Strategic Partners
Contents
5 FOREWORD 6 9
- Competition Act - Arbitration - Merger & Acquisitions - Intellectual Property (IP) in Singapore
82 MANPOWER
- Employment Standards & Regulations - Singapore Labour Legislation - Statutory Board Contributions - Types of Employment Passes - Foreign Worker Levy
91
- Office Space - Serviced Office Solutions - Virtual Office Solutions - Industrial Space - Choosing The RIght Industrial Real Estate Solutions For Your Business - JTCs Next Generation Industrial Infrastructure Solutions
REAL ESTATE
- Types of Business Organisations - Upgrading of Representive Office - Process & Compliance - Taxation - Tax Incentives - International Agreements
111 RELOCATION - Relocate To Singapore Easily 113 REACHING OUT TO ASEAN - Singapores Connectivity With ASEAN
60 FINANCE
- Singapore As A Financial Hub - Key Trends - Asian Dollar Market (ADM) - Monetary Authority of Singapore (MAS) - Registration & Licensing of Fund Management Companies - Banking Regulations & Legislations - Treasury Centralisation in Singapore - Singapore as an Offshore Yuan Clearing Hub - Debt Capital Markets in Singapore - Listing
- Expanding Into Bintan, Batam & Karimun (BBK) - Expanding Into Iskandar
This Guide is for informational purpose only. All information gathered was compiled from sources believed to be reliable. No liability for any error or omission is accepted by Singapore Business Federation, its strategic partners, affiliates or any of its directors of employees. Readers are encouraged to exercise their own judgement and seek out the latest information where necessary. The services of a competent professional should be engaged if any professional advice or expert assistance is required.
Foreword
Access Asia Through Singapore The Singapore Business Federation (SBF) partners the Singapore Economic Development Board (EDB) to promote Singapore as a Global-Asia Hub for global enterprises seeking to establish their presence in Singapore and expansion into Asia. SBF is pleased to present The Essential Guide to Setting Up Your Business In Singapore 2014 Edition, which provides an overview of the Singapore business environment and useful information on setting up business operations in Singapore. Asia has a market of more than three billion people and a combined GDP of more than USD $17 trillion. This represents a significant trade and business potential for global enterprises eyeing Asias rising manufacturing and consumer-based opportunities. Singapore is a strategic starting point for global enterprises seeking business opportunities in Asia. For the seventh year running, Singapore has been ranked the easiest place in the world to do business, according to the World Bank Report 2012. Its pro-business environment, excellent connectivity and distinction as Asias most liveable city, continue to be attractive for global companies choosing Singapore for their business. In 2012, there were a total of 56,681 new business formations, of which, 24% were entirely foreign-owned. This is a testament to the strong business confidence that foreign investors have in Singapore. SBF launched ACCESSASIA@SINGAPORE, a one stop business concierge service to facilitate global companies speedy start-up in Singapore and their expansion into Asia. The initiative brings 18 leading Singapore-based professional service companies together to provide a suite of services for global companies looking to set up their business operations here. We hope this guide will enhance your understanding of Singapore as a preferred business location as you take your first explorative step towards setting up your business here. Ho Meng Kit Chief Executive Officer Singapore Business Federation
INGAPORE AT A GLANCE
AT A GLANCE
SINGAPORE TRIVIA
SINGAPORE
Singapore, located in South East Asia, is one of the smallest countries in the world. Despite its size, Singapore houses more than 7,000 MNCs and is the launching pad for enterprises to internationalise. Much of Singapores rapid growth is attributed to the stable and competent ruling government of Singapore that is pro-business and has the political capacity to implement policies. Singapore is a multi-cultural society comprising four major races: Chinese, Malay, Indian, and Eurasian. Singapore is a bilingual society with English as the main language of instruction, and a mother tongue for each major ethnicity.
Land Area (Sq. km) 715.8 Total Population (000) 5,312 GDP (2012) S$345.6 Billion S$65,048 (per capita) US$51,162 (per capita) Total Trade (2012) S$984.9 Billion Major Trading Partners Malaysia, EU, China, Indonesia, U.S., Hong Kong, Korea, Japan, Taiwan, Thailand
Economy
The Global Enabling Trade Report, 2010
Singapores national icon was created in 1964 for the Singapore Tourism Board
THE MERLION
More than 2 million trees in urban Singapore
14.4 Million
GARDEN CITY SINGAPORE CHANGI 82% of the population live in bilingual public housing
Quality of Living Worldwide City Rankings, Mercer Survey, 2012
AIRPORT
Euromoney Magazine, 2011
in Asia to do business
Economist Intelligence Unit, 2013
SAFEST country
Synonymous with integrity, quality, reliability, and productivity, Singapore aims to provide foreign companies with a conducive environment to establish their base here and expand into the region.
7
most NETWORK READY in Asia City with the BEST INVESTMENT POTENTIAL
BERIBRS Report 2013
WORK
IN SINGAPORE
Singapore has a highly developed free market economy with a heavy reliance on exports and trade. Despite its small domestic market and dependence on trade, Singapore has enjoyed robust economic growth with an average growth rate of 6.1% since 2000 and a GDP per capita of S$65,048 (US$52,051) in 2012, one of the highest in the world. This strong economic performance is driven by 4 key sectors, namely Manufacturing, Wholesale & Retail Trade, Business Services and Finance & Insurance. These 4 key sectors collectively contributed to more than 64% of Singapores GDP in 2012. Singapores GDP Composition by Sector (2012)
Electronics Transport Engineering Precision Engineering General Manufacturing Chemicals Wholesale Trade Retail Trade Real Estate
ORK IN SINGAPORE
BUSINESS SERVICES
Architecture and Engineering Other Administrative & Support Services Other Professional, Scientific & Technical Activities Business & Management Consultancy Rental & Leasing Legal Accounting Head Offices & Business Representatives Offices Banking
The Singapore economy grew by 1.3 per cent in 2012, with the construction sector reporting the highest year-on-year GDP growth rate of 8.2 per cent. The manufacturing and wholesale & retail trade sectors reported a marginal growth and contraction of 0.1 per cent and 0.7 per cent respectively. Year-on-Year GDP Sector Growth Rates 2012
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Singapore Business Federation 2014 Singapore offers Asias best healthcare system, and its standard of medical practice ranks among the best in the world. Singapore offers strategic partnership opportunities for healthcare service providers to test-bed and develop innovative healthcare solutions and systems. Singapores strengths as a financial centre, logistics and information hub put us in good stead to serve as an IO humanitarian response hub for the region. Singapore is home to more than 130 international non-profit organisations. Singapore ranks as the second most network-ready country in the world and the first in Asia. Infocomm services companies are drawn to Singapore because of its robust intellectual property protection regime, good physical and trade connectivity and easy access to global talent. Singapore is an attractive location for infocomm products companies to orchestrate their global operations, and also develop and commercialise new infocomm products.
Healthcare
Aerospace Engineering
Singapore is the most comprehensive Maintenance, Repair, and Overhaul (MRO) hub in Asia.
Infocomm Services
Alternative Energy
Singapores clean energy push centres on solar energy, given its strategic location in the tropical Sunbelt. Besides solar, resources are also being channelled towards wind energy, electric mobility, smart grids, biomass, fuel cells, energy efficiency, and carbon services. Singapore is one of the worlds leading energy and chemical hubs and is constantly working to stay at the forefront of the industrys advancement.
Infocomm Products
Chemicals
With an expansive base of leading global logistics players, world-class infrastructure and excellent global connectivity, Singapore is the preferred logistics and supply chain management hub for leading manufacturers across industries. Singapore owns a world market share of 70% for jack-up rigs, a global market share of 70% of the conversion of Floating Production Storage Offloading units as well as a world market share of 20% for ship repair. Singapore is the broadcast hub of Asia. Singapores media industry consists of several industries, including TV broadcast and production; publishing and printing; film; music; as well as interactive and digital media. As Asias leading location for medical technology, Singapore is home to over 30 medical technnology companies which have set up commercialscale plants to produce medical devices for the regional and global markets.
Consumer Business
With a central location within Asia, strong scientific and brand management capabilities, as well as a conducive business environment, Singapore is the ideal location for Consumer Packaged Goods (CPG) companies to innovate and drive regional growth strategies.
Electronics
Singapores strong fundamentals in electronics make it a choice location for companies to create and manage new markets, products and processes, technologies and applications for the region and beyond.
Energy
Singapore is the regions premier hub for oil & gas. It is also Asias oil and oil product pricing centre and the leading bulk liquids logistics hub that ranks amongst the top three in the world. Singapore is the leading one-stop hub for engineering solutions and aims to develop a vibrant landscape of both local and foreign companies with integrated turnkey capabilities and the knowledge base to create innovative solutions. Singapore is recognised as the Global Hydrohub with more than 70 companies in a vibrant water industry ecosystem. Beyond water, Singapore is also nurturing the environmental industry which includes waste management and pollution control.
Medical Technology
Engineering Services
Singapore is reputed for its clinical research and clinical trials management activities in Asia.
Precision Engineering
Singapore is the global centre of precision engineering excellence and leading hub for complex manufacturing.
Professional Services
A strong base of MNCs from a wide range of industries and geographies has established regional or global headquarter functions in Singapore, aggregating sophisticated demand for Professional Services.
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Emerging Industries
Emphasis has been placed on 7 emerging industries to keep pace and scale for growth.
Wholesale & Retail Trade (S$55.2b)
Services
Finance & Insurance (S$38.5b) Singapore is the worlds fourth leading global financial centre Singapore provides services in international banking, trade finance, maritime finance, insurance as well as asset & wealth management Singapore has one of the most active exchange markets in the world Singapore is the only Asian country to be awarded an AAA sovereign credit rating from Standard & Poors, Moodys and Fitch
The Wholesale Trade sector has More than 20% of the revenue a crucial position in the production contributed by services export value chain and serves as intermediaries for producers Singapore is a hub for professional services The bulk of wholesale trade is attributed to the foreign wholesale Singapore offers a diverse range trade and includes activities such of competencies for regional as exports, re-exports and offshore markets to a growing community trading of multi-national headquarters and enterprises in Singapore
Key Sectors
Both the Manufacturing and Services sectors play a vital role in Singapores economy, accounting for almost 90 per cent of the countrys GDP. Manufacturing
2.5% - 3.5%
Singapores Economic Growth Forecast 2013
Chemicals & Petrochemicals
The outlook of the Singapore economy for 2013 is cautiously positive. While global macroeconomic conditions have stabilized recently, global economic growth is expected to remain subdued. Given the uncertainties present in the world economy, the Ministry of Trade and Industry forecasts Singapores growth to be 2.5 to 3.5 per cent in 2013.
Ministry of Trade & Industry
Biomedical Industry (S$15.4b) 9.9% growth in 2012 Singapore is home to more than 30 of the worlds leading biomedical sciences companies 87% of the total value-added was contributed by the Pharmaceuticals sector
Singapore is the largest player in - 3 hard disk drive manufacturers the global market for oil and gas - 4 of the worlds top 5 Electronics drilling units and offshore support Manufacturing Services providers - 15 of the worlds top 25 fabless Singapore is the largest semiconductor companies manufacturer of jack-up rigs - 11 of the worlds top 20 integrated device manufacturers Accounted for almost 38.8% of the S$16 billion fixed asset investments in Singapore in 2012.
Top 10 petrochem hub in the Singapore is the medical hub of The tourism sector is one of the most world Asia important components of Singapores service industry Major oil refining centre in Asia Healthcare system best in Asia Recent developments and events Worlds top 3 oil trading locations Popular destination for such as the Marina Bay Sands and international medical travellers Resorts World Sentosa Integrated Singapores Jurong Island houses Resorts, The Singapore Flyer and more than 90 companies in the The F1 Night Race are initiatives to petrochemical sector which have triple tourism receipts to S$30 billion collectively invested S$31 billion in by 2015, and identify Singapore as a fixed assets on this site must-visit tourist destination.
(Source: Singapore Economic Development Board 2013)
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Trade Performance
Key Trading Partners Malaysia, The E.U, China, Indonesia and The US continue to be Singapores key trading partners. Collectively, they accounted for close to 50% of Singapores total trade for 2012.
Malaysia Malaysia is Singapores largest trading partner. Imports and exports for year 2012 amounted to S$50.5 billion and S$62.9 billion respectively. The value of exports to Malaysia has consistently been higher than the value of imports. The European Union The EU is Singapores second main trading partner. Trade between the two partners comprised a total import value of S$59.6 billion and a total export value of S$45.7 billion.
Peoples Republic of China China is Singapores third largest trading partner. Imports from China in 2012 amounted to S$49.0 billion whilst exports to China amounted to S$54.9 billion. Electrical and electronic equipment form a significant proportion of the trade between the two countries. Indonesia With a total import value of S$25.2 billion and a total export value of S$54.1 billion, Indonesia remains as Singapores fourth largest trading partner in 2012.
(Source: Singapore Department of Statistics, Trade Map)
Pearls, precious stones, metals, coins, etc (S$2.0b) Tin and articles thereof (S$1.0b)
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Singapores Import and Export Trade Singapores trade is Asia and ASEAN focused. Import and export trade with Asia and ASEAN was more than 60% of the total trading value in 2012. This signifies strong trade connectivity between Singapore and the region. Being in the heart of Asia, Singapore is an ideal launch pad to emerging markets such as China, India and ASEAN. Singapores Imports by Region (2012) Singapores Exports by Region (2012)
Singapore: The Global Maritime Centre Strategically located at the southern tip of Peninsular Asia and at the Straits of Malacca, the Port of Singapore prides itself as one of the worlds major container shipping ports. With connections to more than 600 ports in 120 countries and being the port of call to 130 of the worlds top shipping groups, the Port of Singapore bridges seaborne trade between Asia and the world. 90% of the worlds traded goods are transported by sea and of which, one-seventh of the worlds total container transhipment and 5% of global container throughputs are handled by Singapores ports. The Port of Singapore offers unrivalled connectivity to the world and into Asia, with multiple daily sailings to major ports in the 5 continents including ports in China, Hong Kong, Taiwan, Japan, Australia and Africa. Since Singapores founding in 1819, seaborne trade has always played a vital role in the economy and will continue to do so in the future. As a leading international maritime centre and home to over 5,000 shipping companies and maritime ancillary service providers, Singapore offers support and incentives for companies interested in setting up a maritime business in Singapore and/or expanding maritime business operations in Singapore. Maritime businesses interested in expanding into Singapore can access the Maritime and Port Authority of Singapore (MPA) at www.mpa.gov.sg for more information on support and incentives.
Singapores Top 5 Imports and Exports Items (% of Total Import and Export) for 2012
Rank 1 2 3 4 5 Electronic Components & Parts (S$74.5b) Crude Petroleum (S$48.8b) Aircraft & Vessels (S$14.0b) Electric Generators (S$10.7b) Industrial Machines (S$10.0b) Products (Imports) 2012 Share 15.7% 10.5% 3.0% 2.2% 2.1% Electronic Components & Parts (S$103.5b) Petroleum Products (S$93.9b) Medicinal Products (S$11.4b) Industrial Machines (S$10.2b) Power Generating Machines (S$7.4b) Products (Exports) 2012 Share 20.3% 18.4% 2.2% 2.0% 1.4%
2012, International Committee on Seafarers Welfare (ICSW) 2012 (Source: Maritime and Port Authority of Singapore, PSA Singapore)
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Free Trade Agreements (FTA) FTAs are superhighways that connect Singapore to major economies and new markets. With these trade agreements, Singapore-based exporters and investors stand to enjoy a myriad of benefits like tariff concessions, preferential access to certain sectors, faster entry into markets, investment and Intellectual Property protection. In particular, the FTAs present business opportunities for SMEs to enhance their market access while the tariff savings help improve cost-competitiveness of exports. As an integral part of Singapores trade architecture, Singapores network of FTAs is designed to position Singapore as an integrated manufacturing centre in this region, promote research & development in our knowledge-based economy and drive the services hub. Singapore has multiple trade networks that local companies can leverage on to grow their businesses. For instance, in addition to the 18 FTAs signed, the country possesses 71 comprehensive double taxation agreements (DTAs). Furthermore, the network of countries that Singapore has signed FTAs with makes up at least 60% of global GDP.
FDI in Financial & Insurance Services Sector (Stock as at Year End 2011) 2010 (S$ billion) Financial & Insurance Services 272.6 Investment Holding 228.1 Banks 14.4 Insurance Services 8.6 FDI in Manufacturing Sector (Stock as at Year End 2011) 2010 (S$ billion) Manufacturing 133.7 Pharmaceutical Products 42.4 Computer, Electronic & Optical Products 40.8 Refined Petroleum Products 20.6 Chemicals and Chemical Products 9.2 Machinery & Equipment 7.0
2011 (S$ billion) 289.7 242.9 14.7 9.4 2011 (S$ billion) 137.3 44.5 41.4 21.2 9.3 7.1
% of 2011 100.0 83.8 5.1 3.3 % of 2011 100.0 32.4 30.1 15.4 6.8 5.2
FDI Distribution by Region Europe and Asia remain the largest sources of Singapores FDI inflows. Major investors from Europe include the Netherlands and the United Kingdom. Major Asian investors include Japan, India, Hong Kong, Malaysia and China.
Investment Activities
Foreign Direct Investments in Singapore
Singapores Direct Investments Abroad Singapores direct investments abroad grew from S$426.3 billion in 2010 to $449.0 billion as at end 2011, an increment of 5.3 per cent.
Foreign direct investment (FDI) comprises direct equity investment and net lending from foreign direct investors. FDI in Singapore continued to rise to S$672.0 billion at the end of 2011, an increase of 6.7 per cent as compared to 2010s S$618.6 billion. FDI Distribution by Industry sector FDI inflows were mainly directed to the finance & insurance services sector, manufacturing sector and wholesale and retail trade sector in 2011. 2011 Foreign Direct Investment: S$672 billion
Top 15 Destinations for Singapores Direct Investment Abroad 2011 (S$ billion)
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Distribution of Direct Investment by Sector Investment in the Financial & Insurance Services sector accounted for nearly half of Singapores direct investments abroad. Other preferred sectors for investment include Manufacturing and Real Estate Activities.
56,681
Singapore: The Ideal Test-Bedding Environment Singapore strives to be a test bed for products of the future, and initiatives have been spearheaded by various statutory boards to encourage companies to test bed in Singapore. The Jurong Lake District was identified as a Growth Area under the Urban Redevelopment Authoritys (URA) Master Plan 2008 to decentralise commercial activities out of the Central Business District. The Jurong Lake District aims to become a mixed-used urban area that is sustainable and connected with smart technology. In 2013, The Infocomm Development Authority of Singapore (IDA) invited ICT and non-ICT companies, end-user business enterprises and other businesses to propose and test-bed innovative solutions and cutting-edge technology in the Jurong Lake District. The Ministry of Home Affairs (MHA) and Singapore Economic Development Board (EDB) spearheaded the Safe City Test-bed to develop and grow a Safety and Security industry with innovation capabilities. The test-bedding project aims to capitalize on technology to achieve optimal utilization of information to assess and respond effectively to incidents and sudden situations. Several test-bedding projects remain available to businesses seeking growth and opportunities. Future.Singapore is an initiative launched by the EDB to develop industries such as waste and energy, waste management, urban planning, wellness and health services and products for an ageing population. Companies interested in Future.Singapore can look up for more information with EDB. The Public Utilities Board (PUB) provides test-bedding opportunities for companies interested in the water industry. PUB aims to foster the growth of potentially revolutionary water innovations and offers industrial test-bedding sites to interested parties from both the public and private sectors. Partnerships with PUB for external funding and support are also available under schemes from the Singapore Government. More information can be obtained from the SINGwater website at pubwateresearch.com.sg.
(Source: MHA, EDB, PUB, URA, IDA)
Singapore Business Formations by Industry In 2012, the top three business sectors with the highest number of company registrations were found to be wholesale trade (21%), financial services (15%), and head offices and management consultancies (9%). From 2011 to 2012, significant increases in company registrations in the following industries were observed: head offices and management consultancy (28%), computer programming and consultancy (22%), retail trade (15%), food and beverage (12%), and wholesale trade (10%).
