Friday 24 May 2013

Packages for Foreigner to Set Up a Company in Singapore


Singapore government provides numerous options to form a company in Singapore to foreign nationals. The friendly government facilitates the procedure of incorporating a company in Singapore by providing an-easy-to-follow process. If an individual is pondering opportunities to be an entrepreneur in Singapore, this island country is the best pick of the lot.

If a person does not have a university degree from anywhere in the world, yet if he can produce enough proofs of a successful entrepreneurial experience, is eligible to apply for Singapore Entrepreneur Pass (Entre Pass). The Ministry of Manpower (MOM) and the Standards,Productivity and Innovation Board of Singapore jointly assess the Entre Pass applications. The minimum paid up capital is $50,000. This amount is an assurance of financial stability to support the business and sustaining the stay in Singapore.

The following are the prerequisites for a foreigner to set up a company in Singapore:   
  • The person must be 18 years and above. (w.e.f. March 1, 2009)
  •  The person should not be an un-discharged bankrupt. Otherwise, permission from the High Court or Official Assignee has to be obtained.
  • The person should not be disqualified under sections 149, 149A, and 154 of the Singapore Companies Act.
  • The person needs to obtain an EntrePass from the Singapore’s Ministry of Manpower in order to involve in active management of company’s operations.
  • The company should be registered as a Private Limited Company. Singapore’s governing authority of businesses and public accountants the Accounting and Corporate Regulatory Authority (ACRA) is responsible for company registration in Singapore. MOM does not provide EntrePass to a foreign national who wants to register a sole proprietorship or Limited Liability Company.
  • The person should hold 30% of shares in his registered company.
  • The person should produce a bank statement of at least $50,000 of a Singapore based company back account for verification.
  • The business should not fall under the category of illegal businesses.
  • EntrePass is not issued to an individual who wants to launch a business of the following category:
Ø  A coffee shop
Ø  A food court
Ø  A night club and bar
Ø  A massage parlor
Ø  A Chinese medical centre or acupuncture centre
Ø  An employment agency

An EntrePass holder can also apply for a SingPass. Both the passes share a common password that allows online transaction with different government agencies.

Saturday 18 May 2013

Accounting is Basic Requirement for all Businesses

Shaping up a new venture demands all your time and energy. You find yourself juggling between different tasks. You sit on a number of positions such as the CEO of the company, marketing manager, the sales person, the HR, the accountant and many more. You are responsible for the critical decision making process for the growth of your company at the same time you have to look into the production or services improvement strategies. Sometimes you find yourself managing resources for the company the other times building clients. In the process, it becomes a major task to keep the accurate tracking of the financial transactions of your company. It is a time consuming process and involves complex rules and regulations. A majority of individual entrepreneurs and companies outsource accounting services in Singapore.

Bookkeeping services in Singapore are also outsourced to qualified firms and accountants. It is a wise decision to take assistance of an accounting services provider to make life easier.

Singapore government has divided the companies into two categories MNC and SME, which stands for multinational companies and small and medium enterprise respectively. It is mandatory for the companies to maintain a record of the finances irrespective of their size. There are numerous benefits involved in keeping accounting records updated. Let’s discuss a few of them.
  • Clear Financial Picture:
By maintaining the record of accounts book, a company keeps updated about its financial status. The tracking of money coming in and the money going out becomes an easy task to handle. It assists in preparing the balance sheets and statements of profits and loss.
  •  Decision Making becomes easier:
Important decisions can be taken based on up-to-date records. If a clear and accurate picture of the financial records is present, it assists in deciding further investments. It also assists in deciding where to hold the money. Rectifying previous decisions are also possible with an updated financial record in front.
  • Ease in Obtaining Loans:
Expansion is always one of the action plans if a business is doing well. If there is a requirement of obtaining loan for expansion, there are great possibilities of a positive result for your loan application, if your company shows its transaction records well maintained. A healthy financial record is the report card of your company’s performance and makes you eligible for procuring loans.
  • Hassle Free Tax Filing:
Business owners save themselves from chaos and confusion during the tax filing season, if the account records are well maintained and in healthy condition.