Company incorporation or company registration is the first step entrepreneurs should take when they have an innovative solution to a current world problem and they are planning to launch a business based on that idea. Despite its rather daunting tone, company incorporation protects the entrepreneur and their intellectual property and recognizes the entrepreneur and the company as two separate entities. By being recognized as separate entities, entrepreneurs would not be liable for any legal actions that the company would potentially face.
Here’s why you should consider launching your business and company incorporation in Singapore:
As the leading business hub in Asia, Singapore is undoubtedly the best place for aspiring entrepreneurs to start their businesses. With globalization and rapid technological advancements in recent years, company registration in Singapore is no longer limited to Singaporeans or individuals living within Singapore. The Singapore market has now opened new opportunities to offshore companies hoping to reap the benefits of company registration in Singapore. Multinational companies, including Google, Facebook, and Microsoft, were also attracted to the stability and excellent economic infrastructure and have since set up their regional headquarters in the city-state.
The question now remains as to whether Singapore will continue to be a great place for entrepreneurs to incorporate their businesses in 2023.
Unfortunately, the world economic outlook for 2023 is seemingly gloomy. Multiple key markets are witnessing a drastic slowdown in their economies, which is not expected to quicken in 2023. The ongoing war in Ukraine continues to heavily impact Europe, the China market is still struggling to cope with the COVID-19 outbreak as it awaits a fuller economic opening in the next few months, and the business landscape in the United States is particularly vulnerable to the impending recession and inflation.
With key end markets being heavily impacted, Singapore is not forgiven for this dampening economy the world is currently witnessing. Singapore’s GDP is projected to fall in the region of 0.5 cents to 2.5 per cent in 2023, and the manufacturing and finance sectors are heavily impacted. The manufacturing sector shrank to 3.2 per cent in the third quarter of 2022, and the finance sector showed a weakening in the first half of 2022. However, when analyzing the GDP of 2022, the Monetary Authority of Singapore has done an excellent job of ensuring the growth is unchanged at 3 to 4 per cent, where trade-related, domestic, and travel-related industries contribute to the GDP. Furthermore, the city-state has ruled out a recession and instead anticipates an economic slowdown in 2023, indicating a positive outlook for the nation’s economy.
Before deciding to launch a business in Singapore, here are some key factors that attracted MNCs and SMEs across the world to register their company in Singapore:
Despite the country being small in size, the city-state is an ideal financial hub that has often been showcased on the world stage. Due to the efficient government bureaucracy within the nation, company incorporation in Singapore is relatively easy and can be conveniently done within an hour. However, before launching a business in Singapore, here are some documents and information to prepare to quicken the incorporation process:
Once you have all the documents and information prepared and ready to go, companies may process to the Accounting and Corporate Regulatory Authority (ACRA) to submit their documents. They would then issue two documents, 1) the e-certificate of incorporation and 2) a business profile. With this, the company is officially registered in Singapore and is legal to conduct any form of business within the country.
Though the submission and issuance of official documents by ACRA is a relatively easy process, the preparation of documents to incorporate a business is not as easy as it seems. Due to the strict rules and regulations enforced in Singapore, many businesses often find themselves stuck in a tedious and lengthy incorporation process. Some common reasons ACRA rejects a company from incorporating include insufficient document preparation, the wrong document provided, and the inability to provide a Singapore-based address, director, or secretary.
Corporate service providers, such as PikoHANA, are well-versed in the incorporation process and offer a cost- and time-effective solution for companies in the incorporation process. PikoHANA provides an all-in-one concierge service that can assist in all aspects of company incorporation, including the establishment of a nominee director or secretary, providing a Singapore-based address, and other documents required when incorporating a business in Singapore, whether you are based in Singapore or not.
Hence, Singapore will continue to be positioned as a great place to incorporate a business in 2023. The short answer is yes.
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