Business Incorporation Goes By Many Different Names
Business incorporation or simply incorporation, company registration and company formation are four different terms that mean the same thing. They all refer to the legal process that declares a business entity as a corporation. Upon receipt of the state charter, the corporation is officially recognised as a separate entity from its owners.
Business Incorporation In Singapore
The Singapore Companies Act governs the companies doing business in the city-state. The shareholders of an incorporated business enjoy limited liability under the law. The company is also required to have at least one shareholder and one local resident director. Furthermore, it is mandated by the law to appoint an ordinarily resident in Singapore as the company secretary.
The Basic Procedures Of Business Incorporation
Initially, the applicant has to provide the proposed company name as well as the pertinent documents containing the identification and contact details of its proposed directors and shareholders. Following that process, the applicant can seek the assistance of a service provider to represent it as a client. The service provider in behalf of its client can then reserve the company name. It will also prepare the required documents of incorporation and have them signed by the client. After that has been done, the service provider can already incorporate the business entity with the registrar of companies.
As a word of advice, prepare the necessary documents in advance so as not to delay the process. Submit them to your services provider as soon as you can to give ample time for review of their completeness, correctness and consistency for instance.
Normally, a copy of the passport, proof of address and bank reference letter are asked from the director and shareholder who are not local residents. The resident director and shareholder who are Singapore citizens only have to provide a copy of their Singapore ID. If they are noncitizens, a copy of their passport is required. In cases where a certain shareholder is a corporate entity, the documents to be submitted include a copy of the certificate of incorporation of the parent company as well as a copy of the document containing the parent company’s registered address and directors.