There are many reasons to choose a Singapore Offshore Company for business. It is a low-tax jurisdiction with simple incorporation and compliance procedures and liberal foreign ownership rules.
To know more about the process of business formation, refer to our guide on Singapore offshore company registration.
Singapore is the perfect geographical location for international firms as well as entrepreneurs wishing to reach the enormous Southeast Asian market because of its strategically advantageous location, highly skilled workforce, and supportive business environment.
Sectors where Singapore offshore enterprises seem to thrive include:
- Holdings in the investment sector
- Asset Holding
- Ship management and yacht owning
- Trading
- Professional services or consulting
- Intellectual Property Ownership
Why choose Singapore Offshore Company for business?
- Taxation
One of the main reasons why companies like to establish their business in Singapore is the tax benefits of doing so: In comparison to other nations, Singapore has low tax rates. This remains true for all income taxes, including personal income taxes, business income taxes (up to 17%), and the 7 percent goods and services tax. Singapore does not impose a dividend tax or a capital gains tax.
The Singaporean government taxes any revenue earned in Singapore, whether it comes from domestic economic activity or an outside source. However, some income from a foreign source is exempt from this.
Singapore has a flat corporate income tax rate of 17%, with a three-year partial tax exemption given to qualified start-up businesses.
- Political stability
Singapore has been voted Asia’s least bureaucratic nation and it is the most politically stable nation by the Political and Economic Risk Consultancy. The Singaporean administration is renowned for its high moral standards and pro-business approach. It is often described as logical, practical, transparent, and free of corruption. Singapore is known for having a fair, solid, and effective legal system. Regarding trade, the protection of intellectual property, employment, and other aspects of business, there are unambiguous standards and regulations. As a result, there is little to no risk associated with establishing and running a Singapore offshore corporation.
- Flexibility to investors
Global business investors have access to a number of flexibility options from the Singaporean government when applying to invest in Singapore.
There is plenty of room for any industry, whether it is an industrial hub or a corporation that is heavily focused on technology. Offshore industry units developed in the area convey credibility and authority as a legally recognized body.
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Banking facilities
Singapore has become the region’s top financial hub in the Asia Pacific. Offshore corporations have access to a wide range of trustworthy domestic and international banks for Singapore corporate bank account opening. Singaporean banks provide a wide range of tempting services, including multi-currency accounts, internet banking, credit cards, trade financing, the freedom to transfer money internationally, and more. In spite of the fact that the majority of banks demand physical presence when opening an account, some are also willing to make an exception on a case-by-case basis. Depending on how much due diligence the bank conducts, the account opening process could take 2 to 15 days.
- Liberalized Ownership
One of the most important reasons for setting up an offshore company in Singapore is the fact that the nation allows 100% foreign ownership, in accordance with its liberal ownership policy.
The Singaporean government does not place any limitations on the ownership percentage of foreign investors in any kind of company.
Additionally, foreign nationals who want to set up an offshore business in Singapore do not need Singaporean authorities’ permission before registration.
- Reputable image
An offshore corporation that is incorporated in Singapore conveys legitimacy and status as a legal organization because Singapore is not a tax haven. The business will be taken seriously by stakeholders like employees, lenders, or other experts you will be interacting with if you incorporate a Singapore offshore company.
- Easy incorporation
Under the guidance of professionals such as Relin Consultants, registering an offshore business in Singapore is a simple process.
One must make sure they present the proper set of documents as requested by the appropriate government authority.
The following documents are needed for approval:
- A completed offshore application form
- Passport-size photographs of the company’s shareholders and investors
- Address and identity proof of the business’s partners and investors
- Articles of Association
- Memorandum of Association
- A well-written business plan
The business’s owners also have the option of selecting an unlisted company, which is a simple option from the list of offshore companies in Singapore.