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Funding Opportunities
In 2012, Singapore proved to be Starting up a business in Singapore requires risk taking and capital input. Funding and investment opportunities from the government are available for corporations and SMEs to nurture and grow their businesses in Singapore. These schemes are administered by several government agencies to assist companies in different stages of their businesses. The three key agencies under the Ministry of Trade and Industry are: i. ii. iii. Singapore Economic Development Board (EDB) International Enterprise Singapore (IE Singapore) SPRING Singapore
a popular destination for business incorporations among foreign companies and entrepreneurs.
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The schemes are broadly categorised into Loans, Grants, Tax Incentives, Equity Financing and Non-Financial Assistance. There are more than 15 different categories of incentives and grants available for businesses expanding into Singapore. These incentives and grants include the Research Incentive Scheme for Companies (RISC), International/ Regional Headquarters Award, Mergers & Acquisitions Scheme and Land Productivity Grants. More information can be found at their respective websites. EDB The lead government agency in attracting investments, growing industry verticals and enhancing Singapores business environment. www.edb.gov.sg IE Singapore The government agency that drives the overseas growth of Singapore-based companies and promotes international trade. www.iesingapore.gov.sg
EDB Investments (EDBI) EDBI is the corporate investment arm of Singapores Economic Development Board. As a strategic investment firm with worldwide presence, EDBI aims to be a value-adding investor for companies looking for growth opportunities within the knowledge and innovation-intensive sectors of Biomedical Services, Clean Technologies, Internet & Digital Media and other strategic industrial clusters with commercial potential. Companies can leverage on EDBIs resource and experience to expand into Asia and the world through operations in Singapore. More information on EDBI can be found at www.edbi.com.
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SPRING Singapore The enterprise development agency that helps Singapore Enterprises to grow and build trust in Singapore products and services. www.spring.gov.sg
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SPRING Startup Enterprise Development Scheme (SPRING SEEDS) SPRING SEEDS provides an equity-based co-financing option for Singapore-based startups with strong growth potential across international markets through innovative products and/or processes with intellectual content. To qualify for investment consideration, start-ups must be incorporated as a Private Limited company for less than five years and with a paid-up capital of at least S$50,000 but not more than S$1 million. The companys core activities should also be carried out in Singapore. More information can be found on www.spring.gov.sg/entrepreneurship. Infocomm Business & Engineering Start-up Programme (iBEST) The Infocomm Development Authority of Singapore (IDA) is another statutory board promoting Singapore as a key entrepreneurial and innovation hub for global venture capital (VC)-backed information and communications technology (ICT) start-ups. IDAs iBEST programme provides developmental support for such ICT enterprises to establish new engineering centres in Singapore, and use Singapore as a launch pad to gain market traction in Asia. More information can be found on www.infocomminvestments.com.
(Source: Economic Development Board, SPRING Singapore, Infocomm Development Authority)
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Common functions under a Supply Chain Headquarters in Singapore include: IP ownership Management of service contracts Finance and treasury functions Supply chain risk management Research and Development and Intellectual Property Management Centre Research and Development (R&D) is a key strategy for Singapore and the government is setting aside S$16.1 billion in an announced Research, Innovation and Enterprise Plan (2011 2015). The intellectual property (IP) regime in Singapore is robust and enforced fairly and incorruptibly. The system in Singapore generally favours R&D and IP management centres in the following ways:
No tax on inbound dividends No tax on outbound dividends Foreign source income exemption for dividends, branch profits and service income Foreign tax credit pooling No capital gains tax Benefits of lowered withholding tax rates under Singapores DTA network with 71 jurisdictions
IP acquisition: 5-year write-down for economic and/or legal IP rights R&D and IP creation: Tax deduction for R&D IP exploitation: Reduced tax rate for qualifying projects, Singapores network of double tax agreements with 71 partners Minimal exit costs: No capital gains tax
Finance & Treasury Centre Companies set up treasury centres in order to manage financial risk, generate monetary benefits and develop tax savings. Singapores value propositions as a choice location for such activities include the pool of experienced treasury managers, having the worlds fourth largest foreign exchange centre, transparent and pro-enterprise taxation regime, global collection of double taxation agreements, secure IT infrastructure, and time-zone advantage bridging Asia, America and Europe. This typically complements a companys global procurement unit. Common functions under the finance & treasury centre in Singapore are:
Regional/International Headquarters This is a popular form of setup in Singapore for companies with businesses and operations in multiple overseas locations. Companies can leverage Singapores connectivity and stable operating environment for a base to conduct management activities to oversee, manage and control their regional and global operations. The headquarters can be structured as a cost-centre or profitcentre, with the following activities often carried out in Singapore:
Strategic Business Planning and Development General Management and Administration Marketing Control, Planning and Brand Management Intellectual Property Management Corporate Training and Personnel Management Research, Development and Test Bedding of New Concepts Shared Services Economic or Investment Research and Analysis Technical Support Services Sourcing, Procurement and Distribution Corporate Finance Advisory Services
Supply Chain Headquarters Singapore is strategically located in the heart of Southeast Asia and along major trading routes at the confluence of the East and West. Leveraging her geographical advantage, Singapore has established world-class infrastructure and a pro-business environment to facilitate trade and supply chain activities. Companies have chosen to manage supply chains from Singapore to enjoy minimal custom formalities, freight savings, shorter delivery times, closer proximity to customers and contract manufacturers, as well as the benefits and access as a resultant of Singapores network of 19 free trade agreements.
Arranging credit facilities with funds obtained from financial institutions in Singapore or from surpluses of network companies Providing corporate finance advisory services Providing guarantees, performance bonds, standby letters of credit and services relating to remittances to approved parties Arranging derivatives with approved parties Managing funds of approved offices or associated companies outside Singapore for designated investments Performing economic or investment research and analysis Providing credit administration and control Providing general management and administration Providing business planning and coordination
Contributed By: MAZARS LLP
133 Cecil Street #15-02 Keck Seng Tower Singapore 069535 T: (65) 6224 4022 F: (65) 6225 3974 E-mail: contact@mazars.com.sg Website: www.mazars.sg
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LIVE IN SINGAPORE
Education
Education has always been vital to the growth and development of the Singapore society. With the knowledge-based economy driving the global community, education is essential in shaping Singapores future. There are currently more than 80,000 foreign students studying in government and private institutions in Singapore. Under the Singapore Education System, at the Primary and Secondary School level, a typical school year starts in January and consists of 4 semesters of 10 weeks of classes, while the academic year for local universities begins in August and consists of 2 semesters of approximately 13 weeks of classes. The different levels of the Singapore Education System are summarised as follows: Education Level
Primary Primary School
Institute
Duration
4-5 years 2-3 years 3-4 years 6 years
IVE IN SINGAPORE
Secondary School Pre-Vocational Courses Junior College Polytechnic Institute of Technical Education University
Age Group
Distinctive Record of High Standards in Teaching and Learning Singapore was placed among the top 3 in the world in 4th and 8th grade mathematics and science in 2011 (Third International Mathematics and Science Study). Singapore students have excelled in competitions such as World Debating Championships (English) and International Olympiads (Mathematics, Physics, Chemistry, Biology). Bilingual Policy & Broad-based Curriculum To meet the needs of individuals and nurture talent, the Singapore education has adopted a bilingual policy (English with Malay/Mandarin/Tamil). A broad-based curriculum that emphasizes on innovation and entrepreneurship allows individuals to acquire relevant skills and abilities and adapt to the competitive environment. Established locally grown universities More than 10 world-class institutions with strong industry links have set up centres of excellence in education and research in Singapore. This includes the renowned French university INSEAD, the leading Massachusetts Institute of Technology, and established US business schools such as University of Chicago Graduate School of Business.
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Transportation
Singapore boasts one of Asias most efficient and developed integrated transport networks. It typically takes under an hour to travel into the city via Singapores worldclass public transport system. Overseas travelling is equally convenient. Located at the heart of Asia, Singapore hosts multiple international and budget carriers that connect you to China and Japan at the North, India at the West and Australia at the South within seven hours. Air Transportation Singapores Changi airport serves more than 100 international airlines flying to more than 220 cities in 60 countries and territories worldwide. With a flight taking off and landing at Changi Airport once every 100 seconds, the worlds best airport handled more than 51 million passengers in 2012 and is a major aviation hub of Asia. Changi Airport is currently the worlds seventh busiest international airport.
(Source: Changi Airport Group)
4 local autonomous universities 2 upcomming local universities 5 local polytechnics 3 art institutes 8 foreign universities with campuses
Private Education in Singapore There are a variety of private schools offering a broad range of programmes to add diversity to the countrys education landscape. In Singapore, there are approximately 300 private commercial, IT, fine arts and language schools offering courses with strong demand from local and international students.
Private Education Institutes (PEI) PEIs offer the opportunity to attain international certifications at the certificate, diploma, bachelor and postgraduate level. PEI partnerships with popular international universities include countries such as the US, UK, Australia, etc. Each PEI conducts its own admission/ enrolment exercises and interested students should make enquiries with the schools concerned directly. Council for Private Education (CPE) CPE ensures high quality standards and sound business practices in the private education industry. CPE is a statutory board under the purview of the Ministry of Education. It regulates and handles all issues pertaining to the private education sector in Singapore. All PEIs need to be registered in order to operate in Singapore. Registration takes into account the PEIs corporate governance, quality of provision and information transparency.
Land Transportation All parts of Singapore are highly accessible via the developed land and road networks. Singapore is also connected to neighbouring Malaysia via two land bridges The Causeway and Tuas Second Link. Singapores land public transportation system provides an affordable alternative to private transportation in Singapore.
3.5
Average MRT/Bus fare per trip per pax using PPP conversion factor (S$/pax-trip) 2012
Note: In Singapore, there are no central authority that accords recognition to certificates/qualifications issued and course of study offered by private schools. Recognition and acceptance of certificates for employment/ further studies are entirely at the discretion of the individual prospective employer/ academic institutions.
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Singapores MRT system is the backbone of the local public transport system. This comprehensive rail network spanning across the entire city-state experiences an average daily ridership of 2.65 million passengers. The current MRT network has 102 stations and 149km of railway lines in operation. Future developments for additional railway lines and stations have been planned and are in the construction phase. MRT trains are fully air-conditioned, and are the fastest and most cost-effective way to travel long distances from one end of Singapore to the other. General information on MRT rides can be found in the table below. Do note that smoking, eating and drinking are forbidden in MRT trains and stations, and the rules are enforceable by law. Carrying pets and durians on board are also not allowed.
Frequency of MRT Trains 2-7 minutes Single Trip Adult Fare S$0.73 - S$2.40 MRT Operating Hours 05:30hrs - 00:30hrs
Singapore Korean International School United World College of South East Asia
(Source: Land Transport Authority, , TransitLink Singapore) Note: MRT, bus and transfer fares vary according to distance. It is cheaper to travel with an EZ-Link card which can also be used to pay for bus rides. Concessions are also available for students and senior citizens. MRTs in Singapore generally operate from 05:30hrs to 00.30hrs. However, operating hours differ according to railway line, day of the week and festive seasons.
(Source: Ministry of Education Singapore, Council of Private Education, Singapore Tourism Board)
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To
ky o
on
or k
re
Bus Buses in Singapore complement the MRT system. Feeder services provide access to neighbourhoods and surrounding areas not served by the MRT, whereas trunk services plying through different towns can be found throughout the island. There are currently more than 300 scheduled bus service routes operated by SBS Transit and SMRT which experience an average daily ridership of 3.48 million passengers. Bus journeys typically cost less than MRT rides, but bus frequencies are generally longer.
Frequency of Buses Varies Single Trip Adult Fare S$0.73 - S$2.20 Bus Operating Hours Varies
Residential Accomodation
The residential market in Singapore is very diverse and offers a variety of lifestyle options ranging from city living to suburban living; high-rise housing to landed homes; plenty of choices catering to young working professionals as well as families. Most of the condominiums in Singapore are equipped with facilities such as gyms, swimming pools, barbecue pits, playgrounds and 24-hour security. Landed residential properties are also available for lease. Expatriates staying in landed properties usually choose to join recreational clubs to socialise and for the facilities which are not available in landed homes. There are no restrictions to foreign ownership of condominiums. However, purchase of landed properties by a foreigner (individual or company) is subject to written permission from the Land Dealings Approval Unit. Prime residential districts of 9, 10 and 11 remain the top choices for foreign investors and expatriates relocated to Singapore. Attraction in these districts include the prime shopping belt of Orchard Road; famous international schools and local schools; Holland Village and Dempsey which are the favourite F&B enclaves for both expatriate and locals alike. Over the years the Marina Bay, Shenton and Tanjong Pagar areas, which are located within the Central Business Districts (CBD), have grown in popularity largely due to government initiatives in enhancing the attractiveness of the CBD as a live, work and play area. The last few years also saw the completion of a number of luxury condominiums and un-gated landed homes situated in Sentosa, an island approximately 20 minutes drive from the CBD. Renting a Home in Singapore Lease Period The lease period for residential units in Singapore is usually two years with an option to renew. The rent for the initial lease term is usually fixed and will be renegotiated at prevailing market rates when option to renew is exercised. Leases for the duration of one year period are occasionally available. A diplomatic (or break lease) clause is included in the lease and is exercisable after 12 months of a 2 year lease. For lease periods of 1 year, landlords prefer not to have a diplomatic clause although in certain cases, it is possible to negotiate for a 6 month diplomatic clause. For pre-termination of the lease, the tenant is required to give two months notice or pay two months in lieu to the landlord. Rental The rental is usually quoted as gross rental which comprises the rent, maintenance fee and fixtures & fittings. The market standard for fixtures & fittings includes a fully fitted kitchen (hood, hob, fridge, washer, dryer and oven. Microwave and dishwasher are optional), lights, curtains, wardrobes and water heater. The inclusion of soft furnishings is subject to negotiation. Rent is usually paid on a monthly basis and GST (7 per cent) is payable by the tenant if the landlord is GST registered. Security Deposit Gross rent of two months is payable by the tenant to the landlord upon endorsement of the Tenancy Agreement. This is refundable (interest free) to the tenant upon termination of the lease and is subject to due performance of the terms and conditions of the lease by the tenant. A bankers guarantee is not acceptable.
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Note: MRT, bus and transfer fares vary according to distance. It is cheaper to travel with an EZ-Link card which can also be used to pay for MRT rides. Concessions are also available for students and senior citizens. Buses in Singapore have varying operation hours according to service, day of the week and festive seasons. (Source: Land Transport Authority)
Taxi
Taxis fares are generally low in Singapore as compared to those of cities in developed countries. According to regulations, all taxis are metered and fares must be charged according to the taximeter, plus applicable surcharges. Different regulations apply for limousine taxi services. Car All vehicles and cars in Singapore are on right-hand drive (drive on the left side of the road), as in the United Kingdom. As Singapore is land-scarce, the government has imposed measures to control car usage, making it expensive to own a car in Singapore. Buyers of new cars must bid for a Certificate of Entitlement (CoE) in order to own a car, and the CoE is valid for 10 years. (Visit www.lta.gov.sg for more information on CoE prices.) Non-Singaporeans residing in Singapore for a period of more than 12 months, or have decided to become permanent residents, must convert their foreign driving license into a Singapore driving license in order to drive in Singapore. Foreigners residing in Singapore for less than 12 months must possess a valid foreign license and International Driving Permit. Drivers from ASEAN member countries only require a valid driving license issued by the relevant driving license authority in their country of origin.
$64,938
Total length of roads in Singapore, which spans only 48.2km from East to West
3,411km
956,704
S$0.73-S$2.40
Price
of
a
Single
MRT
Ride
(2013)
S$3.00-S$3.40
Basic
Taxi
Flag-Down
Rate
(2013)
S$120,000
Average Monthly Residential Housing Rental [3-Bedroom Apartment outside city centre] (2012)
S$3500
S$4.85
S$260
S$2.00-S$6.00
S$9.50
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Utilities Utility charges such as electricity, water and gas are borne by the tenant. The service provider for these utilities is SP Services. Carpark Most residential developments have provision for car parking. However, some mixed residential developments with retail/office may have limited car parking space available for residents. Stamp Duty Stamp duty is payable by the tenant. Details of the Stamp Duty are as follows: Lease / Tenancy Rates a) Where annual rent does not exceed Exempted $1,000 (b) Where annual rent exceeds $1,000, Stamp Duty is based on the contractual rent or market rent, whichever is higher For every $250 or part thereof of the average annual rent for lease term: Up to 1 year $1.00 More than 1 year and up to 3 years $2.00 More than 3 years or for an indefinite term $4.00 Legal Fee
(Source: IRAS)
Purchasing Private Property in Singapore Loans As at June 2013, the Monetary Authority of Singapore (MAS) introduced Total Debt Servicing Ratio (TDSR) framework and Refinement of LTV Rules. The debt servicing framework applies to property loans for Singapore & overseas residential/non-residential properties. The details of the new framework are as follow:
Framework Requirements Overview Details Up to a maximum of 60% TDSR for all property loan borrowers Apply to both new loans and re-financing loans, residential and non-residential property loans Cover properties in and outside of Singapore Monthly Total Take into consideration borrowers outstanding property and Debt Obligations non-property debt obligations when computing monthly total debt obligations Apply a specified medium-term interest rate of 3.5 per cent for housing loans and 4.5 per cent for non-residential property loan, or the prevailing market interest rate, whichever is higher, to the property loan that the borrower is applying for when calculating the TDSR Gross Monthly Gross monthly income excluding CPF employer contribution Income 30% haircut for variable income, e.g. bonuses, commissions, allowances, rental. Can include certain eligible financial assets, subject to haircuts and an amortisation schedule over 48 months for conversion into income streams Exemption Re-financing loan by borrowers who is owner occupier and: The OTP was granted prior to 29 June 2013 The residential property is the only property owned by the borrower No other outstanding property loan in the borrowers name Bridging loans, under which any balance outstanding shall be repaid within six months, are exempted from the TDSR requirements Exclude monthly repayment of existing residential property loans when computing the TDSR for the HDB flat or EC purchase to be bought directly from developer Mortgagor of Borrowers named on a property loan to also be the mortgagors property loans of the residential property for which the loan is taken Borrowers are subject to TDSR assessment Guarantor of Guarantors who are standing guarantee for borrowers property loans otherwise assessed by FIs at the point of application for the housing loan not to meet the TDSR threshold for a property loan to be brought in as co-borrowers Income-weighted In case of joint borrowers, use the income-weighted average average age age of borrowers when applying the rules on loan tenure. for loan tenure provision
(Source: Knight Frank Research)
It is advisable for the tenants to engage a lawyer to advise them on all legal matters pertaining to the tenancy agreement and the cost is borne by the tenant.
