How to Open a Company in Singapore as a Foreigner: Steps, Tax and Costs (2026)

Key points

• Foreigners can own 100% of a Singapore private limited company (Pte Ltd), but every company needs at least one director who lives in Singapore.
• Registration is online with ACRA through BizFile, costs about S$315 in government fees and is usually approved in one to three business days.
• Corporate tax is 17%, reduced by partial exemptions on the first S$200,000 of profit and, for 2026, a 50% rebate capped at S$40,000.
• Singapore is not purely territorial: foreign income received in Singapore is taxable unless an exemption applies, for example dividends taxed abroad at a headline rate of at least 15%.
• There is no capital gains tax in general and no withholding tax on dividends, and Singapore has close to 100 tax treaties, though none with the United States.

How do you open a company in Singapore as a foreigner?

How do you open a company in Singapore as a foreigner? You choose a private limited company, appoint at least one Singapore-resident director (often a nominee through a corporate service provider), reserve the name and register the company online with ACRA through BizFile, paying about S$315. Approval usually takes one to three business days. You then appoint a company secretary within six months and open a corporate bank account.

Singapore sits between China, India and Southeast Asia and consistently ranks among the easiest places in the world to do business. It combines political stability, clear rules, efficient courts, one of the strongest banking systems in the world and an excellent international reputation.

Why open a company in Singapore?

• Competitive tax: a 17% corporate rate, reduced by exemptions, with no general capital gains tax and no withholding tax on dividends.
• Legal certainty: strict rule of law, efficient courts and rules that change with notice.
• A hub for Asia: easy access to China, India, Indonesia and the rest of ASEAN, with a vast network of free trade agreements.
• Banking: local banks such as DBS, OCBC and UOB, international banks and licensed digital banks, with multi-currency accounts.
• Reputation: OECD-compliant, active in CRS and BEPS, and trusted by banks, investors and large counterparties.

Requirements for foreigners

• Resident director: at least one director must ordinarily live in Singapore: a citizen, a permanent resident or a foreigner with an Employment Pass or EntrePass. Foreigners who do not relocate usually appoint a nominee director through a licensed provider.
• Registered address: a physical address in Singapore; post office boxes are not accepted.
• Company secretary: must be appointed within six months of incorporation and live in Singapore.
• Capital: the minimum is S$1, although many companies declare more to reassure banks and partners.
• Shareholders: one to 50 for a private company, individuals or companies, with 100% foreign ownership allowed.
• Licenses: regulated activities such as finance or education need sector licenses.

Step by step

1. Choose the structure

Most foreigners choose a private limited company (Pte Ltd), with limited liability, up to 50 shareholders and wide acceptance by banks and investors. A subsidiary of a foreign company is also a Pte Ltd. A branch office is an extension of the foreign parent, and a sole proprietorship requires local residence.

2. Reserve the name

The name is reserved through BizFile. It must be unique and cannot include restricted words such as bank, finance or education without approval. Approval normally takes hours, or up to two weeks for restricted terms, and the name stays reserved for 120 days.

3. Prepare the documents

• Passports and proof of address for all shareholders and directors.
• Business activities using SSIC codes, the share structure and the registered address.
• Written consent of the directors.
• If a foreign company is the shareholder, its certificate of incorporation and constitutional documents.

4. Register with ACRA

The registration is filed online through BizFile, with the government fee of about S$315 (S$15 for the name and S$300 for incorporation). Once approved, the company receives its certificate of incorporation and unique entity number, usually within one to three business days.

5. Open a corporate bank account

Banks ask for the certificate of incorporation, the constitution, identification of directors and shareholders and often a business plan. Some banks can open accounts remotely; others require directors to attend an interview. Licensed digital providers are an alternative for companies with simple needs.

How corporate tax works in Singapore

The corporate tax rate is a flat 17% on chargeable income. Two reliefs reduce it. The partial tax exemption exempts 75% of the first S$10,000 and 50% of the next S$190,000 of chargeable income. For the 2026 year of assessment, companies also receive a rebate of 50% of tax payable, including a minimum cash grant of S$2,000, with a combined cap of S$40,000. Qualifying new start-ups can use a start-up exemption in their first three years instead of the partial exemption.

Singapore is often described as territorial, but that is only partly true. Income that arises in Singapore is taxed. Foreign income is taxed when it is received in Singapore, unless an exemption applies. Under section 13(8) of the Income Tax Act, foreign dividends, branch profits and service income remitted to Singapore are exempt if they were taxed abroad and the foreign headline rate is at least 15%. Foreign income that is never remitted is generally not taxed, and since 2024 gains on the sale of foreign assets can be taxed if the company lacks economic substance in Singapore.

Singapore does not tax capital gains in general and does not withhold tax on dividends paid to shareholders anywhere. It has close to 100 comprehensive tax treaties, but not with the United States, so a U.S. owner relies on foreign tax credits rather than a treaty. U.S. owners of a Singapore company also file Form 5471 and can be taxed under the CFC rules; see our guide on whether a U.S. citizen can pay zero tax.

Who should consider Singapore?

• Trading companies moving goods between Asia, Europe and the Americas.
• Technology and intellectual property businesses: software, licensing, franchising.
• Digital service providers with clients across Asia.
• Companies expanding into Southeast Asia that need a regional headquarters.
• Investment holdings that value governance and access to strong banks.

Compliance and risks

Singapore is demanding. Companies file annual returns with ACRA and tax returns with IRAS, keep accounting records, hold annual general meetings unless exempt, and keep a register of registrable controllers, meaning their beneficial owners. Banks apply strict know-your-client and anti-money-laundering checks, and structures with no real activity can be challenged by IRAS. Singapore also exchanges financial account data under the CRS.

Bottom line

Singapore is one of the best places in the world to base an international company, especially one focused on Asia: fast online registration, 100% foreign ownership, a 17% rate reduced by exemptions, no dividend withholding and a reputation that opens doors to banks and investors. The resident director requirement and the rules on foreign income received in Singapore need planning from the start. Our comparison of the best countries to open an offshore company shows where Singapore fits among the alternatives.

Our Private Advisory Session designs the Singapore structure, arranges the resident director, secretary and bank account and aligns it with the owners' tax residency.

Sources

• ACRA: Register a local company
• IRAS: Corporate income tax rate, rebates and exemption schemes
• IRAS: Foreign-sourced income
• IRAS: List of tax treaties