Starting Your own Business In Singapore
Starting Your own Business In Singapore
Jim Rogers, a US investor, recognized Singapore as one of the best city to work and invest your money, live, and play. It prides in its stability, great infrastructure, healthy capital markets, highly skilled workforce and rich cultural heritage. Rogers further says that Singapore is seen in the future as the financial centre of the Southeast Asia or of the whole Asia, and would be one of the leading financial centers in the entire world.
If you are an investor, why will you choose Singapore to invest your money and effort?
Singapore offers attractive tax rates – the country is known for establishing an efficient corporate and personal tax schemes in the whole world. In YA 2012, persons who are tax residents in Singapore have personal tax liability from as low as 0% to 20% for those earning more than S$320,000.
When new incorporated companies meet certain qualifying conditions, they are offered tax exemption of its initial S$200,000, which is considered as “zero-tax jurisdiction.” Taxable income beyond S$300,000 is offered a flat tax rate at 17%. Take note that capital gains in Singapore are non-taxable. Under its one-tier tax policy, the dividends that are received by shareholders are exempted from taxes.
Singapore has also implemented a broad-based consumption tax which is known as “Goods and Services Tax or GST. The country is presently one of the world’s lowest tax rates of 7% which ranks below the whole world’s average VAT/GAST of 16.4% and 10.5% in Asia-Pacific.
Singapore offers an open and honest government – The political system in Singapore is a system that implements laws, executes priorities, and establishes rational and pro-business methods policies and regulations. The country is known for its stable and organized government that aims at bringing the whole country to the top ranking industrialized countries.
Singapore offers a stable international trading – The country does not practice Double Taxation Agreements or DTA with global jurisdiction. DTA acknowledges the taxation rights of Singapore and treaty partner on various kinds of income. It aims at reducing or exempting taxes on some kinds of income.
Singapore offers better business incorporation policies – Singapore encourages creation of all types of businesses. It only takes you 15 minutes to incorporate a company in Singapore compared to other countries. In cases when applications have to be referred to other government agencies for review or approval, it may take between 14 days and two months. For entrepreneurs outside Singapore and who want to incorporate a local business or company, there is an online site where they can apply.
Singapore offers open and adaptable immigration policies – These policies include the transfer of foreigners who intend to build their businesses in Singapore. In cases where you are a foreigner who wants to build and operate your business in Singapore, or if you want to hire foreign professionals, the government of Singapore has established work visa provisions for your appropriate needs. These provisions provide easy opportunities for foreign nationals with businesses in Singapore to obtain Singapore Permanent Residence or PR status.
Singapore offers thorough protection for Intellectual Property or IP – The country is known for its IP protection and becomes a center for companies and businesses that want to handle their Intellectual Property assets. Singapore is ranked as the leading country for IP Protection by the World Economic Forum or WEF, Institute for Management Development or IMD, and Political Economic Risk Consultancy or PERC.
The country is also known for its solid laws on copyright. It is considered as a criminal offense for anybody or any entity to perform intentional copyright violation. When you registers a trademark in the country, local businesses may file for international trademark registration from the country because Singapore is a signatory to IP conventions and treaties like: Paris Convention, Madrid Protocol, Patent Cooperation Treaty, Berne Convention, Budapest Treaty, Agreement on Trade-related IP Rights, and World Intellectual Property Organization.
Singapore offers well-trained and competent workforce – Singapore is considered as a knowledge-based economy, hence, it has educated and professional manpower workforce. Its workforce is known for its well-educated, highly productive, technical proficiency, and hard work.
Singapore offers high quality of life – Most of the professional foreigners and business owners who have businesses in Singapore have also opt to relocate to Singapore with their families. This is due to higher quality of life in the country. Singapore gives its residents outstanding private and public transportation, safe and healthy living surroundings, accessibility to high quality education, excellent support system for businesses, corporation, and entrepreneurs.
Singapore offers good geographical location for business – Singapore is located in the heart of Southeast Asia where business owners can have easy access on other Asian countries. Singapore is recognized as the prime International Maritime Centre or IMC where business can venture to other ASEAN countries for further investments. The country has no limitations on foreign ownerships of companies and businesses. The repatriation of profit and import of capital are allowed.