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Interest Rates There are two types of interest rates being offered by banks floating rates and fixed rates. However, banks may offer a mixture of floating and fixed rates for different situations. There is usually a minimum loan period of 3 years i.e. a penalty will be imposed on early redemption. Interest rates and mortgage packages vary from bank to bank. If you are buying the property under a companys name, the interest rate will be approximately 0.5 per cent to 1 per cent higher per annum (depending on the loan amount, market conditions and rates offered by different banks), compared to buying under a personal name. Payment Terms Payment terms vary between purchasing from developers or from private individual owners as shown below: Purchase of Private Properties from Housing Developers Developers normally offer progressive payment schemes following the stages of construction. Purchase of Private Properties from Individual Owners Private Treaty
Option to Purchase New Sale Property Subsale / Resale Property New Sale Property Upon Exercising Option to Subsale / Resale Purchase Property New Sale Property Completion Date Subsale / Resale Property 5 per cent of purchase price 1 per cent of purchase price Option given immediate Option given immediate
Property Tax The Government announced the introduction of progressive property tax rates for all residential properties from 1 January 2014 and 1 January 2015. The revised property tax structure will be phased in over two years starting from 1 January 2014. Annual Value (S$) First 8,000 Next 47,000 Next 5,000 Next 10,000 Next 15,000 Next 15,000 Next 15,000 Next 15,000 AV in excess of $130,000 Capital Gains Tax There is no pay capital gains tax in Singapore. Sellers Stamp Duty Tax In the governments attempt to move towards a stable market, any residential properties purchased on or after 14th January 2011, are subject to a sellers stamp duty. Residential properties which are sold within the first, second, third and fourth year from the date of acquisition are subject to a 16 per cent, 12 per cent, 8 per cent and 4 per cent stamp duty tax respectively. Additional Buyers Stamp Duty Foreigners and non-individuals (corporate entities) buying any residential property will pay an Additional Buyers Stamp Duty (ABSD) of 15 per cent on their residential property purchases. The ABSD will be imposed over and above the current Buyers Stamp Duty, and will apply to the purchase price or market value of the property (whichever is higher) for the following purchases. Nationals and Permanent Residents of Switzerland, Liechtenstein, Norway, Iceland and Nationals of United States of America who fall within the scope of the respective Free Trade Agreements will only pay an ABSD of 7 per cent for their second residential property in Singapore and 10 per cent for their third and subsequent residential properties in Singapore. Maintenance Fees Maintenance fees depend on the size of the property and vary between different developments. Maintenance fees are usually payable on a quarterly basis to the corporation set up to manage the specific property. For new projects, maintenance fees will only be incurred upon completion. Progressive Tax Rates for Progressive Tax Rates for Owner-Occupied Homes from Owner-Occupied Homes from 1 January 2014 (%) 1 January 2015 (%) 0% 0% 4% 4% 5% 6% 6% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16%
(Source: IRAS)
15 per cent of purchase price 8 weeks later from (This amount is usually held by Option to Purchase solicitor as stakeholders) 4 or 9 per cent of purchase price 2 weeks later from (This amount is usually held by Option to Purchase solicitor as stakeholders) 80 per cent of the purchase 8 to 10 weeks later price 95 or 90 per cent of the purchase 8 to 10 weeks later price
Stamp Duty and Legal Fee The cost of stamp duty is chargeable by the government and is payable within 14 days of the date of agreement/contract. The structure of the stamp duty payable is shown below in the table: Segments of Purchase Price Payable Every S$100 of the first S$180,000 Every S$100 of the next S$180,000 Every S$100 of the remainder Payable S$1 S$2 S$3
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Limitations on Loan to Value (LTV) Ratio In January 2013, MAS lowered the LTV limits for housing loans to individuals with one outstanding housing loan from 60% to 50%, and to individuals with two or more outstanding housing loans from 60% to 40%. Loans with longer tenure faced even tighter LTV limits. The LTV limit for housing loans to non-individuals was also reduced to 20% Restrictions on Foreign Ownership Since 19 July 2005, the Singapore government has revised the Residential Property Act (RPA) rules to allow foreigners to purchase apartments or condominiums without the need to obtain prior approval. However, foreigners who wish to buy landed property will still need to obtain prior approval from relevant authorities. Purchase of Property at Sentosa Cove Foreigners are eligible to own a landed residential property at Sentosa Cove. However, they will need to obtain a fast track approval from Singapores Land Dealings (Approval) Unit (LDU), which will take about 2 days from the date of application. The Sentosa Cove landed property must be owner-occupied and leasing is not allowed. The successful applicant is only allowed to own one restricted residential property in Singapore and can purchase up to 15,000 square feet of land. The foreign purchaser can sell the property without staying in the property as compared to foreign purchasers of property on the Singapore mainland who have to stay a minimum of 3 years.
Note: Please refer to http://www.mnd.gov.sg/myHomeeServices/HomeSeekers.htm for latest updates and more information on buying and renting properties in Singapore.
Play In Singapore |X
LAY IN SINGAPORE
16 Raffles Quay #30-01 Hong Leong Building Singapore 048581 T: (65) 6222 1333 F: (65) 6224 5843 E-mail: enquiry@knightfrank.com.sg Website: www.knightfrank.com.sg
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Singapore Business Federation 2014 Other Must-See Attractions in Singapore Attraction Bugis Street Chinatown Clarke Quay Esplanade Theatres on the Bay Jurong Bird Park Little India Night Safari Singapore Orchard Road River Safari Sentosa Island Singapore Flyer Singapore Zoo Location Bugis Chinatown Clarke Quay Esplanade Jurong Hill Little India Category Shopping Cultural Nightlife Performing Arts Family Cultural Contact Information www.bugis-street.com www.chinatown.sg www.clarkequay.com.sg www.esplanade.com www.birdpark.com.sg www.yoursingapore.com
PLAY IN SINGAPORE
Tourism & Recreation
Singapore may be well-known for her economic success, but not many are aware of the countrys attractiveness as a place of enjoyment, recreation and relaxation. Under the faade of a dull and uptight city-state lies one of Asias best shopping areas, nightlife hotspots and tourist attractions.
Shopping Singapore is a shoppers haven and boasts an unrivalled selection of shopping options ranging from the high-end boutique stores and major department stores scattered across the island to the cheap market bazaars at Bugis Street Market and Geylang Serai . The annual Great Singapore Sale happens around May to July every year and shopaholics will not want to miss this wonderful opportunity to purchase merchandise at great discounts at most department stores and heartland malls. Marina Bay Sands Integrated Resort Overlooking the Singapore Central Business District is an S$8 billion, 20-hectare, world-renowned Integrated Resort. The Marina Bay Sands Integrated Resort features the worlds largest atrium casino with 500 tables and 1,600 slot machines, a 2,561-room hotel, an open-air infinity pool 3 times the size of an Olympic swimming pool 55-storeys above ground, a museum and a shopping mall. Gardens by the Bay, a 101-hectare park adjacent to Marina Bay Sands, showcases enclaves of exotic flora and fauna found across the world. The unique architectural design of the two cooled conservatories and Supertrees make Gardens by the Bay an eyeopener for many. Resorts World Sentosa Singapores second integrated resort, located on the southern island of Sentosa, spans across 49-hectares of land and is home to several key attractions including Southeast Asias first and only Universal Studios theme park - Universal Studios Singapore, the worlds largest oceanarium Marine Life Park, a casino and six hotels with 1840 rooms. Entertainment facilities aside, Resorts World Sentosa offers a state-of-the-art convention centre for MICE events. Both fine and casual dining options showcasing a wide range of international cuisine are also readily available in the premises of Resorts World Sentosa.
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Mandai Family www.nightsafari.com.sg Orchard Shopping www.orchardroad.org Mandai Family www.riversafari.com.sg Sentosa Outdoors www.sentosa.com.sg Marina Promenade Family www.singaporeflyer.com Mandai Family www.zoo.com.sg Visit YourSingapore.com for more information
Singapore Cuisine Singapore is a food paradise, and Singaporean food is the epitome of the countrys multiculturalism. Centuries of cultural interaction has made Singaporean cuisine an amalgamation of culinary expertise from the Malay, Chinese, Indian, Peranakan and Western societies. With food as Singapores national pastime, it is not surprising that there are 6,500 food business establishments spanning across the small city-state. A wide range of food is available to satiate the hunger needs of people from all across the world.
Contributed By: Singapore Business Federation
10 Hoe Chiang Road #22-01 Keppel Towers Singapore 089315 T: (65) 6827 6828 F: (65) 6827 6807 E-mail: ACCESSASIA@sbf.org.sg Website: www.sbf.org.sg/ACCESSASIA
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CORPORATE Advisory
Setting Up A Company In Singapore
Singapores unique combination of history, strategic location, stable economy, cosmopolitan culture, robust infrastructure, and business-friendly and prudent government policies has made it a highly sought after destination for entrepreneurs and foreign companies alike. In a mere span of 40 years, this small nation has developed into one of the leading global economies and is considered the easiest place in the world to do business. In the second quarter of 2013 alone, there were 16,027 new business formations in Singapore. This is a 13.22% increase from the previous quarter and is 10.68% higher than Q2 2012. 34% of these new businesses have foreign shareholders, including 1603 new businesses which have 100% foreign ownership. Majority of the new businesses formed had local shareholders who are Singapore citizens, Singapore Permanent Residents or foreigners with a valid Employment Pass.
ORPORATE ADVISORY
The country has attracted entrepreneurs, companies and investors from different parts of the world. The second quarter of 2013 saw foreignbased corporate shareholders making up more than half of all new businesses with corporate shareholders. Aside from Singapore-based corporations, corporate investors from the British Virgin Islands, the United States and Hong Kong accounted for the most investment, closely followed by United Kingdom, India and Japan. Singapore based individual shareholders accounted for the majority, followed by individuals from China, India and Japan in Q2 FY13. There were also a number of individual shareholders from Singapores neighbouring countries of Malaysia and Indonesia. Singapores reputation as an investment haven is further enhanced by the wide range of Free Trade Agreements and Avoidance of Double Taxation Agreements that the country has with several countries. All the countries here have different treaties with Singapore. More information on business formation are available from the quarterly Singapore Business Formation Statistics Reports published by Janus Corporate Solutions.
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Step 1
Step 2
Step 3
Compliance
Subsidiary Auditor to be appointed within three (3) months of incorporation Company Secretary to be appointed within six (6) months of incorporation Audited accounts to be filed annually with the Inland Revenue Authority of Singapore (IRAS) and the Accounting and Corporate Regulatory Authority (ACRA) Branch Office Audited accounts of the foreign company and the PC must be filed annually with the IRAS and ACRA
Branch Office Proposed Name Directors of Parent Company (PC) Constitutional documents of PC Local registered office Two (2) local agents Representative Office PCs turnover must be >USD250,000 PC must be in existence at least three (3) years prior to application Should have less than five (5) staff Registration certificate of PC Latest annual reports/audited accounts of PC
Branch Office One (1) to two (2) days, assuming key registration requirements are complete and there are no delays in the name approval process Name must be similar to the PC Representative Office Three (3) to five (5) days, assuming key registration requirements are complete and there are no delays in the name approval process Name must be similar to the PC with the words Representative Office in Singapore
Representative Office Clearly state in its name plaque, name cards, letterheads and other communication materials that it is a Representative Office in Singapore
Directors in a subsidiary company must be at least 18 years old and must not be an undischarged bankrupt or convicted of any malpractices. At least one (1) director in a subsidiary company must be ordinarily resident in Singapore, meaning a Singapore citizen, Singapore Permanent Resident or foreigner with a valid Employment Pass. The company secretary in a subsidiary company must be a natural person and ordinarily resident in Singapore. The two (2) local agents in a branch office must be natural persons and ordinarily resident in Singapore. A subsidiarys local registered office must be open and accessible to the public for at least three (3) hours during ordinary business hours on each business day. For branch office, the minimum is five (5) hours.
Deciding on the type of business structure is one of the most important steps you will take when setting up a company in Singapore. It can affect the amount of taxes you pay, the compliance requirements, the personal liability you face, the ability to borrow money and garner government incentives, and even the image and perception of your business among clients and suppliers.
Contributed By: Janus Corporate Solutions
16 Raffles Quay, #33-03 Hong Leong Building, Singapore 048581 T: (65) 6222 7445 F: (65) 62227421 E-mail: info@guidemesingapore.com Website: www.guidemesingapore.com
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Taxation
The major types of taxes that affect businesses and companies in Singapore are income tax, goods and services tax, stamp duty, property tax and customs and excise duties. Singapore has no capital gains tax. The Inland Revenue Authority of Singapore (IRAS) acts on behalf of the Singapore government and its roles are shown in the following diagram:
Administer Taxes! Assess Taxes! Collect Taxes!
Enforce Taxes!
Income Tax
Income accruing in or derived from Singapore, or received in Singapore from outside Singapore, is subject to income tax in Singapore unless the income is specifically exempt from tax. The types of income subject to tax include income from trade, business, profession or vocation, employment, dividends, interest, rentals, royalties and other gains or profits that are of an income nature. For taxation purpose, income is assessed on a preceding calendar year basis as follows:
Income
from
1
Jan
2013
to
31
Dec
2013
Assessable
for
taxa7on
in
year
of
assessment
2014
However, companies whose accounts are made up to a date other than December 31 are permitted to adopt the financial year end as their basis period as illustrated in the following example:
Income
from
1
Oct
2012
to
30
Sep
2013
Assessable
for
taxa8on
in
year
of
assessment
2014
There are differences in income tax treatment between a tax resident and a non-tax resident of Singapore. A tax-resident individual is one who is physically present or exercising employment in Singapore (other than a company director) for 183 days or more during the calendar year preceding the year of assessment, or who resides in Singapore except for temporary absences from Singapore that are reasonable and consistent with a residency claim on the grounds of qualitative factors such as a domicile or family present in Singapore. A company is a tax resident in Singapore if control and management of its business are exercised in Singapore. The place of incorporation is irrelevant for the purpose of determining tax residency. The major advantage of being considered a tax resident of Singapore is the ability to enjoy tax treaty benefits accorded in more than seventy comprehensive double taxation agreements that Singapore has with various countries around the world. Typical tax treaty benefits include reduction of withholding tax rates in respect of dividend, interest and royalty payments to non-residents and the ability to avoid double taxation on cross-border income via the claim for total tax exemption or foreign tax credit relief. Also, certain tax-exemption claims are only accorded to Singapore tax residents such as the exemption of specified foreign-sourced income (e.g. dividends) received in Singapore if the stipulated conditions are met.
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In respect of housing benefits, if a cash allowance is paid to the employee to meet his housing cost, the full allowance is considered a taxable income. But if the employer provides a furnished accommodation to the employee, the assessable benefit is computed based on certain prescribed formulas/rates. With effect from the year of assessment 2015, the housing benefits (including the furniture and fittings provided) will be taxed according to the market value of the related property. An employee can claim certain revenue expenses such as subscriptions to a professional body as well as travelling and entertainment expenses that are incurred in the course of exercising his employment for tax deduction against his employment income. The onus is on the employee to prove to the satisfaction of the IRAS that the expenses in question are necessarily incurred in the discharge of his employment duties. Not Ordinarily Resident (NOR) Scheme An individual may qualify for the NOR scheme for any year of assessment if the following conditions are satisfied:
The individual is a tax resident of Singapore for that year of assessment, and The individual was not a tax resident of Singapore for the three years of assessment before that year of assessment.
Employee Share Option Plans Any gains or benefits arising from employee share options in relation to Singapore employment are taxable when the share options are exercised. The taxable gain is generally the difference between the open market price of the share on the date of exercise (or date when the selling restriction is lifted, if applicable) and the price paid by the employee for the shares (i.e. exercise price). Expatriates with unexercised share options who are ceasing employment or leaving Singapore permanently are subject to deemed exercise rules under certain circumstances. Taxation of Personal Investment Income Singapore-sourced investment income, such as rental and loan interest, is generally taxable. However, interest on deposits with approved banks or licensed finance companies in Singapore is tax-exempt. Dividends received from Singapore resident companies are also tax-exempt in Singapore. All foreign-sourced incomes received in Singapore are not subject to tax in Singapore, unless the income is received by resident individuals through a partnership in Singapore. Tax Resident versus Non-Tax Resident Individual Comparison Tax Resident Income tax rates Personal reliefs Singapore-sourced employment income Progressive tax rates ranging from 0% to 20% Applicable Taxable Non-Tax Resident 15% for employment income (except for board directors fees/remuneration) 20% for all other incomes Not applicable Not taxable if arising from short-term employment in Singapore that does not exceed 60 days in the basis period
Once the application is approved, the qualifying individual will be granted NOR status for five consecutive years of assessment with the following benefits, subject to certain conditions and capping limits:
Time apportionment of Singapore employment income by reference to time spent outside Singapore on business, and/or Exemption of employers contributions to non-mandatory overseas social security schemes or pension funds (available only to non-Singapore citizens/non-Singapore permanent residents).
Personal Reliefs Resident individuals are entitled to claim personal reliefs such as the following if certain prescribed conditions are met:
Earned income relief ranging from S$1,000 to S$8,000 depending on the age of the taxpayer. Spouse relief of S$2,000 if the spouse was living and supported by the taxpayer and the spouses annual income did not exceed S$4,000. Child relief of S$4,000 per child if the unmarried child maintained by the taxpayer is below 16 years of age or studying full time and did not have an annual income of more than S$4,000. Relief on employees compulsory contributions to the Singapore Central Provident Fund. Life insurance relief on annual insurance premiums paid for life assurance policies. Course fee relief of up to S$5,500. Foreign maid levy relief of twice the amount of one foreign maids levy paid by a married working woman.
Foreign-sourced income received in Singapore Board directors fees/ remuneration Tax treaty benefits
Tax-exempt Special rules available for foreign- Tax-exempt sourced income received through partnerships in Singapore Progressive tax rates ranging from 0% to 20% Yes 20% No
Central Provident Fund (CPF) Contributions Contributions to the CPF are mandatory for employees who are either citizens or permanent residents of Singapore. In most cases, the employees contribution is based on 5% to 20% of his gross emolument depending on his age. The employer is also required to contribute a corresponding 6.5% to 16%. The monthly ordinary wage ceiling for CPF contributions is S$5,000. Both the employee and employer are entitled to claim tax deduction for the contributions made so long as the contributions are within statutory limits.
Filing of Individual Income Tax Returns Personal income tax returns must be submitted by individuals to the IRAS by April 15 each year. For example, employment income earned by an individual for the calendar year ending 31 December 2013 is to be reported in the year of assessment 2014 income tax return, which will be due for filing on 15 April 2014. Married couples are required to file their income tax returns separately.
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Payment of Income Tax Generally, there is no requirement for employers to withhold income taxes from an individuals monthly salary. Once an individual files his income tax return, the IRAS will raise a notice of assessment to the individual to collect the amount of tax due. The tax due in the notice of assessment must be paid within a month from the date of the notice of assessment, notwithstanding any objection. Taxpayers may request for the amount of tax due to be settled by monthly instalments (up to a maximum of 12 instalments) subject to IRASs approval. If the taxpayer does not agree with the tax assessed in the notice of assessment, the taxpayer may lodge a notice of objection with the IRAS within 30 days from the date of the notice of assessment. With effect from 1 January 2014, the IRAS will extend the deadline to file a notice of objection from 30 days to 2 months as an administrative concession. Cessation of Employment in Singapore and Departure from Singapore Non-Singapore citizens ceasing employment in Singapore or departing Singapore for a period of more than 3 months (unless the employee is required in the course of his employment to leave Singapore at frequent intervals) are subject to tax clearance. Under those circumstances, a written notice to the IRAS about the cessation/departure and salary withholding have to be done by the employer until tax clearance is issued by the IRAS. The notice must be made at least one month before the cessation of employment/departure of the employee. Table of Individual Income Tax Rates Resident individual personal income tax rates are as follows:
Chargeable Income S$ On the first 20,000 On the next 10,000 On the first 30,000 On the next 10,000 On the first 40,000 On the next 40,000 On the first 80,000 On the next 40,000 Tax Rate % 2 Tax Payable S$ 200 200 350 550 2,800 3,350 4,600 7,950 6,000 13,950 6,800 20,750 21,600 42,350 -
Corporate Tax Income of a company (whether tax resident or not) that is accrued in or derived from Singapore or received in Singapore from outside Singapore is subject to corporate income tax, unless the income is specifically exempt from tax. Corporate Income Tax Rate The prevailing corporate income tax rate is 17% with a partial tax exemption on normal chargeable income (excluding Singapore franked dividends) of up to S$300,000 as follows:
75% exemption on the first S$10,000 of normal chargeable income, and 50% exemption on the next S$290,000 of normal chargeable income.
Accordingly, the effective tax rate on the first S$300,000 of normal chargeable income is around 8%. The balance of chargeable income in excess of S$300,000 would then be fully taxable at the prevailing rate of 17%. Start-up Companies Subject to the following conditions, resident start-up companies (excluding investment holding companies and property development companies incorporated after 25 February 2013) are granted tax exemption on normal chargeable income (excluding Singapore franked dividends) of up to S$300,000 for their first three consecutive years of assessment upon incorporation as follows:
100% exemption on the first S$100,000 of normal chargeable income, and 50% exemption on the next S$200,000 of normal chargeable income.
The effective tax rate on the first S$300,000 of chargeable income is therefore around 6%. The prescribed conditions for the full tax exemption scheme are as follows:
The company must be incorporated in Singapore, The company must be a tax resident in Singapore for that year of assessment, and The companys total share capital is beneficially held, directly or indirectly, by no more than 20 persons, all of whom are individuals, or there is at least one individual shareholder holding at least 10% of the total number of issued ordinary shares throughout the basis period for that year of assessment.
