top of page
Writer's pictureRoger Pay

Registered Capital Requirements in Singapore: Explained

Updated: Aug 6



Registered Capital Requirements in Singapore: Explained | Bestar


Registered Capital Requirements in Singapore: Explained


Understanding Registered Capital and Paid-Up Capital


Before diving into the requirements, it's essential to differentiate between registered capital and paid-up capital:


  • Registered Capital: This is the total amount of capital a company is authorized to raise from its shareholders.  It's a legal requirement and must be stated during company incorporation.   

  • Paid-Up Capital: This is the actual amount of money shareholders have invested in the company. It's a subset of registered capital.   

Minimum Registered Capital Requirement


  • Singapore has a minimal registered capital requirement of S$1. This means you can legally incorporate a company with just S$1 of registered capital.   

  • However, this doesn't mean you can operate your business with just S$1.


Paid-Up Capital Requirements


While the minimum registered capital is low, certain factors can influence the required paid-up capital:


1. Immigration Passes:


  • EntrePass: Requires a paid-up capital of S$500,000.

  • Other immigration passes may have similar or different requirements.


2. Industry-Specific Regulations:


  • Some industries have mandated minimum paid-up capital:

  • Travel agencies: S$100,000 (S$50,000 for domestic tours)   

  • Public accounting firms: S$50,000   

  • Insurance intermediary firms: S$300,000   

3. Financial Institutions and Licenses:


  • Banks, insurance companies, and other financial institutions have stringent capital requirements based on regulatory guidelines.


Key Points to Remember


  • The minimum registered capital is S$1.   

  • Paid-up capital can vary based on immigration, industry, and financial regulations.   

  • It's essential to check specific requirements for your business and industry.

  • Higher paid-up capital can enhance business credibility and investor confidence.   

Additional Considerations


  • Share Capital Structure: Decide on the number of shares and their par value.

  • Shareholder Agreements: Clearly define shareholder rights and obligations.

  • Corporate Governance: Adhere to good corporate governance practices.


How Bestar Can Help

Registered Capital Requirements in Singapore: Explained


Bestar offers invaluable expertise in navigating Singapore's complex business landscape, especially when it comes to registered and paid-up capital requirements. Here's a breakdown of their services:


Bestar specializes in handling the administrative and compliance aspects of running a business. Our services include:


  • Company Incorporation: Assisting with the formation of your company, including drafting necessary documents and submitting them to the Accounting and Corporate Regulatory Authority (ACRA).

  • Registered and Paid-Up Capital: Advising on appropriate capital structures based on your business needs and industry regulations.

  • Share Structure: Helping you determine the optimal shareholding structure and issuing shares.

  • Corporate Secretarial Services: Handling statutory filings, maintaining company records, and ensuring compliance with corporate governance regulations.

  • Immigration Assistance: Providing guidance on immigration matters, including work permits, employment passes, and EntrePass applications.

  • Tax and Accounting Support: Offering basic accounting and tax services, or referring you to specialized accountants.

  • Legal Structuring: Advising on the most suitable legal structure for your business (e.g., sole proprietorship, partnership, private limited company).

  • Contract Drafting and Review: Preparing and reviewing legal documents such as shareholder agreements, lease agreements, and employment contracts.

  • Regulatory Compliance: Ensuring your business adheres to relevant laws and regulations.

  • Due Diligence: Conducting thorough investigations before mergers, acquisitions, or investments.


Key Benefits of Using Bestar


  • Expertise: We possess in-depth knowledge of Singapore's business environment and legal framework.

  • Time-Saving: We handle complex tasks, allowing you to focus on core business operations.

  • Risk Mitigation: We help minimize legal and compliance risks.

By engaging the services of Bestar, you can significantly enhance your chances of business success in Singapore.









REGISTERED CAPITAL | English meaning

How do share capital and paid-up capital differ?

A Guide to Paid-Up Capital in Singapore

Share Capital

Paid-Up Capital in Singapore: Legal Requirements and Why It Matters to Your Business





0 comments

Recent Posts

See All

Comments


bottom of page