Singapore is a properly-structured first world country, with both its physical and cyber infrastructure well thought out with the purpose of making everything efficient as well as attractive. In other words, not only will your business look good being based in Singapore, but it will also thrive under a country that champions efficiency over red tape and ridiculously long bureaucratic procedures.
Another pretty important perk about running a company in this island is that business owners enjoy tax exemptions and incentives for setting up and maintaining a Singaporean company. For these few but powerful reasons alone, plenty of investors, venture capitalists and banks have already claimed their stack on this island country as its full economic potential has yet to be realized. All Singaporean companies also come with a high standard of business ethics, as is evident in the 2010 Corruption Perceptions Index conducted by Transparency International.
It is also relatively easy to start a business here and incorporating a company can be completed within the same day, whether for local Singaporeans or foreigners. A visit to Company Registration Singapore, the definite step-by-step guide to company incorporation in the republic, will show you just that.
Out of one hundred and seventy eight countries, Singapore ranked among the top three least corrupt countries along with New Zealand and Denmark, which makes it clear that conducting any business operations in Singapore will be fair play for everyone in the industry. The research included a gauge on the reputation of politicians and public officials as well, which meant that business tenders in Singapore is a level playing field void of favouritism, a frequent problem faced by other business owners in other neighbouring Asian countries.
According to information gathered from the Inland Revenue Authority of Singapore, budding entrepreneurs enjoy a full one hundred percent tax exemption during the first three years of business operation, assuming that said company garnered net profits of less than SGD200,000. For this reason alone, Singapore has also been voted as the country with the least taxes in the whole world. If your corporation also has a turnover of less than SGD5, 000,000 during your financial year, then you will also save cost by being exempted by undergoing the annual statutory audit which is usually compulsory for all corporations.
Singapore is also a country with over sixty strategic ties to other countries including China, Germany, France, Japan, the United Kingdom and Canada. The country is also wise enough to become a part of the Organization for Economic Cooperation and Development (OECD) which was originally founded by key economic countries post World War Two. Being part of the OECD meant that Singapore was also committed to seeking and sharing common economic problems. It also meant that Singapore is a country that is willing to gain economical alliances with other members of the OECD via international treaties and policies.
Quite possibly one of the only tax you will have to pay in Singapore is the Goods and Services Tax (GST) which is compulsory for all Singaporean companies who profit over SGD1, 000,000 during the financial year. However, non-resident Singaporean companies can actually refund the GST paid to the government.
Note: This article was contributed by our client, BizCorp Management Pte Ltd. BizCorp is a recognized company registration agent in Singapore, with their basic company incorporation package costing a mere S$600. The company also provides corporate services like PR and Employment Pass application, corporate secretarial and taxation services.