3.50 7 11.5 15 17 18 20
Corporate Income Tax Rebate All companies (regardless of their tax residency) are entitled to a 30% corporate income tax rebate (capped at S$30,000) for each year of assessment from 2013 to 2015. The rebate does not apply to income of a non-resident company that is subject to final withholding tax. Expense Deductions and Capital Allowances Claim Revenue expenses that are wholly and exclusively incurred in the production of income are generally tax deductible, unless specifically disallowed for tax. Book depreciation charges are not deductible for tax purposes. Capital allowances are instead granted on qualifying capital expenditures incurred on plant and machinery used for the purposes of the taxpayers trade, business or profession. Qualifying capital expenditure incurred on small-value items and certain specific plant and machinery (e.g. computer and computer-related equipment) may be wholly written off in the year incurred, while other qualifying plant and machinery are generally written off on a straight line basis over three years.
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Non-resident individuals deriving employment income (apart from board directors fees and remuneration) are taxed at a flat rate of 15% or the resident rates above, whichever gives rise to a higher tax payable. Non-resident individuals deriving other sources of income are taxed at 20%.
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The writing down allowance for qualifying intellectual property rights is usually granted over five years on a straight line basis. Land intensification allowance (LIA) may be claimed on qualifying expenditure for the construction of a qualifying building or structure if incurred on or after 23 February 2010 up to the completion date of the construction or renovation/extension of the approved LIA building or structure, subject to conditions. Balancing adjustments are required to be made under certain circumstances, such as when the qualifying asset ceases to belong to the taxpayer or permanently ceases to be used for the taxpayers trade, business or profession. Tax Exemption on Specific Foreign-sourced Income A Singapore-resident company may enjoy tax exemption for its foreign-sourced dividends, foreignbranch profits and foreign-sourced service income (i.e. income where the services are rendered in the course of the taxpayers trade, business or profession through a fixed place of operation in a foreign jurisdiction) received in Singapore if the following conditions are met:
In the year the income is received in Singapore, the highest rate of tax of the foreign jurisdiction from which the income is received is not less than 15%. The income is subject to tax in the foreign jurisdiction. The IRAS is satisfied that the tax exemption would be beneficial to the Singapore-resident company.
Unabsorbed donations can only be transferred or carried forward for up to 5 years to offset against the taxpayers future income. Companies may also choose to carry back their current years unabsorbed trade losses and capital allowances of up to S$100,000 to offset against the assessable income of the immediate preceding year of assessment. Group Relief Under the group relief system, a company within a group (the transferor) is allowed to transfer its current-year unabsorbed trade losses, capital allowances and donations to offset against the current years assessable income of another company (the claimant) within the same group. To qualify for the group relief, both the transferor and claimant must be Singapore-incorporated companies, belong to the same group of companies on the last day of the basis period and have the same financial year end. The two companies are considered members of the same group if at least 75% of the total number of issued ordinary shares in one company is beneficially held, directly or indirectly, by the other, or at least 75% of the total number of issued ordinary shares in each of the two companies is beneficially held, directly or indirectly, by a third Singapore-incorporated company. Filing of Estimated Chargeable Income and Corporate Income Tax Return Every company that has not filed its income tax return for any year of assessment has to submit an estimated chargeable income (ECI) record to the IRAS within three months from the end of the companys financial year relating to that year of assessment. Companies must also submit their corporate income tax returns to the IRAS by November 30 each year. To illustrate, a company with a financial year ending 31 December 2013 must file its year of assessment 2014 ECI record and corporate income tax return to the IRAS by 31 March 2014 and 30 November 2014 respectively. Payment of Corporate Income Tax After receiving the ECI records and income tax returns, the IRAS will issue the companies with notices of assessment. The tax due in the notice of assessment must be paid within a month from the date of the notice of assessment, notwithstanding any objections. Companies may request for the amount of tax due to be settled by instalments (up to a maximum of 10 instalments for the tax amount arising from the ECI record submitted), subject to IRASs approval. If the taxpayer does not agree with the tax due in the notice of assessment, the taxpayer may lodge a notice of objection with the IRAS within 30 days from the date of the notice of assessment. With effect from 1 January 2014, the IRAS will extend the deadline to file a notice of objection from 30 days to 2 months as an administrative concession.
Foreign Tax Credit A Singapore-resident company may be entitled to claim foreign tax credit in respect of the foreign tax suffered on the foreign-sourced income received and subject to tax in Singapore. The computation of the foreign tax credit is on a source-by-source and country-by-country basis. With effect from the year of assessment 2012, a Singapore-resident taxpayer, subject to conditions, can elect for the foreign tax credit pooling system whereby the foreign taxes paid (including any underlying tax, where applicable) on any items of the foreign-sourced income will be pooled together. The amount of foreign tax credit to be granted will be computed on a pooled basis rather than a source-by-source and country-by-country basis for each stream of foreign-sourced income. The foreign tax credit is capped at the lower of the pooled foreign taxes paid on all the streams of foreign income and the pooled Singapore tax payable on all such foreign income. Unabsorbed Capital Allowances, Trade Losses and Donations Companies may carry forward their unabsorbed capital allowances, trade losses and donations to offset against future taxable income provided at least 50% of their ultimate shareholders and their respective shareholdings remains the same as at certain relevant comparison dates. For the utilisation of unabsorbed capital allowances, the same form of trade out of which the allowances arose must also remain the same.
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Goods and Services Tax (GST) Goods and services tax (GST) is a broad-based tax on local consumption and chargeable on goods and services sold in Singapore as well as goods imported into Singapore. A supply of goods or services made in Singapore is subject to GST at the prevailing standard rate of 7% unless the supply could be zero-rated (i.e. GST at 0%) or exempt under the GST Act. Standardrated supplies comprise sale of goods or services supplied in Singapore, while the provision of international services and exports is mainly zero-rated. Exempt supplies consist of the sale and lease of residential properties as well as the supply of financial services and investment in precious metals. A person is liable to compulsorily register for GST if his taxable supplies for the last 12 months exceeded S$1 million or if he expects to make taxable supplies exceeding S$1 million in the next 12 months. However, a person may apply for GST registration on a voluntary basis even if his taxable supplies are not expected to exceed S$1 million. Even if there is an obligation to register for GST, the person may apply for exemption from GST registration if he is making wholly or substantially zero-rated supplies. A GST-registered person is able to claim back the GST incurred on his business expenses as an input tax credit, subject to conditions. GST-registered traders may apply for certain special GST schemes (such as Major Exporter Scheme, Group Registration) to help reduce GST compliance costs and/or mitigate cash flow problems. Stamp Duty Stamp duty is payable only in relation to the acquisition of shares/stocks and immovable properties. The stamp duty rates are 0.2% and up to 3% for shares/stocks and immovable property transactions respectively. The stamp duty payable is calculated based on the higher of the purchase consideration and the market value of the assets being transferred. Stamp duty exemption/relief is available on certain transactions such as corporate restructuring and mergers, subject to conditions. Property Tax Payable by all property owners, property tax is a tax on immovable properties, calculated based on a percentage of the annual value of the properties. Property tax is levied based on 10% of the annual value of the immovable commercial or industrial property. For owner-occupied residential property, the property tax rate is on a progressive basis depending on the annual value of the property. In the recent Budget 2013, a more progressive property tax structure for all residential properties was introduced. It will first take effect from 1 January 2014, with further changes from 1 January 2015. The revised property tax rates for owner-occupied and non-owner-occupied residential properties will reach up to 15% and 19% respectively for the year 2014, and up to 16% and 20% respectively from 1 January 2015 (see tables below). The property tax rate for land and nonresidential properties has remained unchanged at 10%.
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Property tax rates for owner-occupied residential properties: Annual value On the first On the next On the next On the next On the next On the next On the next On the next AV in excess of S$ 8,000 47,000 5,000 10,000 15,000 15,000 15,000 15,000 130,000 Tax rates from 1 January 2014 % 0 4 5 6 7 9 11 13 15 Tax rates from 1 January 2015 % 0 4 6 6 8 10 12 14 16
Tax Incentives
The Singapore Government offers MNCs and investors a variety of tax incentives in order to attract investments into Singapore. The incentives may come in the form of income tax exemption or taxation at certain concessionary rates, usually at 5% or 10%. Applications for tax incentives are subject to the approval of the relevant government bodies. The success of applications greatly depends on the merits of each case, the potential economic spinoffs for Singapore and the extent of investors commitments in terms of total business spending, headcount (quality of people hired) and fixed asset investment (if applicable). Some of the common tax incentives currently available are listed below: Financial Sector Incentives In order to encourage the development of high-growth and high value-add financial activities in Singapore, the Monetary Authority of Singapore and/or the IRAS has been granting various tax incentives for the financial services sector. For example, income derived from either a Singapore or offshore fund could potentially be exempt from tax on all its sources of income and gains if such a fund is managed by a Singapore resident fund manager, subject to conditions. Singapore-based fund managers could also secure a concessionary tax rate of 10% (compared with the usual tax rate of 17%), subject to conditions, for qualifying fee income earned from the management of qualifying funds. There are also other financial sector incentives covering the debt capital market, equity market and derivatives market. There are also various conditions to comply with and qualifying income could be taxed at a concessionary rate of between 5% and 12%. Marine Sector Incentives Singapore has a suite of tax incentives for the maritime sector. The Maritime Sector Incentive (MSI) Scheme offers various awards such as the MSI-Approved International Shipping Enterprise (MSI-AIS) Award, which is meant for international shipping companies with established worldwide networks, strong track records, demonstrable business plans and a commitment to expand their shipping operations in Singapore. Subject to conditions, an MSI-AIS company will enjoy tax exemption on qualifying shipping income for either:
a 10-year renewable period, or a 5-year non-renewable period, with the option of graduating to the 10-year renewable award at the end of the 5-year period.
Property tax rates for non-owner-occupied residential properties: Annual value On the first On the next On the next On the next On the next AV in excess of Customs and Excise Duties In Singapore, customs and excise duties are imposed only on intoxicating liquors, tobacco products, motor vehicles and petroleum products based on certain prescribed rates. Estate Duty and Gift Tax There are no estate duty or gift taxes in Singapore. Exchange Control There are no exchange control restrictions in Singapore. S$ 30,000 15,000 15,000 15,000 15,000 90,000 Tax rates from 1 January 2014 % 10 11 13 15 17 19 Tax rates from 1 January 2015 % 10 12 14 16 18 20
Global Trader Programme The Global Trader Programme is granted to well-established international players in their industry with good track records in international trading, procurement, distribution and transportation of qualifying commodities and products. Depending on the anticipated turnover and business spending of the applicant, as well as the number of qualified staff it will employ, an approved global trading company could enjoy a concessionary tax rate of 5% or 10% on its qualifying offshore trading income for a period of five years.
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International Agreements
Double Taxation Agreement A double taxation agreement (DTA) signed between Singapore and another country serves to relieve double taxation of income earned in one country by a resident of the other country. The DTA specifies the taxing rights between Singapore and the treaty country on certain cross-border income and may also provide for reduction or exemption of tax. Only Singapore tax residents and tax residents of the treaty country can enjoy DTA benefits. Currently, Singapore has a wide tax treaty network that involves more than 70 countries including Japan, China, Malaysia, Indonesia, and the United Kingdom. Investment Guarantee Agreement An investment guarantee agreement (IGA) is designed to promote greater investment flows between two countries by providing a legal framework that clearly sets out investment norms and protection when investing in the other country. The usual provisions of an IGA include the principle of fair and equitable treatment, the principle of non-discrimination, compensation in the event of expropriation, free transfer of funds, and an investor-state dispute settlement mechanism. Singapore currently has 41 effective IGAs with locations such as ASEAN, China, France, and the United States. Free Trade Agreement A Free Trade Agreement (FTA) is a legally binding agreement between two or more countries to reduce or eliminate trade barriers and facilitate cross-border movement of goods and services by eliminating or reducing import tariff rates, providing preferential access to services sectors, easing investment rules, improving intellectual property regulations, and opening government procurement opportunities. At present, Singapore has 20 regional and bilateral FTAs with 31 trading partners.
Note: All information contained in this article is correct as of October 2013. Readers should not rely solely on this article in their fulfilment of regulatory obligations within or outside Singapore.
INANCE
8 Wilkie Road, #03-08 Wilkie Edge Singapore 228095 T: (65) 6533 7600 F: (65) 6594 7822 E-mail: tax@rsmchiolim.com.sg Website: www.RSMChioLim.com.sg
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FINANCE
Singapore As A Financial Hub Singapores Banking Industry
Singapore is a global financial hub that is constantly at the forefront of world-class and state-of-the-art financial infrastructure servicing both its domestic economy as well as the entire Asia Pacific region. The banking industry being one of the key players in the countrys financial market is emerging as one of the strongest in the world. Vital factors such as a sound economic and political environment, conducive legal and tax policies, reputation for integrity and strict enforcement against crime and money laundering have thus contributed to Singapores status as an International Finance Centre the third largest in Asia, after Japan and Hong Kong. The banking industry in Singapores success is attributed to the following factors such as the liberation of the domestic banking market, strengthening of local banks regional presence through mergers and acquisitions, increased competition which spurred the development of innovative products and more competitive pricing models, provision of sophisticated banking services like corporate and investment banking activities as well as strict banking secrecy laws, tax friendly policies that are put in place and a suite of wealth management services offered. Within a span of 40 years, Singapore has progressed from a manufacturing and export-based economy to one of the major financial centres of the world. Singapore today is the worlds fourth leading global financial centre after the United Kingdom, the United States and Hong Kong. The tiny island south of the Malay Peninsula is also the fourth largest foreign exchange centre in the world and is poised to overtake Switzerland in 2015 as the worlds top destination for managing international funds. There are more than 600 financial institutions located in Singapore, and a growing number of international financial institutions are choosing Singapore as their operational headquarter to service their regional group activities as the Asia develops. Private Banks, asset managers and insurance institutions have favoured Singapore for its robust financial regulations, probusiness environment, excellent business infrastructure, global connectivity, and especially strong trade linkages in Asia. As part of China and Singapores enhanced financial corporation under the China-Singapore FTA, Singapore became the first regional financial centre outside China to offer Chinese Yuan clearing services in May 2013. Additionally, equity investors have been given the option to trade Yuan-denominated securities on the Singapore Stock Exchange since August 2013. With a Chinese Yuan clearing bank located onshore, Singapore is set grow its offshore-Yuan capital market and status as an offshore-Yuan clearing hub. Singapores strive towards its status as an offshoreYuan clearing hub is on top of its increasing prominence as a wholesale funding centre in the debt and equity market for Asia. With deep and liquid capital markets and a trillion-dollar Asia Dollar Market, Singapore has an adequate reservoir of non-SGD funds to serve the financing and treasury needs of individuals, corporations and institutions. While Singapore is already an unrivalled financial hub in the Southeast Asian region, the only Asian country to have a triple-A credit rating from all three major credit rating agencies is expected to retain its standing in the region due to the high and growing demand for cash management and trade finance.
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Key Trends
Liberalisation of banking sector A five-year liberalisation package to strengthen the banking system and to improve Singapores reputation as an International Financial Centre was launched in 1999 by MAS. Measures included issuing a new category of full banking licenses known as Qualifying Full Bank (QFB) licenses to foreign banks, increasing the number of restricted banks and giving offshore banks greater flexibility in Singapore Dollar wholesale businesses. Subsequently, the second phase of liberation occurred in June 2001 in which restricted banks were re-classified as wholesale banks to improve competitiveness in retail banking. QFBs were given more privileges (permission to establish more locations, provide debt and special account services). Qualifying Offshore Banks (QOB) were given priority to upgrade themselves to wholesale banking status. These measures were thus seen as being pivotal in providing resilience and stability to the banking system. Strengthening of local banking groups A major move in the local banking sector was the consolidation of the previously 6 local banking groups into the present 3 main local banks (DBS, OCBC and UOB). This move strengthened banks capabilities, their management teams and enhanced operational effectiveness. The banks range of business activities has also improved their business and risk management capabilities. With greater financial strength from the mergers and increased competition at home, the future of the financial industry is set to be a positive one. Investment Banking Hub The investment banking industry opened up as Singapore matured into a key international debt arranging hub in Asia. The encouragement of a steady flow of issuance from the Singapore Government and statutory boards, launch of the Approved Bond Intermediary Scheme, growth of the SGX as an international exchange as well as high standards to maintain investor confidence contributed to the countrys active and thriving capital market. Singapore financial markets have remained resilient amid global uncertainties.
- MAS, Financial Stability Review 2012
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Singapore is largest Foreign Exchange centre in Asia & third largest globally after London & New York.
- Bank for International Settlements (BIS)
Contributed By: Singapore Business Federation
10 Hoe Chiang Road #22-01 Keppel Towers Singapore 089315 T: (65) 6827 6828 F: (65) 6827 6807 E-mail: ACCESSASIA@sbf.org.sg Website: www.sbf.org.sg/ACCESSASIA
(Reference: Circular BD 08/2013: Conduct of Renminbi (RMB) Business in Singapore on 22 Oct 2013 by the Monetary Authority of Singapore)
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8 Marina Boulevard Marina Bay Financial Centre Tower 1 Singapore 018981 T: (65) 6596 8888 Website: www.standardchartered.com.sg
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Listing
Mainboard Listing The latest Mainboard Listing Rules which came into effect on 10 August 2012 raised the standards of Mainboard admissions for companies and increases the minimum issue price for listed shares, besides providing for other ancillary changes. The table below summarises the latest quantitative entry criteria for listing on the Mainboard: Criteria Alternative 1 Profit Before Tax (PBT) Cumulative PBT S$30.0 million in the latest financial year Market Capitalisation Not applicable Shareholding Spread Alternative 2 Profitable in the latest financial year Alternative 3 Operating Revenue in the latest financial year
After being listed on the Mainboard, promoters of issuers must comply with moratorium requirements so as to maintain the promoters commitment to the issuer and align their interests with that of public shareholders. Following table sets out briefly moratorium requirements: Moratorium requirements:Promoters Defined as:a. Controlling shareholders and their associates b. Executive directors with interest of 5% or more of the issued shares at time of listing Period of moratorium for:Promoters a. For issuers applying under Alternative 1 or 2 of the existing SGX listing requirements, their entire shareholdings for 6 months after listing. b. For issuers applying under Alternative 3 of the existing SGX listing requirements, their entire holdings for 6 months after listing and 50% or more for the next 6 months. Other Investors Subject to other moratorium rules as specified under the Listing Rules The timeframe may range from six months to a year depending on how prepared the listing applicant is. The main stage and indicative timeline can be identified as follows:
Day 0 Day 30 Day 90 Day 120
S$150m based on S$300m based on isissue price sue price Market cap < S$300m, 25% of issued shares in hands of 500 shareholders (public float) Market cap from S$300m to less than S$400m, 20% public float Market cap from S$400m to less than S$1,000m, 15% public float Market cap S$1,000m, 12% public float
500 shareholders for secondary listing 3 years for Alternative 1 and 2. No track record requirement for Alternative 3. S$0.50
Appointment of Professionals
Kick o Mee5ng
Verica5on Mee5ngs
Kick o Mee5ng
The following table sets out the shareholding and distribution requirements: Offer Size Distribution Less than S$75m 40% of invitation shares or S$15m (whichever is lower) to be distributed to investors each allotted not more than 0.8% of invitation shares or S$300,000 worth of shares (whichever is lower) S$75m S$120m 20% of invitation shares to be distributed to each investor holding not more than 0.4% of invitation shares More than S$120m No requirement applicable Other important factors, among others, SGX-ST will take into consideration include: - the listing applicant must be financially healthy, taking into consideration whether it has positive cash flow from operating activities; - if the directors, substantial shareholders (i.e. shareholders holding 5% or more of the share capital) and companies controlled by the directors and substantial shareholders owe debts to the listing applicant, they must be settled before listing; - directors and executive officers should have appropriate experience and expertise to manage the business of the listing group. SGX-ST will also consider the character and integrity of the directors, management and controlling shareholders (i.e. shareholder directly or indirectly holding 15% or more of the share capital, or in fact exercise control over the company); and - the board must have at least two non-executive directors who are independent, who must not have any material business or financial connection with the listing group.
