How to Expand Your Business to Singapore: Strategies for Long-Term Success
Singapore ranks second in the world in the World Bank’s Ease of Doing Business Report. This makes it one of the most efficient, secure, and accessible countries to expand your business.
In this article, we’ll walk you through everything you need to know about the business opportunities in Singapore.
From choosing the right business structure to tapping into government support and expanding into Association of Southeast Asian Nations (ASEAN) markets, we'll discuss everything you need to confidently set up and scale your business in Singapore.
Singapore’s Business-Friendly Environment
Expanding your business into Singapore positions you within a highly attractive ecosystem and one of the world’s easiest and most effective places to do business.
Here are some features of its pro-business environment:
Strategic importance and market access. Singapore is located in the heart of Southeast Asia, providing direct access to a market of over 650 million consumers in the Asia-Pacific region. It serves as a major global logistics and shipping hub, which makes it a strong strategic location for businesses looking to expand overseas.
Robust economy. Singapore's economy is globally recognized as one of the most competitive and innovative. It ranked fourth out of 133 countries in the 2024 Global Innovation Index.
Attractive tax incentives. Singapore offers one of the most competitive corporate tax rates in the region, along with tax incentives for both startups and established businesses. It has a straightforward, investor-friendly tax system, plus one of the largest networks of double tax treaties to ensure foreign businesses don’t get taxed twice.
Skilled workforce. Singapore ranked second in the 2024 IMD World Talent Ranking, the highest ranking of the Asia-Pacific region. The country is recognized internationally for its highly educated, multilingual workforce, with particular strengths in technology, finance, and logistics.
Political stability. With a trusted government, low corruption, and a strong regulatory environment, Singapore offers a stable, secure base for foreign businesses to grow confidently in the region.
Setting up a Business in Singapore
Setting up a business in Singapore as a foreign company involves a series of steps. Let’s go over some main considerations:
Business Structure Options in Singapore
The first step to expanding is choosing the right structure for your business entity. Foreign businesses typically choose from the following business structures:
Private limited company. This is the most common choice. It comes with limited liability, separate legal status, and attractive tax advantages. It’s similar to an LLC in the US or an Ltd in the UK, and is ideal if you’re looking to set up in Singapore permanently.
Branch office. An extension of the foreign parent company, a branch office does not form a separate legal entity. It allows your company to directly operate in Singapore while maintaining your original corporate identity.
Representative office. This structure works if you want to conduct preliminary market research or feasibility studies. Representative offices are affordable to set up, but cannot earn revenue or act independently from the parent company.
Limited liability partnership (LLP). An LLP combines partnership flexibility with limited liability protection. It’s ideal if you run a professional services firm seeking operational simplicity alongside legal protection.
Note that Singapore allows 100% foreign ownership for most entities.
Eligibility Criteria and Documents Required
While the exact process varies depending on the business entity type you choose, all businesses must meet core requirements under Singapore’s Companies Act.
Here are some general eligibility criteria to open your business in Singapore.
Company name reservation. All companies must first reserve and register a name with Singapore’s Accounting and Corporate Regulatory Authority (ACRA). Your company name must be unique and not too similar to existing entities.
Appointment of key personnel. A private limited company must appoint at least one director who is ordinarily resident in Singapore, over 18 years of age, and with no history of misconduct or bankruptcy. Additionally, you’ll need to appoint an auditor within the first three months and a company secretary within six months of incorporation.
Registered address. Your business must have a commercial address in Singapore that is accessible for at least three hours each business day.
Minimum paid-up capital. There is no minimum paid-up capital for private limited companies, meaning you can start with as little as S$1. However, it’s generally advisable to have higher capital, since this can increase your business credibility, particularly when dealing with banks or government agencies.
Filing incorporation documents. After reserving your company name and preparing your documents, you must submit your registration application via BizFile+, ACRA’s online portal.
Corporate bank account. Once incorporated, you’ll need a Singapore-based corporate bank account to handle company transactions.
Relevant licenses or permits. Some sectors, like finance, education, or food services, require industry-specific licenses from local authorities before operations can begin.
