Common Considerations When Setting Up A Singapore Representative Office

By Author: Wayne Hillary
Total Articles: 1
Comment this article

A Representative office is an office established by a company to conduct marketing and other non-transactional operations, generally in a foreign country like Singapore where a branch office or subsidiary is not warranted. Representative offices are generally easier to establish than a branch or subsidiary, as they are not used for actual "business" (e.g. sales) and therefore there is less incentive for them to be regulated.
Setting up a Representative Office (RO) in Singapore is a good way for foreign businesses to explore business opportunities in Singapore or the region.

The purpose of a Representative Office is to conduct market research activities or co-ordinating activities on behalf of its foreign head office. It cannot engage in trading activities or business activities that generate profits. The staff strength should be reasonable and kept to the essential minimum. A Chief Representative Office must be appointed from the head office who is expected to relocate to Singapore.

A foreign company may establish a representative office in Singapore to undertake promotional and liaison activities on behalf ...
... of its parent company. Approval for the establishment of a representative office must be obtained from the Trade Development Board.

If you choose to set up a Singapore Representative Office, you must take the following steps

1. Submit an application to register the Representative Office. AsiaBiz can assist you in the registration of your Representative Office.

2. You can apply for an Employment Pass only after you have succeeded in registering the Representative Office. The Employment Pass application is for the Chief Representative who is the appointed staff member from the foreign company. The Employment Pass will allow the Chief Representative to relocate to Singapore to run the Representative Office.

3. You will require a local registered office address. AsiaBiz can provide you with the use of our corporate registered address on a temporary or long term basis, if needed.

A Representative Office cannot engage in commercial revenue-generating activities, and therefore need not file for annual tax returns. However, income paid to the staff of the Representative Office including the Chief Representative is subject to Singapore personal income tax.

Resource Box:

Asiabizservices is the leading Singapore Company Incorporation Services Specialists. It has successfully assisted thousands of foreign entrepreneurs in the registration of their Singapore representative office. AsiaBiz offers a quick, seamless and innovative package that begins with the registration of the business name followed by the company incorporation of your Singapore branch office. Among its specializations are Singapore company setup, corporate services, accounting services, nominee services, Singapore company registration and more. Our office is located at Raffles Place, in the heart of the Singapore business district. ("CBD") If you're in our neighborhood and want to discuss any aspect of our service then feel free to come in to our offices during business hours.

Our phones are answered during business hours by specialists and not by an answering machine. We appreciate the value of your time and understand that a person cannot be replaced by technology. This is especially true when it comes to making important business decisions. If you are interested in learning more about Asiabizservices kindly email us at sales@asiabizservices.com or give us a call at +6563034614.