Forming Business Structures: Setting up a commercial entity in Singapore

2 perspectives – one fr ACRA, one from practicing lawyer

A) Toh Wee San (Ms), Senior Assistant Registrar, Accounting and Corporate Regulatory Authority (ACRA)
Visit our homepage: www.acra.gov.sg
Visit our filing site :www.bizfile.gov.sg
We have –
General Write-ups on company registration and related information
Practice Directions
Tutorials on electronic filing
Updated Legislations and links to on-line statutes
Quarterly Legal Digest

B) Lawyer

Life cycle of:

Event Legal Framework

1. Business start up: IT music software - employment, lease and other contracts
development - registration as sole proprietor with ACRA
- legal implications: financial privacy and
unlimited personal liability

2. Friend decides to invest $50K - incorporates private exempt company

- subscription/shareholders agreement
- articles of association to inscribe shareholder
rights

3. Business needs more capital to outsource to - venture capital/private equity investor enters
India and to market software to customers Letter of Intent/Term Sheet to conduct due
diligence prior to investment
- outsourcing agreement and software contracts

4. Private equity investment of S$1m to acquire - investment/shareholders agreement

30% ownership on fully diluted basis - board representation, appointment of CFO
- veto rights
- issue of convertible preferred shares
- exit rights through IPO or put option

5. Further capital raising of $50m to launch - Private Placement Memorandum to raise

software to markets in Asia S$50m from institutional investors and
sophisticated investors
- Subscription agreement
6. IPO - Investment Bank engagement letter
- on - underwriting agreement
• AIM/NASDAQ - listing application and Prospectus filing
• SESDAQ

1
 7. To raise working capital and financing for - Bank’s Term loan offer letter of $10m, final
acquisitions documentation and security

8. Target complementary music software - engagement letter with corporate finance

company to acquire advisor/investment bank
- due diligence/
- confidentiality letter
- Share Purchase Agreement for acquisition by
shares

9. New Project Development needs USD100m - USD50m from rights

for New Generation IPOD music video software • Rights issue Circular and listing
and oem manufacture of must-have Starke application
designed iconic player - USD 50m unsecured term loan offer letter,
documentation

10. - Standstill Agreement

- 1 year delay in product launch
- competitor launches highly successful
new generation IPod music video
player in US
- Breach of Facility agreement product
launch milestone. Banks threatens
lawsuit
- Restructuring & Rescheduling Draft Agreement
- Judicial Management
- Scheme of Arrangement rescheduling debts, hair
cuts and new investor OR
- Liquidation

Relevant Legislation:
- Companies Act
- Business Registration Act
- Companies (Amendment) Act 2003
- Companies (Amendment) Act 2004
- Companies (Amendment) Act 2005:
• abolishing the concept of par value and authorized share capital
• liberalizing financial assistance restrictions on share acquisitions
• permitting share buy-backs out of capital or distributable profits
• permitting capital reduction without court order as well as introducing treasury shares
• and a statutory form of merger or amalgamation of companies
- Limited Liability Partnerships Act 2005:
• LLP is a body corporate which has a legal personality separate from that of the partners of the LLP
• allows the flexibility of partnership by allowing the partners to adopt whatever internal governance is
agreed among the partners
• while also limiting the liability of each partner
- Accounting and Corporate Regulatory Authority (“ACRA”)

Entitles and Structures available

- many diff types, not merely companies eg LLP newly implemented
- 3 main types –
o unincorp/ incorp company
o register LLP and business firm
– note difference in terminology
o Partnership
o Foreign branch –

2
 – comp already existing in some other country. Can register branch of eg US entity in sg.
Not sep legal entity, just extension. No limitation of liab as far as sg operations
concerned. But limitation of liab in sense that limited to liab of US comp. cannot claim
more than limit of US corpn liability

o Need to be aware of these and when want to use one over the other
o Representative office – in sg two kinds, one the RO registered by IE Singapore (international enterprise sg
old TDB) – register reptive offices mainly for comp in manufacturing and trading activities
o If bmnking and insurance industry – go to MAS
o Limitation of RO is that cannot enter into contract in sg; not being sep legal entity – not permitted by IE sg
or MAS or undertake any business activity. Limitation. What reptive can do is come here and do research to
see if market for their prdts; what kind of clients etc. but cannot enter contract – cannot sell directly to sg
client. If need to enter contract, need to enter into contract with head office. Ie where they are form. Usually
reptive office will be comp that want to do research in sg

o If wnt to enter into contract and undertake real business – company - Legal person by itself. Or set up
partnership or sole proprietorship – business Regis act
o Comp under CA.
o Partnership and sole prop – not sep legal entity. Personally liable for debt incurred.
o Limitation of liability – select comp

Differences between a business and a company

– Governing Law for registration issues –
– Business Registration Act
– Limited Liability Partnership Act
• New structure – LLP
• LLP Act 2004
• Conceptually, marrying partnership and comp
• Less formality and compliance reqt – run like a partnership
– Companies Act

- Other relevant legislations:

o Securities and Futures Act
o Trust Companies Act – also want to corp company for trst busnesses
o Partnership Act – prov for rr bet partners, liab etc; does not govern registration per se
o Bankruptcy Act – regulation of bankrupts, for companies bankrupt, see CA
Differences between Businesses, Limited Liability Partnerships and Companies
Pros and cons for which one meets client’s needs

- Legal Status/liabilities
o LLP has sep legal personality – benefits of partnership yet also limited liability
o -> BUT does nt prevent anyone resp for professional liability – law firms can set up as Law LLP. A
lot of law firms will convert – entity offering flexibility of partnership structure with benfits of
LLP. But this still renders them responsible fir professional negligence – this is under umbrella of
tortious liability(tort); If contract for other agreements eg tenancy agreement, they cannot sue –
they entered agreement with limited liab partnership
o limited liab – does not mean tt comp has limited liab, only owners and shrs have limited liab
o Business: Not a body corporate  cannot sue and cannot be sued
o Company: A separate legal entity  can sue and can be sued

- Legal Responsibilities – Disclosure and Reporting Requirements diff bet general business, LLP and
company
o Business: Do not need to disclose financial details. No legal requirement in Singapore to do so.
o Company: Strict reporting requirements e.g. annual reports.

3
 o companies – when formed, what disclosures, after formed, what are maintenance reqts, up to own
internal arrangements
o LLP – no prescribed stat register but prescribes that mandated in law to keep certain financial
records; Register of members, substantive shrs, charges etc – entity with legal personality
o Finaical reporting reqts diff for 3 entites – none for business or general partnership; LLP – still no
need t6 file full set but stll to disclose to regulator whether solvent or not – public record so can
look uop solvenecy statement and status in ACRA - LLP – just whether solvent or insolvent; for
company (exempt company (small)) just solvent or insolvent, if latter, must disclose full set of
financial records.
o So reqts more for companies and for public, reqd listed to disclose – reqt under listing manual
o is there reqt that need to comply with in sg –
- eg bank needs license fr MAS – and to get license, needs conditions eg that have certain
asset base/ capitalization. Most banks are branches in sg – not subsidiaries. They cnsol
their assets worldwide and set up branches, US comp asset base can be used to meet reqt
of license in those other countries they are setting up subsidiaries in (consolidation of
assets) – ie will therefore consider branch rather thn company
- need to apply for certain incnentives – EDB – have a lot of incentives for investments in
specific areas that sg encouraging. May set some reqts to obtain these incentives – so
may need to follow structure reqts to be granted those incentives

- Ease of starting up, Maintenance and Ending of entity

o Business: Easier to start, maintain and end entity.
o Company: Relatively more difficult process to start, maintain and to end entity. E.g. to end the life
of the company in a winding up case, interests of the creditors must be considered on top of the
interests of the shareholders.
o commercially, time and money very impt – the less the better. All online. Also very cheap these
days to set up company. (compare to some other countries – may cost up to US$10000 to set up).
Know the relative costs of setting up comp in different countries
o shelf company – in old days took 2 wks to set up company, so some bought shelf company –
service providers who will incorp comp and put it on shelf. In sg, this is not used much because
can get comp in few minutes. Much safer and better in sg. If buy shelf comp, need to change
drectors etc. with new company don’t need to do all this

- Taxations –
o tax – impt consideration. Company – tax liab. To ensure that it is the most tax efficient.
o taxed at indiv icome tax rate or corporate tax rate – must have all info ready at fingertips during
practice
o Business: Look at the tax rate of individuals.
o Companies: There may be company taxation.
o find out!!!!!!

Other relevant considerations

- Profit making? If non profit making – registers society as opposed to company under CA. CA not relevant
statute, see Societies Act. Be aware that administratively, the ACRA will suggest that non profit making –
shld register society, not legal reqt but they will persuade you to do this
- CA – provn for structure like comp limited by guarantee – typically these are those that x make profit as
objective, ploughed bck into charitable objectives – these are exceptions, generally wil be registered as
societies
- Enter into contracts?
- Whether they only need to do research to ensure that business in sg –
- Others really want to do business

1. company – need directors and shrs; may be issue with foreign clients. Need at least 1 director resident in sg.
Whether lawyer prepared to be resident director. If client runs away, then stuck with company. S145 CA –
resident director even if attempts to resign, not effective until find replacement. BE CAREFUL IF CLIENT
WANTS YOU TO BE RESIDENT DIRECTOR!!! Can choose not to be.

4
 a. also service providers in market who provide such service – they will do so for a fee and with
some arrangements in place for some level of protection (so that can wind up company if client
runs away)

2. name of company –
a. in some juris can be in Chinese characters. In sg, this is not possible.
b. names of companies – ensure that client using name that does not already belong to someone who
has generated gdwill in name. or at least to get consent of parent company etc

3. business of company – Memorandum and articles (constit documents of company) – law has changed. Prev
must set up obj of company – what activities comp will undertake. Now law has changed to provide that
company can do anything lawful or legal in sg – don’t needw to set out objects. But some lawyers still set up
objects; different practices. Up to you what you want to adopt but may be gd reason to set up – some govt
departments may ask for objects – MA will be useful here., other doc you will have is company search
which will show objects but that is a one liner and may not be good enough when applying for licenses,
incentives etc. so setting out may be better

4. may need registered office or address in sg – practically if client x know anyone in sg, you can offer laws
firm’s address. Registered ffice x neeed to be business address. Don’t use HDB address as registered office
unless get approval fr HDB under home office scheme

5. resident directors – also need to be aware who qualifies – not defined in companies act; either sg citizen or
employment pass holder; director to be natural person; if setting up new company – apply for employment
pass first, if immigration auth grants approval in principal, then can set up comp and name that person as
resident director – another way of dealing with resident director reqt. But a bit more inconvenient – immig
pple will ask for business plans and other information.

6. secretary – law has changed again. Anyone can be secetary as long as above 21. must be able to disharge
their duty if not director in breach of duties. (private). For public comp secretaries need to meet certain reqt
– see s171 CA

7. whether can have share capital in foreign currency – ordinarily in sg dollars. Yes, do so. In practice, done.

8. clients to physically sign MA for stat declarations. Form 45. subscribers to MA if not in sg, may need to
send doc overseas and get them signed with witnesses etc. sometimes directors overseas. Send 2 docs – one
to US, one in Japan, sign on sep pages and send back to you – rather than one doc to both. Too
troublesome!!! Can even email and ask them to print out and send back to you.

9. foreign branches – clients always in hurry – more problems because need docs fr home country as well –
need docs on US comp. available fr US. Also their constit doc (by laws etc) need to be certified in some
manner – available fr auth in US. Need originals. Tkes time but be mindful that all this takes time. Where
doc not in English, needs translatin! Be mindful that all this prolongs time periods.

Geneal pre-registration requirements -

- Electronic Filing System – www.bizfile.gov.sg
- Everyone who is locally resident in Singapore can e-file on his own. – note what to look out for to prxt
client
- Authentication and Verification of Identities done via:
o NRIC and confidential Singpass
o Professional Number [for professionals]
o Other in built checks by system Eg – tracking of locus standi of person filing

- Legal Basis of e-filing S 12A, CA and 16B, BR Act

Filing service.
12A. —(1) Where the Registry of Companies provides a service whereby documents under this Act may be filed
or lodged with or submitted to the Registrar electronically, neither the Government nor any of its employees nor

5
any authorised agents shall be liable for any loss or damage, suffered by any person by reason of any errors or
omissions, of whatever nature or however caused, appearing in any document obtained by any person under the
service if such errors or omissions are made in good faith and in the ordinary course of the discharge of the duties
of these employees or authorised agents or have occurred or arisen as a result of any defect or breakdown in the
service or in any of the equipment used for the service.
(1A) The Minister may by regulations permit or require any document —
(a) to be filed or lodged with or submitted to the Registrar under this Act; or
(b) to be issued by the Registrar under this Act,
to be filed, lodged, submitted or issued using the service referred to in subsection (1).
(1B) The regulations under subsection (1A) may —
(a) permit or require such document to be lodged, filed or submitted by a prescribed person on behalf of the
person concerned under specified circumstances; and
(b) contain such transitional and other supplementary and incidental provisions as appear to the Minister to be
appropriate.
Evidentiary value of copies of electronically filed documents certified by Registrar.
(2) A copy of or extract from any document electronically filed or lodged with or submitted to the Registrar
under subsection (1) supplied or issued by the Registrar and certified to be a true copy or extract thereof under
the hand and seal of the Registrar shall in any proceedings be admissible in evidence as of equal validity with the
original document.
Certificate in respect of documents filed electronically.
(3) Any information supplied by the Registrar that is certified by the Registrar under his hand and seal to be a
true extract from any document filed or lodged with or submitted to the Registrar using the service referred to in
subsection (1) shall in any proceedings be admissible in evidence and be presumed, unless evidence to the
contrary is adduced, to be a true extract from such document.
(4) Subsections (2) and (3) have effect notwithstanding the provisions of any other written law.
(5) In this section, “document” means any application, form, report, certification, notice, confirmation,
declaration or other document to be filed or lodged with or submitted to the Registrar or, as the case may be, any
certificate, notice or other document to be issued by the Registrar.

- Who can efile?

Regulation 6 Companies (Filing of Documents) Regulations
Regulation 6 LLP Regulations and
Regulation 4 Business Registration Regulations

Prescribed list :
(a) an advocate and solicitor;
(b) an accountant registered with
the Institute of Certified Public
Accountants of Singapore;
(c) a member of the Association of International Accountants (Singapore Branch);
(d) a member of the Institute of Company Accountants, Singapore;
(e) a member of the Singapore Association of the Institute of Chartered Secretaries and
Administrators;
(f) a corporate secretarial agent;
(g) A service bureau;

Incorporating a company

Types of companies
- limited companies or unlimited companies

- limited by shares

- limited by guarantee

- private companies:

- exempt private company

6
 o may be exempted from audit requirements for any financial year if its revenue in that year
does not exceed the prescribed amount, currently $5 million for a financial year commencing
on or after 1 June 2004
o need not appoint an auditor for that year
o exception:
 shareholders holding at least 5% of the total number of issued shares of the company
or who form at least 5% of the total number of members of the company may require
the company to audit its accounts
 ACRA also has the power to require any exempted company to prepare and submit
audited accounts
 if during the financial year, the company ceases to be dormant or if the revenue of an
exempt private company exceeds the prescribed amount, it must appoint an auditor
and prepare its audited accounts

- private companies may dispense with holding an annual general meeting

o shareholder may, by notice to the company, require the holding of an annual meeting
o in lieu of a face-to-face meeting, written resolution may be circulated
o annual accounts must also be sent to the shareholders
o Securities and Futures Act (Cap. 289)
o Securities and Futures (Amendment) Act 2005
o S. 272A and 272B
Small offers
272A. —(1) Subdivisions (2) and (3) of this Division (other than section 257) shall not apply to personal
offers of securities of an entity by a person if —
(a) the total amount raised by the person from such offers within any period of 12 months does not exceed
—
(i) $5 million (or its equivalent in a foreign currency); or
(ii) such other amount as may be prescribed by the Authority in substitution for the amount specified in
sub-paragraph (i);
(b) in respect of each offer, the person making the offer gives the person to whom he makes the offer —
(i) the following statement in writing:
“This offer is made in reliance on the exemption under section 272A (1) of the Securities and Futures Act.
It is not made in or accompanied by a prospectus that is registered by the Monetary Authority of
Singapore.”; and
(ii) a notification in writing that the securities to which the offer (referred to in this sub-paragraph as the
initial offer) relates shall not be subsequently sold to any person, unless the offer resulting in such
subsequent sale is made —
(A) in compliance with Subdivisions (2) and (3) of this Division;
(B) in reliance on subsection (8) (c) or any other exemption under any provision of this Subdivision
(other than this subsection); or
(C) where at least 6 months have elapsed from the date the securities were acquired under the initial offer,
in reliance on the exemption under this subsection;
(c) none of the offers is accompanied by an advertisement making an offer or calling attention to the offer
or intended offer; and
(d) no selling or promotional expenses are paid or incurred in connection with each offer other than those
incurred for administrative or professional services, or by way of commission or fee for services rendered
by —
(i) the holder of a capital markets services licence to deal in securities;
(ii) an exempt person in respect of dealing in securities; or
(iii) a person who is licensed, approved, authorised or otherwise regulated under the laws, codes or other
requirements of any foreign jurisdiction in respect of dealing in securities, or who is exempted therefrom
in respect of such dealing.
[1/2005]
(2) For the purposes of subsection (1) (b), where any notice, circular, material, publication or other
document is issued in connection with the offer, the person making the offer is deemed to have given the
statement and notification to the person to whom he makes the offer in accordance with that provision if
such statement or notification is contained in the first page of that notice, circular, material, publication or
document.

