Subsidiary Company Setup with Employment Pass Package
A foreign Subsidiary Company in Singapore is a locally incorporated limited liability company with which the majority of shares are held by the foreign company.
If you wish to set up a Subsidiary Company and relocate a staff member to Singapore, you will need to do the following:
- Incorporate a Subsidiary Company
- Obtain an Employment Pass (EP) for the staff member who is relocating to Singapore. The Employment Pass application can only be filed only after registration of the Subsidiary Company.
Fast-track your Singapore Subsidiary Company Incorporation process
Features of a Subsidiary
- It is incorporated as a limited liability company, hence it has a distinct legal identity.
- The foreign company’s liability is limited to the value of the shares it subscribes into the subsidiary.
- The foreign parent company may own 100% of the subsidiary.
- A subsidiary company, with at least one individual shareholder with a minimum of 10 percent shareholding, is entitled to local tax incentives. New start-up companies Pay Zero tax on the first S$100,000 of chargeable income for the first three consecutive years. A further 50% exemption is given on the next S$200,000 of the chargeable income.
Summary of Setup Requirements for Singapore Subsidiary
- Minimum 1 Shareholder + 1 Resident Director + 1 Company Secretary
- Minimum initial paid-up capital is S$1
- A Singapore registered office address
Requirements for Employment Pass application
The Ministry of Manpower (MOM) will assess your eligibility based on the following factors:
- Fixed minimum monthly salary
- Acceptable educational diploma/degree / professional qualifications / specialist skills / related work experience
We gather all necessary documents from you and apply for your Singapore Employment Pass.
If you are a foreign company that plans to incorporate a company and relocate staff members to Singapore, you will need to do the following:
- Engage Asiabiz Services to incorporate your Singapore Subsidiary Company. The Singapore Companies Act requires a director who must be a Singapore resident. You will need to find a Singapore resident director or engage our Nominee Director Service with which we can provide you with a nominee director on a temporary basis until you have secured an Employment Pass and a residential address in Singapore.
- Apply for Employment Pass for your staff member.
- Transfer of directorship upon securing the Employment Pass.
- Staff member relocates to Singapore and starts running the Subsidiary Company.
Registration of Subsidiary Company and Employment Pass application can be processed without you having to be in Singapore.