Starting up a business in Singapore

Being an entrepreneur is not easy and not everyone can be a successful founder. However, the process of starting up a business in Singapore has been made less painful with the various business-friendly policies in this city state. Each type of structure comes with different structure. It may be useful to check out ACRA website.

To help aspiring entrepreneurs up to speed on Singapore laws, regulations, taxes and government assistance schemes, Enterprise One (a government agency tasked to promote local enterprise) has prepared a simple checklist:

1) Sign up for EnterpriseOne Digest, a monthly newsletter tracking the latest updates on the laws and regulations. You can log on to Enterprise One website to sign up.

2) Ensure your business premises (office, shop, factory) can be used to carry out your business. For example, applicants who wish to use their HDB residential flats for home office are required to seek prior approval from HDB.

3) Apply for all licenses and permits needed.

4) Familiarize yourself with various tax incentives and Government assistance schemes.

5) Register your business with Central Provident Fund (CPF) before hiring your first worker.

6) Register your business with Accounting and Corporate Regulatory Authority (ACRA) and comply with post-registration requirements.

It is important to think about the type of business structure before applying for ACRA registration. Do you want a sole-proprietary, company, partnership, limited liability partnership or limited partnership?

While being your own boss may be exciting, it can be daunting too. In exchange for the “freedom”, you are not entitled with paid leave, CPF contributions and other perks of a typical employee. So unless you are sure that your business idea would work, don’t be reckless and take the plunge. In life, there are always trade-offs. Do not assume that the pasture is greener on the other side.

Magically yours,

SG Wealth Builder