7
 [1/2005]
(3) For the purposes of subsection (1), a personal offer of securities is one that —
(a) may be accepted only by the person to whom it is made; and
(b) is made to a person who is likely to be interested in that offer, having regard to —
(i) any previous contact before the date of the offer between the person making the offer and that person;
(ii) any previous professional or other connection established before that date between the person making
the offer and that person; or
(iii) any previous indication (whether through statements made or actions carried out) before that date by
that person that indicate to —
(A) the person making the offer;
(B) the holder of a capital markets services licence to deal in securities;
(C) an exempt person in respect of dealing in securities;
(D) a person licensed under the Financial Advisers Act (Cap. 110) in respect of the provision of financial
advisory services concerning investment products;
(E) an exempt financial adviser as defined in section 2 (1) of the Financial Advisers Act; or
(F) a person who is licensed, approved, authorised or otherwise regulated under the laws, codes or other
requirements of any foreign jurisdiction in respect of dealing in securities or the provision of financial
advisory services concerning investment products, or who is exempted therefrom in respect of such
dealing or the provision of such services,
that he is interested in offers of that kind.
[1/2005]
(4) In determining the amount raised by an offer, the following shall be included:
(a) the amount payable for the securities at the time they are allotted, issued or sold;
(b) if the securities are issued partly-paid, any amount payable at a future time if a call is made;
(c) if the securities carry a right (by whatever name called) to be converted into other securities or to
acquire other securities, any amount payable on the exercise of the right to convert them into, or to
acquire, other securities.
[1/2005]
(5) In determining whether the amount raised by a person from offers within a period of 12 months
exceeds the applicable amount specified in subsection (1) (a), each amount raised —
(a) by that person from any offer of securities issued by the same entity; or
(b) by that person or another person from any offer of securities of an entity, units or derivatives of units
in a business trust, or units in a collective investment scheme, which is a closely related offer,
if any, within that period in reliance on the exemption under subsection (1), section 282V (1) or 302B (1)
shall be included.
[1/2005]
(6) Whether an offer is a closely related offer under subsection (5) shall be determined by considering
such factors as the Authority may prescribe.
[1/2005]
(7) For the purpose of this section, an offer of securities made by a person acting as an agent of another
person shall be treated as an offer made by that other person.
[1/2005]
(8) Where securities acquired through an offer made in reliance on the exemption under subsection (1)
(referred to in this subsection as an initial offer) are subsequently sold by the person who acquired the
securities to another person, Subdivisions (2) and (3) of this Division shall apply to the offer from the
first-mentioned person to the second-mentioned person which resulted in that sale, unless —
(a) such offer is made in reliance on an exemption under any provision of this Subdivision (other than this
section);
(b) such offer is made in reliance on an exemption under subsection (1) and at least 6 months have
elapsed from the date the securities were acquired under the initial offer; or
(c) such offer is one —
(i) that may be accepted only by the person to whom it is made;
(ii) that is made to a person who is likely to be interested in the offer having regard to —
(A) any previous contact before the date of the offer between the person making the initial offer and that
person;
(B) any previous professional or other connection established before that date between the person making
the initial offer and that person; or
(C) any previous indication (whether through statements made or actions carried out) before that date by
that person that indicate to —

8
(CA) the person making the initial offer;
(CB) the holder of a capital markets services licence to deal in securities;
(CC) an exempt person in respect of dealing in securities;
(CD) a person licensed under the Financial Advisers Act (Cap. 110) in respect of the provision of
financial advisory services concerning investment products;
(CE) an exempt financial adviser as defined in section 2 (1) of the Financial Advisers Act; or
(CF) a person who is licensed, approved, authorised or otherwise regulated under the laws, codes or other
requirements of any foreign jurisdiction in respect of dealing in securities or the provision of financial
advisory services concerning investment products, or who is exempted therefrom in respect of such
dealing or the provision of such services,
that he is interested in offers of that kind;
(iii) in respect of which the first-mentioned person has given the second-mentioned person —
(A) the following statement in writing:
“This offer is made in reliance on the exemption under section 272A (8) (c) of the Securities and Futures
Act. It is not made in or accompanied by a prospectus that is registered by the Monetary Authority of
Singapore.”; and
(B) a notification in writing that the securities being offered shall not be subsequently sold to any person
unless the offer resulting in such subsequent sale is made —
(BA) in compliance with Subdivisions (2) and (3) of this Division;
(BB) in reliance on this subsection or any other exemption under any provision of this Subdivision (other
than subsection (1)); or
(BC) where at least 6 months have elapsed from the date the securities were acquired under the initial
offer, in reliance on the exemption under subsection (1);
(iv) that is not accompanied by an advertisement making an offer or calling attention to the offer or
intended offer; and
(v) in respect of which no selling or promotional expenses are paid or incurred in connection with the
offer other than those incurred for administrative or professional services, or by way of commission or fee
for services rendered by —
(A) the holder of a capital markets services licence to deal in securities;
(B) an exempt person in respect of dealing in securities; or
(C) a person who is licensed, approved, authorised or otherwise regulated under the laws, codes or other
requirements of any foreign jurisdiction in respect of dealing in securities, or who is exempted therefrom
in respect of such dealing.
[1/2005]
(9) Subsection (2) shall apply, with the necessary modifications, in relation to the statement and
notification referred to in subsection (8) (c) (iii).
[1/2005]
(10) In subsections (1) (c) and (8) (c) (iv), “advertisement” means —
(a) a written or printed communication;
(b) a communication by radio, television or other medium of communication; or
(c) a communication by means of a recorded telephone message,
that is published in connection with an offer of securities, but does not include —
(i) a document —
(A) purporting to describe the securities being offered, or the business and affairs of the person making
the offer, the issuer or, where applicable, the underlying entity; and
(B) purporting to have been prepared for delivery to and review by persons to whom the offer is made so
as to assist them in making an investment decision in respect of the securities being offered;
(ii) a publication which consists solely of a disclosure, notice or report required under this Act, or any
listing rules or other requirements of a securities exchange, futures exchange or recognised securities
exchange, which is made by any person; or
(iii) a publication which consists solely of a notice or report of a general meeting or proposed general
meeting of the person making the offer, the issuer, the underlying entity or any entity, or a presentation of
oral or written material on matters so contained in the notice or report at the general meeting.
[1/2005]
(11) In subsection (10) (i) (A), the reference to the affairs of the person making the offer, the issuer or,
where applicable, the underlying entity shall —
(a) in the case where the person making the offer, the issuer or the underlying entity is a corporation, be
construed as including a reference to the matters referred to in section 2 (2); and
(b) in any other case, be construed as referring to such matters as may be prescribed by the Authority.

9
 [1/2005]
Private placement
272B. —(1) Subdivisions (2) and (3) of this Division (other than section 257) shall not apply to offers of
securities of an entity that are made by a person if —
(a) the offers are made to no more than 50 persons within any period of 12 months;
(b) none of the offers is accompanied by an advertisement making an offer or calling attention to the offer
or intended offer; and
(c) no selling or promotional expenses are paid or incurred in connection with each offer other than those
incurred for administrative or professional services, or by way of commission or fee for services rendered
by —
(i) the holder of a capital markets services licence to deal in securities;
(ii) an exempt person in respect of dealing in securities; or
(iii) a person who is licensed, approved, authorised or otherwise regulated under the laws, codes or other
requirements of any foreign jurisdiction in respect of dealing in securities, or who is exempted therefrom
in respect of such dealing.
[1/2005]
(2) The Authority may prescribe such other number of persons in substitution for the number specified in
subsection (1) (a).
[1/2005]
(3) In determining whether offers of securities by a person are made to no more than the applicable
number of persons specified in subsection (1) (a) within a period of 12 months, each person to whom —
(a) an offer of securities issued by the same entity is made by the first-mentioned person; or
(b) an offer of securities of an entity, units or derivatives of units in a business trust, or units in a
collective investment scheme, is made by the first-mentioned person or another person where such offer
is a closely related offer,
if any, within that period in reliance on the exemption under this section, section 282W or 302C shall be
included.
[1/2005]
(4) Whether an offer is a closely related offer under subsection (3) shall be determined by considering
such factors as the Authority may prescribe.
[1/2005]
(5) For the purposes of subsection (1) —
(a) an offer of securities to an entity or to a trustee shall be treated as an offer to a single person, provided
that the entity or trust is not formed primarily for the purpose of acquiring the securities which are the
subject of the offer;
(b) an offer of securities to an entity or to a trustee shall be treated as an offer to the equity owners,
partners or members of that entity, or to the beneficiaries of the trust, as the case may be, if the entity or
trust is formed primarily for the purpose of acquiring the securities which are the subject of the offer;
(c) an offer of securities to 2 or more persons who will own the securities acquired as joint owners shall
be treated as an offer to a single person;
(d) an offer of securities to a person acting on behalf of another person (whether as an agent or otherwise)
shall be treated as an offer made to that other person;
(e) offers of securities made by a person as an agent of another person shall be treated as offers made by
that other person;
(f) where an offer is made to a person with a view to another person acquiring an interest in those
securities by virtue of section 4, only the second-mentioned person shall be counted for the purposes of
determining whether offers of the securities are made to no more than the applicable number of persons
specified in subsection (1) (a); and
(g) where —
(i) an offer of securities is made to a person in reliance on the exemption under subsection (1) with a view
to those securities being subsequently offered for sale to another person; and
(ii) that subsequent offer —
(A) is not made in reliance on an exemption under any provision of this Subdivision; or
(B) is made in reliance on an exemption under subsection (1) or section 280,
both persons shall be counted for the purposes of determining whether offers of the securities are made to
no more than the applicable number of persons specified in subsection (1) (a).
[1/2005]
(6) In subsection (1) (b), “advertisement” has the same meaning as in section 272A (10).

10
- Advantages of exempt private company:
o exempted from audit requirements
o need not file annual accounts with ACRA if a declaration of solvency is filed
o make loans to or give guarantees or provide security

- public companies
o “public company” means company which has no restrictions on the number of shareholders or
on the transfer of shares
o subject to requirements of Singapore Code on Takeovers and Mergers

- foreign company

Relevant areas of advice

ADVISING LOCAL CLIENTS

- explain what the responsibilities and liabilities are for a company or a firm or sole-proprietorship
- what are the legal requirements of operating a company
- what the responsibilities of being a director are
- how they need to pass resolutions
- the requirement to file their accounts with ACRA
- explain the responsibilities of being a director and the accounting issues
- even if company is exempt from audit requirements, company still have a duty under Companies Act to
keep such accounting and other records
- records have to be retained for at least 7 years
- business registration under Business Registration Act is cheaper and easier to maintain, but business
still has to account to Inland Revenue Authority of Singapore (“IRAS”)
- proprietor or partners is/are personally liable for all the debts and liabilities of the business and liability
is unlimited

ADVISING FOREIGN CLIENTS

- Singapore law is based on common law of England
- based largely on English Companies Act with provisions taken from Australian Companies Act, but
made many amendments
- certain companies would use a branch
- e.g. if a foreign client is a bank, you would register a branch, because all banks (for reasons of
consolidation of assets, etc.) use a branch unless the bank is incorporating, say, a merchant bank
subsidiary
- consider the liability for the debts and other liabilities of the Singapore business that would attach to the
foreign parent in the case of a branch
- ‘service’ or ‘sales’ company separate from entity of main company so that service company can charge
a fee to the main company
- main company is not exposed to tax on its profits which it makes outside Singapore
- client may wish to incorporate a service subsidiary in Singapore
- if client is a manufacturer wanting to manufacture in Singapore, it usually incorporates a Singapore
subsidiary
- check whether qualify for local tax holiday incentives
- for Singapore company or branch, same tax rates apply and both must produce annual accounts
- both must file audited accounts every year
- both must comply with the usual filing requirements

GOVERNMENT APPROVALS
- no exchange control restrictions in Singapore
- free repatriation of profit and capital
- no government approval required
- Insurance Act (Cap. 142)
- Monetary Authority of Singapore
- Financial Advisers Act
- Residential Property Act (Cap. 274)

11
IMMIGRATION FORMALITIES
- work passes, employment passes or professional visit passes must be obtained by non-Singaporeans
who are not permanent residents of Singapore

INCOME TAX
- schedule of income tax rates
- know the difference between resident tax rate and non-resident tax rate
- company tax and goods and services tax

INCORPORATION OF A LOCAL COMPANY

- ACRA launched Bizfile services
- 2 Stage Process:
A) Application for approval and reservation of a company name.
B) Submission of Incorporation application and E-Documents.

[A]
- must first clear the name
- if company requires prior government approval, ACRA will check whether approval has been granted
- if name is approved, then pay $15/- electronically or by deduction from a standing deposit with ACRA, to
reserve the name
- initial reservation will be for 60 days, and reservation can be extended on-line for another 60 days for fee of
$10/-
- when clearance refused, consider how important that name is to your client
- do not simply accept the rejection and tell your client
- appeal to ACRA how your client’s name can be distinguished and the merits of its case

Application For Approval & Reservation Of Company Name

A. Approval for names of companies
Governing Law and guidance notes

S.27-28 CA and Companies (Identical Names) Rules 2003

S 11 BR Act and Business (Identical Names) Rules 2003
S 19 LLP Act and LLP (Identical Names) Rules 2005
RCB Practice Direction 3 of 2003 and 2005.

Names of companies.
27. —(1) Except with the consent of the Minister, a company shall not be registered by a name that in the
opinion of the Registrar —
(a) is undesirable;
(b) is identical to that of any other company, corporation or business name; or
(c) Deleted by Act 12/2002, wef 13/01/2003.
(d) is a name of a kind that the Minister has directed the Registrar not to accept for registration.
(2) Notwithstanding anything in this section and section 28 (other than section 28 (4)), where the Registrar is
satisfied that the company has been registered (whether through inadvertence or otherwise) by a name which —
(a) is a name referred to in subsection (1) (a), (b) or (d); or
(b) so nearly resembles the name of another company or corporation or a business name as to be likely to be
mistaken for it,
the Registrar may direct the first-mentioned company to change its name, and the company shall comply with
the direction within 6 weeks after the date of the direction or such longer period as the Registrar may allow,
unless the direction is annulled by the Minister.
(2A) Any person may apply, in writing, to the Registrar to give a direction to a company under subsection (2)
on a ground referred to in that subsection; but the Registrar shall not consider any application to give a direction
to a company on the ground referred to in subsection (2)(b) unless the Registrar receives the application within
12 months from the date of incorporation of the company.
(2B) If the company fails to comply with subsection (2), the company and its officers shall be guilty of an
offence and shall be liable on conviction to a fine not exceeding $2,000 and also to a default penalty.

12
(2C) The Registrar may, if he is satisfied that the company to which the direction under subsection (2) was
given had applied for registration under that name in bad faith, require the company to pay the Registrar such
fees as may be prescribed by the Minister, and such fees shall be recoverable as a debt due to the Government.
(2D) The Registrar may, by publication in the Gazette, make such rules as he considers appropriate for the
purposes of determining the matters referred to in subsections (1) and (2).
(3) In this section and section 28, “business name” has the meaning assigned to that expression in the Business
Registration Act.
15/84.
Cap. 32.
(4) For the purpose of subsection (2), the reference to a corporation therein shall include a reference to a
corporation whether or not it is registered under Division 2 of Part XI.
15/84.
(5) A company aggrieved by the decision of the Registrar under subsection (2) or (2C) may within 30 days of
the date of the decision appeal to the Minister whose decision shall be final.
15/84.
(6) The Minister shall cause a direction given by him under subsection (1) to be published in the Gazette.
(7) Subject to section 29, a limited company shall have either “Limited” or “Berhad” as part of and at the end of
its name.
(8) A private company shall have the word “Private” or “Sendirian” as part of its name, inserted immediately
before the word “Limited” or “Berhad” or, in the case of an unlimited company, at the end of its name.
(9) It shall be lawful to use and no description of a company shall be deemed inadequate or incorrect by reason
of the use of —
(a) the abbreviation “Pte.” in lieu of the word “Private” or the abbreviation “Sdn.” in lieu of the word
“Sendirian” contained in the name of a company;
(b) the abbreviation “Ltd.” in lieu of the word “Limited” or the abbreviation “Bhd.” in lieu of the word “Berhad”
contained in the name of a company; or
(c) any of such words in lieu of the corresponding abbreviation contained in the name of a company.
(10) A person may apply in the prescribed form to the Registrar for the reservation of a name set out in the
application as —
(a) the name of an intended company;
(b) the name to which a company proposes to change its name; or
(c) the name under which a foreign company proposes to be registered, either originally or on change of name.
(11) A company shall not be registered under section 19 (3) and the Registrar shall not approve the change of
name of a company under section 28 (2) unless the name which it is proposed to be registered or the proposed
new name, as the case may be, has been reserved under subsection (12).
15/84.
(12) If the Registrar is satisfied as to the bona fides of the application and that the proposed name is a name by
which the intended company, company or foreign company could be registered —
(a) without contravention of subsection (1) in the case of a company (whether originally or upon change of
name); and
(b) without contravention of section 378 in the case of a foreign company (whether originally or upon change of
name),
he shall reserve the proposed name for a period of two months from the date of the lodging of the application.
22/93.
(13) If, at any time during a period for which a name is reserved, application is made to the Registrar for an
extension of that period and the Registrar is satisfied as to the bona fides of the application, he may extend that
period for a further period of two months.
(14) During a period for which a name is reserved, no company (other than the intended company in respect of
which the name is reserved) shall be registered under this Act, whether originally or on change of name, under
the reserved name.
22/93.
(15) The reservation of a name under this section in respect of an intended company, company or foreign
company does not in itself entitle the intended company, company or foreign company to be registered by that
name, either originally or on change of name.
U.K.s.17.
Aust. s. 22.
15/84.

13
Change of name.
28. —(1) A company may by special resolution resolve that its name should be changed to a name by which the
company could have been registered without contravention of section 27 (1).
(2) If the Registrar approves the name which the company has resolved should be its new name, he shall
register the company under the new name and issue to the company a notice of incorporation of the company
under the new name and, upon the issue of such notice, the change of name shall become effective.
(3) If the name of a company is, whether through inadvertence or otherwise or whether originally or by a
change of name —
(a) a name by which the company could not be registered without contravention of section 27 (1); or
(b) a name that so nearly resembles the name of another company or corporation or a business name as to be
likely to be mistaken for it,
the company may by special resolution change its name to a name that is not a name referred to in paragraph (a)
or (b) and, if the Registrar so directs, shall so change it within 6 weeks after the date of the direction or such
longer period as the Registrar may allow, unless the direction is annulled by the Minister.
(3A) Any person may apply in writing to the Registrar to give a direction to a company under subsection
(3) on a ground referred to in that subsection; but the Registrar shall not consider any application to give a
direction to a company on the ground referred to in subsection (3) (b) unless the Registrar receives the
application within 12 months from the date of change of name of the company.
(3B) If the company fails to comply with subsection (3), the company and its officers shall be guilty of an
offence and shall be liable on conviction to a fine not exceeding $2,000 and also to a default penalty.
(3C) Subsections (2C) and (5) of section 27 shall, with the necessary modifications, apply in relation to a
company directed under subsection (3) to change its name as they apply in relation to a company directed under
section 27 (2) to change its name.
(4) Where the name of a company incorporated pursuant to any corresponding previous written law has not been
changed since 29th December 1967, the Registrar shall not, except with the approval of the Minister, exercise
his power under subsection (3) to direct the company to change its name.
S 258/67.
(5) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate, under his hand and seal, confirming the incorporation of the company under the new
name.
(6) A change of name pursuant to this Act shall not affect the identity of the company or any rights or
obligations of the company or render defective any legal proceedings by or against the company, and any legal
proceedings that might have been continued or commenced by or against it by its former name may be
continued or commenced by or against it by its new name.

