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Setting Up a Singapore Branch Office
Branch Office Setup Requirements
A registered Branch Office in Singapore functions as an extension of a foreign company that is registered outside of Singapore. If you choose to set up a Singapore Branch Office, you will need to take the following steps:
- Register a Singapore Branch Office. Rikvin can help you register your Branch Office.
- Appoint two resident agents to represent the company in accordance with the Singapore Companies Act. The agents can be Singapore residents or appointed staff members from the foreign company who have secured the Employment Pass.
- Alternatively, you can engage our Nominee Agent Service to represent your Branch Office.
Application for an Employment Pass for the appointed staff member to relocate to Singapore can only be submitted after the successful registration of the Branch Office.
Incorporate your Branch Office with Employment Pass in 4 easy steps
Disadvantages of Opening a Singapore Branch Office
- It is considered a non-resident for tax purposes, and therefore not eligible for any tax exemptions or incentives for new start-ups in Singapore.
- It does not have separate legal identity, and therefore the foreign parent company is responsible for all its debts, losses and liabilities.
- The foreign parent company is required to submit annual report and audited accounts within two months of the Branch Office’s annual general meeting.
- Appoint two resident agents to represent the company as oppose to only one resident director required in forming a private limited company
Taxation of Singapore Branch Office
A Singapore Branch Office is considered a non-resident company for tax purposes. Non-resident companies are not eligible for tax incentives for new start up or resident companies; and therefore most foreign companies prefer to set up a Subsidiary Company rather than a Branch Office.
Singapore Branch Office Registration Requirements
A Branch Office in Singapore is an extension of a foreign parent company registered outside of Singapore. The purpose of a Branch Office is to facilitate operation and revenue generation in Singapore for the foreign parent company. It is considered a non-resident for tax purposes, and therefore not eligible for tax incentives and exemptions available to Singapore private limited companies.
Summary of Setup Requirements for Branch Office in Singapore
- 1 Corporate Shareholder + 2 Singapore Resident Agents
- A Registered Office Address in Singapore
Singapore Companies Act does not permit foreign companies to self register a Branch Office. You can engage Rikvin, Singapore’s leading specialist in registration of companies with ACRA, to assist you with the registration of a Branch Office at Accounting and Corporate Regulatory Authority of Singapore (ACRA). We can set up your Branch Office in less than 24 hours provided you have all required documents ready.
Name: The Branch Office name must be the same as the parent company. ACRA must also approve the name before the Singapore Branch Office can be registered. ACRA will reject a proposed name for the purpose of incorporation if:
- It is identical to another existing business name
- It is undesirable
- Names or trademark which are similar to established names such as Coca Cola and Temasek
Shareholders: The parent company must own 100% of the Branch Office.
Resident Agents: Singapore Branch Office must have at least two agents who are be “ordinarily” residents in Singapore. Singapore resident agents can be Singapore citizens or permanent resident; or holders of Employment Pass or Dependant’s Pass. Rikvin can assist you in the application of Employment Pass for the two foreign management staff members relocating to Singapore to run the Branch Office operations. These management staff members can act as the local agents for the Branch Office upon approval of their Employment Pass applications.
There is no limit on the number of additional local or foreign agents a Singapore Branch Office can appoint. The agent must be at least 18 years of age, and must not be bankrupt or convicted for any criminal malpractice in the past.
Company Secretary: A Singapore Branch Office is not required to appoint a Company Secretary. It is, however, highly recommended to have a Company Secretary to help stay in compliance with the statutory regulations.
Registered Address: Every business registered in Singapore is required to have a registered office address. The registered address must be a physical address and cannot be a PO Box. Use of residential address is allowed for certain types of business.
Learn more about Setup Requirements for Branch Office in Singapore
Singapore Employment Pass
The Employment Pass (EP) is the main kind of Singapore work visa meant for entrepreneurs, executives and skilled professionals who wish to work in Singapore.
The Ministry of Manpower (MOM) allows foreign professionals to apply for a Singapore Employment Pass after they have incorporated their Singapore company to enable them to live and work in Singapore. There is no official limit or quota for the Singapore Employment Pass.
Rikvin has been providing professional immigration services since 1998.
You can leave your concerns to rest and trust our specialists to provide a thorough assessment of all factors of your application and ensure that it meets the current standards of review.
Our reliable guidance and high success rate come with years of experience and continually staying abreast with Singapore’s immigration regulatory updates.
In the event that your work pass or renewal application is rejected by the authority, our specialists will establish a firm appeal in defence of your position.
Rikvin is committed to putting your best case forward in every application or appeal.
You may apply for a Singapore Employment Pass (EP), if:
- You are a foreign entrepreneur, executive or managing director of a Singapore company and wish to relocate to Singapore to manage your company operations;
- You are a locally-incorporated Singapore company and need to hire foreign employees;
- You have an employment offer from a Singapore employer. In this case, your employer will expedite the EP application on your behalf.
Enhanced Employment Pass Types and Eligibility Requirements
Singapore Employment Passes are carefully assessed by the Ministry of Manpower (MOM). Factors such as a candidate’s potential economic contribution and the value add to the Singapore workforce as well as the hiring company’s track record are vital.
There are 3 categories of Employment Passes namely P1, P2 and Q1.
Under the Enhanced Employment Pass framework, you must fulfil or possess the following to be considered for an EP:
- Fixed monthly salary of at least S$3,000
- Acceptable qualifications (professional or educational)
- Work related experience and scope of work
The table below summarizes the EP categories and eligibility requirements:
| Pass Type | Eligibility requirements |
|---|---|
| P1 |
|
| P2 |
|
| Q1 |
|
Learn more about Singapore Employment Pass.
Step 1 – Submit Your Request and Provide Incorporation Details
Please provide us your details in the Pricing & Signup tab.
Upon receipt of your company incorporation details, we will:
- Check your proposed company’s name availability.
- Follow up with you to clarify queries (if any) and advise accordingly.
- Send you an invoice for our services.
Step 2 – Make Payment
We will commence with the preparation of incorporation documents upon receiving the payment for services as reflected in the invoice. We accept payment via cash, cheque, telegraphic transfer and credit card.*
You will then have to sign the incorporation documents either in Singapore before us or before Notary Public if you are overseas.
Step 3 – Incorporate Company and Open Bank Account
Upon the signing of the incorporation documents, we will proceed with the registration of your company with Accounting and Corporate Regulatory Authority of Singapore (ACRA).
Once the company has been incorporated, we will help you open a corporate bank account.
Step 4 – Apply for Employment Pass (EP)
Rikvin submits all Employment Pass (EP) applications electronically to the Ministry of Manpower (MOM) so that you can learn of your application outcome sooner.
- It takes MOM between 1-15 working days to process the application.
- Upon receiving the In-principle Approval notification, we will make arrangements for the collection of your EP.
The application for the employment pass can only be done once the company has been incorporated. It is not necessary to be physically present in Singapore while the application is being processed.
Documents Checklist
Foreign companies have to engage a professional service bureau for the registration of a branch office. Rikvin can assist you in the setting up your branch office. The following documents are required when registering a Branch Office in Singapore:
- A certified copy of Certificate of Incorporation of foreign parent company.
- A certified copy of Memorandum and Articles.
- Information such as nationality, passport number and other personal information of directors of the branch office.
- A memorandum executed by or on behalf of the foreign company stating the powers of the local directors, if any.
- A memorandum of appointment or power of attorney stating the names and addresses of two or more residents in Singapore to act as authorized agents to perform services and accept any official notices served to the company.
