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As an entrepreneur, you’re bursting with a game-changing business idea and have set your sights on launching your startup in Singapore. While having a visionary idea is a powerful starting point, turning it into a thriving business is a whole different story. Before you know it, you’ll be navigating a mountain of paperwork – from incorporation documents to payroll processing, as well as understanding regulatory compliance. It quickly becomes clear that having a solid internal system and processes is essential. These foundations are what build credibility, earn stakeholder trust and attract potential investors.
That’s where corporate services come in. You might be wondering: What exactly are corporate services? What does corporate services mean? You’re in the right place. In this article, we will explore the meaning of corporate services, the different types available, and how engaging the right corporate services provider in Singapore can give your startup the edge to succeed.
What are Corporate Services?
You may have encountered this term in one way or another. But what exactly are corporate services? Here is the meaning of the term and why startups need one:Definition and Meaning of Corporate Services
Corporate Services cover a wide range of support functions that enable a company to run smoothly and effectively. These services include administrative, financial, legal, and compliance services, such as company incorporation, tax filing, and secretarial duties. In other words, corporate services provide back-end support, enabling a company to focus on its core business activities.Why Startups Need Corporate Services Early On
While your focus might be on growing your brand and developing your business, the administrative and operational tasks that keep your business compliant and running smoothly cannot be ignored. A corporate service provider comprises a team of specialists with deep expertise in business functions, regulatory compliance and administrative processes. By tapping into their knowledge, you save time, minimise costly mistakes, enhance efficiency, and reduce risk. Take company formation, for example. Whether you are a foreign or local startup planning to incorporate a company, setting up a company in Singapore involves a detailed process with multiple legal and regulatory steps. It’s easy to overlook these requirements if you are not familiar with the process. A corporate service provider can guide you through the formation process, ensuring everything is submitted accurately and on time. A corporate service provider can help you stay on track, too. For instance, Lanturn’s Entity Management Platform gives startups full visibility and control over their obligations. It enables you to ensure you’re not only staying efficient and compliant, but also informed and ready for what’s next.Common Types of Corporate Services in Singapore
Here is a list of common types of Corporate Services in Singapore: Corporate Secretarial Services Corporate secretarial services support your business at every stage – from incorporation, ongoing compliance to company restructuring and even closure. Their services also include:- Preparing and filing annual returns
- Monitoring changes to the compliance laws and updating directors about them
- Ensuring the company adheres to the corporate governance framework
- Maintain company records, such as financial records and registers of shareholders and directors
- Calculating and remitting salaries
- Processing CPF payments
- Providing detailed payroll reports
- Tax calculation
- Distributing payslips
What Does a Corporate Service Provider Do?
A Singapore corporate service provider is a company that offers essential support services, such as company incorporation, accounting, tax filing and administrative tasks so that businesses can focus on their goals.Responsibilities of a Corporate Services Company
While the specific services your business requires will determine its needs, the primary responsibilities of a corporate services company typically include managing administrative tasks, ensuring legal compliance, and maintaining smooth business operations. To gain a clearer understanding of the key responsibilities of a corporate services company, we have outlined the specific responsibilities for each service below. Company Formation Assist in setting the business structure, registering the company and obtaining necessary licences, such as the VCFM license for a fund company. Secretarial Services Act as company secretary, filing annual returns, maintaining statutory registers and organising AGM meetings. Nominee Director Services Provides nominee director services if a local or foreign startup requires one to meet the regulatory requirements. Registered Office Address Provides registered office address for official correspondences with government authorities and stakeholders. Financial Accounting Maintains financial records, handling payroll, preparing financial statements and ensuring tax compliance Tax Filing Files tax returns and managing compliance obligations, ensuring that the company complies with local regulations and tax laws. Bank Account Management Assist foreign startups navigate bank account opening process and manage their accounts with ease. Compliance and Corporate Governance Provides advisory services, adhering to corporate governance and ensuring compliance with legal and regulatory requirements.Key Roles in Supporting Business Growth
