Starting an enterprise in Singapore necessitates having a firm grasp of the costs and fees related to registering an entity. Every component that shapes the economic picture for enterprises matters, from governmental fees and advisory costs to licensing rates and accordance fees. Aspiring company executives may efficiently manage their spending plans, make wise judgments, and position themselves for prosperity by learning how these monetary elements are broken down. We will go into the specifics of Singapore incorporation fees and costs in this post, giving business owners the information they need to handle this important phase with ease.
Registration fees
The four most common corporate structures in Singapore are listed below, along with a breakdown of the specific fees and costs associated with each.
Sole Proprietorship
A small registration fee of SGD 115 is required. It is crucial to remember that the owner has limitless personal responsibility for the financial affairs of the company.
Private Limited Company
A private limited company is required to pay a 300 SGD registration fee. Additionally, owners should budget for professional services such as regulation (from SGD 1,500 to SGD 3,000) for structuring the organization and accounting (from SGD 1,000 to SGD 5,000) for annual audits.
Limited Liability Partnership (LLP)
An LLP is required to cover the SGD 115 filing fee. As with a partnership, you should draft an LLP agreement; the legal fees for this will run from SGD 500 to SGD 1,500. Accounting costs for accounting and annual audits can also range from SGD 1,000 to SGD 5,000.
Professional service fees
The following are the essential professional services required during business registration in Singapore and provide an overview of their costs and fees.
Legal services
To ensure compliance with pertinent laws and norms, write and review legal forms, and provide legal guidance during the registration process, legal assistance is essential. Legal fees for registering an entity in Singapore typically cost between SGD 1,500 and SGD 5,000.
Corporate secretarial services
To maintain appropriate corporate governance and guarantee compliance with legal standards, corporate administrative services are essential. Contingent on the amount of assistance needed, business secretary solutions in Singapore typically cost between SGD 500 and SGD 3,000 annually.
Licensing and permit costs
The following are the common types of permits necessary during business registration in Singapore, along with their associated costs.
Food shop license
A Food Shop License is required for companies that operate restaurants and bars. A food retail license fee is SGD 195, and the yearly license varies from SGD 195 to SGD 1,760 based on the type of food outlet.
Employment agency license
A staffing firm license is required for companies that function as recruiters and offer services linked to hiring and placing employees. SGD 400 is the application price and SGD 1,800 is the yearly license fee for a Recruitment Agency License.
Moneylender’s license
Businesses that participate in loans must have a moneylender’s license. A moneylender’s license application costs SGD 200, and a yearly license fee of SGD 1,200.
Employment and visa costs
When registering a business in Singapore, it is important to consider the following costs associated with employment and labor.
Work permit and employment pass
Organizations must apply for labor authorizations or job licenses before recruiting foreign workers. The cost of an Employment Pass request is between SGD 105 to SGD 2,000, and the monthly pass charge is SGD 300. The filing fee for a work visa is between SGD 30 and SGD 200, and the monthly levies are between SGD 300 and SGD 950.
Payroll and human resource management
Payroll and human resource management must be done well. Payroll services typically cost between SGD 50 and SGD 500 per month, whereas the cost of HRM software varies from SGD 100 to SGD 1,000 annually.
Beyond the numbers: Understanding the true cost of registering a company
When starting the process of creating a corporation, it is important to consider factors other than financial ones. The broader factors that influence to the actual cost of creating a company must also be taken into account, even though the financial charges of business licensing are significant. These include the duration and energy needed to comprehend legal requirements, hire professionals, and make sure regulations are followed.
Entrepreneurs should also account for the continuous expenses associated with preserving licenses, permits, and other required paperwork. Aspiring entrepreneurs can make sound decisions and position themselves for successful outcomes in their endeavors by identifying and understanding the full scope of the actual expenses of establishing a company.
You may also find these articles helpful
Guide on company registration in Singapore
Guide on Private Limited Company registration in Singapore
