Step by Step guide on how to set up Pte Ltd in Singapore - Jorbb shows you how

How to set up a Private Limited?

To start a private company in Singapore certain procedures and regulations are to be followed. Most of the companies in Singapore are private companies that are limited by the shares. To open a private company called pte ltd, you have to register it under companies act chapter 50. ACRA is the centralized authority for approving and registering private companies. Company is a legal entity and you can manage it by means of your shares. This entity can hold a property and for any legal issues, it can be sued. You become the owner of the company if you hold some or all shares of the company. The price of the share can be anything ranging from $1.

1. Any individual or a company can register a private company.

2. To start a company, you need to appoint at least one director who is above 21 years of age. The directors you appoint should be either a permanent resident of Singapore or a Singapore citizen or employee pass holder or dependent pass holder or hold approval-in-principal employment pass.

3. The directors you appoint should not be bankrupt or dishonest. Those persons who have been convicted for any case of dishonesty are disqualified for becoming a director. You should seek the help of your lawyers to identify suitable persons for acting as directors.

4. For starting a private company, you need to appoint at least one director and one shareholder. The same person can be appointed with both designations. However, it is better to employ two directors, as two signatories are demanded by most of the financial institutions.

5. Your company can be called a private company if you have no more than 50 shareholders. If this number is exceeded, then you have to call your company as a public company that is limited by shares.

6. To get the ACRA approval, you have to decide the business name and the business location for setting up the company. The name should be unique and you cannot choose a name that is close to another business or a name that already exists.

7. Next step is to get a SSIC code for the company which specifies the nature of your business activity. This is important for all companies because using this code the government can identify the licenses and permits that are required for your business. You have to top up your medisave and keep it up to date.

8. The Singpass is essential for filing up the BizFile which is required for registering your company. This Singpass is a password which enables communication between your company and government authorities.

9. After obtaining the password, you should open a BizFile and login using the singpass. Then you have to make the payments for the registration fees charged for your company. Irrespective of the type of company, you have to pay $15 for the business name and since you are opening a private company, you have to pay $300 for registering the company.

10. Appropriate licenses have to be obtained from the government authorities and you can register your company by getting help from the legal firms. After obtaining all the permits, you can open your private company in the registered location.

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