About Sole-Proprietorships or Partnerships
A popular choice of entity among the micro or small scale businesses and is to be renewed annually. Registration process is easy and the maintenance of the entity is kept to the minimal. It is not a separate entity hence it’s business liabilities are not limited. Owners are responsible and accountable under personal level and personal liabilities are unlimited. Businesses are being classified into different categories as stated below:
A sole-proprietorship is a business owned by one person or one company. There are no other partners. The sole-proprietor has absolute say in the running of the business.
A partnership is a business firm formed by two to twenty partners. Once there are more than twenty partners, the partnership must be registered as a Company under the Singapore Companies Act, Cap. 50. Partnerships are required to enter a Partnership Agreements to clearly state the terms and conditions of the business, such as the percentage of capital contribution.
Statutory and Regulatory Compliance
The Business is required to have at one local authorised representative if the sole proprietor or all the partners are residing outside Singapore. Business is required to renew its registration annually or three years in advance. Business is required to keep its accounting records but need not file its returns with the Accounting and Corporate Regulatory Authority of Singapore (ACRA). Below are some of the standard changes that are required to inform the Accounting and Corporate Regulatory Authority of Singapore (ACRA):
- Change of Business Name
- Appointment and Changes in Officers of the Business (Owners/Partners/Authorised Representatives)
- Changes in Particulars of Officers of the Business (Owners/Partners/Authorised Representatives)
- Change in Registered Office Address
Processing and filing agent
We act as a Filing Agent on behalf of our Clients in any transaction with ACRA using Bizfile+ or any other means permitted or directed by ACRA if Bizfile+ is unavailable in regards to any Businesses updates.
In compliance with the rules and regulations of maintenance of statutory records as required by the Singapore Business Registration Act, AcceServ provides Clients with proper documentations in compliance with the Singapore Business Registration Act. Below are some required statutory records to be kept by the business:
- Registration Confirmation/Renewal Notices
- CPF Medisave Top-Up Renewal Confirmation
- Partnerships Agreement, if applicable
- Management Accounts
Deregistration / Closure
Closure of Business for sole-proprietor or partnerships is straight forward. Owner/Partners are to agree with the cessation of the business. An application of cessation of business can be filed with the Accounting and Corporate Regulatory Authority of Singapore (ACRA). Alternatively, ACRA may cancel the registration if it is not renewed annually by the Owners/Partners. Owners/Partners are to ensure that their up to date profits have been reported to the Inland Revenue Authority of Singapore (IRAS).