Singapore Representative Office is another popular business structure available to foreign entrepreneurs and companies. A Representative Office provides a foreign company interested in establishing operation in Singapore an avenue to assess business opportunities in Singapore market. It is also ideal for a foreign company that is interested in promoting its brand and to work with its local agents and distributors. It is a short-term setup (for up to three years), and it is not permitted to engage in commercial revenue-generating activities such as concluding contracts and opening of Letter of Credit.
Features of Singapore Representative Office:
It is an administrative extension of a foreign company
Its must have the same name as the parent company.
It cannot engage in commercial revenue-generating activities, and therefore need not file for annual tax returns. However, income paid to the staff of the Representative Office including the Chief Representative is subject to personal income tax.
It also need not comply with the filing requirements since it is not an incorporated business entity.
It is curtailed from negotiating any trading instruments or leasing of warehouses. It is, however, allowed to lease office space.
It is allowed to appoint limited number of staff, both local and foreign, to support its restricted administrative activities.
It can obtain a central registration number from the Singapore Customs to import and export product samples.
It is a short-term setup for up to 3 years with mandatory annual renewal.
Rikvin, leading Singapore company registration specialist outlined three simple steps for registration of Singapore Representative Office:
Submit an application to register the Representative Office. Rikvin can assist you in the registration of your Representative Office.
You can apply for an Employment Pass only after you have succeeded in registering the Representative Office. The Employment Pass application is for the Chief Representative who is the appointed staff member from the foreign company. The Employment Pass will allow the Chief Representative to relocate to Singapore to run the Representative Office.
You will require a local registered office address. Rikvin can provide you with the use of our corporate registered address on a temporary or long-term basis, if needed.