SOLE PROPRIETORSHIP / PARTNERSHIP
If the business that you intend to set up has very low business risk and does not require a lot of capital, then you may consider setting up a sole proprietorship (if there is only 1 owner) or a partnership (if there are 2 or more owners). There are 3 types of partnerships. They are Partnership, Limited Partnership (LP) and Limited Liability Partnership (LLP).
You may refer to the Table to understand the key features of the different types of business entities in Singapore.
CRITERIA FOR SETTING UP A SOLE PROPRIETORSHIP OR PARTNERSHIP
You are eligible to set up a sole proprietorship or partnership if you are:
At least 18 years old
A Singapore Citizen, Singapore Permanent Resident, or an EntrePass Holder
If you are currently self-employed, you must top up your Medisave account with the CPF Board before you register a new business or renew your existing business license. Visit the CPF Board for more information.
After registration, business owners are required to keep their Medisave contributions with CPF Board up-to-date. Otherwise, the business may be subjected to early cancellation.
CAN A FOREIGNER SET UP A SOLE PROPRIETORSHIP OR PARTNERSHIP?
Foreigners who are currently residing in Singapore must seek approval from the Ministry of Manpower before registering a sole proprietorship or a partnership. If any of the proposed partners do not have a SingPass account, the applicants must engage the services of a registered filing agent such as us to submit the application on their behalf. Only individuals with a SingPass or CorpPass account can submit an application on BizFile.
Foreigners who are residing overseas and want to register either a sole proprietorship or a partnership must appoint at least one locally resident authorised representative. The foreign owner(s) must also engage a registered filing agent such as us to submit the application via BizFile+.
WHO CAN BE AN AUTHORISED REPRESENTATIVE OF A SOLE PROPRIETORSHIP OR PARTNERSHIP?
To be an authorised representative, you must meet the following conditions:
A natural person
At least 18 years old
Of full legal capacity
Ordinarily resident in Singapore (i.e. has a Singapore residential address)
Owner(s) need to appoint authorised representative under the following scenarios:
Sole proprietorship: The sole owner is residing outside of Singapore.
Partnership: All the partners are residing outside of Singapore.
To appoint an authorised representative, please go to BizFile+ on ACRA website.
SOLE PROPRIETOR AND PARTNERSHIP REGISTRATION FEES
Sole Proprietorship $280
Partnership From $320
Limited Partnership From $320
Limited Liability Partnership From $460
Additional fee for each corporate partner $120
Annual Renewal $120
Registered Address $12/month
*The fees listed above include all ACRA fees.