You don’t necessarily have to start your business in your home country. In fact, if you’re an independent digital nomad, an offshore incorporation could prove to be highly beneficial. You just need to find out which location would be ideal for your project to take wings.
Forbes identifies Singapore as one of the best countries for business in 2019. Which is why, starting up a company in Singapore could be great for your business. Here are the top 10 reasons why Singapore is an ideal destination for incorporating and launching your company:
1. An attractive tax system
Singapore offers several tax exemptions, doesn’t levy a tax on capital gains, and has a relatively low corporate tax rate. Its single-tier income tax system ensures that there is no double taxation for shareholders. This means that all the dividends paid by the company to its shareholders are exempt from further taxation.
2. A robust economy
Singapore has emerged as one of the world’s most competitive economies. Today, it is considered one of the most stable countries, with no foreign debt, a consistently growing current account surplus and high government revenue. The economy rests primarily on trade, manufacturing and finance. It also boasts a low unemployment rate while maintaining low inflation. Singapore has been consistently investing its capital abroad and is actively involved in ensuring good housing and infrastructure, education, transport and healthcare subsidy programs for its people.
3. Ease of incorporation and operation
Believe it or not, in many cases, it takes less than a day to incorporate a new company in Singapore. The procedures are simple and the requirements are straightforward. The country is known for its bureaucracy-free framework without unnecessary paperwork that slows down processes.
4. Government support for startups
The Singapore government supports startups through friendly policies and pro-growth initiatives. It offers various attractive grants and funding schemes that help a new business through its early growth. Certain sectors also enjoy a labor cost subsidy – for both local and foreign-owned startups.
5. No currency control
Unlike countries like India and China which impose restrictions to free movements of foreign currencies, Singapore adopts a zero-restriction policy. This provides startups with a lot of flexibility in this connection.
6. 100% foreign ownership
As a foreigner, you can still own 100% of your stock, without requiring local partners or shareholders. This means you can formulate your own capital structure for your company and distribute ownership as per your investment needs.
7. Geographic location
Singapore is centrally located and is a gateway to Asia. Its port is the busiest in the world and is classified as a major international maritime center. Some of the other major economies like China, Malaysia and Australia are just a short flight away. Singapore’s Changi airport provides great connectivity with all the major airports of the world. Its high efficiency and reliability is a great asset for local businesses.
8. Productive workforce
One of the main reasons for Singapore’s rapid development since its independence has been its people. Its excellent educational system fosters hardworking, dedicated students that later bring the same motivation and quality to their work. Singaporeans are known for their hard work, high level of education, rule-following and productivity. In addition to this, the country has a liberal immigration policy that attracts talents from all over the world.
9. Zero corruption
Singapore upholds an extremely high standard of moral rectitude. As an entrepreneur, you can rest assured that you will be free from the unpleasantness of dealing with unscrupulous officials. You will not need to bribe someone to get your paperwork cleared or to get things done, which makes things easier on a daily basis for fresh entrepreneurs.
English is spoken universally in Singapore which is convenient to do business. Also, its high educational standards ensure that the emergent workforce is skilled in every sphere, including communication.
The Little Red Dot has made a huge mark in the world. It has received global rankings for business friendliness, quality of life, IP protection, education, travel, infrastructure, economy, healthcare and more. For entrepreneurs especially, the attractive policies of the Singapore government, the low taxes, the ease of conducting business and the integration with global markets make it a prime choice for starting a business.
At IPHub Asia, we help businesses protect their intellectual property rights. Contact us to find out more about why starting up a company in Singapore can be great for your business. You can also visit our website to learn about the IP services we offer.