Singapore is a country where companies are always welcomed by a business friendly environment and a government that does everything in its power to remove barriers to growth. Singapore is ideally situated at the crossroads of international markets giving businesses a competitive advantage. That competitive strength is bolstered by taking advantage of the tax benefits the government has created to promote economic growth through expansion of the business base.
If this sounds like business paradise, it’s understandable. Few countries have gone to such great and generous lengths to attract new business incorporation and to convince existing businesses to relocate. The East meets West in Singapore and this is an introduction that can lead to phenomenal business opportunities through efficient access to emerging and developed Asian markets.
From the heart of Singapore, called the Gateway to Southeast Asia, it’s possible to fly 7 hours in any direction and gain access to a market of 2.8 billion people. Markets include China, India and member countries of the Association of Southeast Asian Nations.
Setting the Standard for Pro-Business
The government of Singapore has been diligently working for many years to develop a pro-business climate for multinational corporations. As a result, the country has streamlined the business incorporation process in a way that most bureaucracies could never achieve. The incorporation registration and documentation is regulated by the Accounting and Corporate Regulatory Authority which has set quality standards for fast and efficient processing. In fact, the incorporation process often takes a mere 2 days to complete.
Other incentives include:
- Government structure that supports business needs through agencies like the Accounting and Corporate Regulatory Authority.
- Tax structure that provides for some of the lowest corporate tax rates in the world at an average 8.5 percent on profits up to S$300,000 and 17% thereafter, no capital gains taxes, special tax exemptions like a one-off tax (CIT) rebate or SME cash grant, and tax incentives that promote innovative business development.
- Multiple trade agreements like the Singapore-Australia Free Trade Agreement (SAFTA) that allow for tariff concessions when doing business with a variety of specified markets.
- Government focus on eliminating and preventing corruption in the business and government environments and promoting transparency and consistency in the legal system.
- Educated workforce with a 96.1 percent literacy rate and a 92.2 percent of population with a secondary or higher qualifications education.
- Open immigration policy allowing easy relocation of foreigners through generous Singapore work visa provisions and a liberal policy on gaining Singapore Permanent Residence.
- Can be 100 percent foreign owned as long as corporation has one Singapore resident director or holder of qualified pass.
- Ability to file for Singapore and global trademark registrations as a Singapore corporation.
Working and Living
Of course, this doesn’t begin to describe the excitement of living in a gateway city to the East. It’s culturally rich, has a moderate climate, prides itself on efficiency and cleanliness and has one of the world’s best public transportation systems. For corporations interested in the well being of workers, Singapore offers a plethora of benefits that only make business incorporation even more desirable.