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MAS Clearance
Launch of IPO
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Catalist The Catalist is the second listing board of SGX-ST, which was launched on 26 December 2007 by replacing the erstwhile second listing board, SESDAQ. The Catalist provides more flexibility to the issuers in certain aspects of regulations, and caters to the needs of fast-growing enterprises. Companies seeking a primary listing on the Catalist need not to meet any quantitative entry criteria, such as minimum operating track record, profit, market capitalisation. Instead, companies will need to appoint a full sponsor to seek a listing on the Catalist, who will decide if the listing applicant is suitable to be listed, and to engage a full or continuing sponsor as long as it remains listed on the Catalist. For companies listed on Catalist, number of shareholders shall be at least 200, and at least 15% of issued share capital shall be held by public shareholders. The time frame for listing on the Catalist can be as short as 5 to 6 weeks.
Catalist Timeline 4-5 Weeks 2 Weeks 1-2 Weeks
Notification to SGX
Trading Commences
EGAL
36 Carpenter Street Singapore 059915 T: (65) 6323 8383 F: (65) 6323 8282 E-mail: contact@cnplaw.com Website: www.cnplaw.com
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LEGAL
Singapores Legal Framework
Singapore is a sovereign republic, with a legal system based on the English common Law. The legal system comprises three major sources of law, derived from the Constitution, legislation and judge-made Law (often referred to as case law or common law). The foundation to the legal system in Singapore is provided by the Constitution which lays down the supreme law of the land and provides basic framework for the three organs of state which constitutes the executive; the legislature and the judiciary. The executive includes the positions of the Elected President, the Cabinet (Prime Minister and Ministers) and the Attorney-General. The legislature comprises the Elected President and Parliament and is the legislative authority responsible for enacting legislation. The Presidents assent is required for all bills passed by Parliament. The judiciary consists of the Supreme Court and the Subordinate Courts. The head of the judiciary is the Chief Justice.
The third type of activity is a merger that substantially lessens competition within any market for goods or services in Singapore. For example, when the merged entity has and/or will have a market share of 40% or more, a merger may be considered to be anti-competitive. Also, when the merged entity has and/or will have a market share of between 20% and 40% and the post-merger combined market share of the three largest firms will be 70% or more, the merger may likely be anti-competitive. The Competition Commission of Singapore (CCS) has the powers to investigate and adjudicate anti-competitive activities and to enforce the Competition Act. In particular, CCS will focus on activities that have appreciable adverse effect on competition in Singapore. CCS may launch a formal investigation, where it has reasonable grounds for suspecting that the Competition Law has been infringed. Among other powers, CCS is empowered to issue a written notice to require businesses to provide documents and information, and to enter any premises (with or without a warrant) to carry out inspections.
Arbitration
Arbitration is a form of alternative dispute resolution between parties outside the courts by a neutral tribunal comprising one or more persons, called arbitrators, by whose decision the parties agree to be bound by. The agreement to refer disputes to arbitration is usually provided for in a contract. If no such agreement exists, the dispute cannot be referred to arbitration. There are several key points to consider if arbitration or litigation is preferred in any particular case. Arbitrate when there is a need for: a neutral jurisdiction; matters to be kept confidential; the decision-maker to have specialised knowledge and skills; a judgement to be enforceable in multiple jurisdictions; or a flexible process. Litigate before local courts when: both parties are based in Singapore no confidentiality is required; there is no need for the decision-maker to have a specialised knowledge or skills; or a judgment to be enforced in Singapore.
Legislation refers to acts enacted by Parliament and subsidiary legislation made by relevant authorities pursuant to the powers given to them by the constitution. The common law on the other hand is not codified or set out in statutes but are judgements delivered by the Courts of Singapore. Once a case has been decided it will be binding on any future cases which have similar facts and issues depending on the hierarchy of the deciding court. Generally decisions of a higher Court would bind cases heard in the lower Courts.
Competition Act
Enacted in 2004, the Competition Act aims to enhance the competitiveness of the economy of Singapore by prohibiting certain anti-competitive business activities. Given that the intent of the Act is to regulate the conduct of market players, all business entities (including foreign, domestic and government-owned entities) are required to comply with the Competition Act. There are mainly three types of activities prohibited under the Competition Act. The first type of activity is making agreements, decisions and practices that prevent restrict or distort competition in Singapore. An example of such activities is agreeing with competitors to fix prices, limit the volume of productions or share markets. However, certain agreements are exempted from the provisions of the Competition Act. For example, vertical agreements entered into between two or more businesses (where each business operates at a different level of the production or distribution chain) are generally not considered as anti-competitive agreements under the Competition Act. The second type of activity is the abuse of a dominant position. Though being dominant is not against the law, when a dominant player in a market uses its power to unduly restrict competition, such an action may be considered as abuse. Abusive tactics may include exclusive dealing, where the dominant player binds other businesses into working exclusively with itself, or predatory pricing, where the dominant player sets extremely low prices to drive competitors out of the market.
Singapore has revised its International Arbitration Act in 2012, which is based on the Model Law on International Commercial Arbitration adopted by the United Nations Commission on International Trade Law. One of the objectives of this International Arbitration Act is to give effect to the New York Convention and Enforcement of Foreign Arbitral Awards.
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Parties are generally free to choose the procedure for arbitration in Singapore, including the rules which apply. However, the procedure they select must comply with any applicable mandatory rules and public policy requirements of the law of the place of arbitration. Below is a typical arbitration process.
The Companies Act provides for protection of creditors by its various capital preservation provisions, such as no sale of a business at an undervalue, preferring one creditor over another, and particularly in relation to M&A, provisions on the prohibition of financial assistance by a company to the acquirer in the purchase of its shares. The Competition Act prohibits mergers that have resulted, or expected to result in a substantial lessening of competition within any market of goods or services in Singapore. It is not mandatory to notify the Competition Commission of Singapore (the CCS) about a merger, however in order to avoid potential additional costs later in a M&A transaction, a party who is unsure whether a proposed acquisition is prohibited by the Competition Act may notify the CCS for preliminary ruling on whether the acquisition, if carried into effect, will infringe the provisions of the Competition Act. The Singapore Code on Take-overs and Mergers (the Take-over Code) applies primarily to the acquisition of 30% or more of the voting control of public companies. However, unlisted public companies with more than 50 shareholders and having net tangible assets of S$5 million or more must also observe, wherever possible and appropriate, the provisions of the Take-over Code as set out in its General Principles and Rules. Singapore is generally an open economy with minimal foreign ownership or investment restrictions when it comes to M&A. There are, however, statutes relating to some particular industries which govern take-over activity in Singapore. These restrictions limit the percentage of ownership or require prior regulatory approval for ownership in companies engaged in those industries. These industries are generally industries perceived to be critical to national interests, such as banking, finance, insurance and media. The Employment Act of Singapore is another piece of legislation that has to be taken into consideration in an M&A. When a business or part thereof is transferred from the Seller to the Purchaser, Section 18A of the Employment Act automatically operates to transfer the contracts of employment to the Purchaser. In addition, all the Sellers rights, powers, duties and liabilities under, or in connection with, the employment contracts of the employees, are transferred to the Purchaser and any act or omission done before the transfer by the Seller in respect of such contracts shall be deemed to have been done by the Purchaser. However, the Employment Act covers all employees, except those employed in a managerial or executive position. For such employees the contract will not be automatically transferred by law and the parties will have to negotiate the process.
No#ce of Arbitra#on
Oral Hearings
Filing of Pleadings
Closing Submission
Award
36 Carpenter Street Singapore 059915 T: (65) 6323 8383 F: (65) 6323 8282 E-mail: contact@cnplaw.com Website: www.cnplaw.com
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About Us
Established in 1988, Colin Ng & Partners LLP (CNP) is a full-service law firm with a talent for cross-border business. With more than 120 staff, including 50 lawyers, and a strong network of international contacts, the firm has the capability to deliver legal solutions in Singapore and beyond. Colin Ng & Partners is often commended by clients for its capital markets work IFLR1000
Counsel from both the United Kingdom and Australia. The increasing presence of global law firms and their participation in Singapores legal landscape also means that international parties have greater choice in selecting the best arbitrators to suit their needs. Parties also have complete freedom of choice of counsel in arbitration proceedings. All of Singapores leading firms have specialist arbitration practices to draw on for unique local knowledge and expertise. Further, foreign law firms are free to engage in and advise on arbitration matters in Singapore without restriction, whether or not they have an office in Singapore and whether or not they are able to practise Singapore law. Dispute resolution in Singapore is amongst the most cost-efficient in the world and is cheaper than in almost any other major centre of arbitration, including London and New York. Singapore received a significant boost as an arbitration venue in 2010 when Maxwell Chambers opened its doors as one of the worlds first and best-equipped dedicated venue for arbitration hearings. Maxwell Chambers also hosts a wide range of alternative dispute resolution organisations, all of whose services are available for international dispute resolution: the first Permanent Court of Arbitration in Asia, the Singapore International Arbitration Centre (SIAC), the Court of Arbitration of the International Chamber of Commerce, the London Court of International Arbitration, the Chartered Institute of Arbitrators, the Singapore Institute of Arbitrators, the Singapore Chamber of Maritime Arbitration, the International Mediation Institute, and the Centre for Effective Dispute Resolution. Most importantly, the Singapore courts keenly uphold party autonomy in arbitration. Specialist High Court judges preside over arbitration-
CNP is consistently recognised as being amongst the top law firms in Recommended law firm for Singapore by leading legal publications such as Asia Pacific Legal 500, Corporate/M&A International Financial Law Review 1000, Chambers and Partners and PLC WHICH LAWYER? AsiaLaw Profiles. Our services include admiralty & shipping, banking & finance, capital markets, corporate & M&A, commercial, employment, funds, insolvency & restructuring, intellectual property & technology, litigation & arbitration, private clients, real estate, and regulatory & compliance. Colin Ng & Partners deal with M&A work engaged in several table transactions, Advising clients from small and medium enterprises (SMEs) to large corporations ASIALAW PROFILES
We focus on business involving Asia, in particular China, Hong Kong SAR, India, Indonesia, Japan, Malaysia, Myanmar and the Philippines, as well as Singapore. Our lawyers are qualified in a number of jurisdictions as well Colin Ng & Partners team as in Singapore and advise on cross-border transactions under English law. has entrepreneurial spirit a n d a b ility to a d v ise o n The firm is a member of Interlaw, a network of high quality corporate, niche areas commercial independent law firms located in more than 100 cities CHAMBERS & PARTNERS worldwide.
Ranked in several With strong contacts in all the foreign jurisdictions where our clients do categories in business, CNP is well-placed to meet the ever increasing need for practical ASIA PACIFIC LEGAL 500 and effective legal services in Singapore and for cross-border business in Asia and beyond. ...dealing with acquisitions, disposals and joint ventures We make knowing our clients businesses our business and pride across the region. It attracts ourselves in providing innovative, yet practical and valuable advice. a varied client base through its strong international connections, and has notably been advising European clients on various M&A transactions CHAMBERS ASIA PACIFIC
related litigation. There is minimal intervention by the judiciary in the conduct of arbitration proceedings. The courts also readily assist arbitration efforts by granting interim orders, enforcing arbitral awards and providing relief in aid of arbitration in accordance with Singapores arbitration law. Mediation is another form of alternative dispute resolution which receives strong support from Singapores legal system. The Singapore Mediation Centre (SMC), the leading establishment for mediation in Singapore, boasts a settlement rate of 75%, with 90% of its cases settled within a day. Mediated settlement agreements are legally-binding contracts and enforced as such by the courts. The SMC also promotes and supports the Med-Arb process, a hybrid dispute resolution method that brings together the best of both mediation and arbitration processes. The SMC and SIAC are both also founding members of the International Mediation Institute, a charitable foundation tasked with the certification of mediators and the promotion of mediation worldwide. Centrally-situated in Southeast Asia, Singapore is a transport hub with 5,400 scheduled flights a week to 200 cities. Singapore is therefore the foremost choice of location for the resolution of international disputes. Arbitration work in Singapore also enjoys certain fiscal and other advantages. For example, the income derived by a non-resident arbitrator for arbitration work carried out in Singapore is exempt from tax, and non-residents are also exempt from work permits when providing arbitration and mediation services in Singapore. As for litigation, Singapores Supreme Court comprises highly-experienced judges with a wide range of commercial expertise drawn from both the public and private sectors. The litigation process is open, transparent and very fast. Disputes involving contested facts are disposed of on average within 1218 months of commencement. From the decision of a trial court, there is a right of appeal to Singapores Court of Appeal. It is able to hear and dispose of an appeal within a few months of the trial courts judgment. There is no possibility of any further delay through further appeals.
Singapore Law as the Choice of Law Singapore is an established common law jurisdiction whose law is based historically on the laws of England, but is unaffected by English laws harmonisation with European Union law. Singapore law is therefore easy to understand and familiar to international business. While Singapore laws foundations lie in English jurisprudence, it has over time developed its own distinctive jurisprudence. Singapores judges frequently draw on precedents from other common law systems such as England, Australia and New Zealand. Many of Singapores laws are also codified in statutes which judges interpret and apply in accordance with Singapores precedent-based common law system. Singapore thereby absorbs into its law the best practices and concepts from other mature legal jurisdictions. Singapore law is thus quick to evolve and recognise international and business practices as well as the commercial realities of the global economy. Singapore law is fair, predictable and pro-enterprise. It is not uncommon to find Singapore decisions being referred to in the judgments in the United Kingdom and other major legal jurisdictions. With the availability of many highly-regarded dispute resolution institutions housed here, Singapore is indeed the ideal venue, and Singapore law the corresponding ideal choice of law, for the efficient and reliable resolution of international disputes.
In addition, Singapore is a gateway for companies to file their IP across multiple jurisdictions, by virtue of its extensive international networks and collaborations with other IP offices. We have established Patent Prosecution Highways (PPHs) with four of the five major IP economies (the US, Japan, Korea, China), such that a patent application at one office can be fast tracked based on a corresponding application at another PPH-linked office. Within ASEAN, the recently-launched ASEAN Patent Examination Cooperation (ASPEC) programme is a regional worksharing programme that also allows for the acceleration of filing requests between Singapore and the 8 other participating offices (Brunei, Cambodia, Indonesia, Laos, Malaysia, the Philippines, Thailand, Vietnam). Singapores IP regimes are reviewed regularly to ensure that they remain progressive and business-friendly. Recent enhancements have been made to our patent regime to provide assurance of the high quality of patent filings in Singapore, through (i) the adoption of a positive grant system, and (ii) the establishment of a domestic search and examination (S&E) unit with specialised expertise in technology areas such as biomedical sciences, electronics and IT. Additionally, the patent agent sector will be liberalised to allow foreign patent agents to undertake offshore work, and hence assist clients to file patents across the globe, from Singapore.
1 Supreme Court Lane, Level 6, Singapore 178879 T: (65) 6332 4388 F: (65) 6333 1227 Website: www.sal.org.sg / www.singaporelaw.sg
The SingaporeLaw Committee is constituted under the auspices of the Singapore Academy of Law. For more information about Singapore law as a neutral governing law and Singapore as an alternative dispute resolution venue for cross-border transactions, please visit www.singaporelaw.sg.
Specifically, Singapores robust IP legislation provides for a high standard of protection for various types of IP, such as copyrights, designs, trademarks and patents. Singapore is fully compliant with the WTOs Trade-Related Aspects of Intellectual Property Rights (TRIPS) Agreement and is signatory to major international IP rights conventions and treaties. Singapore has also been consistently ranked as one of the top 3 countries globally, and top in Asia for IP protection by the World Economic Forum (WEF) since 2008.
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Singapore is also committed to grow and strengthen its IP workforce, as we recognise that having access to IP expertise and capabilities is crucial to support and drive IP activities across the value chain. The Intellectual Property Office of Singapore (IPOS) has invested S$65 million to ramp up IP manpower capabilities, and has developed the IP Competency Framework (IPCF) to orchestrate Singapores IP manpower development, which includes certification and training of IP professionals. IP Hub Master Plan The IP Hub Master Plan, announced on 1 April 2013, was formulated to build on our strengths and develop Singapore as a global IP hub in Asia in three strategic areas: (i) (ii) (iii) IP transactions and management, Quality IP filings, and IP dispute resolution.
Enhanced capabilities for companies to resolve their disputes more swiftly and efficiently in Singapore. There are ongoing efforts to strengthen the capabilities of Singapores IP Court, and collaborate with the Singapore International Arbitration Centre and WIPO Arbitration and Mediation Centre to deepen our IP arbitration capabilities. Singapore A Choice Venue for IP The rise of IP in Asia and the ongoing evolution of the global IP landscape present both challenges and opportunities for doing business in the region. As a global IP hub in Asia, Singapore aims to keep pace with these changes, and build itself as an attractive, trusted regional base where companies are able to harness IP for maximum strategic advantage.
The Master Plan translates into a vibrant IP ecosystem in Singapore for companies to protect, manage and monetise IP. Coupled with our connectivity and trusted position, it will strengthen our position as a Global-Asia hub, where companies can expand into the region. Master Plan initiatives which have been or will be rolled out in the near term include: An IP financing scheme to facilitate companies access to capital. For loans backed by patents as collateral, the Singapore Government will co-share risk with participating financial institutions. The Legal and IP Programme Office, an inter-agency set up to develop Singapores IP and legal sectors. It seeks to attract top international IP players to Singapores IP marketplace, to facilitate the trading, licensing and monetisation of IP.
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Contributed By: The Legal & IP Programme Office Singapore Ministry of Law 100 High Street #08-02 The Treasury Singapore 179434 T: (65) 1800 332 8840 F: (65) 6332 8842 E-mail: enquiry@knightfrank.com.sg Website: www.mlaw.gov.sg Singapore Economic Development Board 250 North Bridge Road #28-00 Raffles City Tower Singapore 179101 T: (65) 6832 6832 F: (65) 6832 6565 E-mail: enquiry@knightfrank.com.sg Website: www.sedb.com
ANPOWER
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MANPOWER
Employment Standards & Regulations
As Singapores primary asset is its highly educated and professionally qualified workforce, the government has gone to great lengths to ensure excellent employment standards and practices. To uphold the aforementioned standards, the Singapore government has tasked the following government organisations with regulating labour standards. They are: Ministry of Manpower (MOM) As the governing authority for Singapores workforce, Ministry of Manpower enforces the regulations and guidelines set forth by the Employment Act in order to ensure and maintain high standards on all aspects of employment. Workforce Development Agency (WDA) The Workforce Development Agency is the government-accredited agency that enables Singaporean employees to be up to date and current in their respective industries. The agency achieves this by making industry-accredited upgrading courses readily accessible to the workforce.
Termination of a contract of service can be effected either by the employer or employee. An employer cannot reject an employees resignation. Employees have the right to resign at any time by serving the required notice period or compensating the employer with salary in lieu of notice. Salary MOMs definition of salary covers all remunerations, including allowances payable to an employee, with respect to work done under the contract of service. It excludes accommodations, pensions, travelling allowance, gratuity payments upon discharge, as well as retirement and retrenchment benefits. There is no minimum wage/salary in Singapore. Salary is subject to negotiation and mutual agreement between the employer and employee. Frequency of Salary Payment Employees must be paid at least once a month. However, salaries paid at shorter intervals are allowed. All salary components must be paid within 7 days following the end of the salary period, with the following exceptions: Situation Salary must be paid Within 14 days after the end of the salary period On the last day of employment If this is not possible, it must be paid within 3 working days from the date of dismissal / termination.
Overtime Work Dismissal / Termination by Employer, if The employee is dismissed on grounds of Misconduct; or The contract of service is terminated by the employer. Termination by Employee, if The employee terminates the contract by resigning and has served the required notice period. Termination by Employee, if The employee terminates the contract by leaving employment without notice or without serving the required notice period.
