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Looking to incorporate or expand your business to Singapore? Depending on your business objectives, here are some options that you can consider.
A subsidiary company is a locally incorporated private limited company and the majority shareholder is another local or foreign company.
In Singapore, companies can be fully foreign-owned, which allows foreign companies to incorporate a subsidiary company and own 100% of its shares.
Under Singaporean law, a subsidiary company is considered as a separate entity (from its foreign parent company) and is treated as a local Singapore company. Thus, the foreign company and its assets cannot be held for the debts and liabilities of the subsidiary.
A properly structured local subsidiary company is also an excellent tax-efficient corporate body. The resident status of a subsidiary company makes it eligible for favourable tax treaties, availing government incentives, and easier access to local funds.
Companies or individuals are generally advised to set up a subsidiary company if they are running a small to medium-sized business.
Here are some things to take note when setting up a subsidiary company:
If you’d like to register your company in Singapore as a subsidiary company, please refer to our Singapore subsidiary registration guide.
What is a Singapore branch office?
A Singapore branch office is a registered legal entity which is treated as an extension of the foreign parent company.
Branch offices are allowed to conduct any type of business activity that falls within the scope of its parent company and can repatriate its earnings and capital. Branch offices will only be taxed for the earnings derived from its operations in Singapore.
Branch offices are considered a non-resident entity, which means that the foreign company’s head office will be held liable for any acts of commission or omission committed by the Singapore branch office. The non-resident status of branch offices also excludes them from some of the tax exemptions that local and subsidiary companies enjoy.
Companies or individuals are generally advised to register a branch office if they are running a medium to large-sized business that has specialised operations in international locations, and intend to conduct a wide range of business activities in Singapore.
Here are some things to take note of when setting up a branch office:
If you’d like to register your company in Singapore as a branch office, please refer to ourSingapore branch office registration guide.
What is a Singapore representative office?
A representative office is a temporary setup which enables foreign companies to explore the market or manage company affairs in Singapore without conducting any profitable business activity.
Representative offices do not have any legal personas. Thus, representative offices cannot sign contracts, trade, lease warehouses, raise invoices, or open letters of credit - either directly, or on behalf of their foreign parent companies. Foreign companies bear implicit liability for the activities of their representative offices in Singapore.
Companies or individuals are generally advised to set up a representative office if their main objective is to study the Singapore business environment before committing any form of investment or if they have considerable non-core activities to be managed in Singapore.
Here are some things to take note when starting a representative office:
If you’d like to register your company in Singapore as a representative office, please refer to Singapore representative office registration guide.
Let our experts guide you.
Hawksford's experienced and professional staff will be able to guide you through moving or setting-up your business in Singapore.
With our expertise, we can assist you in setting-up your business structure right the first time.Reach out to Hawksford today
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