Most Singapore companies are registered as private limited liability companies (commonly known as private limited companies). A private limited company in Singapore is a separate legal entity and shareholders are not liable for the company’s debts beyond the amount of share capital they have contributed (hence the term limited liability). According to the Singapore Companies Act, any person (foreign or local) above the age of 18 can register a Singapore company.

1. SINGAPORE PRIVATE LIMITED COMPANY

2. Copyright © 2014 Rikvin Pte LtdLast updated on 5 November 2014
SINGAPORE PRIVATE LIMITED COMPANY
Advantages:
• The Shareholders’ personal assets are
protected and they are not personally liable for
any debts and losses of company.
• Ownership is transferable and additional
shareholders can be appointed at any time,
thus, enabling additional capital injection
easily.
• Conveys a professional commitment and
vision, hence maximizes the potential of loans
from banks and other financial institutions and
also establishes a credible image among the
business community.
• The Company is perpetual and business
operations are undisturbed by changes in
shareholders or the holding pattern.
Disadvantages:
• Companies can be more expensive to set up
• Companies are governed by tighter rules and
regulations
• Liquidation or winding up can be more difficult
and costly
• Companies must maintain ongoing compliance
with ACRA/IRAS
There are four types of companies in Singapore:
Private Limited Company - Not more than 50 corporate or individual
shareholders.
Exempt Private Company - Not more than 20 individual shareholders.
Public Company Limited by Shares - It is locally incorporated where
the number of shareholders can be more than 50.
Public Company Limited by Guarantee - It is one that carries out non-
profit making activities that have some basis of national or public
interest, such as for promoting art, charity etc.
To qualify for Start-up Tax
Exemption (SUTE):
• Must have no more than 20
individual shareholders
• For corporate shareholders,
one individual must hold
at least 10% of the issued
shares
• Property and investment
holding companies are not
eligible

3. Copyright © 2014 Rikvin Pte LtdLast updated on 5 November 2014
CHECKLIST FOR SINGAPORE COMPANY INCORPORATION
Once you have decided to incorporate a Singapore company, the following details will help you understand
the key requirements and the overall incorporation process.
Items Description
Company Name
Approval
• The proposed company name of your Singapore company can be in any
language with Roman characters.
• Company name ending can only have permitted suffixes.
Directors • Minimum of one director (directors can only be individuals) is required. There
should be at least one local resident director.
• Any further number of non-resident directors (of any nationality) can be
appointed.
• We also offer nominee resident director service at an additional fee.
Shareholders • A minimum of one shareholder is required.
• A director and shareholder can be the same or different person.
• A shareholder can be an individual or corporate body.
• There is no limit on number of shareholders for public companies. For private
companies, a maximum of 50 shareholders is allowed (excluding employees or
ex-employees).
Company Secretary • Company secretary shall be an individual who is locally resident.
• If the company has only one director, he can not act as the company secretary.
• We can act as the company secretary for Singapore companies we incorporate.
Paid-up Capital • Minimum capital: One share in any currency.
• Maximum share capital: Unlimited.
Registered Address • All Singapore companies must have a local registered office address.
• We can provide you a registered office address in Singapore.
Documents Required • Passport copies of proposed shareholders and directors.
• Residential address proof of proposed shareholders and directors.
• Details/documents of the parent company if the shareholder is a corporate
entity.
Bank Account Opening • We will assist you by introducing you to bank offices for bank account opening
for your Singapore company.