At first glance, a corporate service provider may seem to operate behind the scenes, handling administrative and operational tasks. But in reality, they play a far more strategic role – one that can accelerate business growth and unlock real value. A corporate service provider helps businesses move faster and smarter by streamlining internal processes. They structure board and committee meetings to focus on strategy, not just administration, ensuring business leaders spend their time where it matters most—driving growth. With effective meeting management and clear documentation, the board can confidently make decisions while supported by proper corporate governance. Their impact also extends to investor relations. Transport record-keeping and effective shareholder communications inspire confidence, especially crucial for companies raising capital. Strong corporate governance signals to potential investors that your business is built on a solid foundation. Similarly, when a regulatory shift occurs, a corporate service provider can help you understand the changes and their implications for your business. They translate complex legal frameworks into actionable business protocols that support growth while ensuring compliance. Their deep expertise helps companies to structure transactions wisely, navigate regulatory landscapes and avoid costly missteps. In essence, they bring deep expertise and industry-specific knowledge to businesses, making them invaluable partners, especially for sectors where compliance and precision matter most.Benefits of Outsourcing to a Provider in Singapore
While you may appoint an internal corporate secretary or an in-house team to handle administrative tasks and regulatory compliance, outsourcing your corporate secretarial services to a Singapore corporate service provider offers numerous benefits. First, it offers the benefits of freeing up your time and resources for other strategic activities, thereby promoting business growth. Second, you can gain access to the professional’s expertise and industry-specific knowledge. Lastly, they can reduce costs and lower the risk of non-compliance.How to Get Started with Corporate Services
Once your startup is operational, you will need to start managing all aspects of your company. The key to effective management lies in utilising corporate services, and corporate service providers provide ongoing support, which includes regulatory compliance, financial management, payroll, and business advisory services.Choosing the Right Corporate Services Company in Singapore
With many corporate services companies in Singapore, choosing the right one matters. A poor choice will lead to potential fines or penalties and even damage your company’s reputation. As of 2024, all corporate service providers (CSPs) must be registered with ACRA under the Corporate Service Providers’ Bill and comply with stringent anti-money laundering and counter-terrorism financing regulations. Here are the key essential factors to consider when choosing the right one: Expertise As a corporate secretary plays a critical role in guiding the company directors and shareholders through informed business decision-making, and with the regulations constantly evolving, it’s essential to engage a corporate services company that not only understands corporate governance but also offers practical, compliant solutions to complex legal issues. Technology and Digital Capabilities A corporate services company that utilises the cloud-based platform and latest compliance software can streamline your business processes, reduce paperwork and ensure proper documentation management. Lanturn’s new Entity Management platform puts your documents in one place, allowing you access to your documents whenever you need them. Customised Services As businesses grow and evolve, their needs also change. A corporate services company needs to offer advice and solutions on compliance and governance. That’s why tailored expertise is essential for navigating today’s complex and rapidly changing business landscape. Transparent Pricing Pricing can vary significantly for different corporate services companies and may have hidden fees. Hence, price transparency is something every company should consider and prioritise. Lanturn prioritise transparency and clarity in our service. Before any agreements are made, we thoroughly explain all possible charges. No surprises or hidden fees. Quality Service A corporate services company must possess the technical expertise and the willingness to go the extra mile. Whether it’s a statutory requirement or a tight fundraising deadline, preparing to complete the tasks swiftly and precisely should be the top priority.Stay Ahead of Your Compliance Needs with Lanturn
A startup’s success hinges on growth, and having the right support makes all the difference. At Lanturn, we go beyond ticking the compliance boxes. From corporate secretarial services to tax filing, accounting, payroll and regulatory support, we tailor our solutions to your business needs as you scale. With an in-depth understanding of the evolving regulatory compliance framework, our team ensures your business runs smoothly and stays ACRA compliant. Let’s grow your startup together. Speak to us today.FAQs about Annual Returns in Singapore
Corporate services include preparing financial statements, filing annual and income tax returns, maintaining statutory registers, handling payrolls and organising annual general meetings (AGM).
A corporate service provider plays a vital role in advising businesses on the right structure, handling company formation, and securing necessary licences, especially for fund companies. Beyond setup, they also ensure businesses meet all their obligations, such as those outlined in the Companies Act and the Income Tax Act.
To choose a good corporate services company, it’s advisable to consider one that’s registered with ACRA, possesses deep expertise in the specific industry, offers transparent pricing, has digital capabilities to accommodate growing business needs, and provides quality services by offering tailored solutions.
While it is not mandatory for Singapore companies to use corporate services, engaging a corporate service provider is highly recommended to ensure regulatory compliance and streamline operations.
The cost of corporate services in Singapore varies, depending on the specific services your company requires. You can reach out to us to learn more about our corporate secretarial services.
While corporate services and administrative services are closely linked, they serve different purposes. Corporate services provide legal, financial and strategic support to ensure a company’s compliance and long-term growth. In contrast, administrative services handle daily operational tasks, such as office management and routine administrative work. Both are essential to keep a business running smoothly.
