Business opportunities exist everywhere, from your local hometown, to online business and everywhere in the world. How do you decide where to incorporate your company? The globalization of continuously makes it possible to connect anywhere in the world. Upon considering opening a business there are multiple details to weigh in on from the environment, taxes, fees, and legal aspects. The structure of a business and the laws of the jurisdiction where business will be performed are extremely important.
The US has long been associated for providing suitable options for entrepreneurs, in both getting a business established and maintaining a successful, long-term operation. However, over the past several years, the US business world has become more saturated with competition and with the globalization, it is not always the first place people consider.
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In recent years, Singapore has emerged and developed in a way that it has positioned itself to offer many appealing options for businesses. It has developed pro-business policies that are so streamlined that the legal aspects can be worked through within a matter of days; even when the incorporation of a business, it can be opened fairly easy and fast. Further, the economic markers and politically stable environment are extremely attractive to entrepreneurs. Below are some of the most significant differences in opening and running a business Singapore versus the US.
The highly respected Forbes magazine ranked several businesses in their “2015 Best Countries to Do Business” list and the US made #22 while Singapore made spot #8. Singapore’s business infrastructure is considerably less restrictive than the United States in the areas of property rights, investor protection, monetary policies, and tax burdens. In fact, Singapore offers tax incentives for business development and expansion, which are viewed by many investors as quite attractive.
The US has earned a reputation for taxation laws and rates, which makes starting a business difficult, not to mention the added financial pressure of ongoing tax costs. In contrast, Singapore places high priority in supporting businesses and encouraging entrepreneurship, which is reflected in their favorable tax rates and regulations.
The Singapore government is held to high standards. Regulations that demand transparency in reports and policies prevent corruption and instill trust in their politicians. This, along with the government’s pro-business attitude creates a very stable environment for companies.
Singapore has some of the most well-educated, skilled laborers available. This shouldn’t be surprising when you consider the lifestyle in Singapore. The climate is ideal for outdoor activities, plenty of selection for quality food and restaurants and entertainment. The people of Singapore have a strong mutual respect for one another and exceptionally high standards for cleanliness and safety. This positive lifestyle carries over to the work environment as well, with plenty of support for one another, ongoing training and some of the best employer-employee relationships.
Overall, Singapore provides a more supportive environment for businesses, especially start-ups from the sole proprietorship to the corporation. It is continuously investing in its business infrastructure and invites entrepreneurs to take advantage of what is being offered.