- In essence, a name shall be rejected if it is :

Undesirable – immoral/ lewd (see case law – Australian, NZ cases) – E.g. Buddabar/ Condomania however
allowed
o Identical to that of any other company, corporation or business name;
 registrar made rules stating that certain punctuations; geographical suffixes – disregarded
when compare their names. So ABC trading and ABS southeast asia wont be allowed in
law
o Gazetted Name – minister has pronounced that govt shall not accept this for publication. Cannot
be used. Eg temasek, esplanade theatres of the bay.
- What about similar names?
o Law was amended to remove regulation of similar name wef 2003
o in the past, similar names outightly rejected – but prob with administering law – similar names
more diff to decide with great certainty. If names close, easy, how to decide similarity is difficult
o However complaint can be made for similar name that creates confusion under S 27(2) (within
12 mths) after which need to pursue under IP law
 Difference between name protection (CA) and violation of intellectual property rights
(eg pasing off)
• name prxtn right is prxtn of public rights – registrar concerned with ehther name
so similar that creating confusion to public VS IP – prxtn of private rights; mark
created by proprietor etc over goods and services – that will be prxted by IP

14
 •in practice, line thin and distinctin hard to draw. Often IP issues thrown up for
ACRA’s consideration as well
- Foreign company names – S 378
o where foreign comp come to sg and register themselves as local branch
o can set up in 2 forms:
 incorp as local comp – restricted to list of restrictions under CA
 or set up as local BRANCH office – then does not have sep legal personality fr head
office, merely an annex of head office, ie treated as same identity as head office.
o => Foreign comp names only two restctions – cannot be undesirable or name that minister directed
registrar not to accept for registration

Restriction on use of certain names

378. —(1) Except with the consent of the Minister, a foreign company shall not be registered by a name that, in
the opinion of the Registrar, is undesirable or is a name, or a name of a kind, that the Minister has directed the
Registrar not to accept for registration.
(2) Except with the consent of the Minister, any change in the name of a foreign company shall not be registered
if in the opinion of the Registrar the new name of the company is undesirable or is a name, or a name of a kind,
that the Minister has directed the Registrar not to accept for registration, notwithstanding that particulars of the
change have been lodged in accordance with section 372.
(3) No foreign company to which this Division applies shall use in Singapore any name other than that under
which it is registered under this Division.
(4) If default is made in complying with subsection (3), the foreign company, every officer of the company who
is in default and every agent of the company who knowingly and wilfully authorises or permits the default shall
be guilty of an offence and shall be liable on conviction to a fine not exceeding $2,000 and also to a default
penalty

- Two important case laws:

- Tan Gek Neo Jessie v Minister for Finance (1991) SLR 325 –
o took MOF to court; disagreed with registrar’s decision. JC Penney case. Woman in sg started JC
Penney here as well. US comp tried to throw out local comp, registrar agreed with foreign, local
company appealed; HC judge said cannot direct local person to change her name; LP Thean
reasoned that no property in name. talking abt company names here. No property in a name and tm
prxtn that foreign giant is not relevant here. It has not estd presence here. They were in US not in
Singapore.
o Previous Test – similar name calc to mislead; now test – no confusion to public by fact of similar
names
- Drilex Systems Pte Ltd v Registrar of Companies and Anor (1993) 2 SLR 345 –
o other way round. Foreign giant already incorp and forned head office. Then giant came to sg and
registered in sg. Local guy got upset and said here first, protested to registrar., legal tussle, chan
sek keong – foreign guy right to register here. Legis/ laws not so much s27 but s378 – not logicalk
to direct foreign comp to adopt diff name fr head office; must show some form of detriment and
mere incovenniece not sufficient.
- => outcome seems different, but see case and reasoning involved.

Choice of Name
- to assist the applicant in choosing an acceptable name, the Registrar has issued Practice Direction No. 4
of 2003 entitled “Selection of company and business names” which is available from the website
- acquaint yourself with the provisions in the Companies (Identical Names) Rules 2003 which essentially
set out what the Registrar considers as identical
- some basic guidelines:
• The Don’ts
 Do not use the name of an existing company in another country unless its written consent
has been obtained, a letter of consent must be furnished
 Names which start with “Singapore” and contain ‘Republic of Singapore’ or
‘Government’ will not be approved unless they are related to the Government
• The Do’s

15
  http://www.acra.gov.sg/general/directory.html
 check with Intellectual Property Office of Singapore

PRACTICE DIRECTION NO. 4 OF 2003 - SELECTION OF COMPANY AND BUSINESS NAMES

1. This Practice Direction is issued to highlight the following:
a) the changes to the law regarding the selection of proposed company or business names;
b) facilities available to assist in the selection process; and
c) guidelines for selecting proposed company or business names

Changes to the law

2. With the commencement of the provisions Companies (Amendment) Act 2002 and the Business Registration
(Amendment) Act 2002 (wef 13 Jan 2003 (see The Companies (Amendment) Act (Commencement) (No. 1)
Notification 2003 and The Business Registration (Amendment) Act (Commencement) Notification, the Registrar
will only reject a proposed company or business name for purposes of incorporation, registration or change of
name if that name is :
a) identical to another;
b) undesirable; or
c) of a kind the Minister has directed the Registrar not to accept.
3. As a consequence, with effect from 13 January 2003, the Registrar will not be checking for names which so
nearly resemble the name of another as to be likely to be mistaken for it (i.e. similar names) before she approves
a name. Applicants for proposed company or business names should nevertheless continue to exercise caution
and avoid selecting names which so nearly resemble the name of another.
4. The Registrar however will continue to have the discretion to direct a change of name if a valid complaint
against another company or business on the basis that the name so nearly resembles that of another company or
business as is likely to be mistaken for it. Complaints seeking Registrar’s direction for name change must
however be made within 12 months of registration of the company or business complained against. For
companies or business firms which have been incorporated or registered prior to 13 January 2003, the complaint
against that company or business must be made within 12 months from 13 January 2003 if a complainant wishes
to seek the Registrar’s direction for a name change (See Clause 64(2) of the Companies (Amendment) Act under
Transitional provisions and see s 11(6) of the amended Business Registration Act).
5. Additionally, Companies (Identical Names) Rules and Business Registration (Identical Names) Rules were
enacted pursuant to the new section 27(2D) Companies Act and section 11(10) Business Registration Act. These
rules will set out what the Registrar will consider as identical. The rules are as follow:
a) in determining whether one name is identical to another, the following shall be disregarded:
(i) “The”, where it is the first word of the name;
(ii) “Private”, “Pte”, “Sendirian”, “Sdn”, “Limited”, “Ltd”, “Berhad” and “Bhd”;
(iii) the following words and expressions where they appear at the end of the name, except where the
corporations concerned are related to each other within the meaning of section 6 of the Companies Act:
“company”, “and company”, “corporation”, “Incorporated”, “Asia”,“Asia Pacific”, “International”, “Singapore”,
“South Asia”, “South East Asia” and “Worldwide”;
(iv) any word or expression which, in the opinion of the Registrar, is intended to represent any word or
expression in sub-paragraph (iii), except where the corporations concerned are related to each other within the
meaning of section 6 of the Companies Act;
(v) the plural version of the name;
(vi) the type and case of letters, spacing between letters and punctuation marks; and
(b) the symbol “&” shall have the same meaning as the word “and”. The rules will also provide that the Registrar
may refer the parties in dispute over the use of a name to mediation before giving any direction for a name
change.
Amended wef 1 February 2004.

Facilities available in BizFile

6. With effect from 13 January 2003, applications for proposed company or business names for registration,
incorporation or change of name must be submitted on line via BizFile. This is also applicable to applications by
foreign companies.
7. To improve your chances of having the name application approved and to reduce the risk of subsequent
complaints being made against you/your clients under the law, we would advise you to conduct your own search
for identical or similar names before submitting the name application for our approval using the facilities
available on our website and on BizFile. A free of charge directory search page is available on RCB's website at

16
www.rcb.gov.sg. Click on "Information Services" on the top bar to bring you to the "Directory Search" write-up.
Then click on "Online Directory Search" to go to the directory search page. Alternatively, at the RCB's
homepage, click on "Online Directory Search" under "Quick-links" and then click on the word "Online Directory
Search" in the write-up. A similar directory search from the Bizfile homepage at http://www.bizfile.gov.sg. When
you click on "Directory of Companies/Business Names" on the Bizfile homepage under the heading "Information
Service", you will be brought to the directory search page. In either case, by keying in part of the proposed name
as opposed to the whole name (e.g. ABC as opposed to ABC Trading Pte Ltd), the system will display a list of all
entities bearing identical or similar names. If there is no entity on the register with a similar or identical name,
the system will display the message "No companies or businesses exist with this name".
8. Alternatively, you can also monitor the situation to ascertain if others are using similar company or business
names by using the Directory Search of Company and Business (12 months period) available under the option
Instant Information Service on the BizFile homepage at http://www.bizfile.gov.sg. When you click on this
service, you can similarly key in part of the name and at the same time input a 12 month period. The system will
then check for any company or business bearing an identical or similar name which was registered within the 12
month period selected. If such names are found, the system will display a list of all such entities.This search
facility will be offered from early February 2003 and will also be offered free of charge.

Selection of proposed name

9. To assist you in conducting a more thorough and comprehensive name search, we have come up with a set of
Guidelines which is found on the RCB website under the heading "Company Registration"- "Incorporating a
Local Company" ? How to apply for a name of a local company”. A copy of these Guidelines (which are slightly
different from the home page and adapted for this practice direction) is set out below for your convenience.

Guidelines On Searching for Identical or Similar Names

Please key in part of the name instead of the entire proposed name, for a more thorough search.
Eg. If the proposed name is "Soundtrack Computers", the possible ways of checking are: Soundtrack, Sound
Track, The Sound, Sound-Track, Sound - Track, Soundtrek, etc.
For names with initials, please key in the various combinations of the proposed name.
Eg. If the proposed name is "AB Trading", the possible ways of checking are: AB, A B, A.B, A. B, A-B, A - B,
A&B, A & B, ANB, A N B, A 'n' B, The AB, The A.B, The A&B, etc.
Please note that you can use the “%” symbol to check for words, letters or symbols in between two letters or
words. For instance, a simple search for “AB Trading” will not reveal the existence of names like “A-B Trading”,
“A.B Trading” “A No.1 B trading” or any of such permutations. If you do not wish to key in the various
combinations as shown above, you may use the “%” symbol. You can key in your search thus: “A%B%Trading”.

Please check for names with similar pronunciations.

The possible ways of checking for similarly pronounced names are:
Eg. Wah, Wa, Hwa, Hua, etc. Sing, Seng, Sin, Sen, Xing, Xin, Shing, etc. How, HaoYen, Yan, Yian, Yien, Yuan,
etc. Chong, Chung, Cheong, CheungCity, CitiClassic, Classique, Klassic, Clasic, etc. Express, Xpress, X'press,
X-press, etc. Yew Fa, Yew Fatt, You Fa, Yu Fa, Yewfa, U Fa, etc.
Eg. If the proposed name is "The Fashion", the possible ways of checking are:Fashion, De Fashion, De-Fashion,
De' Fashion, De. Fashion, D. Fashion, D-Fashion, D Fashion, D' Fashion, etc.

Please check for similar names, but in different sequence(s).

Eg. If the proposed name is "Gift Express", please also check for "Express Gift". If the proposed name is "Bags
Big and Small", please also check for "Bags Small and Big" / "Big and Small Bags", "Small and Big Bags" etc.

Please check for similar names dealing with a similar trade or in a similar industry. Please also check for
words with similar meanings as the proposed name.
Eg. "Rose Transport" is similar to "Rose Transportation" / "Rose Forwarding", etc. "Bob Construction" is similar
to "Bob Renovation" / "Bob Contractor" / "Bob Builder", etc. "Red Fashion" is similar to "Red Boutique" / "Red
Apparel", etc. "AB Trading" is similar to "AB Marketing" / "AB Enterprise" / "AB Import & Export", etc.

Please note that each of the following common descriptive word is considered as similar with those
mentioned in the same line:
i) Trading; trade; marketing; enterprise
ii) Investment ; holding
iii) Construction; building; builder; build
iv) Contractor; renovation contractor

17
v) Systems; solutions; information technology; I.T.; technologies
vi) Travels; travelling; traveler
vii) Movers; transports; logistics
viii) Freight forwarders; freight forwarding, express.

Graphical words and phrases, including names of countries and places are not considered to be sufficiently
distinguishing or descriptive.
Eg. "Hello Trading" is similar to "Hello Trading International" / "Hello Trading Singapore", etc. Conversely,
"Comfy Sofas South-East Asia " is similar to "Comfy Sofas", etc.

Punctuation marks are not considered to be sufficiently distinguishing or descriptive.

Eg. "Happy! Hamsters" is similar to "Happy Hamsters" "Faraway Tour" is similar to "Far-Away Tour"

Please check for similar company and business names, whether the proposed name is for a company or a
business.
Eg. "Square Chocolates Pte Ltd" is similar to "Square Chocolates Trading", etc. "Loud Music Enterprise" is
similar to "Loud Music Inc." / "Loud Music Pte Ltd"/ "Loud Music Sdn. Bhd.", etc.

Fees Payable
- 2nd schedule Companies Act
- use any of the cashless modes specified
- can choose to appeal to Registrar for name to be reconsidered
- fee of $15 for the appeal

Other Information
- when making application to use a company name, applicant required to provide following information:
1) name to be used by the proposed company
2) type of company to be formed
3) intended activities of the proposed company
4) names and particulars of proposed member/shareholder(s), a company can be incorporated with just one
member/shareholder, s. 17(1) CA
Formation of companies.
17. —(1) Subject to the provisions of this Act, any person may, whether alone or together with
another person, by subscribing his name or their names to a memorandum and complying with the
requirements as to registration, form an incorporated company.
5) names and particulars of proposed director(s), company shall have at least one director who is
ordinarily resident in Singapore and, where the company only has one member, that sole director may
also be the sole member of the company (s. 145(1)), however, where a director is the sole director of a
company, he shall not act or be appointed as the secretary of the company (s. 171(1E))
Directors.
145. —(1) Every company shall have at least one director who is ordinarily resident in Singapore
and, where the company only has one member, that sole director may also be the sole member of the
company.
Secretary.
171. —(1E) Where a director is the sole director of a company, he shall not act or be appointed as
the secretary of the company.
6) whether the proposed company will take over a business and if so, the name and particulars of the
business
7) whether in-principle approval has been obtained from other regulatory body, if applicable
- once name applied for is approved, it is automatically reserved by the Registrar for the applicant’s use
- period of reservation is 2 months from the date of approval of the application (s. 27(12))
Names of companies.
27. —(12) If the Registrar is satisfied as to the bona fides of the application and that the proposed name is
a name by which the intended company, company or foreign company could be registered —
(a) without contravention of subsection (1) in the case of a company (whether originally or upon change
of name); and
(b) without contravention of section 378 in the case of a foreign company (whether originally or upon

18
 change of name),

he shall reserve the proposed name for a period of two months from the date of the lodging of the
application.
(13) If, at any time during a period for which a name is reserved, application is made to the Registrar for
an extension of that period and the Registrar is satisfied as to the bona fides of the application, he may
extend that period for a further period of two months.
- while the name is under reservation, the Registrar will not allow use of an identical name by an other person
- if necessary, the period of reservation may be extended for another 2 months upon payment of the extension
fee of $10 (s. 27(13) and 2nd Schedule)

Procedure
- Application fee - S$15 per approved name (2nd Schedule CA)
- Reservation period - 2 months from date of lodgement; extension of another 2 months upon payment of $5
s(s.27(12) & (13) CA)
- Processing time - Instantaneous
- BUT some cases require referrals for approval – some activities req sep license eg banks, employment
agencies, private schs
o Examples:
 private schools – (Will be routed to) Ministry of Education
 tour agencies - Singapore Tourist Board
 Banks – Monetary Authority of Singapore

[B]

The Incorporation Process – transaction based

- S 19, CA - Registration and Incorporation Details
- S 22 – Memorandum and Articles of Incorporation
- S 63 – Allotment of Shares
- S 143 – Registered Office

- 3 main categories of information:

1. Particulars of company officers/auditors
• required to furnish details of directors, secretaries and auditors (s. 146(1), s. 173(6)(c), s.
171(1B)); s173(6)(cc)
• registered share capital ->>
o issued capital
o distributed capital
o paid up capital (must have!)
Restrictions on appointment or advertisement of director.
146. —(1) A person shall not be named as a director or proposed director in —
(a) any document filed or lodged with or submitted to the Registrar for the purposes of the incorporation of a
company; or
(b) the register of directors, managers and secretaries of a company,
unless, before —
(i) the incorporation of the company; or
(ii) the filing of any return in the prescribed form containing the particulars required to be specified in the
register of directors, managers and secretaries,
as the case may be, the person has complied with the conditions set out in subsection (1A).
(1A) The conditions to be complied with by a person referred to in subsection (1) are the following:
(a) he has, by himself or through a prescribed person authorised by him, filed with the Registrar —
(i) a declaration that he has consented to act as a director; and
(ii) a statement in the prescribed form that he is not disqualified from acting as a director under this Act; and
(b) he has, by himself or through a prescribed person authorised by him —
(i) filed with the Registrar a declaration that he has agreed to take a number of shares of the company that is

19
not less than his qualification, if any;
(ii) filed with the Registrar an undertaking that he will take from the company and pay for his qualification
shares, if any;
(iii) filed with the Registrar a declaration that a specified number of shares, not less than his qualification, if
any, has been registered in his name; or
(iv) in the case of a company formed or intended to be formed by way of reconstruction of another corporation
or group of corporations or to acquire the shares in another corporation or group of corporations, filed with the
Registrar a declaration that —
(A) he was a shareholder in that other corporation or in one or more of the corporations of that group; and
(B) as a shareholder he will be entitled to receive and have registered in his name a number of shares not less
than his qualification, by virtue of the terms of an agreement relating to the reconstruction.
Register of directors, managers, secretaries and auditors.
173. —(6) The company shall lodge with the Registrar —
(c) within one month after a person becomes a manager, secretary or auditor of the company, a return in the
prescribed form notifying the Registrar of that fact and specifying the full name and address of that person
Secretary.
171. —(1B) Any person who is appointed by the directors of a company as a secretary shall, at the time of his
appointment, by himself or through a prescribed person authorised by him, file with the Registrar a declaration
in the prescribed form that he consents to act as secretary and providing the prescribed particulars.
2. Shares subscribed
• required to furnish details of capital structure, allotment of shares and particulars of the
shareholders (s. 63)
Return as to allotments.
63. —(1) Where a company makes any allotment of its shares, other than a deemed allotment, the company
shall within 14 days thereafter lodge with the Registrar a return of the allotments stating —
(a) the number of the shares comprised in the allotment;
(b) the amount (if any) paid or deemed to be paid on the allotment of each share;
(ba) the amount (if any) unpaid on each share referred to in paragraph (b);
(c) where the capital of the company is divided into shares of different classes the class of shares to which
each share comprised in the allotment belongs; and
(d) the full name, identification, nationality (if such identification or nationality, as the case may be, is
required by the Registrar) and address of, and the number and class of shares held by —
(i) each of its members; or
(ii) if it has more than 50 members as a result of the allotment, each of the 50 members who, following the
allotment, hold the most number of shares in the company (excluding treasury shares).
(1A) A return of allotments referred to in subsection (1) by a company the shares of which are listed on a
stock exchange in Singapore need not state the particulars referred to in subsection (1) (d).
(2) In subsection (1), “identification” means in the case of a person issued with an identity card, the number of
his identity card and, in the case of a person not issued with an identity card, particulars of his passport or such
other similar evidence of identification as is available.
15/84.
(3) Deleted by Act 12/2002, wef 13/01/2003.
(4) Where shares are allotted as fully or partly paid up otherwise than in cash and the allotment is made
pursuant to a contract in writing the company shall lodge with the return the contract evidencing the
entitlement of the allottee or a copy of any such contract certified as prescribed.
(5) If a certified copy of a contract is lodged the original contract duly stamped shall if the Registrar so
requests be produced at the same time to the Registrar.
(6) Where shares are allotted as fully or partly paid up otherwise than in cash and the allotment is made —
(a) pursuant to a contract not reduced to writing;
(b) pursuant to a provision in the memorandum or articles; or
(c) in satisfaction of a dividend declared in favour of, but not payable in cash to, the shareholders, or in
pursuance of the application of moneys held by the company in an account or reserve in paying up unissued
shares to which the shareholders have become entitled,
the company shall lodge with the return a statement containing such particulars as are prescribed but, where
the shares are allotted pursuant to a scheme of arrangement approved by the Court under section 210, the
company may lodge a copy of the order of the Court in lieu of the statement in the prescribed form.
(7) In this section, “deemed allotment” means an issue of shares without formal allotment to subscribers to
the memorandum.

