Reading time 11 minutes
ACRA Company Registration Made Easy
Ranked #1 globally for its business-friendly environment, Singapore is ideal for entrepreneurs and investors to launch a new business venture, thanks to its transparent regulatory framework and world-class infrastructure. But before you get started, there’s one crucial step you need to know: ACRA company registration. Just as every country has its own set of rules and regulatory bodies, Singapore has the Accounting and Corporate Regulatory Authority of Singapore (ACRA). This official body oversees business registration, financial reporting, and other responsibilities. So, what exactly is ACRA? Why is it essential for companies operating in Singapore? How do you register your business with them? In this article, we will explore the meaning of ACRA, the registration requirements, and the process of registering a company in Singapore. Let’s dive in.What is the Accounting and Corporate Regulatory Authority (ACRA)?
The Accounting and Corporate Regulatory Authority (ACRA) regulates business registration, financial reporting, public accountants, and corporate service providers operating within Singapore. Established as a statutory board in 2004, it resulted from the merger of the Registry of Companies and Business (RCB) to create a reliable business environment in Singapore. Additionally, ACRA oversees the development of the accounting sector and establishes accounting standards for companies, charities, co-operative societies, and other similar entities. ACRA also fosters a trusted and dynamic business environment that promotes innovation and growth, strengthening Singapore’s position as a leading global business hub.Why ACRA Is Crucial for Company Formation and Compliance
As the regulatory body for businesses in Singapore, ACRA plays a crucial role in overseeing companies. When a company is formed, ACRA Singapore is responsible for managing the entire registration process for companies, partnerships, and sole proprietorships. But its job doesn’t stop there. ACRA also ensures businesses stay on track by enforcing compliance with the Companies Act, overseeing financial reporting, and maintaining corporate governance. It also ensures that companies meet their statutory obligations, such as filing annual returns and updating business particulars. In a nutshell, ACRA performs a diverse range of functions – all aimed at ensuring that Singapore remains a trusted and transparent place to conduct business.What Does ACRA Company Registration Mean?
At this point, you might have decided to start your venture in Singapore. That’s great. The next step is to register your company with ACRA. But what exactly does ACRA company registration mean? In simpler terms, it’s the official process of registering your business with the national regulator. Whether you’re a local entrepreneur or a foreigner planning to establish a company in Singapore, ACRA registration is a legal requirement if you intend to operate a business for profit on an ongoing basis.ACRA BizFile Platform Overview
Given that it is mandatory for new businesses to register with ACRA, registration is carried out through the ACRA BizFile. In addition to company registration, ACRA BizFile is used to ensure compliance, including filing annual returns and updating company information, among other tasks. So, what is ACRA BizFile? How does it simplify your business journey? ACRA BizFile is a one-stop platform for managing all legal and compliance matters with ACRA. From registering your business to filing annual returns and retrieving information, BizFile streamlines the processes to help companies stay on top of compliance. If you need to verify your business partner’s company details, you can access business profiles, compliance records, financial information, certificates and registers on BizFile. For foreign entrepreneurs planning to launch a business, ACRA Bizfile is key to business success in Singapore. However, you will need a local resident in your company with a SingPass to access BizFile. If you do not have a local resident, you may engage an external corporate service provider like Lanturn to assist you with company incorporation.Importance of ACRA Business Registration for Startups and SMEs
Apart from its fundamental requirements, you may wonder why ACRA business registration is important for startups and small and medium enterprises (SMEs). First, ACRA business registration ensures that your business complies with statutory requirements, providing a clear legal structure and reporting framework. This builds credibility and boosts trust among your stakeholders, customers, and investors. When your business is registered, it becomes a legitimate and verifiable entity, which your partners and customers can trust. Secondly, ACRA business registration facilitates the management of business transactions and opens up access to government support schemes and funding opportunities. For foreign entrepreneurs, ACRA business registration serves as the gateway to owning 100% of a Singapore-owned company. Additionally, ACRA offers resources and support to help you navigate Singapore’s business landscape with confidence. In short, the ACRA registration is the foundation of your business in Singapore, ensuring a strong, compliant and trustworthy presence in Singapore’s thriving business ecosystem.Who Can Register a Company With ACRA?
Local and foreign entities seeking to conduct business activities in Singapore must register a company with the Accounting and Corporate Regulatory Authority (ACRA)—including companies, limited liability partnerships (LLPs), sole proprietorships, and partnerships.Requirements for ACRA Registration in Singapore
Foreign entrepreneurs who are unfamiliar with Singapore’s business landscape may wonder about the requirements for ACRA company registration or how to set up a company in Singapore with ACRA. It’s not as complicated as it seems. Here are the key requirements for ACRA company registration:- Provide a unique business name that is not identical to existing entities
- Provide a local registered business address
- Establish business activities
- Appoint at least one resident director
- Have a minimum of one shareholder (individual or corporate entity)
- Appoint a company secretary
- Provide an initial paid-up capital
- Decide on a Financial Year End
- Provide a Company Constitution
- Provide an Annual Returns filing date
Required Documents for ACRA Registration
Once you understand how to register a company in Singapore with ACRA, the next step is to prepare the required documents for submission to ACRA Singapore. But what are the required documents? These documents vary depending on your business structure, so it’s crucial to determine your business structure before proceeding with the company registration. Typically, here are the required documents for ACRA company registration:- Approved business name
- Company Constitution
- Personal details of directors and shareholders
- Registered local business address
- Details of the company secretary
- Proof of identity of all directors and shareholders
Eligibility for ACRA Company Registration
Incorporating a business in Singapore requires entrepreneurs to meet specific eligibility requirements. To be eligible for ACRA company registration, you will need the following:- Conduct business activities continuously for profit.
- Must be at least 18 years old and above.
- Must be a Singapore citizen, Permanent resident, EntrePass, or EP holder.
- For EP holders, you should obtain a Letter of Consent (LOC) from the Ministry of Manpower (MOM).
- For foreign entrepreneurs, you can register a company and own 100% of its shareholding. However, you will need to engage a corporate service provider to submit the ACRA registration through BizFile on your behalf.
How to Register a Company in Singapore with ACRA
To register a company in Singapore with the ACRA, the process is straightforward. Here’s an overview of the process:- Step 1: Choosing the right business structure and the business name
- Step 2: Prepare the required documents for online registration with ACRA
- Step 3: Submit the incorporation documents
- Step 4: Pay the registration fee
- Step 5: Receive the ACRA confirmation
