders navigate what businesses to offer in Singapore.
What Comes After Incorporation?
After registering, ACRA will issue the UEN, which grants you access to banking, licences, tax and GST assessment. The UEN is also required for ongoing filings in Singapore to help new businesses stay compliant.
- Open a corporate bank account with the business profile, constitution, and identification documents of signatories ready.
- Check activity-specific licences with the relevant government agencies via GoBusiness before trading.
- GST: Compulsory registration generally applies when the taxable annual turnover exceeds or is approaching S$ 1 million under IRAS rules; the rate is 9%. Track annual revenue against that threshold as the business grows.
- Company secretary: Appoint within six months of incorporation if not already appointed.
- Annual general meeting: Hold the first AGM within 18 months of incorporation (unless exempt).
- Annual return: File with ACRA within seven months from the financial year-end, while ensuring that the financial statements are available for filing.
- Register for CPF contributions when hiring employees in Singapore.
- Apply the Personal Data Protection Act when the business handles personal data in Singapore.
Missed annual filings can lead to penalties and consequences for directors, so officer records, the registered address, and filing deadlines matter as much as the initial Bizfile submission. After incorporation, following the right compliance steps helps keep your banking, AGM, and annual return deadlines aligned.
Corporate Tax Assistant Manager
How Osome Can Help
Starting and running a Singapore entity involves more than a one-time ACRA payment: founders still need a compliant address, secretarial filings, bookkeeping, and tax calendars once the UEN is live. Osome supports incorporation alongside corporate secretary, accounting, and related compliance work so those tasks sit in one place rather than across disconnected providers.
Local founders, foreign entrepreneurs, and small teams that want less admin can use Osome to move from name checks to ongoing filings without rebuilding the compliance stack after launch.
Summary
Before filing, lock three things: the right business structure, a local director, and a Singapore registered address. Most delays in starting a business in Singapore come from fixing those items mid-application, not from Bizfile itself. Spend time on name options, officer IDs, and address rules first, and the usual one-to-three working day turnaround becomes realistic instead of hopeful. Once the UEN is issued, that same preparation also makes banking and first-year compliance easier to open without scrambling for missing documents.
Melody Huang, a content specialist at Osome, helps Singaporean entrepreneurs navigate the world of incorporation, accounting, and business success. With a gift for simplifying complex ideas, she turns regulatory topics into clear, actionable guides. Melody’s content supports local business owners with the knowledge they need to start strong and grow with confidence.
