Setting Up a Holding Company in Singapore:
A Complete Guide
This guide is the second part of our two-part series on Singapore holding companies.
- Part 1 covers the strategic and tax benefits of using a Singapore holding company, including real-world use cases and international tax planning benefits.
- Part 2 (this guide) focuses on the practical side of setting up and running your holding company in Singapore from legal requirements and compliance obligations to common challenges like bank account opening and building real substance.
If you are considering a Singapore holding company structure, reading both parts together will give you a complete picture: first the “why” (Part 1) and then the “how” (Part 2).
Table of Contents
Key Takeaways on Setting Up a Singapore Holding Company
Minimum Requirements to Register a Holding Company in Singapore
Planning Checklist for Setting Up a Holding Company
How to Set Up Your Holding Company in Singapore
Opening a Bank Account for Your Singapore Holding Company
Compliance Obligations for Holding Companies
Frequently Asked Questions (FAQs)
Key Takeaways on
Setting Up a Singapore Holding Company
The minimum requirements to register a Singapore holding company are simple: at least one shareholder, S$1 paid-up capital, one local director, a company secretary, and a registered local address.
The incorporation process is quick: KYC and document preparation takes 2–3 days, name approval usually less than a day, and ACRA registration about 1 day.
Tax basics: no capital gains tax, dividends from Singapore companies are tax-exempt, certain foreign dividends may also qualify, and Singapore’s extensive tax treaty network helps avoid double taxation.
Plan your group structure from day one: decide which entities, IP and other assets the holding company will own, how profits will flow, and where key functions will sit.
Bank account opening with a Singapore bank is often the toughest step. Many founders start with a digital account, then improve approval chances by showing real activity and governance in Singapore.
Substance matters for both banking and tax benefits. Having active local directors, board meetings in Singapore, staff or office space, and documented decision-making strengthens your case with banks and tax authorities.
Minimum Requirements to Register a Holding Company in Singapore
1 shareholder
Minimum Paid-Up Capital
Resident Director
Local Company Secretary
Registered address
Planning Checklist for Setting Up a Holding Company
1. Decide if a holding company
is right for you
Singapore’s tax benefits such as the Foreign-Sourced Income Exemption (FSIE) and double tax treaty access often require demonstrating real management and control in Singapore.
Failing to meet substance requirements (e.g., no local directors, no local decision-making) could result in:
- Loss of treaty benefits.
- Tax on foreign-sourced income in Singapore.
- Challenges from other tax authorities alleging treaty abuse.a
2. Establish the group structure
Clarity at the start will prevent costly restructuring later.
- Map out parent-subsidiary relationships across countries.
- Decide how IP, financing, or shared services will flow through the holding company.
- Ensure alignment with tax, investment, and long-term exit plans.
3. Prepare for bank account opening
For a successful outcome of bank account opening application, preparation is key:
- Gather director and shareholder KYC documents in advance.
- Be ready with a clear business plan explaining the group structure and purpose of the holding company.
- Consider starting with a digital bank account, and ensure you build a strong case before approaching traditional Singapore banks.
4. Set up a compliance calendar
- Annual Return filing with ACRA.
- Corporate Income Tax filing with IRAS.
- Consolidation requirements (if the group exceeds thresholds).
5. Plan for ongoing administration
- Decide who will handle accounting consolidation, if needed.
- Ensure all intercompany loans or dividends are properly documented for transfer pricing.
- Schedule annual reviews with your service provider to keep the structure aligned with your goals.
How to Set Up Your Holding Company in Singapore
1. Engage an Incorporation Team
2. Choose a Company Name
3. Provide Company Details
4. Company Incorporation with ACRA
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Setting Up a Holding Company in Singapore?
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Opening a Bank Account for Your Singapore Holding Company
Traditional Singapore Banks
- High scrutiny for holding companies with no local presence.
- Require extensive documents: ownership charts, business plans, source of funds.
- Approval is more likely if the company hires staff, signs contracts, or rents office space in Singapore.
Digital & Fintech Accounts
- Very useful and preferred option for early-stage operations and as an alternate banking option.
- Approval is much quicker that traditional banks.
- Providers like Wise, Airwallex, and Aspire offer multi-currency accounts with faster onboarding.
Offshore Banking Options
- Jurisdictions like Hong Kong, Dubai, or Mauritius may be more open, especially if the company has genuine business links.
- Still subject to AML/KYC checks and added cross-border compliance.
Compliance Obligations for Holding Companies
Standard Compliance Checklist for Holding Companies
Annual Return (AR) with ACRA
Annual General Meeting (AGM)
Statutory Registers
Accounting Records & Audit
Tax Filings with IRAS
Compliance Calendar for Singapore Holding Companies
| Requirement | Deadline / Frequency | Notes |
|---|---|---|
| Annual General Meeting (AGM) | Within 6 months after FYE | Exempt for small companies; resolutions can replace meetings |
| Annual Return (AR) to ACRA | Within 7 months after FYE | Must be filed even if dormant |
| Estimated Chargeable Income (ECI) | Within 3 months after FYE | Required unless IRAS waives; details in Tax section |
| Corporate Tax Return (Form C-S / C) | By 30 Nov (paper) or 15 Dec (e-file) each year | Nil return accepted if no income |
| Statutory Registers | Ongoing | Must update within 30 days of any change |
| Accounting Records | Ongoing | Keep for at least 5 years, even if dormant |
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I have been thoroughly impressed with the team at Corporate Services and their advice, organization, and punctuality for my company incorporation and EP application. Their systemized workflow ensured I was fully aware of the status of my application at all times. Besides, the team was quick to respond to all of my queries. I would and have already recommended their services wholeheartedly.
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Founder, HOLMWOOD INVESTMENTSNext Steps
A Singapore holding company can be an excellent vehicle for entrepreneurs and investors seeking to manage regional or global operations efficiently. With its robust legal framework, extensive tax treaty network, and strong reputation as a trusted business hub, Singapore continues to be one of the world’s most attractive jurisdictions for holding structures.
This two-part guide has walked you through both the strategic and tax benefits (Part 1) and the company setup requirements, procedure, and compliance obligations (Part 2). Together, they provide a comprehensive roadmap for deciding whether a Singapore holding company is right for you and how to establish and maintain it successfully.
If you are considering this structure, we recommend speaking with our team to evaluate your specific situation and proceed accoridngly.
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