Employment Act Coverage The Employment Act is Singapores primary labour legislation. The Act primarily covers every employee (regardless of nationality) who is under a contract of service in Singapore except: Any person employed in a managerial or executive position Any seaman Any domestic worker Any person employed by a statutory board or the government In 2013, junior Professionals, Managers and Executives (PMEs) earning a basic monthly salary of up to S$4,500 are covered partially on the basic payment of salary only. In view of their rising proportion in the workforce, PMEs will receive general protection from the Employment Act in 2014. Contract of Service & Termination A contract of service is defined by Ministry of Manpower as any written or verbal agreement (expressed or implied) that establishes an employer-employee relationship. The employer under the law is not allowed to change the terms and conditions of employment unless the employee agrees to it. Terms or conditions that are less favourable than provisions under the Employment Act are illegal, null and void. Essential clauses of contracts of service are: Commencement of employment, Appointment job title and job scope, Hours of work, Probation period (if any), Remuneration, Employees benefits (e.g. sick leave, annual leave, maternity leave), Termination of contract notice period, and Code of conduct
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Salary Deductions Employers are only permitted to deduct salaries for reasons stipulated under the Act, or by court order. Deductions that are permitted include: absence from work, damage or loss of goods entrusted to the employee, and recovery of advances (each instalment must not exceed 25% of salary due for salary period). The maximum amount of deductions should not exceed 50% of the employees total salary for a salary period.
Note: Compensation should generally be recovered directly from employees, rather than through a salary deduction.
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Contractual Hours of Work, Overtime, Rest Days, Public Holidays & Leave Employees covered under the Employment Act, section IV: Workmen earning not more than S$4,500 basic monthly salaries* Employees earning not more than S$2,000 basic monthly salaries* *The aforementioned salaries exclude overtime, bonus, Annual Wage Supplement, productivity incentives, and allowances.
Note: A proposed increase in the salary threshold of non-workmen to S$2,500 is expected to come into force in 2014
Rest Days A rest day (24 continuous hours) must be granted each week to the employee. A week is defined by MOM as a continuous period of seven days. Generally, a rest day is on a Sunday, but it may be any other day. Rest days should be made known to the employee at the beginning of each month. It is important to note that an employer cannot compel employees to work on their rest days, unless under exceptional circumstances. Payment for work done on a rest day as stipulated by MOM is as follows:
Contractual Hours of Work MOM defines hours of work as the period during which the employee is expected to carry out duties assigned by the employer, excluding rest and meal breaks. Under the Employment Act, an employee is not allowed to work more than 12 hours a day or more than 44 hours a week. Working Hours 9:00am to 6:00pm Lunch Break 1 hour Hours Worked for the Day 8 hours Hours Worked for the Week (assuming 5.5 day week) 8 x 5.5= 44 hours
Half Day or Less At employers request One days pay At employees request Half days pay
More than Half Day to Full Day At employers request Two days At employees request One days pay
If an employee works beyond the normal daily working hours on a rest day, he/she should be paid at least 1.5 times the hourly basic rate of pay. Public Holidays An employee is entitled to his/her gross rate of pay on a public holiday, provided the employee does not absent himself/herself from the work day immediately preceding or following a public holiday, without consent or reasonable excuse. An employee is not entitled to public holiday pay if he/she is on approved no pay leave. The rate of payment for overtime work beyond normal working hours on a public holiday shall be at least 1.5 times the employees hourly basic rate of pay. Leave Leave is an entitlement of an employee covered under the law. Types of leave covered are: Annual leave, sick leave, maternity leave, childcare leave, paternity leave, shared-parental leave, adoption leave, and infant-care leave. Employees are entitled to annual leave if they are covered under the Employment Act and have been working for at least three months. The minimum annual leave entitlement is 7 days, with increments of 1 day per year of service with the employer up to a cap of 14 days. If an employee has worked less than a year, his/her annual leave should be proportional to the number of completed months of service. Employees are entitled to 60 days of hospitalised and 14 days of nonhospitalised sick leave. Employers are legally obligated to bear the medical consultation fees of employees, if they have been employed for at least three months. For costs such as ward charges and medication, the employer is obliged to bear such costs in accordance with the medical benefits stipulated in the employees contract of service or the collective agreement between the company and union.
a. The limit of 8 hours a day may be exceeded when an employee is not required to work more than 5 days a week. However, the employee is not required to work for more than 9 hours a day or 44 hours a week. b. If the number of hours worked is less than 44 hours every alternate week, the limit of 44 hours a week may be exceeded in the other week. However, this must be stated in the contract of service and is subject to a maximum of 48 hours in one week or 88 hours in any continuous two-week period. A shift worker is allowed to work up to 12 hours a day, provided that the average number of working hours each week does not exceed 44 over a continuous three-week period. Generally, employees are not required to work more than 6 consecutive hours without a break, up to a maximum of 8 consecutive hours. As stipulated by MOM, breaks should be no less than 45 minutes. Overtime Overtime work for employees should not be more than 72 hours in a month, unless MOM grants special approval for this limit to be exceeded. Overtime pay is mandatory for a non-workman if his/her basic monthly salary is S$2,000 or less, and for a workman if his/her basic monthly salary is S$4,500 or less. Hourly and daily overtime pay calculations are listed by MOM. No less than 1.5 times the hourly rate should be paid for overtime. In 2014, the salary threshold of non-workmen will increase to S$2,500; however, the overtime rate will be capped at the salary level of S$2,250. The salary threshold for workmen remains at S$4,500.
There are 11 gazetted public holidays in Singapore: New Years Day Chinese New Year (two days) Hari Raya Puasa Hari Raya Haji Good Friday Labour Day Vesak Day National Day Deepavali Christmas Day
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Types of Employment Passes P Employment Pass A P Pass is given to a foreigner in a professional, managerial, executive or specialist position. The P Pass is further split into two categories according to different criteria. Accurate as at 1 July 2013:
A P1 Pass will be issued to the applicant if his/her fixed monthly salary is at least S$8,000, with acceptable qualifications. A P2 Pass will be issued to the applicant if his/her fixed monthly salary is at least S$4,500, with acceptable qualifications.
Q1 Pass The Q1 pass is meant for a foreigner whose fixed monthly salary is S$3,000 and above with requirements depending on his/her qualifications and experience.
Young graduates from good institutions can qualify if they earn at least S$3,000. Older applicants would have to command higher salaries to qualify, commensurate with the work experience and quality expected of them.
Personalised Employment Pass (PEP) While an individual employment pass is tied to an employer, the PEP allows its holder to remain in Singapore without a job for up to six months while evaluating employment opportunities. It is issued only once with a validity period of three years and non-renewable. PEP holders must earn at least an annual salary of S$144,000 in each calendar year of the PEP. S Pass A foreigner whose fixed monthly salary is at least S$2,200 is eligible for an S Pass. S Pass applicants will be assessed on a points system, taking into account various criteria such as salary, educational qualifications, skills, job type and work experience. Currently, the number of S Pass holders a company can employ is capped at a sub-Dependency Ceiling (sub-DC) of 15% of the companys total workforce in the Services sector and 20% in the remaining sectors. Work Permit A foreigner whose fixed monthly salary is not more than S$2,200 will need to apply for a Work Permit. The permit can be categorised into semi-skilled and unskilled depending on the educational level and industry sector the applicant is employed under. An employer that wishes to bring workers from North Asian Sources, Non-Traditional Sources and the Peoples Republic of China into Singapore needs to furnish a security bond of S$5,000 per worker, and pay foreign worker levies for them. Please refer to http://www.mom.gov.sg/foreign-manpower/passes-visas/employment-pass/beforeyou-apply/Pages/default.aspx for more information.
Working In Singapore
Foreigners entering Singapore to work must obtain a work pass from Ministry of Manpower in one of the following categories: Employment Pass (P Pass, Q1 Pass, PEP), S Pass and Work Permit.
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Foreign Worker Levy The number of S Pass holders and Work Permit holders that a company is allowed to hire is limited by quota (or Dependency Ratio Ceiling) and subject to levy. The levy rates vary across industries and are tiered so that those that hire close to the maximum quota will pay higher levies. In general, the more foreign workers a company hires, the higher its foreign workers levy rate and levy bill. The table below outlines the quota, levy rates and levy tiers for the different industry sectors. Overview of Foreign Worker Levy Changes till Jul 2015
1-Jul-13 Services Sector Levy ($) Skilled/ Unskilled 300 450 300/400 400/500 600 1-Jul-13 All Other Sectors (Manufacturing, Construction, Process, Marine) Basic Tier Tier 2 Basic Tier Tier 2 Tier 3 Basic Tier
MYE-Wavier MYE-Wavier
1-Jul-14 Levy ($) Skilled/ Unskilled 315 550 300/420 400/550 600/700 1-Jul-14 Levy ($) Skilled/ Unskilled 315 550 250/370 350/470 550/650 300/400 300/550 700/950 300/450 600/750
1-Jul-15 Levy ($) Skilled/ Unskilled 330 650 300/450 400/600 600/800 1-Jul-15 Levy ($) Skilled/ Unskilled 330 650 250/400 350/500 550/700 350/500 300/600 750/1050 300/500 600/800
DR
DR
DR
DR
Levy ($) Skilled/ Unskilled 300 450 250/350 350/450 550 250/350 300/450 600/750 250/350 550
DR
DR
MYE: Man-Year Entitlement, a work permit allocation system for workers from Non-Traditional Sources (India, Sri Lanka, Thailand, Bangladesh, Myanmar and the Philippines) and the Peoples Republic of China.
Contributed By: PayrollServe (The payroll and HR outsourcing division of the Chio Lim Stone Forest group)
8 Wilkie Road, #03-08 Wilkie Edge Singapore 228095 T: (65) 6533 7600 F: (65) 6594 7999 E-mail: info@payrollserve.com.sg Website: www.PayrollServe.com.sg
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EAL ESTATE
REAL Estate
Office Space
Singapore has a total office space supply of 78.2 million square feet1, with 45 per cent located within the Central Business District (CBD) the financial and commercial hub of Singapore. Local and foreign banks, multi-national corporations, and established professional services firms are attracted to the CBD because of its established business environment and easy access to public transportation, eating and shopping places. However, there are also companies that prefer to be located outside the CBD due to their different business needs. During your search for office premises, you may wish to take note of the following: Location The choice of location largely depends on individual business needs and activities. For example, financial institutions generally choose to stay within the financial community in Raffles Place or Marina Bay, while IT companies are clustered around the City Hall area. Many qualifying companies have relocated their back end operations to business parks located in areas such as Mapletree Business City, Harbourfront, Alexandra Business Zone and Changi Business Park. Other considerations include customers expectations, proximity to suppliers and location of key competitors. Accessibility Easy accessibility to public transport, especially train services is critical in staff recruitment and retention. At the same time, it is important to have eating places and other amenities within close proximity. Building Specifications The facade of the building is important for businesses where corporate image is critical. The buildings power supply capacity, air-conditioning systems, Internet connectivity, cable management, security system and car park provisions etc are also important considerations. Typical Office Lease Terms Rental The rental rate is usually quoted as gross rent, comprising a base rent plus service charge. Rent is paid either monthly or quarterly in advance. The rental is subject to Goods and Services Tax (GST) which is payable by the tenant. Service Charge The service charge ranges from S$0.80 to S$1.30 per square foot and is generally included in the gross rent. It covers air-conditioning during normal office hours, management and maintenance of common areas in the building. This is subject to adjustments if there are changes in the maintenance cost and such increases are payable by the tenants.
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Security Deposit A security deposit is usually payable upon confirmation of the lease and is refundable without interest at the end of the lease. The typical market practice is 3 months gross rent for companies with a paid up capital of S$100,000 and above and 6 months gross rent for companies with a paid up capital of S$100,000 and below. A bankers guarantee may be used as an alternative to cash deposit, subject to negotiation. Lease Period The lease period is usually 2 to 3 years with an option to renew at a rent to be agreed or reviewed according to the prevailing market rate. For multiple floor tenancies or anchor tenants, longer leases may be negotiated. Insurance Tenants are required to take up public liabilities insurance. Renovation Deposit Tenants are required to place a renovation deposit with the landlord to cover any damages caused to the common areas during the renovation period. This deposit is refunded without interest upon the completion of the renovation. Legal Fee It is common practice that tenants bear the landlords legal costs in relation to the preparation, negotiation and execution of the lease document. Stamp Duty Stamp duty is a tax on commercial and legal documents, which records and gives effect to transactions. It is payable by the tenants. Property Tax Property tax is payable by the landlord. However, when there is an increase in the property tax during the lease term, landlords reserve the right to collect this incremental tax from the tenants proportionately. Rent-free and Fitting Out Period Depending on the size of the premises and prevailing market conditions, the rent-free and fitting out period can range from 2 weeks to 3 months. Most landlords will waive the payment of service charge during this period although there may be exceptions. Utilities Tenants are required to make their own arrangements for utilities connection. Connection and usage charges are borne by the tenants.
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Air-conditioning Generally, the landlord provides air-conditioning during normal office hours, from 8am to 6pm on weekdays and 8am to 1pm on Saturdays. After office hours, air-conditioning can be provided by the landlord either at a lump sum or an hourly rate basis. Tenants may install their own auxiliary air- conditioning unit(s) by tapping into the buildings chilled or condenser water supply, subject to the landlords consent. Parking Season parking lots are allocated to tenants according to the total area leased at a monthly charge of approximately S$150 to S$250 for buildings outside CBD and S$250 to S$450 for buildings inside CBD. Maintenance Tenants are responsible for the renovation, repair and cleaning of the interior of the unit. The landlord carries out maintenance and repairs on the exteriors of the unit, including the common areas. Reinstatement Tenants are required to restore and reinstate the office premises to its bare and original condition upon the expiry of the lease.
Offices are generally located in city centres with stylishly designated offices close to major transportation hubs which enhances the business professional reputation
A team of staff employed to provide basic office services to keep the workspace running and organised
Networking Opportuntities
Network with other varieties of businesses residing in the same building
State-of-the-art Equipment
Intelligent facilities management systems, shared internet, telecommunications infrastructure, video conferencing equipment, TVs and photocopiers are available for office users
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Contracts Serviced Office Contract terms vary from offices provider to another. Most providers offer a minimum tenure of 24 months. All services are already included in the monthly rent, with a 5-star office environment with high quality furniture and IT infrastructure. On the other hand, human resources and meeting rooms are of a pay-as-you-go basis when your business requires it. Typical Virtual Office contracts require a minimum commitment period of three or more months and a security deposit of two or more months, though these criteria vary among service providers. Companies engaging the services of a Serviced and/or Virtual Office Solutions Provider should be prudent in obtaining the necessary specific information before leasing with the service provider.
Answering/Forwarding Services
Mail, courier, email, fax and phone messages can be managed and forwarded
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Industrial Space
Industrial buildings in Singapore are carefully planned and located in major industrial estates spread across the country. It is common for smaller spaces (floor plates of below 10,000 square feet) to be located near major residential estates. Whereas, spaces with larger floor plates are located at the island fringe as they are close to Singapores major export ports and a form of pollution control measures. Examples of such industrial estates include Jurong which is the largest estate situated at the western region of the island, Senoko to the north and Changi which is near the airport at the eastern end of Singapore. There are restrictions and covenants to the type of industrial activities that can operate in each estate. Each location has its advantages depending on your specific needs and trade. A professional property agent should be able to assist you in your site selection. Typical Industrial Lease Terms Rental The rental is usually quoted as gross, comprising a base rent plus service charge. Rent is paid monthly. GST is payable to all GST registered landlords. The base rent may vary according to the type of usage, location and building specifications. Service Charge The service charge usually ranges from S$0.15 to S$0.30 per square foot of the gross rent for non-air-conditioned building and approximately S$0.50 per square foot of the gross rent for airconditioned building. It covers management and maintenance of common areas in the building. This is subject to changes in the maintenance. Any cost increase is payable by the tenant. Security Deposit The amount of security deposit payable depends on the total lease term. For a 1 year lease term, the amount of security deposit will be 1 month gross rent. For a 2 year lease term, 2 months security deposit will be required. In some cases, landlords may request up to 6 months of security deposit. The security deposit is refundable without interest at the end of the lease, subject to the terms and conditions of the lease. A bankers guarantee may be an alternative to cash deposit, subject to negotiation. Lease Period The lease period is usually 2 or 3 years with the option to renew for another 1 to 3 years base on prevailing market rates. For lease of a sizeable area, land lords are open to longer leases subject to negotiation. Insurance and Fitting Out Deposit Throughout the duration of the lease, the tenant will be required to maintain adequate insurance coverage for fire and peril protection. The premium differs from building to building. It is also common practice for tenants to lodge a renovation deposit with the landlord to cover the costs of rectifying any damage caused by the contractor to common areas of the building. The deposit, after the deduction of costs for rectification (if any), will be refunded to the tenant upon the completion of fitting out.
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Renovation Costs Renovation costs are dependent on the clients specification and nature of business. It can vary significantly depending on the nature of the renovation works. However, average renovation costs for ancillary office space areas are as follows: Budget Range: S$30 to S$50 per square foot Medium Range: S$50 to S$75 per square foot High Range: S$75 per square foot or more These costs comprise partitions, false ceiling, air conditioning, simple furniture, designer and Rentfree and Fitting Out Period Depending on the size of the premises and the prevailing market conditions, the rent-free and fitting out period can range from 1 to 3 months and it is subject to negotiations. Utilities Fixtures for lightings and water supply (if any) within the unit are typically provided by owners but the tenant shall pay for the utility charges of electricity and water consumed within the unit. The tenant or the interior designer will be required to make arrangements for the connection of utilities. Charges incurred for connection and consumption are borne by the tenant through a direct account with the utilities company. Utilities such as electricity, water and gas are provided by SP Services. For Leasing cases, some landlords will collect deposit for Utilities, taking an average of 3 to 4 months of the tenants usage. Telecommunication services are provided by companies such as SingTel, Starhub and M1. Parking Season parking lots are allocated to tenants according to the total area leased at a monthly season charge of approximately S$120 to S$170 for multi-tenanted factories. For stand-alone factories, it is usually free of charge. Cars can also be parked in neighbouring buildings or public multi-storey car parks. Curb-side coupon parking is also available in certain areas. Maintenance Tenants are responsible for the renovation, repair and cleaning of the interior of the unit. Maintenance and repairs to the exterior of the unit, such as the common areas, are carried out by the owners or the Management Corporation (for multi-owner buildings). Reinstatement Normally, reinstatement (or restoring the unit to its original condition) is required upon termination of the lease. This is to be discussed and agreed upon by both parties at the start of the negotiation and will be indicated in the tenancy agreement. It is common market practice for the tenant to restore the unit to bare/original condition unless otherwise stated.
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Typical Industrial Acquisition Acquiring industrial land or facility in Singapore can be a complex process due to the various governing regulations industrialists have to comply to. Base on the industrialists trade of business and required space specification, our marketing professionals will source and recommend the most suitable site available. Once a site has been identified, we will assist in the negotiation of the sale price and sale terms between the seller and buyer. Our professionals will continue to offer our consultancy services to the respective parties in seeking the necessary approvals from the relevant governing authorities until completion of sale. These authorities include but are not limited to Jurong Town Corporation (JTC), Housing Development Board (HDB), National Environmental Authority (NEA) and etc.
Choosing The Right Industrial Real Estate Solutions For Your Business
When setting up operations in Singapore, finding the right real estate solution for your business is important. Industrial space in Singapore generally refers to non-commercial, non-retail business space such high-rise factories, warehouses, business park and science park space. Private developers in Singapore offer a wide range of industrial space options, from stack-up factories with dedicated loading bays, to spaces for wet labs and research activities. Government agencies such as the HDB and JTC Corporation also provide industrial land and space for companies engaging in high value-added industrial activities in Singapore. Before you start looking for a business space for your business, it is important to take note of the following: Understanding Business Space Zones Singapores Urban Redevelopment Authority (URA) introduced the impact-based zoning approach in 2008, which classified ready-built industrial space into the following zones, according to the land on which the building is built:
- - - Business 1 (B1): Space for clean and light industries as well as industrial activities that meet the nuisance buffer requirements of not more than 50 meters imposed by the relevant authority (e.g. National Environmental Agency). Business 2 (B2): Space for industries and industrial activities that are more pollutive in nature, where a nuisance buffer requirement of more than 50 meters will be imposed, and within health and safety buffers. Special industries including manufacturing of industrial machinery, shipbuilding and repairing may be allowed in selected areas, subject to evaluation by the relevant authorities. Business Park (BP): Space set aside for non-pollutive, high value-added and knowledgeintensive activities, such as research and development.
