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Singapore - DOING BUSINESS


Local business incentives


Founders of a new business in Singapore can request assistance from certain institutions or national organisations. Generally, aids or incentives are negotiated before the company's registration. Investors can contact the Singapore Trade Development Board (STDB) which mainly aims at promoting foreign investments and exports. Moreover, the Economic Development Board (EDB) is in charge of increasing foreign setting ups in Singapore by granting different forms of subsidies.


Legal forms of companies


Form Number of partners/shareholders Minimum and/or maximum capital Liability Registration fee Release of financial documents
Company Limited by Guarantee.   Minimum 2.   No minimum capital.   Liability is limited to the amount of guarantees   They vary according to the capital amount .
About SING$ 600
 
No  
Company Limited by Shares and Guarantee.   Minimum 2.   No minimum capital.   Liability is limited to the amount of guarantees   About at least SING$ 1,200. Maximum SING$ 35,000.   No  
Private Company or Sendirian Berhad (Sdn Bhd)   Minimum 2.
Maximum 50 shareholders.
 
No minimum imposed by the law, in practice, capital is SING$ 25,000   Liability is limited to the amount contributed.   About at least SING$ 1,200. Maximum SING$ 35,000.   No  
Public Company or Berhad (Bhd)   No minimum   No minimum capital.   Liability is limited to the amount contributed.   About at least SING$ 1,200. Maximum SING$ 35,000.   Yes, if the company is quoted on the stock exchange.  
General Partnership   Minimum 2.
Maximum 20
 
No minimum capital.   Liability is unlimited.   About SING$ 600.   No  
Limited Partnership   Minimum 2.
Maximum 20.
 
No minimum capital.   At least one person has an unlimited liability. Other partners' liability is limited to the amount they contributed.   About SING$ 600.   No  
Sole Proprietorship   1 only person.   No minimum capital.   Liability is unlimited.   About SING$ 600.   No  
Unlimited Company   Minimum 2.   No minimum capital.   Liability is unlimited.   About SING$ 600.   No  


Registration and licensing procedures


The company's founders in Singapore have to register the company's name and pay registration fees. Investors have then to register their company with the Registry of Companies and Businesses (RCB) which delivers a registration certificate.


Legal framework


There are no specific legislations regulating foreign investments in Singapore.


Foreign exchange control


Currency exchange control has been suppressed in 1978 and allows free repatriation of profits and capital.


Regulations concerning equity investment


A majority holding interest in the capital of a local company is legal in Singapore.  


FDI inflows in Singapore




FDI inflows (millions US$) 2000 2001 2002 World rank
Foreign Direct Investments (F.D.I.) 5822   9331   16060   13 / 196
Sources : UNCTAD Database FDI/TNC


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Last modified in December 2003
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