20
(8) If default is made in complying with this section, every officer of the company who is in default shall be
guilty of an offence and shall be liable on conviction to a fine not exceeding $4,000 and to a default penalty of
$250.
3. Registration details
• furnish details such as situation of registered office hours at time of registration (s. 143)
and the memorandum and articles of association (“M&AA”) (s. 19 and 22)
Office hours.
143. —(1) Notice in the prescribed form of the situation of the registered office, the days and hours during
which it is open and accessible to the public, shall, in the case of a proposed company, be lodged with the
Registrar together with its memorandum and its articles, if any, at the time of lodgment for the incorporation
of the proposed company and in the case of any subsequent change of the particulars therein be so lodged
within 14 days of any such change, but no notice of the days and hours during which the office is open and
accessible to the public shall be required if the office is open for at least 5 hours during ordinary business
hours on each day, Saturdays, weekly and public holidays excepted.
(1A) In subsection (1), the word “particulars”, in relation to the situation of the registered office, shall be
deemed to include the address and designation of the situation or address of the registered office.
40/89.
Penalty.
(2) If default is made in complying with this section, the company and every officer of the company who is in
default shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000 and also to
a default penalty.
Registration and incorporation.
19. —(1) A person desiring the incorporation of a company shall —
(a) submit to the Registrar the memorandum and articles of the proposed company and such other documents
as may be prescribed;
(b) furnish the Registrar with such information as may be prescribed; and
(c) pay the Registrar the prescribed fee.
(2) Either —
(a) a prescribed person engaged in the formation of the proposed company; or
(b) a person named in the articles as a director or the secretary of the proposed company,
shall make a declaration to the Registrar that —
(i) all of the requirements of this Act relating to the formation of the company have been complied with; and
(ii) he has verified the identities of the subscribers to the memorandum, and of the persons named in the
memorandum or articles as officers of the proposed company,
and the Registrar may accept such declaration as sufficient evidence of those matters.
(3) Upon receipt of the documents, information and payment referred to in subsection (1) and declaration
referred to in subsection (2), the Registrar shall, subject to this Act, register the company by registering its
memorandum and articles.
Certificate of incorporation.
(4) On the registration of the memorandum the Registrar shall issue in the prescribed manner a notice of
incorporation in the prescribed form stating that the company is, on and from the date specified in the notice,
incorporated, and that the company is —
(a) a company limited by shares;
(b) a company limited by guarantee; or
(c) an unlimited company,
as the case may be, and where applicable, that it is a private company.
15/84.
Effect of incorporation.
(5) On and from the date of incorporation specified in the notice issued under subsection (4) but subject to this
Act, the subscribers to the memorandum together with such other persons as may from time to time become
members of the company shall be a body corporate by the name contained in the memorandum capable
forthwith of exercising all the functions of an incorporated company and of suing and being sued and having
perpetual succession and a common seal with power to hold land but with such liability on the part of the
members to contribute to the assets of the company in the event of its being wound up as is provided by this
Act.
Members of company.
(6) The subscribers to the memorandum shall be deemed to have agreed to become members of the company
and on the incorporation of the company shall be entered as members in its register of members, and every

21
 other person who agrees to become a member of a company and whose name is entered in its register of
members shall be a member of the company.
(7) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate of confirmation of incorporation under his hand and seal.
Requirements as to memorandum.
22. —(1) The memorandum of every company shall be dated and shall state, in addition to other requirements
—
(a) the name of the company;
(b) Deleted by Act 5/2004, wef 01/04/2004.
(c) Deleted by Act 21/2005, wef 30/01/2006.
(d) if the company is a company limited by shares, that the liability of the members is limited;
(e) if the company is a company limited by guarantee, that the liability of the members is limited and that each
member undertakes to contribute to the assets of the company, in the event of its being wound up while he is a
member or within one year after he ceases to be a member, for payment of the debts and liabilities of the
company contracted before he ceases to be a member and of the costs, charges and expenses of winding up
and for adjustment of the rights of the contributories among themselves, such amount as may be required not
exceeding a specified amount;
(f) if the company is an unlimited company, that the liability of the members is unlimited;
(g) the full names, addresses and occupations of the subscribers thereto; and
(h) that such subscribers are desirous of being formed into a company in pursuance of the memorandum and
(where the company is to have a share capital) respectively agree to take the number of shares in the capital of
the company set out opposite their respective names.
(1A) On the date of commencement of section 8 (b) of the Companies (Amendment) Act 2005, any provision
(or part thereof) then subsisting in the memorandum of any company which states —
(a) the amount of share capital with which the company proposes to be or is registered; or
(b) the division of the share capital of the company into shares of a fixed amount,
shall, in so far as it relates to the matters referred to in either or both of paragraphs (a) and (b), be deemed to
be deleted.
(2) Each subscriber to the memorandum shall, if the company is to have a share capital, make a declaration to
the Registrar, either by himself or through a prescribed person authorised by him, as to the number of shares
(not being less than one) that he agrees to take.
(3) A statement in the memorandum of a company limited by shares that the liability of members is limited
shall mean that the liability of the members is limited to the amount, if any, unpaid on the shares respectively
held by them.
Aust.s.18.
(4) A copy of the memorandum, duly signed by the subscribers and stating, if the company is to have a share
capital, the number of shares that each subscriber has agreed to take, shall be kept at the registered office of
the company.

Declaration
- applicant must file online declaration (s. 19(2)(b) CA, reg. 18 C(FOD)R)to the effect that:
1. all requirements of Companies Act relating to the formation of the proposed company have been
complied with
2. has identified the subscribers/members to the memorandum and the persons named in the
memorandum or articles to be the officers of the proposed company
3. each director named has given his consent to act as a director and is not disqualified to act as
director under the Companies Act (s. 146(1A))
4. secretary, if any, has consented to act as one and is a qualified person under s. 171 CA, where
applicable (s. 171(1B))
C(FOD)R - Confirmation of consents to be lodged electronically
18. Where an advocate and solicitor, an accountant or a prescribed person has been engaged for the purposes
of incorporating a company, he shall confirm in the manner determined by the Registrar —
(a) the consent of a person to act as a director;
(b) that the person is not disqualified from acting as a director under the Act; and
(c) the consent of a person to act as a secretary,
and lodge such confirmations with the Registrar.
CA – Restrictions on appointment or advertisement of director.
146. —(1A) The conditions to be complied with by a person referred to in subsection (1) are the following:

22
(a) he has, by himself or through a prescribed person authorised by him, filed with the Registrar —
(i) a declaration that he has consented to act as a director; and
(ii) a statement in the prescribed form that he is not disqualified from acting as a director under this Act; and
(b) he has, by himself or through a prescribed person authorised by him —
(i) filed with the Registrar a declaration that he has agreed to take a number of shares of the company that is
not less than his qualification, if any;
(ii) filed with the Registrar an undertaking that he will take from the company and pay for his qualification
shares, if any;
(iii) filed with the Registrar a declaration that a specified number of shares, not less than his qualification, if
any, has been registered in his name; or
(iv) in the case of a company formed or intended to be formed by way of reconstruction of another corporation
or group of corporations or to acquire the shares in another corporation or group of corporations, filed with the
Registrar a declaration that —
(A) he was a shareholder in that other corporation or in one or more of the corporations of that group; and
(B) as a shareholder he will be entitled to receive and have registered in his name a number of shares not less

than his qualification, by virtue of the terms of an agreement relating to the reconstruction.

Secretary.
171. —(1) Every company shall have one or more secretaries each of whom shall be a natural person who has
his principal or only place of residence in Singapore.
(1A) It shall be the duty of the directors of a company to take all reasonable steps to secure that each
secretary of the company is a person who appears to them to have the requisite knowledge and experience to
discharge the functions of secretary of the company.
(1AA) In addition, it shall be the duty of the directors of a public company to take all reasonable steps to
secure that each secretary of the company is a person who —
(a) on 15th May 1987 held the office of secretary in that company and continued to hold that office on the date
of commencement of the Companies (Amendment) Act 2003;
(b) for at least 3 years in the period of 5 years immediately preceding his appointment as secretary, held the
office of secretary of a company;
(c) is a qualified person under the Legal Profession Act (Cap. 161), a public accountant, a member of the
Singapore Association of the Institute of Chartered Secretaries and Administrators, or a member of such other
professional association as may be prescribed; or
(d) is, by virtue of such academic or professional qualifications as may be prescribed, capable of discharging
the functions of secretary of the company.
(1AB) The Registrar may require a private company to appoint a person who satisfies subsection (1AA) (b),
(c) or (d) as its secretary if he is satisfied that the company has failed to comply with any provision of this Act
with respect to the keeping of any register or other record.
(1B) Any person who is appointed by the directors of a company as a secretary shall, at the time of his
appointment, by himself or through a prescribed person authorised by him, file with the Registrar a declaration
in the prescribed form that he consents to act as secretary and providing the prescribed particulars.
(1C) A person to whom subsection (1AA) (a) applies who, after 15th May 1987, becomes a secretary of
another company and is not qualified to act as secretary under subsection subsection (1AA) (b), (c) and (d)
shall not be regarded as being a person who is qualified to discharge the functions of secretary under this
subsection.
(1D) In this subsection and section 173, “secretary” includes an assistant or deputy secretary.
(1E) Where a director is the sole director of a company, he shall not act or be appointed as the secretary of
the company.
(2) Subsection (1) shall not operate to prevent a corporation which was acting as the secretary of a company
immediately before 29th December 1967 from continuing to act as secretary of that company for a period of
12 months after that date.
S 258/67.
(3) The secretary or secretaries shall be appointed by the directors and at least one of those secretaries shall be
present at the registered office of the company by himself or his agent or clerk on the days and at the hours
during which the registered office is to be accessible to the public.
(4) Anything required or authorised to be done by or in relation to the secretary may, if the office is vacant or
for any other reason the secretary is not capable of acting, be done by or in relation to any assistant or deputy
secretary or, if there is no assistant or deputy secretary capable of acting, by or in relation to any officer of the

23
 company authorised generally or specially in that behalf by the directors:
Provided that the office of secretary shall not be left vacant for more than 6 months at any one time.
(5) A provision requiring or authorising a thing to be done by or in relation to a director and the secretary shall
not be satisfied by its being done by or in relation to the same person acting both as director and as, or in place
of, the secretary.

Fees Payable
- flat fee of $300 is levied for incorporation

LEGAL EFFECT OF THE FOLLOWING DOCUMENTS

- Memorandum and Articles of Association, and consents to act as director (Form 45) to be prepared

Memorandum and Articles of Association

- with effect from 1st April 2004, the Companies Act clearly confers on companies all legal capacities to
undertake any business or activity, do any act or enter into any transaction (s. 23)
- optional whether the company wishes to set out object clauses in the memorandum to limit the powers
of the company, but it must set out the liability of its members and the structure of its share capital (s.
22)
Requirements as to memorandum.
22. —(1) The memorandum of every company shall be dated and shall state, in addition to other
requirements —
(a) the name of the company;
(b) Deleted by Act 5/2004, wef 01/04/2004.
(c) Deleted by Act 21/2005, wef 30/01/2006.
(d) if the company is a company limited by shares, that the liability of the members is limited;
(e) if the company is a company limited by guarantee, that the liability of the members is limited and that
each member undertakes to contribute to the assets of the company, in the event of its being wound up
while he is a member or within one year after he ceases to be a member, for payment of the debts and
liabilities of the company contracted before he ceases to be a member and of the costs, charges and
expenses of winding up and for adjustment of the rights of the contributories among themselves, such
amount as may be required not exceeding a specified amount;
(f) if the company is an unlimited company, that the liability of the members is unlimited;
(g) the full names, addresses and occupations of the subscribers thereto; and
(h) that such subscribers are desirous of being formed into a company in pursuance of the memorandum
and (where the company is to have a share capital) respectively agree to take the number of shares in the
capital of the company set out opposite their respective names.
(1A) On the date of commencement of section 8 (b) of the Companies (Amendment) Act 2005, any
provision (or part thereof) then subsisting in the memorandum of any company which states —
(a) the amount of share capital with which the company proposes to be or is registered; or
(b) the division of the share capital of the company into shares of a fixed amount,
shall, in so far as it relates to the matters referred to in either or both of paragraphs (a) and (b), be deemed
to be deleted.
(2) Each subscriber to the memorandum shall, if the company is to have a share capital, make a
declaration to the Registrar, either by himself or through a prescribed person authorised by him, as to the
number of shares (not being less than one) that he agrees to take.
(3) A statement in the memorandum of a company limited by shares that the liability of members is
limited shall mean that the liability of the members is limited to the amount, if any, unpaid on the shares
respectively held by them.
Aust.s.18.
(4) A copy of the memorandum, duly signed by the subscribers and stating, if the company is to have a

share capital, the number of shares that each subscriber has agreed to take, shall be kept at the registered

office of the company.

Capacity and powers of company

24
 23. —(1) Subject to the provisions of this Act and any other written law and its memorandum or articles
of association, a company has —
(a) full capacity to carry on or undertake any business or activity, do any act or enter into any transaction;
and
(b) for the purposes of paragraph (a), full rights, powers and privileges.
(1A) A company may have the objects of the company included in its memorandum.
(1B) The memorandum or articles of association of a company may contain a provision restricting its
capacity, rights, powers or privileges.
Restriction as to power of certain companies to hold lands.
(2) A company formed for the purpose of providing recreation or amusement or promoting commerce,
industry, art, science, religion or any other like object not involving the acquisition of gain by the
company or by its individual members shall not acquire any land without the approval of the Minister but
the Minister may empower any such company to hold lands in such quantity and subject to such
conditions as he thinks fit.
(3) Notice of a decision of the Minister under subsection (2) shall be given by the Registrar on behalf of
the Minister to the company.
(4) The decision of the Minister under subsection (2) shall be final and shall not be called in question by
any court.
Aust.s.19.
S 258/67.
(5) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate confirming the decision under subsection (2).

Memorandum of Association
- memorandum of association must contain at least the following:
• name of company
• liability of its members, whether unlimited or limited
• name, address and occupation of its subscriber(s) and a statement that he desires or they desire to
form a company and, if the company is to have a share capital, that he agrees or they agree to take
up the shares
• CA s. 22(1)
• Companies (Amendment) Act 2005, Act 21 of 2005 removed the concept of par value concept
shares and authorized capital
• Hence s. 22(1)(c) deleted
- Typical Memorandum of Association would contain the following:
• Company Name
 Registration number of a company shall appear in a legible form on all business letters,
statements of account, invoices, official notices and publications of or purporting to be
issued or signed by or on behalf of the company (s. 144(1A) CA)
Publication of name and registration number.
144. —(1A) The registration number of a company shall appear in a legible form on all
business letters, statements of account, invoices, official notices and publications of or
purporting to be issued or signed by or on behalf of the company.
• Registered Office
 It is not a requirement of the Companies Act to include a registered office clause in the
memorandum of association
 Every company must at all times have a registered office from the date of incorporation
 Object of this requirement is to ensure that every company has an official address to
which all communications and notices may be addressed
 Registered office need not be the place of business (s. 142 CA)
Registered office of company.
142. —(1) A company shall as from the date of its incorporation have a registered office
within Singapore to which all communications and notices may be addressed and which
shall be open and accessible to the public for not less than 3 hours during ordinary business
hours on each day, Saturdays, weekly and public holidays excepted.
(2) If default is made in complying with subsection (1), the company and every officer of
the company who is in default shall be guilty of an offence and shall be liable on conviction

25
 to a fine not exceeding $5,000 and also to a default penalty.
• Subscription of Shares
 Minimum requirement is that one person may subscribe his name to a memorandum and
upon complying with the requirements as to registration, form an incorporated company
(s. 17(1) and 22(2) CA)
Formation of companies.
17. —(1) Subject to the provisions of this Act, any person may, whether alone or together
with another person, by subscribing his name or their names to a memorandum and
complying with the requirements as to registration, form an incorporated company.
Requirements as to memorandum.
22. —(2) Each subscriber to the memorandum shall, if the company is to have a share
capital, make a declaration to the Registrar, either by himself or through a prescribed
person authorised by him, as to the number of shares (not being less than one) that he
agrees to take.