16 Raffles Quay #30-01 Hong Leong Building Singapore 048581 T: (65) 6222 1333 F: (65) 6224 5843 E-mail: enquiry@knightfrank.com.sg Website: www.knightfrank.com.sg
It is important to check with the landlord on the classification of the industrial space (i.e. B1, B2, or BP), and whether your intended business and industrial activities are eligible under that classification. Most ready-built industrial space is available for lease from private developers, or from government agencies (HDB and JTC Corporation). Land options are also available for companies looking to develop a customised manufacturing facility. These industrial land options can be zoned as B1 or B2, according to their impact on the environment. The Singapore Government usually clusters manufacturing facilities from a similar industry within a designated location, to generate potential cost savings and operational efficiencies through aggregation of services. Some specialised parks for designated industries include:
- Tuas Biomedical Park for manufacturing of pharmaceuticals, biologics, medical devices - Seletar Aerospace Park for aerospace manufacturing and assembly activities - Wafer Fab & Advanced Display Parks for electronics and display manufacturing related activities.
The Singapore Governments economic agencies do offer support to selected companies looking to site their high value-added industrial activities in Singapore. For companies who fit the criteria, they may be offered land sites at these designated locations. Companies can also approach a developer to manage the construction of their customised facility.
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Selecting the Ideal Location Non-pollutive industrial activities are generally allowed to be located near residential estates and at the city-fringe. Companies undertaking research and development activities may be attracted to one-north and Singapore Science Park as these are located in proximity to the National University of Singapore and various public research institutions. Many financial institutions have located their shared services and back-office operations in business parks such as Changi Business Park. The science parks and most business parks (e.g. Changi Business Park, International Business Park) are well-connected via major expressways and public transport networks such as the Mass Rapid Transit (MRT). Determining your Business Space Requirements Data centers tend to have specific infrastructure requirements, such as high ceiling height, more ancillary space for back-up power generators and dual electrical feed from 2 power substations. Wet lab research and development activities require space with provisions for duct space and floor traps. Manufacturers using heavy machinery would need to be in buildings with higher floor loading, higher clear ceiling height, sufficient cargo lifts, hoisting equipment and loading bays. Determine the type and specification of equipment, layout of operations, and any other technical space requirements (e.g. floor loading, clear ceiling height, column-to-column space, etc). Having such information on hand will the landlords to identify an appropriate space for your operations quickly. If you require assistance in test-fitting to optimise space efficiencies, landlords are also able to recommend reliable consultants to assist you in the process. If your company has short-to-mid-term expansion plans, you may want to take those expansion plans into consideration. Expanding within the same premises will give you the advantage of maximising operational efficiencies and better bargaining power when negotiating the rental rate with the landlord. Options for Business Space Financing Depending on your business strategy, capital and financing needs, you can opt to either lease, or purchase and own the space. Leasing can be a preferable option for businesses with limited investment capital or looking to preserve their cash to finance business activities. Leasing readybuilt facilities will allow you to start-up your operations faster. Ready-built space is generally available for lease for 3 years with an option to renew for another 3 years based on prevailing market rental rates. Flexible lease tenures may also be available eg. a 5-years lease + option to renew for 3 years, or a 5-year lease + option to renew for 5 years. Besides ready-built buildings, companies may also opt for greenfield build-to-suit solutions. These are solutions where a developer builds the new facility according to the companys specifications and structures a long-term lease structure for the company. While purchasing and owning your own business space offers you long-term certainty on real estate costs, it will require a significant upfront capital investment. For greenfield build-to-suit facilities, developers can provide turnkey solutions where they project management the entire design and construction process for a fee.
Partnering a Reliable Landlord It is also important to find a right landlord to be your partner. A landlord with proven track record in serving a diverse clientele of corporate customers multinational corporations, leading Asian companies and small & medium enterprises across different industries demonstrates its ability to service a broad range of businesses of different sizes. Besides strong financials, a reliable landlord should also possess the right capabilities to ensure your operational success. These include strong facilities management capabilities, good customer service solutions, and readily-available customer service platforms (e.g. 24x7 call center). If your company has plans for regional expansion, partnering a landlord with a strong portfolio of real estate solutions in Asia can be an advantage, giving you ready access to wide variety of space solutions across different markets.
Contributed By: Ascendas Pte Ltd
61 Science Park Road, #04-01 The Galen Singapore Science Park II Singapore 117525 T: (65) 6508 8790 F: (65) 6774 9842 E-mail: sgmarketing@ascendas.com Website: ascendas.com / spacetobe.com.sg
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To nurture and promote high-value growth clusters in Singapore, JTC plays the role of an industrial infrastructure developer, providing specialised and integrated infrastructure solutions that differentiate Singapore from other locations. One of these solutions is to cluster companies within the same industry sector in a specific location. Consolidating the activities and common facilities needed by the companies within a dedicated development helps to create synergies and collaboration opportunities amongst the companies. This would reduce operating costs through shared services or facilities, enabling industrialists to do more with less, and address cost barriers to growth. JTC will continue to plan and develop the next generation industrial parks and facilities to grow and sustain competitive industry clusters. CleanTech Park CleanTech Park, Singapores first eco-business park, provides a conducive environment and strong base for cleantech companies to expand and pursue growth. Locating various cleantech firms within the park also allows companies and research centres to leverage off each other thereby developing innovative cross-disciplinary and industry-relevant solutions. CleanTech One CleanTech One is the first building in CleanTech Park. The iconic CleanTech One will seed the growth of clean technology R&D, corporate HQ activities and other supporting industries in Singapore by clustering private companies alongside public research institutes to build an epi-centre for innovation through collaborations. CleanTech One welcomes not only cleantech companies but also companies that see value in focusing on green corporate social responsibility efforts and sustainability. CleanTech One aims to demonstrate that green features can be achieved without the high costs associated with being sustainable.
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CleanTech One affirms Singapores leadership aspirations in clean technologies and sustainable development solutions in the tropics. CleanTech One will push the boundaries of innovation by being a living laboratory to test-bed the next generation of eco-sustainable technologies and urban solutions. The 37,500 sqm multi-tenanted building, built on a 1.5 ha plot at CleanTech Park will anchor public research programmes providing synergies which will draw other private research companies at the forefront of clean technology R&D and innovation to site their facilities in CleanTech Park and encourage the test-bedding of new innovations, both for technologies undergoing research, as well as for first-implementer technologies. Gross Floor Area Key Customers 37,500 sqm DHI Water & Environment, Toray Industries, Pfizer, Nanyang Technological University (NTU)s Nanyang Environment & Water Research Institute (NEWRI), and the Energy Research Institute @ NTU (ERI@N), Solar Energy Research Institute of Singapore (SERIS) Opened in August 2013
Surface Engineering Hub The Surface Engineering Hub (SEH) is a high rise multi-tenanted facility located on a 1.88 ha site at Tanjong Kling. The development will host an integrated ecosystem of companies in the surface engineering industry, including surface finishers, equipment suppliers, chemical solution providers, and plating technology researchers. A key feature of the SEH is the centralised wastewater treatment plant that will not only reduce space requirements and upfront capital investment for tenants, but also allow them to accelerate the start up of their operations. Besides the treatment plant, the SEH will also house companies providing complementary support for testing and certification, chemical solution supplies and laboratories. Supporting many manufacturing operations in Singapore, surface engineering activities include electroplating, heat treatment, surface treatment and specialty surface finishing (otherwise known as coating).
Status
CleanTech Two The second building in CleanTech Park, named CleanTech Two, was designed to meet the demand from industry players who need flexible spaces that can accommodate both dry and wet laboratories for cleantech-related R&D activities. Located next to its first building, CleanTech One, CleanTech Two will offer 22,300 sqm of office spaces, laboratories and workshop spaces. CleanTech Two will host its anchor tenant, the Advanced Remanufacturing & Technology Centre (ARTC) and will be the epicentre for the growth of remanufacturing technologies which promote environmental sustainability for the manufacturing sector. ARTCs initiative underscores the compelling value of CleanTech Park in clustering knowledge activities to support sustainable development. Gross Floor Area Key Customers Status 22,300 sqm Advanced Remanufacturing Research Centre (ARTC) To be completed by 3Q 2014
20, 360 sqm Al-Tech Services, ITI Metal Finishing, NHM Electroplating and Stella Specialty Chemicals To be completed in early 2014
Small Footprint Standard Factories This next-generation standard factory located at Buroh Street is specially designed to house manufacturing activities previously operating on a single storey. With the same activities now spread over three storeys, factories now operate on a smaller footprint, thereby reducing the land area needed. With less land taken up, the Small Footprint Standard Factories (SFP) reduces business costs for industrialists and optimises the use of Singapores industrial land. The SFPs unique feature is its structural provisions which provide flexibility for industrialists to install their preferred choice of materials handling systems that best cater to their operational needs. This enables production activities that are traditionally carried out over a single floor to be integrated over multiple floors, without the need for the industrialist to further modify the building structures extensively. This helps the industrialist enjoy faster start up and also reduces their upfront capital costs. In addition, the design layout of the factory unit ensures that the production process is seamless and provides optimal flexibility for industrialists to further expand their business operations. Gross Floor Area Key Customers Status Ranging from 700 to 1,400 sqm per unit, 18 units in total Globaltronic Precision Pte Ltd, Hoshin Kenzi (S) Pte Ltd, and SingYaSin Holdings Pte Ltd Completed in July 2013
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MedTech Hub Located at Tukang Innovation Hub, the MedTech Hub is Singapores first dedicated development for the medical technology industry and is set to host an integrated ecosystem of local and international medtech companies. MedTech1 The 9-storey multi-tenanted MedTech1 will be the first building in MedTech Hub. It will house medical device manufacturers, suppliers and service providers in one location and offer shared services that support the industry including sterilisation and specialised warehousing and logistics services. The design and layout of the supporting services and ancillary facilities at MedTech1 are specially configured to meet the Good Manufacturing Practices (GMP) requirement which is critical to the medical device industry. Ancillary facilities that JTC will be building in MedTech1 include a series of both GMP and non-GMP corridors that will seamlessly connect manufacturing spaces and laboratories to the shared warehousing and logistics as well as the sterilisation facilities.
For more information on JTC and its products and services, please visit www.jtc.gov.sg.
The JTC Summit 8 Jurong Town Hall Road Singapore 609434 T: (65) 1800 5687000 F: (65) 6565 5301 E-mail: askjtc@jtc.gov.sg Website: www.jtc.gov.sg
RELOCATION
ELOCATION
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Ensure that you are adequately equipped to live in Singapore prior to the arrival of your belongings transported by the relocation company Obtain approved visa and work permit Have at least 6 months of passport validity before entering Singapore Resolve all outstanding taxation and legal matters in your home country Prepare personal Identification and Important Documents Confirm living and schooling arrangements for you and your family Bring along travel adapters or ensure your electrical items follow the British system Ensure that you are adequately equipped to live in Singapore prior to the arrival of your belongings transported by the relocation company
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The following items are prohibited into Singapore: Narcotic drugs and psychotropic substances; chewing gum and chewing tobacco; firearms, ammunition and firecrackers; obscene articles publications, video tapes, films and records; Certain breeds of pets and animals are not allowed in Singapore: Pit Bull, Neapolitan Mastiff, Tosa, Akita, Dogo Argentino
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Open a bank account Convert your foreign driving license if you are residing in Singapore for more than 12 months Report and file income taxes by 15 April of the following year if you are working in Singapore for more than 183 days Understand the Singapore culture and social norms
10 Hoe Chiang Road #22-01 Keppel Towers Singapore 089315 T: (65) 6827 6828 F: (65) 6827 6807 E-mail: ACCESSASIA@sbf.org.sg Website: www.sbf.org.sg/ACCESSASIA
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Land Area (Sq. km) 4,479,210.5 Total Population (2011) 602,658,000 Nominal GDP (2011) US$ 2.36 trillion US$ 3,909 (per capita) Total Trade (2011) US$ 2.39 trillion Major ASEAN Economies Indonesia (US$846.8b), Thailand (US$345.8b), Malaysia (US$287.9b), (2011 GDP) Singapore (US$268.0b), Philippines (US$224.3bb), Vietnam (US$123.3b)
ASEAN 2015 - ASEAN Economic Community (AEC) ASEAN envisions the creation of an integrated ASEAN economic community by 2015 to transform the region into the worlds next economic powerhouse. To reach its goal of regional economic integration by 2015, ASEAN is heading towards zero tariffs for most of the import duties among member nations, and seeks to create a highly competitive single market and production base in the near future. ASEAN Free Trade Area (AFTA) aims to support local manufacturing in all ASEAN countries, and increase ASEANs competitive edge as a production base in the world market through elimination of tariffs and non-tariff barriers within ASEAN. Under the current Common Effective Preferential Tariff (CEPT) scheme, ASEAN countries have sovereign discretion to impose tariffs on goods originating outside ASEAN, but are to apply a tariff rate of 0 to 5 per cent on goods originating within ASEAN. ASEAN also intends to increase its linkages with key external trading partners including Australia, New Zealand, China, India, Japan and South Korea through the Regional Comprehensive Economic Partnership, a Free Trade Agreement that will be concluded by end-2015.
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US$ 117.4b
US$ 114.1b
23.7% 3.1%
16.0%
17.6%
8.8%
4.7%
The state of Brunei, located on the northern coastline of the island of Borneo, boasts the second highest Human Development Index in Southeast Asia, after Singapore. The developed country is also one of the richest nations in the world due to its extensive petroleum and natural gas fields found off its coast. The International Monetary Fund (IMF) and World Bank have ranked Brunei Darussalam as the nation with the 5th highest Gross Domestic Product per capita at Purchasing Power Parity. Brunei Darussalam is one of the worlds major exporters of liquefied natural gas and petroleum. Land Area (Sq. km) 5,765 While a large portion of Brunei Darussalams Total Population (2011) 0.42 million GDP comes from the sale of natural gas and Nominal GDP (2011) US$ 16.4 billion US$ 38,703 (per capita) crude oil, the country is gradually diversifying its economy and encouraging entrepreneurship GDP Growth (2011) 2.2% and investment. Brunei boasts one of the lowest inflation rates in Southeast Asia and is one of the few countries to have no external debt. Brunei Darussalam and Singapore are close trading partners, and the Brunei dollar is exchangeable at par with the Singapore dollar.
(Source: ASEAN, IMF, World Bank, The Brunei Economic Development Board)
0.2% - 6.4%
81.2m
10.1%
156.3m
Invest In Cambodia
Land Area (Sq. km) 181,035 Total Population (2011) 14.52 million Nominal GDP (2011) US$ 12.8 billion US$ 879 (per capita) GDP Growth (2011) 6.4%
The Kingdom of Cambodia is a fast growing developing economy in Southeast Asia. Recent political and economic stability, low wages, abundant resources, favourable corporate taxes of 20% for most industries and tax holidays for certain investments have made Cambodia one of the most attractive countries in the region to invest in.
No Import & Export Duties No Sales Tax No Luxury Tax No Value Added Tax Easy Immigration & Working Visa Procedures Easiness to Obtain Land & Property Titles 100% Ownership for Selected Industries
Cambodias largest industries are garment manufacturing, tourism and agriculture. Cambodias garment industry plays a crucial role in Cambodias economy, accounting for more than 80% of the countrys export and 20% of GDP. Around 90% of the garment export-oriented factories are owned by foreign companies, and the industry continues to enjoy rapid growth today.
(Source: ASEAN, Ministry of Commerce- Cambodia, Garment Manufacturers Association in Cambodia)
Invest In Indonesia
An archipelago of more than 17,500 islands, Indonesia is the largest country in Southeast Asia. The fourth most populous nation in the world is also Southeast Asias largest economy. Indonesia is a fast developing region with numerous opportunities for investors, and businesses seeking expansion into Indonesia can capitalize on Singapores expertise as a Southeast Asian headquarter.
Land Area (Sq. km) 1,860,360 Total Population (2011) 237.67 million Nominal GDP (2011) US$ 846.8 billion US$ 3,563 (per capita) GDP Growth (2011) 6.5%
Amenities in the BBK Free Trade Zone International Airport Container Port 26 Industrial Areas 22 Banks 105 Hotels Batam Domestic Airport Container Port 5 Industrial Areas 15 Banks 7 Hotels Bintan Airport for Chartered Flights Seaport 4,000Ha of Industrial Area 8 Banks 57 Motels/Hotels Karimun
(Source: ASEAN)
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Invest in Myanmar
Myanmar is an untapped region of opportunity for companies seeking growth in new markets. Singapore is one of Myanmars largest trading partners and foreign investors, and companies based in Singapore can benefit from the Memorandum of Understanding (MOU) between the Singapore Business Federation (SBF) and Union of Myanmar Federation of Chamber of Commerce & Industry (UMFCCI). This MOU aims to confer Singapore parties with vital business knowledge and insights of doing business in Myanmar.
Land Area (Sq. km) 676,578 Total Population (2011) 48.34 million Nominal GDP (2011) US$ 54.4 billion US$ 1,125 (per capita) GDP Growth 6.0% (2012) 5.5% (2011)
The Lao Peoples Democratic Republic (Lao PDR) is a communist landlocked country in Indochina. The government of Laos has gradually decentralized its control and has been encouraging private enterprise since 1986. This has led to rapid development in the Lao economy.
Agriculture plays a vital role in the Lao economy. A third of Laos GDP is attributed to rice agriculture and the industry employs around three-quarters of the total workforce. The country is also heavily dependent on the export of capital-intensive natural resources. An increase in foreign direct investments in areas such as copper and gold mining, hydropower and construction has been noted in recent years.
International Enterprise (IE) Singapores recently opened Overseas Centre in Yangon will further facilitate trade and investment between Singapore and Myanmar. Interested Singaporebased companies seeking expansion into Myanmar can contact IE Singapore at www.iesingapore.gov.sg.
Invest In Malaysia
Comprising 13 states and 3 federal territories, Malaysia is Singapores closest neighbour and one of Singapores largest economic and trade partners. Singapore enjoys historic and close-knit relations with Malaysia. Land transportation to Malaysia from Singapore has been made possible through two land bridges - the Johore-Singapore Causeway and Tuas Second-Link.
(Source: ASEAN)
Land Area (Sq. km) 330,252 Total Population (2011) 28.96 million Nominal GDP (2011) US$ 287.9 billion US$ 9,941 (per capita) GDP Growth (2011) 5.6%
Iskandar Malaysia
Iskandar Malaysia is the main southern development region of the state of Johor in Malaysia. Capitalizing on its current synergies with Singapore, Iskandar Malaysia aims to complement Singapore as an economic hub. Three times the size of Singapore, Iskandar Malaysia attracts manufacturing and logistics companies seeking lower operations, labour and real estate costs given its close proximity to land-scarce Singapore. Iskandar Malaysia is located directly north of Singapore.
Land Area (Sq. km) 2,217 economic region will be boosted in future with the Encompassing Areas Johor Bahru, development of the Rapid Transit System and Kuala Pontian, Senai, Lumpur-Singapore High-Speed Rail, in addition to the Pasir Gudang, Senai International Airport in Johor Bahru and two road Nusajaya
The Republic of the Philippines is a fast growing newly-industrialized country and is one of the four Tiger Cub Economies with an exportdriven model of economic development. The second most populous nation in Southeast Asia is transitioning from agricultural-based economy to a manufacturing and servicesbased economy.
Primary exports from the Philippines include garments, semiconductors, electronics, coconut oil, bananas, sugarcane and other fruits. The countrys major trading partners are the United States, Japan, China and Singapore. The fastest growing industries in The Philippines include manufacturing and construction. English is an official language of The Philippines and, together with Filipino, is used in government and business activities.
