Overview of company structures
If a foreign company does not want to redomicile in Singapore, what are their options and what do they entail?
They can set up a representative office, branch office or subsidiary company.
The table below presents a quick snapshot of the main differences between the three business entities:
| REPRESENTATIVE OFFICE | BRANCH OFFICE | SUBSIDIARY COMPANY | |
| Ownership | Intended as a temporary set-up by the foreign company. 100% owned by the foreign company | Treated as an extension of the foreign company. 100% owned by the foreign company | 100% can be wholly owned by a foreign company |
| Business Operations | Not allowed to engage in any commercial revenue-generating activities | Can conduct business activities that fall within the scope of its parent company | Can conduct business activities |
| Revenue | N.A. | Can repatriate 100% of its earnings | Can repatriate 100% of its earnings |
| Employees | Limited to five employees | No restrictions | No restrictions |
| Statutory Requirements |
Appointment of Chief Representative from main head office to relocate to Singapore Documentary proof that the foreign company has been established for more than three years |
Registered office address in Singapore Appoint one agent who is an ordinarily resident in Singapore
|
Registered office address in Singapore Appoint at least one director who is ordinarily resident in Singapore Appoint a company secretary |
| Annual Compliance Requirements |
Annual renewal of registration Mandatory to upgrade to a Branch Office or Subsidiary Company after three years. |
Submission of audited accounts of the head office Submission of audited accounts |
Filing of tax returns Submission of audited accounts Filing of Annual Returns |