Articles of Association
- 4th Schedule of Companies Act, (“Table A”)
- if a company does not register its own articles, then Table A automatically applies
- even if it does not register its own articles, Table A applies insofar as the articles do not exclude or
modify it
- articles include the following matters:
• interpretation of terms
• share capital
• lien upon shares held by the company
• power of company to call for payment on shares
• transfers of shares
• transmission of shares
• shares may be forfeited
• following provisions are not allowed in the articles:
 provisions requiring shareholders to take or increase their liability to contribute to the
share capital without their prior consent
 any provision constituting an oppression of minority shareholders
- effect of memorandum and articles:
1. every member of a company must observe all the provisions of the memorandum
2. articles constitute a contract, not only between the shareholders and the company, but also between
the individual shareholders
3. company is not bound to its members outside of their capacity as members

Notice of Incorporation
- s. 19 CA
Registration and incorporation.
19. —(1) A person desiring the incorporation of a company shall —
(a) submit to the Registrar the memorandum and articles of the proposed company and such other
documents as may be prescribed;
(b) furnish the Registrar with such information as may be prescribed; and
(c) pay the Registrar the prescribed fee.
(2) Either —
(a) a prescribed person engaged in the formation of the proposed company; or
(b) a person named in the articles as a director or the secretary of the proposed company,
shall make a declaration to the Registrar that —
(i) all of the requirements of this Act relating to the formation of the company have been complied with;
and
(ii) he has verified the identities of the subscribers to the memorandum, and of the persons named in the
memorandum or articles as officers of the proposed company,
and the Registrar may accept such declaration as sufficient evidence of those matters.
(3) Upon receipt of the documents, information and payment referred to in subsection (1) and

26
 declaration referred to in subsection (2), the Registrar shall, subject to this Act, register the company by
registering its memorandum and articles.
Certificate of incorporation.
(4) On the registration of the memorandum the Registrar shall issue in the prescribed manner a notice of
incorporation in the prescribed form stating that the company is, on and from the date specified in the
notice, incorporated, and that the company is —
(a) a company limited by shares;
(b) a company limited by guarantee; or
(c) an unlimited company,
as the case may be, and where applicable, that it is a private company.
15/84.
Effect of incorporation.
(5) On and from the date of incorporation specified in the notice issued under subsection (4) but subject
to this Act, the subscribers to the memorandum together with such other persons as may from time to time
become members of the company shall be a body corporate by the name contained in the memorandum
capable forthwith of exercising all the functions of an incorporated company and of suing and being sued
and having perpetual succession and a common seal with power to hold land but with such liability on the
part of the members to contribute to the assets of the company in the event of its being wound up as is
provided by this Act.
Members of company.
(6) The subscribers to the memorandum shall be deemed to have agreed to become members of the
company and on the incorporation of the company shall be entered as members in its register of members,
and every other person who agrees to become a member of a company and whose name is entered in its
register of members shall be a member of the company.
(7) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate of confirmation of incorporation under his hand and seal.
- private company may commence business upon receiving its notice of incorporation (s. 61 CA)
Restrictions on commencement of business in certain circumstances.
61. —(1) Where a company having a share capital has issued a prospectus inviting the public to subscribe
for its shares, the company shall not commence any business or exercise any borrowing power —
(a) if any money is or may become liable to be repaid to applicants for any shares or debentures offered
for public subscription by reason of any failure to apply for or obtain permission for listing for quotation
on any securities exchange; or
(b) unless —
(i) shares held subject to the payment of the whole amount thereof in cash have been allotted to an
amount not less in the whole than the minimum subscription;
(ii) every director has paid to the company on each of the shares taken or contracted to be taken by him,
and for which he is liable to pay in cash, a proportion equal to the proportion payable on application and
allotment on the shares offered for public subscription; and
(iii) there has been lodged with the Registrar a declaration in the prescribed form by —
(A) the secretary or one of the directors of the company; or
(B) a prescribed person authorised by the company,
verifying that sub-paragraphs (i) and (ii) have been complied with.
(2) Where a public company having a share capital has not issued a prospectus inviting the public to
subscribe for its shares, the company shall not commence any business or exercise any borrowing power
unless —
(a) there has been lodged with the Registrar a statement in lieu of prospectus which complies with the
provisions of this Act;
(b) every director of the company has paid to the company on each of the shares taken or contracted to be
taken by him, and for which he is liable to pay in cash, a proportion equal to the proportion payable on
application and allotment on the shares payable in cash; and
(c) there has been lodged with the Registrar a declaration in the prescribed form by —
(i) the secretary or one of the directors of the company; or
(ii) a prescribed person authorised by the company,
verifying that paragraph (b) has been complied with.
(3) The Registrar shall, on the lodgment of the declaration under subsection (1) (b) (iii) or (2) (c), as the
case may be, issue a notice in the prescribed form that the company is entitled to commence business and
to exercise its borrowing powers; and that notice shall be conclusive evidence of the matters stated in it.

27
 (4) Any contract made by a company before the date on which it is entitled to commence business shall
be provisional only and shall not be binding on the company until that date, and on that date it shall
become binding.
(5) Where shares and debentures are offered simultaneously by a company for subscription, nothing in
this section shall prevent the receipt by the company of any money payable on application for the
debentures.
(6) If any company commences business or exercises borrowing powers in contravention of this section
every person who is responsible for the contravention shall be guilty of an offence and shall be liable on
conviction to a fine not exceeding $4,000 and to a default penalty of $250.
15/84.
U.K.s.109.
Aust. s. 52.
(7) Upon the application of a company which has received a notice under subsection (3) and payment of
the prescribed fee, the Registrar shall issue to the company a certificate, under his hand and seal,
confirming that the company is entitled to commence business and to exercise its borrowing powers, and
that certificate shall be conclusive evidence of the matters stated in it.

S 22 & 35 - MEMORANDUM AND ARTICLES OF ASSOCIATION

Memorandum - principal document constituting the company e.g. objects, powers* (optional), liability, etc
s.22 CA - requirements as to memorandum – name, limits of liabilities, subscribers’ taking of shares.
S 35 – requirements as to articles; model articles is in 4th Schedule (capitalization of shres, how to issue
dividends etc)
Under e-filing, three options – model M&AA (most smaller law firms use this), Modified M&AA and drafted
M&AA

S 22 – Memorandum and Articles of Incorporation

Requirements as to memorandum.
22. —(1) The memorandum of every company shall be dated and shall state, in addition to other requirements
—
(a) the name of the company;
(b) Deleted by Act 5/2004, wef 01/04/2004.
(c) unless the company is an unlimited company, the amount of share capital, if any, with which the company
proposes to be registered and the division thereof into shares of a fixed amount;
(d) if the company is a company limited by shares, that the liability of the members is limited;
(e) if the company is a company limited by guarantee, that the liability of the members is limited and that each
member undertakes to contribute to the assets of the company, in the event of its being wound up while he is a
member or within one year after he ceases to be a member, for payment of the debts and liabilities of the
company contracted before he ceases to be a member and of the costs, charges and expenses of winding up and
for adjustment of the rights of the contributories among themselves, such amount as may be required not
exceeding a specified amount;
(f) if the company is an unlimited company, that the liability of the members is unlimited;
(g) the full names, addresses and occupations of the subscribers thereto; and
(h) that such subscribers are desirous of being formed into a company in pursuance of the memorandum and
(where the company is to have a share capital) respectively agree to take the number of shares in the capital of
the company set out opposite their respective names.
(2) Each subscriber to the memorandum shall, if the company is to have a share capital, make a declaration to
the Registrar, either by himself or through a prescribed person authorised by him, as to the number of shares
(not being less than one) that he agrees to take.
(3) A statement in the memorandum of a company limited by shares that the liability of members is limited
shall mean that the liability of the members is limited to the amount, if any, unpaid on the shares respectively
held by them.
Aust.s.18.
(4) A copy of the memorandum, duly signed by the subscribers and stating, if the company is to have a share
capital, the number of shares that each subscriber has agreed to take, shall be kept at the registered office of the
company.

28
 Articles of association.
35. —(1) There may in the case of a company limited by shares and there shall in the case of a company
limited by guarantee or an unlimited company be registered with the memorandum, articles signed by the
subscribers to the memorandum prescribing regulations for the company.
(2) Articles shall comply with such requirements as may be prescribed.
(3) In the case of an unlimited company the articles, if the company has a share capital, shall state the amount
of share capital with which the company proposes to be registered and the division thereof into shares of a
fixed amount.
(4) In the case of an unlimited company or a company limited by guarantee the articles shall state the number
of members with which the company proposes to be registered.
(5) Where a company to which subsection (4) applies changes the number of its members so that it is
different from the registered number, the company shall, within 14 days after the date on which the change was
resolved or took place, lodge with the Registrar notice of the change in the prescribed form.
(6) Every company which makes default in complying with subsection (5) and every officer of the company
who is in default in complying with that subsection shall be guilty of an offence and shall be liable on
conviction to a fine not exceeding $2,000 and also to a default penalty.

Latest amendments to CA, with effect from 1 April 2004 –

1) Enactment of Unlimited Capacity Rule – Amended S 23 CA

Capacity and powers of company

23. —(1) Subject to the provisions of this Act and any other written law and its memorandum or articles of
association, a company has —
(a) full capacity to carry on or undertake any business or activity, do any act or enter into any transaction; and
(b) for the purposes of paragraph (a), full rights, powers and privileges.
(1A) A company may have the objects of the company included in its memorandum.
(1B) The memorandum or articles of association of a company may contain a provision restricting its
capacity, rights, powers or privileges.
Restriction as to power of certain companies to hold lands.
(2) A company formed for the purpose of providing recreation or amusement or promoting commerce,
industry, art, science, religion or any other like object not involving the acquisition of gain by the company or
by its individual members shall not acquire any land without the approval of the Minister but the Minister may
empower any such company to hold lands in such quantity and subject to such conditions as he thinks fit.
(3) Notice of a decision of the Minister under subsection (2) shall be given by the Registrar on behalf of the
Minister to the company.
(4) The decision of the Minister under subsection (2) shall be final and shall not be called in question by any
court.
(5) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate confirming the decision under subsection (2).

2) Abolishment of Model Memorandum under 3rd Schedule

3) All companies still need to file their M&AA, but need not include limits on their object clauses if they
do not wish to do so.

4) Further reforms - Eventual repeal of M&AA in due course.

5) Replaced by model constitution

- on-line filing

S 19(2) – REGISTRATION AND INCORPORATION

- S 19(1) & (3) – Documents that you need to submit.
- Basic Information such as –
o Company Name
o Company Officers’ and Shareholders’ details

29
 o Share Capital and allotments
o Memorandum and Articles
- S 19(2) – Who can incorporate and declarations required by the person incorporating the company -
- S 19(4) – Notice of incorporation – whether there are ways to hide residential address.(eg Hollywood
stars trying to hide addresses when registering company) No way to hide under CA. but recog that there are
security concerns – there are pending amendments to allow pple to provide alternative address
- S 19(7) – Hard copy confirmation

S 19, CA - Registration and Incorporation Details

Registration and incorporation.

19. —(1) A person desiring the incorporation of a company shall —
(a) submit to the Registrar the memorandum and articles of the proposed company and such other documents
as may be prescribed;
(b) furnish the Registrar with such information as may be prescribed; and
(c) pay the Registrar the prescribed fee.
(2) Either —
(a) a prescribed person engaged in the formation of the proposed company; or
(b) a person named in the articles as a director or the secretary of the proposed company,
shall make a declaration to the Registrar that —
(i) all of the requirements of this Act relating to the formation of the company have been complied with; and
(ii) he has verified the identities of the subscribers to the memorandum, and of the persons named in the
memorandum or articles as officers of the proposed company,
and the Registrar may accept such declaration as sufficient evidence of those matters.
(3) Upon receipt of the documents, information and payment referred to in subsection (1) and declaration
referred to in subsection (2), the Registrar shall, subject to this Act, register the company by registering its
memorandum and articles.
Certificate of incorporation.
(4) On the registration of the memorandum the Registrar shall issue in the prescribed manner a notice of
incorporation in the prescribed form stating that the company is, on and from the date specified in the notice,
incorporated, and that the company is —
(a) a company limited by shares;
(b) a company limited by guarantee; or
(c) an unlimited company,
as the case may be, and where applicable, that it is a private company.
15/84.
Effect of incorporation.
(5) On and from the date of incorporation specified in the notice issued under subsection (4) but subject to this
Act, the subscribers to the memorandum together with such other persons as may from time to time become
members of the company shall be a body corporate by the name contained in the memorandum capable
forthwith of exercising all the functions of an incorporated company and of suing and being sued and having
perpetual succession and a common seal with power to hold land but with such liability on the part of the
members to contribute to the assets of the company in the event of its being wound up as is provided by this
Act.
Members of company.
(6) The subscribers to the memorandum shall be deemed to have agreed to become members of the company
and on the incorporation of the company shall be entered as members in its register of members, and every
other person who agrees to become a member of a company and whose name is entered in its register of
members shall be a member of the company.
(7) Upon the application of a company and payment of the prescribed fee, the Registrar shall issue to the
company a certificate of confirmation of incorporation under his hand and seal.

- at least one director of company must be a resident of Singapore

- Memorandum and Articles of Association must be signed by initial shareholder of company
- declare on Bizfile form that requirements of Companies Act regarding incorporation are complied with
- registration fee for incorporation is flat rate of $300/-
- requirement of a minimum of 1 share to be issued

30
- must have a registered office

S 142 – Registered Office

Registered office of company.
142. —(1) A company shall as from the date of its incorporation have a registered office within Singapore to
which all communications and notices may be addressed and which shall be open and accessible to the public
for not less than 3 hours during ordinary business hours on each day, Saturdays, weekly and public holidays
excepted.
(2) If default is made in complying with subsection (1), the company and every officer of the company who is
in default shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000 and also
to a default penalty.

Address of registered office and publication of registration number (s.143(1) CA)

Office hours.
143. —(1) Notice in the prescribed form of the situation of the registered office, the days and hours during
which it is open and accessible to the public, shall, in the case of a proposed company, be lodged with the
Registrar together with its memorandum and its articles, if any, at the time of lodgment for the incorporation of
the proposed company and in the case of any subsequent change of the particulars therein be so lodged within
14 days of any such change, but no notice of the days and hours during which the office is open and accessible
to the public shall be required if the office is open for at least 5 hours during ordinary business hours on each
day, Saturdays, weekly and public holidays excepted.

- Principal place of business – where business is actually conducted. Req this to be reported for business firm
- For comp and LLP, can report registered business address and some will use this address – some reqt tagged
to this address. Cannot give PO Box address as registered office address.
- Certain reqts:
o registered office address, days and hours company is open and accessible to the public
o Amendments made in 2004 IMPT TO KNOW!!!:
o – abolition of mandatory legal requirement to display sign boards. (in practice many still
do but no longer compulsory)
o – mandatory requirement to insert registration number on certain businesses documents
(144(1) and (1A)
- need to better identify comp with deregulation of names – so need identification number
- eg cheque issued by comp –

Publication of name and registration number.

144. —(1) The name of a company shall appear in legible romanised letters on —
(a) its seal; and
(b) all business letters, statements of account, invoices, official notices, publications, bills of exchange,
promissory notes, indorsements, cheques, orders, receipts and letters of credit of or purporting to be issued or
signed by or on behalf of the company

- within 3 months, must appoint an auditor

o S 205(1) – Appointment of Auditor [Except if company is a dormant or small exempt private
company under S 205A]
Appointment and remuneration of auditors.
205. —(1) The directors of a company shall, within 3 months after incorporation of the company, appoint a
person or persons to be the auditor or auditors of the company, and any auditor or auditors so appointed shall,
subject to this section, hold office until the conclusion of the first annual general meeting.

- must appoint a secretary within 6 months

S 171(1A) – Appointment of Company Secretary

31
 171. -- (1A) It shall be the duty of the directors of a company to take all reasonable steps to secure that each
secretary of the company is a person who appears to them to have the requisite knowledge and experience to
discharge the functions of secretary of the company.

CONSENT TO ACT AS SECRETARY (FORM 45B)

s.171(1) CA
law changed few yrs ago - for private comp, don’t need qualified person for private comp – for public, need
qualified persons (lawyer, accoutnatns)

Secretary.
171. —(1) Every company shall have one or more secretaries each of whom shall be a natural person who has his
principal or only place of residence in Singapore

S 171(1AA) CA for Public Companies

171. -- (1AA) In addition, it shall be the duty of the directors of a public company to take all reasonable steps
to secure that each secretary of the company is a person who —
(a) on 15th May 1987 held the office of secretary in that company and continued to hold that office on the date
of commencement of the Companies (Amendment) Act 2003;
(b) for at least 3 years in the period of 5 years immediately preceding his appointment as secretary, held the
office of secretary of a company;
(c) is a qualified person under the Legal Profession Act (Cap. 161), a public accountant, a member of the
Singapore Association of the Institute of Chartered Secretaries and Administrators, or a member of such other
professional association as may be prescribed; or
(d) is, by virtue of such academic or professional qualifications as may be prescribed, capable of discharging
the functions of secretary of the company.

Definition of Secretary - An officer of the company (s.4 CA); involved primarily with the administrative
operations of the company e.g. calling AGM, issue of notices thereof, company’s filing obligations under CA –
no clear cut defn of what company does

Directors’ duty to ensure that company secretary is someone who can discharge his duties – ie if put
someone clearly incompetent, then director in breach of duty and wld be liable under CA

S 171(5) - A person cannot discharge duty as director cum secretary at same point.

171. -- (5) A provision requiring or authorising a thing to be done by or in relation to a director and the
secretary shall not be satisfied by its being done by or in relation to the same person acting both as director and
as, or in place of, the secretary.

- S 173 – Consents of Directors and Secretary

173. -- (4A) -- The register shall contain a signed copy of the consent of the secretary of the company to act as
the secretary.

CONSENT TO ACT AS DIRECTOR AND STATEMENT OF NONDISQUALIFICATION TO ACT AS

DIRECTOR (FORM 45 – legally prescribed form) Must go through this step with client!!!!!!!!!!!!!!!!!

s.146(1A) CA

(1A) The conditions to be complied with by a person referred to in subsection (1) are the following:
(a) he has, by himself or through a prescribed person authorised by him, filed with the Registrar —
(i) a declaration that he has consented to act as a director; and
(ii) a statement in the prescribed form that he is not disqualified from acting as a director under this Act; and
(b) he has, by himself or through a prescribed person authorised by him —
(i) filed with the Registrar a declaration that he has agreed to take a number of shares of the company that is
not less than his qualification, if any;

32
 (ii) filed with the Registrar an undertaking that he will take from the company and pay for his qualification
shares, if any;
(iii) filed with the Registrar a declaration that a specified number of shares, not less than his qualification, if
any, has been registered in his name; or
(iv) in the case of a company formed or intended to be formed by way of reconstruction of another corporation
or group of corporations or to acquire the shares in another corporation or group of corporations, filed with the
Registrar a declaration that —
(A) he was a shareholder in that other corporation or in one or more of the corporations of that group; and
(B) as a shareholder he will be entitled to receive and have registered in his name a number of shares not less
than his qualification, by virtue of the terms of an agreement relating to the reconstruction.

