There is a growing trend worldwide for business owners to setup an offshore company in a more business friendly destination
. This could be due to various reasons including ease of doing business, saving on taxes or taking advantage of certain laws in foreign countries. Traditionally places like the British Virgin Islands, Mauritius and the Caribbean Islands were popular for offshore company setup. However, there has been a marked change in the preferences for offshore destinations and Singapore has emerged as one of the more favored locations. Not only does Singapore provide all advantages of doing business in the traditional offshore company hotspots, the country provides a lot more credibility and also a simple offshore company setup procedure.
Setting up an offshore company in Singapore is as simple as it can get. Firstly you do not have to visit Singapore for the company formation. All you need is to engage the services of a local incorporation agent and they can get the entire procedure completed on your behalf. It is even possible to complete the company registration within a day or at the most two working days. There are only two steps in setting up a company in Singapore which includes getting your proposed company name approved and then actually applying for company incorporation. There are cases where the company registrar in the country has been able to approve applications within a matter of 15 minutes. The entire process is streamlined and made as straightforward as it can get.
Foreign business owners usually need to provide their particulars including an address proof and passport copies. They would need a Memorandum and Articles of Association for the Singapore Company and also provide details regarding the company secretary and the company directors. While company owners and directors can reside anywhere, there is a requirement to have at least one local resident director. This is usually not a problem as nominee directors are allowed and the incorporation agent you work with will be able to provide for the nominee director as well.
Singapore is currently ranked in the number 1 position by the World Bank for ease of doing business. Laws are similar for local entrepreneurs as well as foreign business owners. This is one of the most important reasons why so many offshore companies are being set up in Singapore every year. Singapore also does not tax foreign sourced income not remitted to the country and hence offshore companies have the possibility of zero taxation for their Singapore Company.