Business Incorporation Singapore

 At Worldwide Fellow, we provide a value-added service of assisting our Clients to open bank accounts with reputable banks or financial institutions in well over 20 jurisdictions.

 After finalizing the place of incorporation and having your offshore plan ready, the next step is to set up your company. Here is the general incorporation process. Please note that things may get slightly different according to different jurisdictions.

 There are tons of different types of business entities. Each type will bear different key characteristics. When choosing your type of entity, you should consider the following aspects:

 The advice is to go for the type of company that has a separate legal status.

 This allows your company to hold its own liabilities. It can enter contracts, agreements, buy and sell property, take loans, sue, and be sued in its own name. You and other shareholders/owners will not hold any personal liability that goes beyond the capital contribution.

 In case your company got into big debts or even went bankrupt, the only loss you would bear is the money for capital contribution. Other personal assets would still be safe in your home country. A separate legal entity guarantees you a high degree of safety.

 That said, there are still cases where you may find that a partnership or other special structures are more beneficial. And it all depends on your specific situation.

 Each jurisdiction has a different set of requirements and incorporation process. Some jurisdictions advise foreigners to register their companies through the services of a licensed provider. The reason is that foreigners do not have specific tools and accounts to register on their own.

 Even when it is not compulsory, you are still recommended to use an incorporation service. Of course, you can do it yourself but that would cost tons of time and effort. So why not leave the hard work to the professionals?

 They have more experience and know exactly what needs to be done. The big plus is their services usually come in one package, which can help you easily satisfy all incorporation requirements.

 All you need to do is find a trustworthy provider for your offshore incorporation, pay for the service, and supply required documents upon request. They will take care of the whole registration process so you don’t need to deal with hassle paperwork. No travel is needed. All can be done online.

 After your offshore company is registered, the service provider can continue to support you on other post-incorporation matters such as bank account opening and tax (these are painful).

 Upon the successful payment for the service, the provider will ask you to provide certain kinds of information and documents. This is known as the know-your-customer procedure (or KYC). Normally, the required documents include:

 Once collecting everything needed, the service provider will start to register an offshore company on your behalf. They will proceed to file an application and submit it to the local government for approval.

 If you aim to do it by yourself, you will need to file everything and submit it to the local company registrar.

Singapore Company Registration

 Part 5: Bank Account for Offshore Company

 Your offshore company is ready, but that’s not enough to start the business. It needs a place to store its money when transacting with clients, customers, and business partners.

 Opening a bank account is always the top concern for business owners. An offshore bank account is very important because it is the best way to separate your business money from your personal assets.

 You can open your company and its bank account in the same offshore jurisdiction. However, many jurisdictions allow your company to open an account in another foreign country. For example, you can register a company in BVI and open a bank account in Singapore.

 You can consider another jurisdiction to open a bank account to seek better tax optimization, better security, services, and interest rates, or currency diversification. Here is an example list of popular offshore jurisdictions for banking:

 In most cases, the provider of incorporation service also supplies bank account opening service. And you should use this service too. Each bank has a different set of conditions to approve your application. If you do not have experience in dealing with offshore banks, the process can get very messed up, and this can result in unpleasant consequences.

 A professional will help you choose the right bank for your business, generally review your current situation, file a well-prepared application, and apply it to the bank on your behalf. They make sure everything is done correctly and stays on the right track.

 As mentioned above, opening an offshore bank account is not an easy task. And you will want to do it in the right way.

 Discover our step-by-step guide on how to open an offshore bank account right now!

 Due to the difficulty of applying with traditional banks, many global business owners have turned to a fin-tech solution. Many financial institutions are now capable of providing you with a corporate account that can function just like a traditional bank account.

 Your offshore company can still transfer and receive money from customers internationally. The network of money transfers can go as large as 80+ countries. Multiple currencies are also supported (can go up to 50+ different currencies).

 The best part is that the application process can be done completely online in a short period of time. The afterward interview for verification can also be done online. These are big advantages over traditional banks. Banks normally have a much-more-hassle process and they require you to have a direct meeting with them for an interview (a few do accept online interviews).

 Before making a decision, you should weigh your options between traditional banks and these financial institutions. Again, consultation from professionals is highly recommended. We have experience in dealing with banks and we are also partners with the above institutions. Contact us now to save your time!

 Now you get the idea of an offshore company and how to build it. Let’s go deeper into the common particular use of them.

 Using offshore companies for trading business purposes is very popular. With the development of technology, now you can set up an online business without any hassle. You can register your offshore company in one country, get supplies from another and sell them to a third nation, while managing your company right at your home.

 Hong Kong is the gateway to a huge potential market in China. Meanwhile, Singapore has one of the best banking systems and financial services in the world. These are the typical characteristics that can greatly benefit your trading business on a global scale.

Company Setup Singapore

 Your offshore company can hold a number of shares in another foreign company and receive dividends as a main source of income. It can also hold other types of assets like patents and trademarks, rent them or sell them overseas to make profits.

 For holding business, you should consider countries with strong intellectual property (IP) regimes to ensure privacy and protection for your assets. Additional network of international tax treaties is a plus. Don’t forget to look into the international rules and how dividends, royalties, and other related income are taxed in both your place(s) of incorporation.

 To get a good idea of how to use and where to form an offshore holding company, simply check out our article.

 Cryptocurrency is now more popular than ever. It is being traded in and out due to the potential of huge profits. More and more offshore companies are being used as a vehicle to enhance greater benefits for cryptocurrency transactions.

 However, you should beware that setting up a cryptocurrency-related business is not so easy. Many jurisdictions do not allow crypto-related activities. And opening a bank account for a crypto company can be a real pain.

 The offshore environment has changed a lot. This is a result from the practices of the EU and the OECD during recent years. To align with the accepted EU standard, there has been a massive transformation with regard to the taxation and company legislation in some landscapes where we often called “offshore” jurisdictions. What are the remarkable changes?

 This is one of the very first responses that many countries considered when it comes to the adjustments of preferential tax regimes.

 Gone are the days when an International Business Company in many traditional financial hubs like Saint Vincent and The Grenadines are ring-fenced. These days you can find that both residents and non-residents get the right to start business with this type of company, and they can trade with local residents as well.

 A large number of companies are reaping benefits from a favorable tax regime, but importantly they have no economic substance in the jurisdiction. The debates arose as people need more transparency and clarification for the legality of offshore structures. Many well-known offshore business centers have been increasingly taking step by step to implement the economic substance regime.

 Generally, economic substance requirements are applicable for certain businesses such as pure equity holding companies, financial services, banking and insurance businesses, regulated businesses, and so forth. The economic substance rule was enacted in many offshore jurisdictions such as Belize, The Cayman Islands, The BVI, and many others.

 Further legislative adjustments to the offshore industry can also be found with the presence of the Beneficial Ownership Act in several countries. Accordingly, in-scope companies in places where this rule came into force must verify the identity information of their beneficial owners to the competent authority via their registered agents.

 Those are some key changes to offshore landscapes you can find recently. For better improvements towards transparency, you, as non-resident entrepreneurs, may expect to witness more revisions and updates in the upcoming time. The advice for you, please spend time examining the system of law in relevance to your offshore company jurisdiction before moving.

 Yes! We have just walked through many offshore company benefits, the procedure of going offshore, and some insights into recent extensive changes to offshore jurisdictions.