S 173(2) CA – Keep a signed copy of directors’ consent at Office also reqt to confirm that director has
consented
given that a lot of things filed online – so this serves as good evid

173. -- (2) The register shall —

(a) contain, with respect to each director, a signed copy of his consent to act as director under this Act together
with a prescribed statement that he is not disqualified to act as a director;
(b) specify his present full name, any former name, his usual residential address, his nationality and
identification (if any); and
(c) contain documentary evidence (if any) of any change in his name.

legally prescribed form 45 under CR

“director” includes (s.4 CA) :
- any person occupying the position of director by whatever name called
- a person in accordance with whose directions or instructions the directors are accustomed to act

- appoint a banker
- s. 161 Companies Act requires shareholder(s)’ approval for issue of shares
- certain other requirements to be satisfied under s. 61 Companies Act

Approval of company required for issue of shares by directors.

161. —(1) Notwithstanding anything in a company’s memorandum or articles, the directors shall not,
without the prior approval of the company in general meeting, exercise any power of the company to
issue shares.
(2) Approval for the purposes of this section may be confined to a particular exercise of that power or
may apply to the exercise of that power generally; and any such approval may be unconditional or subject
to conditions.
(3) Any approval for the purposes of this section shall continue in force until —
(a) the conclusion of the annual general meeting commencing next after the date on which the approval
was given; or
(b) the expiration of the period within which the next annual general meeting after that date is required by
law to be held,
whichever is the earlier; but any approval may be previously revoked or varied by the company in general
meeting.
(4) The directors may issue shares notwithstanding that an approval for the purposes of this section has
ceased to be in force if the shares are issued in pursuance of an offer, agreement or option made or
granted by them while the approval was in force and they were authorised by the approval to make or
grant an offer, agreement or option which would or might require shares to be issued after the expiration
of the approval.
(5) Section 186 shall apply to any resolution whereby an approval is given for the purposes of this
section.
(6) Any issue of shares made by a company in contravention of this section shall be void and
consideration given for the shares shall be recoverable accordingly.
(7) Any director who knowingly contravenes, or permits or authorises the contravention of, this section
with respect to any issue of shares shall be liable to compensate the company and the person to whom the
shares were issued for any loss, damages or costs which the company or that person may have sustained

33
 or incurred thereby; but no proceedings to recover any such loss, damages or costs shall be commenced
after the expiration of two years from the date of the issue.
Restrictions on commencement of business in certain circumstances.
61. —(1) Where a company having a share capital has issued a prospectus inviting the public to subscribe
for its shares, the company shall not commence any business or exercise any borrowing power —
(a) if any money is or may become liable to be repaid to applicants for any shares or debentures offered
for public subscription by reason of any failure to apply for or obtain permission for listing for quotation
on any securities exchange; or
(b) unless —
(i) shares held subject to the payment of the whole amount thereof in cash have been allotted to an
amount not less in the whole than the minimum subscription;
(ii) every director has paid to the company on each of the shares taken or contracted to be taken by him,
and for which he is liable to pay in cash, a proportion equal to the proportion payable on application and
allotment on the shares offered for public subscription; and
(iii) there has been lodged with the Registrar a declaration in the prescribed form by —
(A) the secretary or one of the directors of the company; or
(B) a prescribed person authorised by the company,
verifying that sub-paragraphs (i) and (ii) have been complied with.
(2) Where a public company having a share capital has not issued a prospectus inviting the public to
subscribe for its shares, the company shall not commence any business or exercise any borrowing power
unless —
(a) there has been lodged with the Registrar a statement in lieu of prospectus which complies with the
provisions of this Act;
(b) every director of the company has paid to the company on each of the shares taken or contracted to be
taken by him, and for which he is liable to pay in cash, a proportion equal to the proportion payable on
application and allotment on the shares payable in cash; and
(c) there has been lodged with the Registrar a declaration in the prescribed form by —
(i) the secretary or one of the directors of the company; or
(ii) a prescribed person authorised by the company,
verifying that paragraph (b) has been complied with.
(3) The Registrar shall, on the lodgment of the declaration under subsection (1) (b) (iii) or (2) (c), as the
case may be, issue a notice in the prescribed form that the company is entitled to commence business and
to exercise its borrowing powers; and that notice shall be conclusive evidence of the matters stated in it.
(4) Any contract made by a company before the date on which it is entitled to commence business shall
be provisional only and shall not be binding on the company until that date, and on that date it shall
become binding.
(5) Where shares and debentures are offered simultaneously by a company for subscription, nothing in
this section shall prevent the receipt by the company of any money payable on application for the
debentures.
(6) If any company commences business or exercises borrowing powers in contravention of this section
every person who is responsible for the contravention shall be guilty of an offence and shall be liable on
conviction to a fine not exceeding $4,000 and to a default penalty of $250.
15/84.
U.K.s.109.
Aust. s. 52.
(7) Upon the application of a company which has received a notice under subsection (3) and payment of
the prescribed fee, the Registrar shall issue to the company a certificate, under his hand and seal,
confirming that the company is entitled to commence business and to exercise its borrowing powers, and
that certificate shall be conclusive evidence of the matters stated in it.

RETURN OF ALLOTMENT OF SHARES – impt area

- s.63(1) CA –
- Deemed allotment for incorporation
- Any other allotment would be ”within 14 days”
- Details of allotment – number, amt paid/unpaid, different classes, details of top 50 shareholders.
* Nominal value of share and requirement for authorised capital abolished since Jan 2006.

34
S 63 – Allotment of Shares

Return as to allotments.
63. —(1) Where a company makes any allotment of its shares, other than a deemed allotment, the company
shall within 14 days thereafter lodge with the Registrar a return of the allotments stating —
(a) the number and nominal amounts of the shares comprised in the allotment;
(b) the amount, if any, paid, deemed to be paid, or due and payable on the allotment of each share;
(c) where the capital of the company is divided into shares of different classes the class of shares to which each
share comprised in the allotment belongs; and
(d) the full name, identification, nationality (if such identification or nationality, as the case may be, is required
by the Registrar) and address of, and the number and class of shares held by —
(i) each of its members; or
(ii) if it has more than 50 members as a result of the allotment, each of the 50 members who, following the
allotment, hold the most number of shares in the company.
(1A) A return of allotments referred to in subsection (1) by a company the shares of which are listed on a
stock exchange in Singapore need not state the particulars referred to in subsection (1) (d).
(2) In subsection (1), “identification” means in the case of a person issued with an identity card, the number of
his identity card and, in the case of a person not issued with an identity card, particulars of his passport or such
other similar evidence of identification as is available.
15/84.
(3) Deleted by Act 12/2002, wef 13/01/2003.
(4) Where shares are allotted as fully or partly paid up otherwise than in cash and the allotment is made
pursuant to a contract in writing the company shall lodge with the return the contract evidencing the
entitlement of the allottee or a copy of any such contract certified as prescribed.
(5) If a certified copy of a contract is lodged the original contract duly stamped shall if the Registrar so
requests be produced at the same time to the Registrar.
(6) Where shares are allotted as fully or partly paid up otherwise than in cash and the allotment is made —
(a) pursuant to a contract not reduced to writing;
(b) pursuant to a provision in the memorandum or articles; or
(c) in satisfaction of a dividend declared in favour of, but not payable in cash to, the shareholders, or in
pursuance of the application of moneys held by the company in an account or reserve in paying up unissued
shares to which the shareholders have become entitled,
the company shall lodge with the return a statement containing such particulars as are prescribed but, where
the shares are allotted pursuant to a scheme of arrangement approved by the Court under section 210, the
company may lodge a copy of the order of the Court in lieu of the statement in the prescribed form.
(7) In this section, “deemed allotment” means an issue of shares without formal allotment to subscribers to
the memorandum.
(8) If default is made in complying with this section, every officer of the company who is in default shall be
guilty of an offence and shall be liable on conviction to a fine not exceeding $4,000 and to a default penalty of
$250.

Fees Payable
S$ 300 Flat fee for incorporation, regardless of share capital and number of officers [2nd Schedule, CA]

Recent amendments affecting starting and maintenance of companies

- Some new policies for the past 2 years:

o One director/one shareholder companies allowed, as long as sole director is locally resident in
Singapore
o see 145 – no local director if carry on business – SHALL have personal liability!! Notify client
of this!!!! HC judge can direct shr to appt local director if of view that comp is trading
o Sole director cannot act as company secretary for the same company – may be conflict of interest
so need sep persons for this
o S 145 allows Registrar or court to direct shareholders to appoint director if there are no
directors
o Unlimited liability on member if he knowingly allow the company to carry on business without
any directors for more than 6 months

35
 o reason – need someone to answer
o note – sleeping and non working directors – as long as recorded as local director, you will have to
bear responsibility.

1) Abolition of mandatory audit for dormant and small exempt companies [S 205A to 205D]

Refer to s 205A to 205D CA if necessary

2) Financial reportings – Revised declarations by directors [S 201 and also S 205B(4)]

Refer to s 201 CA if necessary

3) What amounts to dormancy [S 205B(1)]

Refer to s 205B(1) if necessary

4) Abolition of professionally qualified company secretary [S 171]

Secretary.
171. —(1) Every company shall have one or more secretaries each of whom shall be a natural person who has
his principal or only place of residence in Singapore.
(1A) It shall be the duty of the directors of a company to take all reasonable steps to secure that each
secretary of the company is a person who appears to them to have the requisite knowledge and experience to
discharge the functions of secretary of the company.
(1AA) In addition, it shall be the duty of the directors of a public company to take all reasonable steps to
secure that each secretary of the company is a person who —
(a) on 15th May 1987 held the office of secretary in that company and continued to hold that office on the date
of commencement of the Companies (Amendment) Act 2003;
(b) for at least 3 years in the period of 5 years immediately preceding his appointment as secretary, held the
office of secretary of a company;
(c) is a qualified person under the Legal Profession Act (Cap. 161), a public accountant, a member of the
Singapore Association of the Institute of Chartered Secretaries and Administrators, or a member of such other
professional association as may be prescribed; or
(d) is, by virtue of such academic or professional qualifications as may be prescribed, capable of discharging
the functions of secretary of the company.
(1AB) The Registrar may require a private company to appoint a person who satisfies subsection (1AA) (b),
(c) or (d) as its secretary if he is satisfied that the company has failed to comply with any provision of this Act
with respect to the keeping of any register or other record.
(1B) Any person who is appointed by the directors of a company as a secretary shall, at the time of his
appointment, by himself or through a prescribed person authorised by him, file with the Registrar a declaration
in the prescribed form that he consents to act as secretary and providing the prescribed particulars.
(1C) A person to whom subsection (1AA) (a) applies who, after 15th May 1987, becomes a secretary of
another company and is not qualified to act as secretary under subsection subsection (1AA) (b), (c) and (d)
shall not be regarded as being a person who is qualified to discharge the functions of secretary under this
subsection.
(1D) In this subsection and section 173, “secretary” includes an assistant or deputy secretary.
(1E) Where a director is the sole director of a company, he shall not act or be appointed as the secretary of the
company.
(2) Subsection (1) shall not operate to prevent a corporation which was acting as the secretary of a company
immediately before 29th December 1967 from continuing to act as secretary of that company for a period of
12 months after that date.
S 258/67.
(3) The secretary or secretaries shall be appointed by the directors and at least one of those secretaries shall be
present at the registered office of the company by himself or his agent or clerk on the days and at the hours
during which the registered office is to be accessible to the public.
(4) Anything required or authorised to be done by or in relation to the secretary may, if the office is vacant or
for any other reason the secretary is not capable of acting, be done by or in relation to any assistant or deputy

36
 secretary or, if there is no assistant or deputy secretary capable of acting, by or in relation to any officer of the
company authorised generally or specially in that behalf by the directors:
Provided that the office of secretary shall not be left vacant for more than 6 months at any one time.
(5) A provision requiring or authorising a thing to be done by or in relation to a director and the secretary shall
not be satisfied by its being done by or in relation to the same person acting both as director and as, or in place
of, the secretary.

5) Written resolutions and elective AGM [S 175A, 185A to 184G]

Private company may dispense with annual general meetings

175A. —(1) A private company may, by resolution passed in accordance with subsection (2), dispense with
the holding of annual general meetings.
(2) Notwithstanding any other provision of this Act, a resolution referred to in subsection (1) shall only be
treated as passed at a general meeting if it has been passed by all of such members as, being entitled to do so,
vote in person or, where proxies are allowed, by proxy present at the meeting.
(3) A resolution under subsection (1) has effect for the year in which it is made and subsequent years, but
does not affect any liability already incurred by reason of default in holding an annual general meeting.
(4) In any year in which an annual general meeting would be required to be held but for this section, and in
which no such meeting has been held, any member of the company may, by notice to the company not later
than 3 months before the end of the year, require the holding of an annual general meeting in that year.
(5) The power of a member under subsection (4) to require the holding of an annual general meeting is
exercisable not only by the giving of a notice but also by the transmission to the company at such address as
may for the time being be specified for the purpose by or on behalf of the company of an electronic
communication containing the requirement.
(6) If such a notice is given or electronic communication is transmitted, section 175 (1) and (4) shall apply
with respect to the calling of the meeting and the consequences of default.
(7) A resolution referred to in subsection (1) shall cease to be in force if the company is converted to a public
company.
(8) If the resolution referred to in subsection (1) ceases to be in force, the company shall not be obliged under
section 175 to hold an annual general meeting in that year if, at the time the resolution ceases to have effect,
less than 3 months of the year remains.
(9) Subsection (8) does not affect any obligation of the company to hold an annual general meeting in that
year in pursuance of a notice given under subsection (4) or an electronic communication transmitted under
subsection (5).
(10) Unless the contrary intention appears —
(a) a reference in any provision of this Act to the doing of anything at an annual general meeting shall, in the
case of a company that has dispensed with holding an annual general meeting in accordance with this section,
be read as a reference to the doing of that thing by way of a resolution by written means under section 184A;
and
(b) a reference in any provision of this Act to the date or conclusion of an annual general meeting of a
company that has dispensed with holding an annual general meeting in accordance with this section shall,
unless the meeting is held, be read as a reference to the date of expiry of the period within which the meeting is
required by law to be held.
(11) In this section, an address of a person includes any number or address used for electronic
communication.

Refer to ss 185A to 184G if necessary.

6) One director/shareholder company [S 20A, 145]

Minimum of one member

20A. A company shall have at least one member.

Directors.
145. —(1) Every company shall have at least one director who is ordinarily resident in Singapore and, where
the company only has one member, that sole director may also be the sole member of the company.
(2) No person other than a natural person of full age and capacity shall be a director of a company.

37
 (3) Deleted by Act 12/2002, wef 13/01/2003.
(4) Any provision in the memorandum or articles of a company which was in force immediately before 29th
December 1967 and which operated to constitute a corporation as a director of the company shall be read and
construed as if it authorised that corporation to appoint a natural person to be a director of that company.
S 258/67.
(5) Notwithstanding anything in this Act or in the memorandum or articles of the company, or in any
agreement with the company, a director of a company shall not resign or vacate his office unless there is
remaining in the company at least one director who is ordinarily resident in Singapore; and any purported
resignation or vacation of office in breach of this subsection shall be deemed to be invalid.
(6) Subsection (5) shall not apply where a director of a company is required to resign or vacate his office if he
has not within the period referred to in section 147 (1) obtained his qualification or by virtue of his
disqualification under section 148, 149, 149A, 154 or 155 of this Act or section 43 (1) (b) of the Insurance Act,
or sections 58, 59 and 60 of the Banking Act or sections 35 and 37 of the Finance Companies Act, section 57
of the Financial Advisers Act 2001, section 31, 35ZJ or 41 (1) (b) of the Insurance Act (Cap.142) or section 22,
33, 44, 64 or 97 of the Securities and Futures Act 2001 .
(7) If there is a contravention of subsection (1), the Registrar may, either of his own motion or on the
application of any person, direct the members of the company to appoint a director who is ordinarily resident
in Singapore if he considers it to be in the interests of the company for such appointment to be made.
(8) If the direction under subsection (7) is not complied
with, each member in default shall be guilty of an offence and shall be liable on conviction to a fine not
exceeding $2,000 and, in the case of a continuing offence, to a further fine not exceeding $1,000 for every day
or part thereof during which the offence continues after conviction.
(9) If there is a contravention of subsection (1) and —
(a) the Registrar fails to give the direction under subsection (7); or
(b) such direction has been given but is not complied with,
the court may, on the application of the Registrar or any person, order the members of the company to make
the appointment if it considers it to be in the interests of the company for such appointment to be made.
(10) If a company carries on business without having at least one director who is ordinarily resident in
Singapore for more than 6 months, a person who, for the whole or any part of the period that it so carries on
business after those 6 months —
(a) is a member of the company; and
(b) knows that it is carrying on business in that manner,
shall be liable for the payment of all the debts of the company contracted during the period or, as the case may
be, that part of it, and may be sued therefor.

7) Unlimited Capacity Rule [S 23]

8) Abolition of restriction on private companies to make an offer to the pubic [S 18]

Private company.
18. —(1) A company having a share capital may be incorporated as a private company if its memorandum or
articles —
(a) restricts the right to transfer its shares; and
(b) limits to not more than 50 the number of its members (counting joint holders of shares as one person and not
counting any person in the employment of the company or of its subsidiary or any person who while previously
in the employment of the company or of its subsidiary was and thereafter has continued to be a member of the
company).
(c) Deleted by Act 5/2004, wef 01/04/2004.
(d) Deleted by Act 5/2004, wef 01/04/2004.
(2) Where, on 29th December 1967, neither the memorandum nor articles of a company that is a private
company by virtue of paragraph (a) of the definition of “private company” in section 4 (1) contain the
restrictions, limitations and prohibitions required by subsection (1) to be included in the memorandum or
articles of a company that may be incorporated as a private company, the articles of the company shall be
deemed to include each such restriction, limitation or prohibition that is not so included and a restriction on the
right to transfer its shares that is so deemed to be included in its articles shall be deemed to be a restriction that
prohibits the transfer of shares except to a person approved by the directors of the company.
(3) Where a restriction, limitation or prohibition deemed to be included in the articles of a company under
subsection (2) is inconsistent with any provision already included in the memorandum or articles of the
company, that restriction, limitation or prohibition shall, to the extent of the inconsistency, prevail.