GST registration. If your projected annual revenue exceeds SGD 1 million, you must register for the Goods and Services Tax.
Eligibility for Representative Offices
The requirements for representative offices are slightly different. If you’re looking to open a representative office in Singapore, your company must:
Have a substantial business track record of at least three years
Maintain a minimum annual sales turnover of USD 250,000
Appoint a Chief Representative, who can either be an employee from the foreign headquarters or a Singapore citizen
Depending on the relevant industry, you’ll have to contact the following relevant Singapore authority:
Banking, finance, and insurance — Monetary Authority of Singapore (MAS)
Legal services — Legal Services Regulatory Authority (LSRA)
All other sectors — Enterprise Singapore
To register the representative office, you’ll need the following documents:
A copy of the parent company’s certificate of incorporation
A copy of the parent company’s latest annual report or audited financials
A power of attorney authorizing the Chief Representative to act on behalf of the company in Singapore
Note that a representative office cannot engage in profit-generating activities and must clearly identify itself as a “Representative Office” in all communications and branding.
Creating a Corppass Account
After incorporating your business in Singapore, the next important step is to set up a Corppass account — Singapore’s official corporate digital identity system.
Corppass (Corporate Access) is mandatory for all Singapore-registered businesses, including foreign-owned entities such as branch offices and private limited companies. It functions as your company’s secure login to access over 200 government e-services on a single platform.
With a Corppass account, you can:
File corporate taxes with IRAS
Apply for work passes and permits through the Ministry of Manpower (MOM)
Manage trade licenses and customs documents
Access grant applications, business registrations, and regulatory filings
If you're unfamiliar with local systems, a consultancy can help you register your Corppass account, assign the correct user roles, and ensure you're linked to the right services.
The Corporate Tax Landscape in Singapore
Singapore’s tax regime is competitive, straightforward, and supportive of business growth.
The country follows a territorial tax system, which means only income sourced in Singapore or received in Singapore from abroad is generally taxable.
Here’s a quick overview of the major tax types:
Corporate Tax
As of April 2025, Singapore’s corporate tax rate is capped at 17% on chargeable income. This rate can be reduced through various exemptions and rebates.
Personal Income Tax
Tax residents are taxed at progressive rates up to 24%, with the first SGD 20,000 of income tax-exempt. Non-residents are taxed differently based on income type.
Goods and Services Tax (GST)
A flat 9% GST applies to most goods and services. Registration is mandatory if your business has a turnover of SGD 1 million or more annually. Certain goods and services are zero-rated or exempt under GST law.
Tax Relief Schemes
Singapore also offers several tax relief schemes for new companies, including foreign-owned startups. Here are some tax relief schemes you can look out for:
Startup tax exemption. It gives you a 75% tax exemption on the first SGD 100,000 of chargeable income if your organization qualifies as a new business.
Partial tax exemption. It provides a 75% exemption on the first SGD 10,000 for all companies.
Corporate Income Tax (CIT) rebate. If your company has at least one local employee, you may qualify for a minimum SGD 2000 cash grant plus a 50% rebate on payable tax.
Sector-specific tax incentives. It includes tax exemptions or reduced tax rates for specific industries, such as maritime, financial and treasury, global trading, and aircraft leasing.
Double Taxation Agreements (DTAs)
Singapore has signed DTAs with over 90 countries, including major trading partners like Australia, the UK, China, Germany, and Canada. These agreements prevent businesses from being taxed twice on the same income, particularly on dividends, interest, and royalties.
For foreign companies expanding to Singapore, DTAs provide significant opportunities for valuable tax relief and clarity on which country has taxing rights over cross-border income.
Note that Singapore does not have a DTA with the USA. However, certain foreign tax credit schemes are in place to reduce or eliminate double taxation for US businesses in Singapore.
Leveraging Enterprise Singapore and Consultancy Services
To successfully expand into Singapore, many foreign businesses turn to a mix of government support and professional guidance.
Let’s look at how Enterprise SG and consultancy services help you navigate the setup process and grow your business.
