A foreign Subsidiary Company in Singapore is a locally incorporated limited liability company with which the majority of shares are held by the foreign company.
Subsidiary Setup with Relocation to Singapore
If you wish to set up a Subsidiary Company and relocate a staff member to Singapore, you will need to do the following:
* Incorporate a Subsidiary Company
* Obtain an Employment Pass for the staff member who is relocating to Singapore. The Employment Pass application can only be filed only after registration of the Subsidiary Company.
Features of a Subsidiary
* It is incorporated as a limited liability company, hence has a distinct legal identity.
* The foreign company’s liability is limited to the value of the shares it subscribes into the subsidiary.
* The foreign parent company may own 100% of the subsidiary.
* A subsidiary company, with at least one individual shareholder with minimum of 10 percent shareholding, is entitled to local tax incentives. New start-up companies Pay Zero tax on the first S$100,000 of chargeable income for the first three consecutive years. A further 50% exemption is given on the next S$200,000 of the chargeable income.
Summary of Setup Requirements for Singapore Subsidiary
* Minimum 1 Shareholder + 1 Resident Director + 1 Company Secretary
* Minimum initial paid-up capital is S$1
* A Singapore registered office address
Notes
If you are a foreign company that plans to incorporate a company and to relocate staff members to Singapore, you will need to do the following:
* Engage Rikvin to incorporate your Singapore Subsidiary Company. Singapore Companies Act requires a director who must be a Singapore resident. You will need to find a Singapore resident director or engage our Nominee Director Service with which we can provide you with a nominee director on a temporary basis until you have secure an Employemnt Pass.
* Apply for Employment Pass for your staff member.
* Transfer of directorship upon securing the Employment Pass.
* Staff member relocate to Singapore and start running the Subsidiary Company.
Registration of Subsidiary Company and Singapore Employment Pass application can be processed without you having to be in Singapore.
Article Source: Singapore Subsidiary Office http://www.rikvin.com/