38
(4) A private company may, by special resolution, alter any restriction on the right to transfer its shares included,
or deemed to be included, in its memorandum or articles or any limitation on the number of its members
included, or deemed to be included, in its memorandum or articles, but not so that the memorandum and articles
of the company cease to include the limitation required by subsection (1) (b) to be included in the memorandum
or articles of a company that may be incorporated as a private company.

REGISTRATION OF A BRANCH OF FOREIGN COMPANY

- s. 368 read in conjunction with Regulations 21 to 25 Companies (Filing of Documents) Regulations
2003
- law requires a company incorporated outside Singapore to apply for registration before setting up a
place of business or commencing business in Singapore (s. 368(1) CA)
Documents, etc., to be lodged by foreign companies having place of business in Singapore.
368. —(1) Every foreign company shall, before it establishes a place of business or commences to carry
on business in Singapore, lodge with the Registrar for registration —
(a) a certified copy of the certificate of its incorporation or registration in its place of incorporation or
origin or a document of similar effect;
(b) a certified copy of its charter, statute or memorandum and articles or other instrument constituting or
defining its constitution;
(c) a list of its directors containing similar particulars with respect to its directors as are by this Act
required to be contained in the register of the directors, managers and secretaries of a company
incorporated under this Act;
(d) where the list includes directors resident in Singapore who are members of the local board of
directors, a memorandum duly executed by or on behalf of the foreign company stating the powers of the
local directors;
(e) a memorandum of appointment or power of attorney under the seal of the foreign company or
executed on its behalf in such manner as to be binding on the company and, in either case, verified in the
prescribed manner, stating the names and addresses of two or more natural persons resident in Singapore
authorised to accept on its behalf service of process and any notices required to be served on the
company;
(f) notice of the situation of its registered office in Singapore and, unless the office is open and accessible
to the public during ordinary business hours on each day (Saturdays, weekly and public holidays
excepted), the days and hours during which it is open and accessible to the public,
(g) Deleted by Act 12/2002, wef 13/01/2003.
and on payment of the appropriate fees and subject to this Act the Registrar shall register the company
under this Division by registration of the documents.
(2) Where a memorandum of appointment or power of attorney lodged with the Registrar in pursuance of
subsection (1) (e) is executed by a person on behalf of the company, a copy of the deed or document by
which that person is authorised to execute the memorandum of appointment or power of attorney, verified
by statutory declaration in the prescribed manner, shall be lodged with the Registrar and the copy shall for
all purposes be regarded as an original.
(3) Subsection (1) shall apply to a foreign company which was not registered under the repealed written
laws but which, immediately before 29th December 1967, had a place of business or was carrying on
business in Singapore and, on that date, had a place of business or was carrying on business in Singapore,
as if it established that place of business or commenced to carry on that business on that date.
- Certificate of Incorporation or Registration
- paragraph (a) section 368(1) must be certified and translated into English
- list of directors
- foreign company must appoint 2 local residents as its agents under a Memorandum of Appointment or a
power of attorney
- registered office in Singapore required for the branch of the foreign company
- registration fees for foreign company are $300 for a foreign company having a share capital, and $1,200
for a foreign company not having a share capital
- registration is online via Bizfile at www.bizfile.gov.sg
Names
- name must first be approved for use in Singapore (s. 378 CA)
Restriction on use of certain names

39
 378. —(1) Except with the consent of the Minister, a foreign company shall not be registered by a name
that, in the opinion of the Registrar, is undesirable or is a name, or a name of a kind, that the Minister has
directed the Registrar not to accept for registration.
(2) Except with the consent of the Minister, any change in the name of a foreign company shall not be
registered if in the opinion of the Registrar the new name of the company is undesirable or is a name, or a
name of a kind, that the Minister has directed the Registrar not to accept for registration, notwithstanding
that particulars of the change have been lodged in accordance with section 372.
(3) No foreign company to which this Division applies shall use in Singapore any name other than that
under which it is registered under this Division.
(4) If default is made in complying with subsection (3), the foreign company, every officer of the
company who is in default and every agent of the company who knowingly and wilfully authorises or
permits the default shall be guilty of an offence and shall be liable on conviction to a fine not exceeding
$2,000 and also to a default penalty.
- except with consent of Minister, a foreign company shall not be registered by a name that is undesirable
or a name of a kind, that the Minister has directed the Registrar not to accept for registration
- fee of $15 payable (2nd Schedule CA)
Registration
- s. 368(1) CA
- Certificate of Incorporation (r. 21 C(FOD)R)
- memorandum and articles of association (r. 21 C(FOD)R)
- r. 12 C(FOD)R, s. 397 CA
- particulars of all directors (s. 368(1)(c) CA)
- registered office (s. 368(1)(f) CA)
- memorandum of appointment of power of attorney executed by foreign company appointing 2 local
residents to be its agents in Singapore (s. 368(1)(e) CA)
- S$300 for foreign company having share capital, S$1200 for foreign company not having share capital
(2nd Schedule CA)
- S. 371 CA
C(FOD)R - Certification or verification of documents required for registration of foreign companies
21. —(1) For the purposes of section 368 (1) (a) of the Act, a certified copy of a certificate referred to in that
section is a copy that has, within the period of 3 months immediately preceding the day on which it is lodged
with the Registrar or within such longer period as the Registrar permits, been certified to be a true copy by an
official holding or purporting to hold an office corresponding to that of the Registrar in the place in which the
foreign company concerned is formed or incorporated.
(2) Where the certificate referred to in section 368 (1) (a) of the Act is an electronic document, the Registrar
may accept a certified copy of a print-out of that certificate from an electronic database of an office
corresponding to that of the Registry of Companies in the place in which the foreign company is formed or
incorporated.
(3) For the purposes of section 368 (1) (b) of the Act, a certified copy referred to in that section, of a charter,
statute or memorandum and articles or other instrument constituting or defining a foreign company’s
constitution, is a copy that has, within the period of 3 months immediately preceding the day on which it is
lodged with the Registrar or within such longer period as the Registrar permits, been certified to be a true copy
—
(a) by an official holding or purporting to hold an office corresponding to that of the Registrar in the place in
which the foreign company concerned is formed or incorporated;
(b) by a notary public; or
(c) by a director, manager or secretary of the foreign company by affidavit or, in the case of a foreign company
formed or incorporated within the Commonwealth, by statutory declaration made by a director, manager or
secretary of the foreign company.
(4) In paragraph (2), “electronic document” means a document that is filed, served, delivered or otherwise
conveyed by electronic transmission.
Certified translations of documents
12. —(1) For the purposes of section 397 of the Act, “certified translation” means a translation that —
(a) in the case of a translation made outside Singapore —
(i) is certified by an official to whom the custody of the original instrument, certificate, contract or document
is committed, being an official holding or purporting to hold an office corresponding to that of the Registrar in
the place in which the corporation is formed or incorporated;

40
 (ii) is certified by a notary public or a translator duly admitted and sworn in accordance with the law of the
place in which the corporation is formed or incorporated; or
(iii) is certified by a Singapore consular officer in the place in which the corporation is formed or
incorporated; or
(b) in the case of a translation made within Singapore, is certified by a person approved by the Registrar to be
a correct translation in the English language.
(2) The Registrar may, before accepting a translation for lodgment, require the person lodging the translation
to furnish to the Registrar such evidence as the Registrar thinks sufficient of the ability of the person by whom
the translation is made to make the translation.
(3) In this regulation, “Singapore consular officer” means a Consul or a person performing consular functions
on behalf of the Government.
Companies Act - Translations of instruments
397. —(1) Where under this Act a corporation is required to lodge with the Registrar any instrument,
certificate, contract or document or a certified copy thereof and the same is not written in the English
language, the corporation shall lodge at the same time with the Registrar a certified translation thereof in the
English language.
(2) Where under this Act a corporation is required to make available for public inspection any instrument,
certificate, contract or document and the same is not written in the English language, the corporation shall
keep at its registered office in Singapore a certified translation thereof in the English language.
(3) Where any accounts, minute books or other records of a corporation required by this Act to be kept are not
kept in the English language, the directors of the corporation shall cause a true translation of such accounts,
minute books and other records to be made from time to time at intervals of not more than 7 days and shall
cause such translations to be kept with the original accounts, minute books and other records for so long as the
original accounts, minute books and other records are required by this Act to be kept.
Documents, etc., to be lodged by foreign companies having place of business in Singapore.
368. —(1) Every foreign company shall, before it establishes a place of business or commences to carry on
business in Singapore, lodge with the Registrar for registration —
(c) a list of its directors containing similar particulars with respect to its directors as are by this Act required to
be contained in the register of the directors, managers and secretaries of a company incorporated under this
Act
(e) a memorandum of appointment or power of attorney under the seal of the foreign company or executed on
its behalf in such manner as to be binding on the company and, in either case, verified in the prescribed
manner, stating the names and addresses of two or more natural persons resident in Singapore authorised to
accept on its behalf service of process and any notices required to be served on the company;
13/87.
(f) notice of the situation of its registered office in Singapore and, unless the office is open and accessible to
the public during ordinary business hours on each day (Saturdays, weekly and public holidays excepted), the
days and hours during which it is open and accessible to the public
Transitory provisions
371. —(1) On the registration of a foreign company under this Division, the Registrar shall issue a notice in
the prescribed form and the notice shall be prima facie evidence in all courts of the particulars mentioned in
the notice.
(2) Upon the application of the foreign company that has been duly registered and payment of the prescribed
fee, the Registrar shall issue to the foreign company a certificate, under his hand and seal, confirming the
particulars mentioned in the notice, and the certificate shall be prima facie evidence in all courts of those
particulars.

Others
- s. 372 & 373 CA
Return to be filed where documents, etc., altered.
372. —(1) Where any change or alteration is made in —
(a) the charter, statutes, memorandum or articles of the foreign company or other instrument lodged with
the Registrar;
(b) the directors of the foreign company;
(c) the agent or agents of the foreign company;
28/94.
(d) the situation, address or designation of situation or address of the registered office of the foreign
company in Singapore or of the days or hours during which it is open and accessible to the public;

41
(e) the address of the registered office of the foreign company in its place of incorporation or origin;
(f) the name of the foreign company; or
(g) the powers of any directors resident in Singapore who are members of the local board of directors of
the foreign company,
the foreign company shall, within one month or within such further period as the Registrar in special
circumstances allows after the change or alteration, lodge with the Registrar particulars of the change or
alteration and such documents as the regulations require.
(1A) Any agent of a foreign company who has changed his residential address shall —
(a) notify the foreign company of the change; and
(b) subject to subsection (1B), lodge with the Registrar a notice in the prescribed form notifying the
Registrar of his new residential address.
28/94.
(1B) Where any agent of a foreign company has made a report of a change of his residential address
under section 8 of the National Registration Act, he shall be deemed to have notified the Registrar of the
change in compliance with subsection (1A) (b).
Cap. 201.
28/94.
(1C) If default is made by any agent of a foreign company in complying with subsection (1A), he shall be
guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000 and also to a default
penalty.
28/94.
(2) If a foreign company increases its authorised share capital it shall within one month or within such
further period as the Registrar in special circumstances allows after such increase lodge with the Registrar
notice of the amount from which and of the amount to which it has been so increased.
(3) If a foreign company not having a share capital changes the number of its members so that it is
different from the registered number, the company shall, within one month or within such further period
as the Registrar in special circumstances allows after the date on which the change was resolved or took
place, lodge with the Registrar notice of the change in the prescribed form.
(4) If any order is made by a court under any law in force in the country in which a foreign company is
incorporated which corresponds to section 210, the company shall, within one month or within such
further period as the Registrar in special circumstances allows after the order was made, lodge with the
Registrar a copy of that order.
U.K.s.409.
Aust. s. 347.
40/89.
Balance-sheets.
373. —(1) Subject to this section, a foreign company shall, within two months of its annual general
meeting, lodge with the Registrar a copy of its balance-sheet made up to the end of its last financial year
in such form and containing such particulars and accompanied by copies of such documents as the
company is required to annex, attach or send with its balance-sheet by the law for the time being
applicable to that company in the place of its incorporation or origin, together with a declaration in the
prescribed form verifying that the copies are true copies of the documents so required.
(2) The Registrar may, if he is of the opinion that the balance-sheet and other documents referred to in
subsection (1) do not sufficiently disclose the company’s financial position, require the company to lodge
a balance-sheet within such period, in such form and containing such particulars and to annex thereto
such documents as the Registrar by notice in writing to the company requires, but this subsection does not
authorise the Registrar to require a balance-sheet to contain any particulars or the company to annex,
attach or to send any documents that would not be required to be furnished if the company were a public
company incorporated under this Act.
(3) The company shall comply with the requirements set out in the notice.
(4) Where a foreign company is not required by the law of the place of its incorporation or origin to hold
an annual general meeting and prepare a balance-sheet the company shall prepare and lodge with the
Registrar a balance-sheet within such period, in such form and containing such particulars and to annex
thereto such documents as the directors of the company would have been required to prepare or obtain if
the company were a public company incorporated under this Act.
(5) In addition to the balance-sheet and other documents required to be lodged with the Registrar by
subsections (1) to (4), a foreign company shall lodge with the Registrar with such balance-sheet and other
documents a duly audited statement showing its assets used in and liabilities arising out of its operations
in Singapore as at the date to which its balance-sheet was made up and a duly audited profit and loss

42
 account which, in so far as is practicable, complies with the requirements of the Accounting Standards
and which gives a true and fair view of the profit or loss arising out of the company’s operation in
Singapore for the last preceding financial year of the company:
Provided that —
(a) the company shall be entitled to make such apportionments of expenses incurred in connection with
operations or administration affecting both Singapore and elsewhere and to add such notes and
explanations as in its opinion are necessary or desirable in order to give a true and fair view of the profit
or loss of its operation in Singapore; and
(b) the Registrar may waive compliance with this subsection in relation to any foreign company if he is
satisfied that —
(i) it is impractical to comply with this subsection having regard to the nature of the company’s operations
in Singapore;
(ii) it would be of no real value having regard to the amount involved;
(iii) it would involve expense unduly out of proportion to its value; or
(iv) it would be misleading or harmful to the business of the company or to any company which is
deemed by virtue of section 6 to be related to the company.
(6) A statement and profit and loss account shall be deemed to have been duly audited for the purposes of
subsection (5) if it is accompanied by a report by a public accountant appointed to provide auditing
services in respect of the company’s operations in Singapore which complies, in so far as is practicable,
with section 207.
(7) Without prejudice to the powers of the Registrar under paragraph (b) of the proviso to subsection (5),
a foreign company may apply to the Registrar in writing for an order relieving the foreign company from
any requirement of this section relating to the form and content of accounts or reports and the Registrar
may make such an order either unconditionally or on condition that the foreign company complies with
such other requirements relating to the form and content of the accounts or reports as the Registrar thinks
fit to impose.
15/84.
(8) The Registrar shall not make an order under subsection (7) unless he is of the opinion that compliance
with the requirements of this section would render the accounts or reports misleading or inappropriate to
the circumstances of the foreign company or would impose unreasonable burdens on the foreign
company.
15/84.
(9) The Registrar may make an order under subsection (7) which may be limited to a specific period and
may from time to time revoke or suspend the operation of any such order.
15/84.
U.K.s.410.
Aust. s. 348.
(10) Without prejudice to paragraph (b) of the proviso to subsection (5) and subsection (7), the Minister
may, by order published in the Gazette, in respect of foreign companies of a specified class or description,
substitute other accounting standards for the Accounting Standards, and the provisions of this section
shall apply accordingly in respect of such foreign companies.
- foreign company to notify the Registrar when there is any change in its particulars
- foreign company must also file its accounts with ACRA
- if foreign company ceases business in Singapore, must notify Registrar within 7 days (s. 377 CA)
Cesser of business in Singapore
377. —(1) If a foreign company ceases to have a place of business or to carry on business in Singapore, it
shall, within 7 days after so ceasing, lodge with the Registrar notice of that fact, and as from the day on
which the notice is so lodged its obligation to lodge any document (not being a document that ought to
have been lodged before that day) with the Registrar shall cease, and the Registrar shall upon the
expiration of 12 months after the lodging of the notice remove the name of that foreign company from the
register.
(2) If a foreign company goes into liquidation or is dissolved in its place of incorporation or origin —
(a) each person who immediately prior to the commencement of the liquidation proceedings was an agent
shall, within one month after the commencement of the liquidation or the dissolution or within such
further time as the Registrar in special circumstances allows, lodge or cause to be lodged with the
Registrar notice of that fact and, when a liquidator is appointed, notice of such appointment; and
(b) the liquidator shall, until a liquidator for Singapore is duly appointed by the Court, have the powers
and functions of a liquidator for Singapore.

43
 (3) A liquidator of a foreign company appointed for Singapore by the Court or a person exercising the
powers and functions of such a liquidator —
(a) shall, before any distribution of the foreign company’s assets is made, by advertisement in a
newspaper circulating generally in each country where the foreign company had been carrying on
business prior to the liquidation if no liquidator has been appointed for that place, invite all creditors to
make their claims against the foreign company within a reasonable time prior to the distribution;
(b) subject to subsection (7), shall not, without obtaining an order of the Court, pay out any creditor to the
exclusion of any other creditor of the foreign company;
(c) shall, unless otherwise ordered by the Court, only recover and realise the assets of the foreign
company in Singapore and shall, subject to paragraph (b) and subsection (7), pay the net amount so
recovered and realised to the liquidator of that foreign company for the place where it was formed or
incorporated after paying any debts and satisfying any liabilities incurred in Singapore by the foreign
company.
(4) Where a foreign company has been wound up so far as its assets in Singapore are concerned and there
is no liquidator for the place of its incorporation or origin the liquidator may apply to the Court for
directions as to the disposal of the net amount recovered in pursuance of subsection (3).
(5) On receipt of a notice from an agent that the company has been dissolved the Registrar shall remove
the name of the company from the register.
(6) Where the Registrar has reasonable cause to believe that a foreign company has ceased to carry on
business or to have a place of business in Singapore the provisions of this Act relating to the striking off
the register of the names of defunct companies shall with such adaptations as are necessary extend and
apply accordingly.
(7) Section 328 shall apply to a foreign company wound up or dissolved pursuant to this section as if for
references to a company there were substituted references to a foreign company.
(8) Where the Registrar is satisfied that a foreign company is being used for an unlawful purpose or for
purposes prejudicial to public peace, welfare or good order in Singapore or against the national security
or interest, he shall strike the name of the foreign company off the register and it shall thereupon cease to
be registered as a foreign company under this Division.
15/84.
(9) Any person aggrieved by the decision of the Registrar under subsection (8) may, within 30 days of the
date of the decision, appeal to the Minister whose decision shall be final.
- Registrar must be notified within one month if foreign company goes into liquidation or is dissolved in
its place of incorporation

Other types of Companies

A. Foreign Branches
- N.B. The foreign company registered in Singapore is colloquially termed as a “BRANCH”, but you will not
find the word “BRANCH” in the CA.
- N.B. Registered Offices (RO) are set up when the foreign client is not carrying on business in Singapore but
nevertheless wants to have an office in Singapore. RO’s are set up in Singapore with the primary purposes of
“PROMOTION”
PROMOTION” and “LIAISON
“LIAISON”. ”. Note that there may be difficulty in determining when promotion and
liaison becomes actual sales.