(Source: ASEAN, CIA The World Factbook)
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Invest In Thailand
Land Area (Sq. km) 513,120 Total Population (2011) 67.60 million Nominal GDP (2011) US$ 345.8 billion US$ 5,116 (per capita) GDP Growth (2011) 0.1%
The Kingdom of Thailand is an emerging economy in Indochina and has the lowest unemployment rate in the ASEAN region. As one of the four Tiger Cub Economies, the Thai economy is heavily dependent on trade exports. Electronics, automotives and agricultural products form a major proportion of total Thai exports. Thailand is also one of the worlds largest exporters of rice.
While the agriculture sector employs nearly 40% of the Thai labour force, the manufacturing and services (finance, hotel and restaurants, education) industries form the bulk of the Thai economy. ASEANs second largest economy is also known for its well-developed infrastructure, pro-investment policies and free-enterprise practices.
(Source: ASEAN, Bank of Thailand, CIA The World Factbook)
Invest In Vietnam
Land Area (Sq. km) 331,051 Total Population (2011) 87.84 million Nominal GDP (2011) US$ 123.3 billion US$ 1,403 (per capita) GDP Growth (2011) 6.0%
The Socialist Republic of Vietnam, located on the eastern coastline of Indochina, is a rapidly developing socialist-oriented market economy. The economy has been rapidly industrializing over the years and the industrials and manufacturing sector currently represents more than 40% of Vietnams GDP. Foreign direct investment flows into Vietnam over the past 5 years have increased over four-fold compared to that of 2005.
ACCESSASIA@SINGAPORE
Singapore Business Insights Series
Customised learning programme for companies planning to set up in Singapore
The Singapore Business Insights Series aims to educate overseas business leaders on the drivers of Singapores economic success, business regulations and Singapore governments economic programmes. The training programme will leverage on sharing by industry practitioners, business leaders and academia. Contact us today to see how you can customise this programme for your top executives. Topics covered include: Singapore business regulations and legal requirements Singapore Governments economic and assistance programmes Industry updates Financing options Business leaders success stories Case studies & best practices workshop Site visits Networking with local companies
Major Vietnamese exports and industries include rice agriculture, coffee, rubber, food processing, garments and shoes.
(Source: ASEAN, CIA The World Factbook)
10 Hoe Chiang Road #22-01 Keppel Towers Singapore 089315 T: (65) 6827 6828 F: (65) 6827 6807 E-mail: ACCESSASIA@sbf.org.sg Website: www.sbf.org.sg/ACCESSASIA
ACCESSASIA@SINGAPORE is an initiative by Singapore Business Federation For more enquiries, contact us at ACCESSASIA@sbf.org.sg
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ASEAN 2011
Land Area 000 Sq km [4,435,674]
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ISKANDAR MALAYSIA
To the south of Singapore lies BBK, the most populated islands in the Riau Islands Province. Initially, Batam was developed as a competitor to Singapore. Over time however, the Indonesian authority perceived that it is more beneficial to leverage on the strong infrastructure and thriving economic performance of Singapore to develop islands like BBK into an industrial location. This position of BBK as an extension of Singapores production base facilitates the concept of Singapores economic restructuration program, shifting from labour-intensive industries to highly value-added industries. Such a strategy is thus advantageous for both parties which are of close proximity. Singapore remains as a destination for highly value-added investments, serving as a centre for advanced tertiary services. On the other hand, BBK, with its abundant resources, benefits as a choice location for labour and/ or land intensive industries. By expanding its economic space into BBK, businesses can have greater productivity and cost effectiveness. They will also have increased accessibility to countries such as USA, China, Europe, and Japan due to BBKs strategic location.
Special Incentives Over the years, various investment packages and assistance schemes have been offered by investment facilities and the government to encourage foreign investment in Indonesia. In particular, BBK has been identified as a zone of priority in this development. In 2007, the parliament of Indonesia passed a new Investment Law. This implementation increases the ease of investing in Indonesia by simplifying regulations for investment, increasing the protection of investment and property rights, and providing a host of incentives. Examples of these incentives include tax exemptions, capital allowance of up to 5% per annum, reduced withholding tax of 10% or lower on dividends paid to overseas tax payers. BBK is also established as one of the Special Economic Zones Policies (SEZz) in partnership with Singapore. The objective of SEZz such as free trade zones and bonded zones is to attract foreign investments by providing investors with fiscal support and permission for complete ownership. This status abolishes import taxes, customs and excise duties, value-added tax and luxury goods sales tax (The Economist Intelligence Unit, 2008).
With its strategic location and abundant resources, Iskandar is an ideal destination to complement Singapore as a business location. This opportunity is made further favourable with the seamless accessibility and various incentive supports available. Iskandar is located just north of Singapore. It features five development zones and 2,200 square kilometres of land, approximately thrice the size of its neighbour. In addition, the cost of industrial land and labour is approximately 10 to 20 times lower in Iskandar than in Singapore, despite having increased over the past 6 years. These factors offer savings to businesses by providing more cost effective alternatives. As such, businesses can site their headquarters and higher-value functions in Singapore whilst tapping on Iskandar for manufacturing and production operations. This provides the opportunity to maintain a shop front in the citystate and also benefit from Iskandars abundance of land and labour, thus allowing companies to attain the best of both worlds. Singapore companies have set up over 300 manufacturing projects in Iskandar since 2006, according to Malaysian Investment Development Authority figures. This amount is set to rise as Iskandar is forecasted to reach its tipping point in 2014 after the completion of key catalyst developments and infrastructure improvements.
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The ACCESSASIA@SINGAPORE programme* is an initiative by Singapore Business Federation that provides a single point of entry for foreign enterprises to access Asia through Singapore. The programme allows you to tap on the expertise of leading professional service providers combined with a suite of one-stop services and wide networks to support business start-ups and expansion into the region.
Banks
Strategic Partners
Corporate Advisory
Legal
*Eligible for foreign enterprises interested to leverage Singapore as their business hub in Asia (Non-Obligatory. Terms & Conditions Apply.)
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Company Profile |X
Ascendas is Asias leading provider of business space solutions with more than 30 years of experience across the region. Based in Singapore, Ascendas has built a strong regional presence and serves a global clientele of over 2,400 customers in 30 cities across 9 countries including Singapore, China, India, South Korea and Australia. Ascendas specializes in masterplanning, developing, managing and marketing IT parks, industrial & logistics parks, business parks, science parks, hi-tech facilities, office and retail space for a host of industries. Leveraging on its track record and experience, Ascendas has introduced new business space concepts such as integrated communities and solutions which seamlessly combine high-quality business, lifestyle, retail and hotel spaces to create conducive human-centric work-live-play-learn environments. Its flagship projects include the Singapore Science Park and Changi City@Changi Business Park in Singapore, International Tech Park Bangalore in India and Dalian-Ascendas IT Park in China. Ascendas provides end-to-end real estate solutions, assisting corporate customers through the entire real estate process. In November 2002, Ascendas launched Singapores first business space trust, Ascendas Real Estate Investment Trust (A-REIT), and in August 2007, Ascendas India Trust (a-iTrust) was launched as Asias first listed Indian property trust. In July 2012, Ascendas listed Ascendas Hospitality Trust (A-HTRUST), which comprises a portfolio of 10 quality hotels in China, Japan and Australia. Besides managing listed real estate funds, Ascendas also manages a series of private funds with commercial and industrial assets across Asia.
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ANZ is one of the worlds 25 largest listed banks and Australias leading bank in the Asia Pacific. Operating in 33 markets and serving over 9 million customers worldwide, ANZs extensive network and local connections are a vital advantage for clients doing business in the region. In Singapore, ANZ has a Qualifying Full Bank license offering a full range of banking solutions covering institutional, commercial, retail, wealth and private banking. Our Commercial Banking arm provides a suite of relationship lending, trade finance, cash management and foreign exchange capabilities along with a full range of corporate and structured finance products. ANZ Singapore plays an important role in the banks wider super regional strategy to support businesses in Singapore and to connect customers with each other and with markets across the region.
Established in 1988, Colin Ng & Partners LLP (CNP) is a Singapore law firm with a talent for crossborder business. With more than 125 staff, including 50 fee-earners, and a strong network of international contacts, the firm has the capability to deliver legal solutions in Singapore and beyond. We have what it takes to provide exceptional service to all our clients. CNP is consistently recognized as being among the top full-service law firms in Singapore by leading legal market publications such as Asia Pacific Legal 500, International Financial Law Review 1000, Asialaw Profiles and Chambers Asia. Besides our legal services, we also supervise companies listed on Catalist in Singapore to ensure compliance with their listing obligations pursuant to the Catalist rules. Catalist is a sponsorsupervised board modeled on the Alternative Investment Market of the London Stock Exchange. Colin Ng & Partners LLP is the Singapore member of Interlaw, a global network of high quality corporate, commercial independent law firms located in more than 100 cities worldwide. Core Products/ Services Our areas of expertise include the following areas: Admiralty & shipping, banking & finance, capital markets, corporate & M&A, commercial, employment, funds, insolvency and restructuring, intellectual property and technology, litigation and arbitration, private clients, real estate, regulatory and compliance and regional and crossborder transactions.
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JTC Corporation
Address: The JTC Summmit 8 Jurong Town Hall Road Singapore 609434 T: +65 1800 5687000 F: +65 6565 5301 Email: askjtc@jtc.gov.sg Website: www.jtc.gov.sg
Janus Corporate Solutions is a leading Singapore-based corporate services firm that can be your one-stop partner for starting and managing a business in Singapore. The Janus team consists of seasoned professionals with extensive experience in the countrys legal, financial, tax and regulatory frameworks. Our aim is to build a lifetime relationship with you by ensuring that you receive the highest quality service each and every time you interact with us. Specifically, we can provide the following services for SMEs: Incorporation of local companies Registration of subsidiaries and branch offices of overseas companies On-going statutory administration of companies Bookkeeping and payroll services Tax filing for companies and individuals Application for work passes for expatriate staff and business owners Application for business licenses Other related corporate services We offer clear and concise explanations of all your compliance requirements. Combined with our standardized operating procedures and personalized approach, we provide timely and accurate service to ensure that your business needs are well met. To learn more about doing business in Singapore and our services, please visit our website at www.guidemesingapore.com.
JTC Corporation (JTC) is Singapores leading industrial infrastructure specialist spearheading the planning, promotion and development of a dynamic industrial landscape. JTC has played a key role in the growth of the Singapores economy by pioneering cutting-edge industrial real estate solutions. Some of its landmark projects include CleanTech Park, a chemicals hub on Jurong Island, Jurong Rock Caverns, Seletar Aerospace Park, and Tukang Innovation Park. In JTCs portfolio are other key projects including wafer fabrication parks, business parks, Biopolis and Fusionopolis at one-north, biomedical parks as well as logistics hubs for various industries. These industrial and business parks are now home to renowned global companies and promising local enterprises. As Singapore transforms itself for the future, JTC, as the industrial infrastructure innovator, will partner with its customers to understand their evolving needs and develop appropriate futureready infrastructure solutions. JTC will continue to break new ground and expand its innovation capacity to offer infrastructure facilities of a calibre that sets the city state apart as an investment location.
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Established since 1940, Knight Frank Singapore has developed into one of the countrys leading real estate consultancy firms with a powerful team of property professionals, most are locals who operate at national and international level. Knight Frank Singapore provides a full suite of real estate services in both commercial and residential property markets. Today Knight Franks global network, including US based Newmark Knight Frank, encompasses 370 offices in 48 countries across six continents. More than 13,700 professionals with a turnover of over $600m worth of commercial, agricultural and residential property annually, advising clients ranging from individual owners and buyers to major developers, investors and corporate tenants. Knight Frank stands for the highest standards of quality and integrity in global property transactional, management and advisory services. Our reputation for uncompromising professionalism in everything we do is earned day in and day out serving our clients and earning their trust. Our array of services - Residential Services - Project Consultancy & Marketing - Leasing - Prime Sales - International Project Marketing - Knight Frank Property Network - Investment & Capital Transactions - Commercial Sale - Industrial - Retail Services - Knight Frank Shopping Centre Management - Knight Frank Estate Management - Advisory Services Valuation, Consultancy & Research - Office Leasing - Auction
Mah Sing is proud to be recognized as A Premier Lifestyle Developer, a reputation built based on continuous effort, originality and dedication. Incorporated since 1991 and listed on the Main Market of Bursa Malaysia, Mah Sing Group Berhad is Malaysias leading property developer with well diversified property development portfolios of residential (landed and high rise), commercial and industrial properties in strategic locations. Up to date, the Group has 44 projects spread throughout Malaysias most exciting property hotspots, namely Greater Kuala Lumpur and the Klang Valley, Johor Iskandar Malaysia, Penang and Kota Kinabalu, Sabah. So far, the Group has successfully completed 9 projects with remaining Gross Development Value (GDV) and unbilled sales of RM27.86bn and remaining land area of 1,391acres. Branding our development begins when we differentiated our product offerings to serve property buyers from different market segments. Names synonymous with Mah Sing brand to name a few are Perdana, Legenda, Residence, Icon, M series, Plaza series, Meridin and iParc series. Regardless of the product series, all our products carry hallmarks of innovative designs and quality finishes, majestic grand entrances, security, extensive landscaping and greenstreet concept. Emphasis is also placed on exemplary customer service as we believe in the creation of a conducive & safe living environment by providing and maintaining parks and facilities and in ensuring effective security. We will continue to build eco-sensitive and environmentally friendly developments so that our homebuyers can enjoy life amidst greenery, in harmony with nature. In delivering our projects and running our business, we are aware that quality standards are important, and that is why we have adopted the CONQUAS standards for both residential and commercial projects, and we are ISO certified. The Groups ultimate objective goes beyond just the structures that we build, they incorporate the communities that utilize them. Our commitment to build a strong bond with the community has led us to set up our charity arm, Mah Sing Foundation to aid and benefit the less privileged. The Groups principal activity is in property development. Apart from the core business, the Group is also involved in plastic manufacturing and trading in Malaysia and Indonesia.
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MAZARS LLP
Address: 133 Cecil Street #15-02 Keck Seng Tower Singapore 069535 T: +65 6224 4022 F: +65 6225 3974 Email: contact@mazars.com.sg Website: www.mazars.sg Executive Contact: Chris Fuggle Director of Outsourcing, Asia Pacific Email: chris.fuggle@mazars.com.sg DID: +65 6224 4022
Mazars is an international, integrated and independent organization. Our integrated partnership spans five continents and enables us to offer local expertise, coordinated on a local or a global basis. We are also a founding member of the Praxity alliance, which extends our service coverage to 30,000 professionals in 92 countries. Mazars in Singapore specialises in audit, accounting, tax and consultancy services. Our clients benet from the combined expertise of 150 Singapore-based professionals and our international team of 13,500 professionals in 71 countries. To support our International Clients we offer Chinese, French, Japanese and US Desks. Our language capabilities include English, Mandarin, Cantonese, Tamil, French, Filipino, Japanese, Bahasa Malay, and Bahasa Indonesian. Mazars unique integrated model is dedicated to guaranteeing responsiveness and consistent quality of service to our clients. We are one global partnership, sharing cohesive values that bind different cultures.
RSM Chio Lim LLP is the largest accounting and business advisory group outside the Big 4 in Singapore, with a staff strength of over 760 in Singapore and 320 across six key cities in China. Established for more than 25 years, our reputation is built on technical competence, proactive client servicing and a commitment to uncompromising integrity, professionalism and high standards of service. We are one of the first accounting firms in Singapore to be ISO 9001:2008 certified in 1997. Since 2006, we have been ranked as a leading tax firm in Singapore in World Tax, a Euromoney guide to the worlds leading tax firms. We are also a leading player in the IPO market as Reporting Accountants. RSM Chio Lim LLP is the Singapore member of RSM International, the worlds seventh largest network of independent accounting and consulting firms, with over 700 offices in more than 100 countries. We assist foreign investors keen on investing in this region by: Hand-holding and assisting them to manage, negotiate and enter the desired markets Providing advice on regulatory, financial and tax issues Facilitating the process of setting up business here
Core Products/Services Our expertise covers the following areas: Cross-border Investment Advisory, International Tax Advisory, Company Formation Services, Business Support Services Accounting, Payroll, Managed Services, IT Services, Public Accounting, Corporate Advisory, Governance, Risk & Consulting, Mergers & Acquisitions Advisory, China Practice, Japanese Desk
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The Singapore Academy of Law (The Academy) was established by the Singapore Academy of Law Act (Cap. 294A) in 1988. Over the years, the Academy has evolved from a membershipbased body to a service-based institution. Today, we have close to 10,000 members comprising all persons who are called as advocates and solicitors of the Supreme Court, members of the Singapore Judiciary and Legal Service officers, corporate counsel and faculty members of law schools. The Academy is governed by the Senate which is headed by the Honourable the Chief Justice Sundaresh Menon as President. The Vice-Presidents of the Academy are the Honourable AttorneyGeneral Steven Chong, SC; the Honourable Judge of Appeal Justice Chao Hick Tin; the Honourable Judge of Appeal Justice Andrew Phang Boon Leong; the Honourable Judge of Appeal Justice V K Rajah; President of the Law Society of Singapore, Mr Lok Vi Ming, SC; Dean of the Faculty of Law of the National University of Singapore, Professor Simon Chesterman; and Dean of the School of Law of Singapore Management University, Professor Yeo Tiong Min, SC (honoris causa). The Senate also comprises the High Court Judges, the Solicitor-General, academia and the practising profession. The work of the Academy is focused on three key areas: supporting the growth and development of the Legal Industry; building up the intellectual capital of the legal profession by enhancing Legal Knowledge; and improving the efficiency of legal practice through Legal Technology. The work of the Academy is driven by these three core mandates. This in turn is directed towards raising the standard and quality of legal practice and building a strong and dynamic legal community in Singapore. Members are kept updated on the latest developments impacting the profession, through a series of continuing legal education programmes which the Academy organises every year. The Academy also supports research into law reform and legal heritage. It is the official law reporting agency in Singapore and is actively engaged in the publishing of other legal texts. On the technology front, the Academy is responsible for the development and management of LawNet, an IT portal which provides users instant access to a wide range of legal information and transactional databases. Under its SingaporeLaw initiative, the Academy actively promotes the use of Singapores legal and dispute resolution services to the region. A subsidiary of the Academy, The Singapore Mediation Centre, focuses on providing commercial mediation services and conducts mediation training workshops both locally and regionally.
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The Legal & IP Programme Office (Legal & IP PO) is jointly set up by the Ministry of Law and Singapore Economic Development Board, and is committed to grow Singapore as an international legal services and intellectual property (IP) hub. The Legal & IP PO will work closely with relevant agencies to oversee the industry development of Singapores legal services and IP sectors. Key partnering agencies are: The Legal Industry Division (LID), Ministry of Law The IP Policy Division (IPPD), Ministry of Law The Intellectual Property Office of Singapore (IPOS) Professional Services, Singapore Economic Development Board Core Products/Services The Legal & IP PO supports legal firms, legal associations, IP service providers, and corporate/IP counsel with an interest in Singapore. Its activities include engagement with industry stakeholders, facilitating their setup and operations in Singapore, and the development and implementation of relevant industry strategies. For enquiries, contact Ms Alice Yeo at alice_yeo@mlaw.gov.sg.
WISENET ASIA PTE LTD is the preferred one-stop talent solution provider in Asia that provides a full range of flexible recruitment and human resource solutions to meet your staffing needs. Our mutually beneficial approach, research-driven methodology and ever-growing network of contacts are what make us the preferred executive search partner of choice for many of our clients. With our extensive training, qualified experience and in-depth market understanding of the industries that we work in, our executive search team strives to create the ideal match for both our clients with specific requirements of the talent to hire; and the professional candidates who are in search of the perfect job position. . This ability of ours to identify, assess and attract the right fit over the years has enabled us to become the preferred executive search firm of multinational companies across the world who trust in our quick and effective human resource solutions in changing industry environments. Besides providing career opportunities in Singapore,our specialty lies in executive job searches and solutions, providing both Retained Search and Contingency Search, for senior managerial positions in Real Estate & Property Development and Banking, Finance & Investments in Asia.
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www.mazars.com - www.mazars.sg