Enterprise Singapore’s Role in Supporting Businesses
Enterprise Singapore (EnterpriseSG) is a government agency dedicated to supporting business growth, innovation, and international expansion. Enterprise SG offers several helpful services for foreign companies setting up in Singapore, including:
1) Market Insights and Research
It can give you access to in-depth market intelligence reports, sector-specific data, and regional trade analysis. You can use this information to understand demand trends, consumer behavior, and industry forecasts across ASEAN and other key markets.
2) Business Matching Services
Through its global network of over 35 overseas centres, EnterpriseSG can connect you with vetted local partners, distributors, and potential clients. It also facilitates introductions through curated B2B events and trade missions.
3) Regulatory Navigation and Market Entry Support
It offers advisory services to help foreign businesses like yours understand Singapore’s regulatory framework, licensing requirements, and available schemes for sector-specific entry. It also assists companies in identifying expansion opportunities through government-backed initiatives such as the Global Innovation Alliance (GIA).
4) Enterprise Development Grant (EDG)
The Enterprise Development Grant provides up to 80% co-funding for projects that can help your business innovate, build capabilities, or expand overseas.
If your company is fully incorporated in Singapore, operates locally, and has at least 30% local shareholding, you may qualify for this support.
Using Consultancy Services to Meet Business Needs
As a foreign business in Singapore, support from a local consultancy service can be a game-changer. It simplifies your entry into Singapore and helps you avoid costly missteps.
Here are some ways you can benefit:
You get valuable insights on local industry trends, regulations, and consumer behaviour to help your business take off.
You get assistance with company registration, name reservation, ACRA registration, and compliance paperwork.
They can help you create and set up a Corppass account (mandatory for all companies) and facilitate communication through the Singaporean government’s e-services channels.
They can help in finding and appointing key personnel (including a local director) to meet all statutory requirements.
With their knowledge of the local market, consultants help you identify growth opportunities, entry barriers, and potential partners, making your launch far more targeted and effective.
An experienced consultancy is your best local ally. If you wish to build a solid foundation in Singapore from the start, reach out to us today.
How Singapore Provides Business Opportunities for ASEAN Expansion
ASEAN is a regional bloc comprising ten countries: Singapore, Malaysia, Indonesia, Thailand, Vietnam, the Philippines, Brunei, Cambodia, Laos, and Myanmar.
Together, ASEAN represents a market of over 650 million people with a combined GDP exceeding USD 3.6 trillion, making it one of the world's most rapidly growing economic regions.
For foreign businesses, Singapore is the ideal gateway to the ASEAN region. With a strategic location in the heart of Southeast Asia, Singapore offers:
Unmatched regional connectivity via world-class seaports and airports
Far-reaching trade networks, with Free Trade Agreements (FTAs) and membership in the ASEAN Free Trade Area (AFTA)
A stable regulatory environment and strong legal protections
Access to an excellent talent pool of bilingual, business-savvy professionals familiar with the regional market
Strategies for Entering ASEAN Markets
Once your business is settled in the country, here are some strategies you can implement to scale across ASEAN markets:
Consider setting up a regional headquarters or representative office in Singapore to manage operations and connect to neighboring markets.
Make use of Singapore’s free trade agreements to lower tariffs and simplify access to other ASEAN countries.
Join ASEAN-focused trade missions and business matching events organized by Enterprise Singapore to explore partnerships and learn about regional operations.
Use Singapore as your logistics and distribution hub, using its efficient customs systems and well-connected shipping routes.
Work with local partners in each target market to better navigate regulatory frameworks, cultural differences, and customer expectations.
Singapore’s position gives foreign companies not just access, but a powerful competitive advantage when expanding across ASEAN.
Get Expert Support for Business Expansion Into Singapore
Expanding your business to Singapore opens doors to one of the world’s most attractive, competitive, and strategically located economies. With the right local support, navigating incorporation, tax compliance, and regulatory frameworks becomes simple.
That's where we come in: Piloto Asia specializes in guiding businesses through every step of establishing their presence in Singapore, from company setup and tax advisory to visa applications and ongoing corporate services.
Want to begin your expansion journey smoothly and confidently? Book a free 30-minute consultation with our experts today.