- Difference between foreign branches and local subsidiaries

- am I carrying on business in sg?
o List of exclusions – if doing thse, not considered business

CARRYING ON BUSINESS
- what is the meaning of “carrying on business?” (very impt, what is the test?) eg – management meeting;
entering contract to carry out distributing –
o two tests – defines carrying on business
- s. 368, 366(2) Companies Act
Interpretation of this Division.
366. —(1) In this Division, unless the contrary intention appears —
"agent" means the person named in a memorandum of appointment or power of attorney lodged under
section 368 (1) (e) or 370 (6) or under any corresponding previous written law;
"carrying on business" includes administering, managing or otherwise dealing with property situated in
Singapore as an agent, legal personal representative, or trustee, whether by employees or agents or

44
 otherwise, and “to carry on business” has a corresponding meaning.
(2) Notwithstanding subsection (1), a foreign company shall not be regarded as carrying on business in
Singapore for the reason only that in Singapore it —
(a) is or becomes a party to any action or suit or any administrative or arbitration proceeding or effects
settlement of an action, suit or proceeding or of any claim or dispute;
(b) holds meetings of its directors or shareholders or carries on other activities concerning its internal
affairs;
(c) maintains any bank account;
(d) effects any sale through an independent contractor;
(e) solicits or procures any order which becomes a binding contract only if such order is accepted outside
Singapore;
(f) creates evidence of any debt or creates a charge on movable or immovable property;
(g) secures or collects any of its debts or enforces its rights in regard to any securities relating to such
debts;
(h) conducts an isolated transaction that is completed within a period of 31 days, but not being one of a
number of similar transactions repeated from time to time;
(i) invests any of its funds or holds any property.; or
(j) establishes a share transfer or share registration office in Singapore ; or
(k) effects any transaction through its related corporation licensed or approved under any written law by
the Monetary Authority of Singapore, established under the Monetary Authority of Singapore Act (Cap.
186), under an arrangement approved by the Authority.
Documents, etc., to be lodged by foreign companies having place of business in Singapore.
368. —(1) Every foreign company shall, before it establishes a place of business or commences to carry
on business in Singapore, lodge with the Registrar for registration —
(a) a certified copy of the certificate of its incorporation or registration in its place of incorporation or
origin or a document of similar effect;
(b) a certified copy of its charter, statute or memorandum and articles or other instrument constituting or
defining its constitution;
(c) a list of its directors containing similar particulars with respect to its directors as are by this Act
required to be contained in the register of the directors, managers and secretaries of a company
incorporated under this Act;
(d) where the list includes directors resident in Singapore who are members of the local board of
directors, a memorandum duly executed by or on behalf of the foreign company stating the powers of the
local directors;
(e) a memorandum of appointment or power of attorney under the seal of the foreign company or
executed on its behalf in such manner as to be binding on the company and, in either case, verified in the
prescribed manner, stating the names and addresses of two or more natural persons resident in Singapore
authorised to accept on its behalf service of process and any notices required to be served on the
company;
13/87.
(f) notice of the situation of its registered office in Singapore and, unless the office is open and accessible
to the public during ordinary business hours on each day (Saturdays, weekly and public holidays
excepted), the days and hours during which it is open and accessible to the public,
(g) Deleted by Act 12/2002, wef 13/01/2003.
and on payment of the appropriate fees and subject to this Act the Registrar shall register the company
under this Division by registration of the documents.
(2) Where a memorandum of appointment or power of attorney lodged with the Registrar in pursuance of
subsection (1) (e) is executed by a person on behalf of the company, a copy of the deed or document by
which that person is authorised to execute the memorandum of appointment or power of attorney, verified
by statutory declaration in the prescribed manner, shall be lodged with the Registrar and the copy shall for
all purposes be regarded as an original.
(3) Subsection (1) shall apply to a foreign company which was not registered under the repealed written
laws but which, immediately before 29th December 1967, had a place of business or was carrying on
business in Singapore and, on that date, had a place of business or was carrying on business in Singapore,
as if it established that place of business or commenced to carry on that business on that date.
- if foreign company only conducts one isolated transaction completed within one month, then it need not
register
- representative offices are set up here to promote sales (receive correspondence)
- “promotion” and “liaison”

45
 - International Enterprise Singapore (IES)  if only carrying out promotion and liaison work, then need
not register as foreign company
- difficulty arises when promotion and liaison become actual sales
- representative cannot sign or conclude any contract in Singapore
- representative usually refer the contract to a foreign head office
- grey area when representative calls on customers in Singapore, when there is doubt, advise him to
register as a branch or incorporate a subsidiary
- IES only register representative offices of foreign companies involved in manufacturing, trading, trade
logistics and trade-related services
- for foreign companies in the finance related industries, refer to Monetary Authority of Singapore for
approval
- registration procedure:
• IES would advise by letter that is has no objection to the representative office
• letter will warn client that it is limited to promotion and liaison work
• and that it cannot open letters of credit
• must be represented by company’s own staff and cannot be represented by another establishment
or its employees
• representative office is not required to make any filings with ACRA
• but is required to notify the IES prior to changing the nature of its activities or its local
representatives
• must inform the IES in writing within 4 weeks of any change

- which is better and what are disadv

o go through status, financing ease, taxation etc

- Differences between foreign branches and local subsidiaries (with RO’s thrown in as well):

Local Subsidiary Branch Registered Office

Business Little difference between a subsidiary and a branch Carrying out promotion and liaison
for the purposes of carrying on business. work only.

Liability Liability limited to that Liability may extend to Liability may extend to parent
of the subsidiary. parent company. company.

Accounting Procedures Required to file accounts Required to file accounts N/A

to RCB. of Singapore operations
with RCB.

Tax Implications Separate entity would Check if tax holiday N/A

allow the local incentives would apply
subsidiary to charge a to branches in order to
fee to the main company take advantage of certain
∴ main company is not benefits in international
exposed to tax on its tax planning.
profits which it makes
outside Singapore.

Consolidation Issues Not entitled to Banks would normally N/A

consolidate assets. register a branch for the
purposes of
consolidation of assets.

PUBLIC COMPANIES
- 2 ways to set up – at outset or convert:

46
- Incorporation requirements and S 61(2)

61. --(2) Where a public company having a share capital has not issued a prospectus inviting the public to
subscribe for its shares, the company shall not commence any business or exercise any borrowing power
unless —
(a) there has been lodged with the Registrar a statement in lieu of prospectus which complies with the
provisions of this Act;
(b) every director of the company has paid to the company on each of the shares taken or contracted to be
taken by him, and for which he is liable to pay in cash, a proportion equal to the proportion payable on
application and allotment on the shares payable in cash; and
(c) there has been lodged with the Registrar a declaration in the prescribed form by —
(i) the secretary or one of the directors of the company; or
(ii) a prescribed person authorised by the company, verifying that paragraph (b) has been complied with.

- Conversion from Pte to Public Companies S 31(2) – time lines very stressful, usu do with pending IPO.
Must take care of time line, if prob with docs will hold back IPO process ads well

31. --(2) A private company may, subject to its memorandum or articles, convert to a public company by
lodging with the Registrar —
(a) a copy of a special resolution determining to convert to a public company and specifying an appropriate
alteration to its name;
(b) a statement in lieu of prospectus; and
(c) a declaration in the prescribed form verifying that section 61 (2) (b) has been complied with, and thereupon
the restrictions and limitations referred to in section 18 (1) as included in or deemed to be included in the
memorandum or articles of such company shall cease to form part of the memorandum or articles.

COMPANIES LIMITED BY GUARANTEE

Incorporation of such companies under CA
S 23 - approval of purchase of land and S 29 CA – omission of the word ‘limited’ may be applicable

Omission of “Limited” or “Berhad” in name of charitable and other companies.

29. —(1) Where it is proved to the satisfaction of the Minister that a proposed limited company is being
formed for the purpose of providing recreation or amusement or promoting commerce, industry, art, science,
religion, charity, pension or superannuation schemes or any other object useful to the community, that it has
some basis of national or general public interest and that it is in a financial position to carry out the objects for
which it is to be formed and will apply its profits (if any) or other income in promoting its objects and will
prohibit the payment of any dividend to its members, the Minister may (after requiring, if he thinks fit, the
proposal to be advertised in such manner as he directs either generally or in a particular case) approve that it be
registered as a company with limited liability without the addition of the word “Limited” or “Berhad” to its
name, and the company may be registered accordingly.
(2) Where it is proved to the satisfaction of the Minister —
(a) that the objects of a limited company are restricted to those specified in subsection (1) and to objects
incidental or conducive thereto;
(b) that the company has some basis of national or general public interest;
(c) that the company is in a financial position to carry out the objects for which it was formed; and
(d) that by its constitution the company is required to apply its profits, if any, or other income in promoting its
objects and is prohibited from paying any dividend to its members,
the Minister may grant his approval to the company to change its name to a name which does not contain the
word “Limited” or “Berhad”, being a name approved by the Registrar.
(3) The Minister may grant his approval on such conditions as the Minister thinks fit, and those conditions
shall be binding on the company and shall, if the Minister so directs, be inserted in the memorandum or articles
of the company and the memorandum or articles may by special resolution be altered to give effect to any such
direction.
(4) Where the memorandum or articles of a company include, as a result of a direction of the Minister given
pursuant to subsection (3) or pursuant to any corresponding previous written law, a provision that the
memorandum or articles shall not be altered except with the consent of the Minister, the company may, with
the consent of the Minister, by special resolution alter any provision of the memorandum or articles.

47
 (5) A company shall, while an approval granted under this section to it is in force, be exempted from
complying with the provisions of this Act relating to the use of the word “Limited” or “Berhad” as any part of
its name.
(6) Any approval granted under this section may at any time be revoked by the Minister and, upon revocation,
the Registrar shall enter the word “Limited” or “Berhad” at the end of the name of the company upon the
register, and the company shall thereupon cease to enjoy the exemption granted by reason of the approval
under this section but before the approval is so revoked the Minister shall give to the company notice in
writing of his intention and shall afford it an opportunity to be heard.
(7) Where the approval of the Minister under this section is revoked the memorandum or articles of the
company may be altered by special resolution so as to remove any provision in or to the effect that the
memorandum or articles may be altered only with the consent of the Minister.
U.K.s.19.
Aust. s. 24.
(8) Notice of any approval under this section shall be given by the Registrar on behalf of the Minister to the
company or proposed limited company.
(9) Upon the application of the company or proposed limited company and payment of the prescribed fee, the
Registrar shall issue to the company or proposed limited company a certificate confirming the approval under
this section.

Registration Of A Business (Whether As A Sole Proprietor Or A Partnership) Under The Business

Registration Act
o application has to be made to ACRA using the Bizfile service
o application must include a statement of the intended business name, general nature of the business, place or
places where the business is carried on, particulars of the owners and the manager of the business, and the
date or proposed date of commencement of the business
o business name may on application be reserved for 2 months or such longer period as allowed
o prescribed person, including lawyer, chartered secretary, public accountant, and an employee of an approved
service bureau, may make applications on behalf of owners of business
o local manager is required if proprietor or partners of business are all foreigners or foreign companies
Business
o Business Registration Act and Regulations
o One stage with two main parts : 1. Approval for name – see literature for what names are approvable; and
2. Registration Process
o Processing time: Instantaneous
o Charges: $15 for every name approved or every appeal made

o application fee of $65 for successful registration and $20 for yearly renewal

Registration
- s. 6 BRA
Manner and particulars of registration
6. —(1) In connection with an application under section 5 for registration under this Act, the appropriate
person shall lodge with the Registrar a statement in such medium and in such form as the Registrar may
determine containing the following particulars:
(a) the business name;
(b) the general nature of the business;
(c) the principal place of business and any other place where the business is carried on;
(d) the name, identification (if any), nationality and the usual place of residence of every person
responsible for the management of the business;
(e) where the business is to be carried on by a firm, the name, identification (if any), nationality and the
usual place of residence of every partner and, where a partner is a corporation, the corporate name,
registration number and registered office of the corporation;
(f) where the business is to be carried on by an individual, the name, identification (if any), nationality
and the usual place of residence of that individual;
(g) where the business is to be carried on by a corporation, its corporate name, registration number and

48
 registered office; and
(h) the date or proposed date of commencement of business.
[40/99;13/2002]
(2) The Registrar may, in any particular case, require the statement referred to in subsection (1) to be
verified in such manner as the Registrar may consider fit.
[13/2002]
(3) The High Court may, on the application of any person alleged or claiming to be a partner, direct the
rectification of the register and decide any question arising under this section.
[13/2002]
(4) In this section, “appropriate person”, in relation to an application for registration, means —
(a) where the registration to be effected is that of an individual, the individual;
(b) where the registration to be effected is that of a corporation, a director or the secretary of the
corporation or an agent of the corporation within the meaning of section 366 (1) of the Companies Act
(Cap. 50) or a manager of the corporation within the meaning of section 2 of the Limited Liability
Partnerships Act 2005;
(c) where the registration to be effected is that of a foreign firm, the manager of the foreign firm or the
person having direct control of the management of the business of the foreign firm; or
(d) where the registration to be effected is that of a firm (other than a foreign firm), every individual who
is a partner of the firm, and a director or the secretary or manager of every corporation which is a partner
of the firm,
and includes a prescribed person authorised by a person referred to in paragraph (a), (b), (c) or (d), as the
case may be.

Names
- s. 13 BRA
- Business Registration (Identical Names) Rules 2003
Restrictions on registration of business names
13. —(1) Except with the consent of the Minister, the Registrar shall refuse to register a person under this
Act to carry on business under a name which, or to allow a person to change the name under which he
carries on business to one which, in the opinion of the Registrar —
(a) is undesirable;
(b) is identical to that of any corporation or to a business name;
(c) is identical to a name that is being reserved under this section or under section 27 of the Companies
Act (Cap. 50); or
(d) is a name of a kind that the Minister has directed the Registrar, by notification in the Gazette, not to
accept for registration.
[13/2002]
(2) A person may apply in the prescribed manner to the Registrar for the reservation of a name set out in
the application as —
(a) the name of an intended business; or
(b) the new name of the registered business of the person.
[13/2002]
(3) Upon receipt of an application under subsection (2) and payment of the prescribed fee, the Registrar
may, if he is satisfied that the name to be reserved is not one which may be rejected on any ground
referred to in subsection (1) (a), (b), (c) or (d), reserve the name for a period of 2 months from the date of
lodgment of the application or such longer period as the Registrar may allow.
[13/2002]
(4) Notwithstanding anything in this section, where the Registrar is satisfied that a person has been
registered (whether through inadvertence or otherwise and whether originally or by a change of name) to
carry on business under a name which —
(a) is a name referred to in subsection (1) (a), (b) or (d); or
(b) so nearly resembles the name of any corporation or any other business name as to be likely to be
mistaken for it,
the Registrar may direct the person to change the name under which he carries on business, and the
person shall comply with the direction within 6 weeks after the date of the direction or such longer period
as the Registrar may allow, unless the direction is annulled by the Minister.
[13/2002]
(5) Any person may apply, in writing, to the Registrar to give a direction to any other person, on a ground

49
 referred to in subsection (4) (a) or (b), to change the name under which the second-mentioned person
carries on business.
[13/2002]
(6) The Registrar shall not consider any application under subsection (5) to give a direction to a person on
the ground referred to in subsection (4) (b) unless the Registrar receives the application within 12 months
from the date of registration of the person.
[13/2002]
(7) The Registrar may cancel the registration of any person who fails to comply with a direction given
under subsection (4).
[13/2002]
(8) The Registrar may, if he is satisfied that a person who is directed under subsection (4) to change the
name under which he carries on business had applied for registration under that name in bad faith, require
that person to pay the Registrar such fees as may be prescribed, and such fees shall be recoverable as a
debt due to the Government.
[13/2002]
(9) Any person who is aggrieved by a direction of the Registrar under subsection (4) or a requirement of
the Registrar under subsection (8) may, within 30 days of the date of the direction or requirement, appeal
to the Minister whose decision shall be final.
[13/2002]
(10) The Registrar may, by publication in the Gazette, make such rules as he considers appropriate for the
purposes of determining the matters referred to in subsections (1) to (4).

Manager
- Where owner resides outside Singapore or owner is a company incorporated elsewhere, a local manager
must be appointed
- s. 25 & 26 BRA
- r. 9 BRR
BRA - Business carried on by local managers
25. —(1) In any case in which any individual, or all the partners of any firm, or all the directors, the
managers and the secretary of any corporation required under this Act to be registered reside outside
Singapore, and the business of the individual, firm or corporation is carried on in Singapore in the name
of the individual, firm or corporation by a local manager, the local manager shall be personally
responsible for the discharge of all obligations attaching to the individual, firm or corporation under this
Act.
(2) In the case of any default in respect of any such obligation referred to in subsection (1), the local
manager shall be subject to the same responsibilities, liabilities and penalties as the individual in whose
name he carries on the business, or as a partner in the firm, or as a director, manager or secretary of the
corporation, as the case may be, and all the penal and other provisions of this Act shall be construed
accordingly.
[21
Restriction on undischarged bankrupt being manager
26. —(1) Any person who, being an undischarged bankrupt (whether he was adjudicated bankrupt by a
Singapore court or a foreign court having jurisdiction in bankruptcy), directly or indirectly, takes part in
or is concerned in the management of any business carried on by any person required to be registered
under this Act, without the leave of the High Court or the written permission of the Official Assignee,
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to
imprisonment for a term not exceeding 2 years or to both.
[37/99;9/2003]
(2) On an application by an undischarged bankrupt under subsection (1) to the High Court or the Official
Assignee, as the case may be, the High Court or the Official Assignee may refuse the application or
approve the application subject to such condition as the High Court or the Official Assignee, as the case
may be, may impose.
[37/99]
(3) The leave of the High Court for the purpose of this section shall not be given unless notice of intention
to apply therefor has been served on the Official Assignee and the Official Assignee is heard on the
application.
BRR - Appointment of local manager
9. —(1) Where a person carrying on business required to be registered under the Act is, or, in the case of

50
 any corporation, the directors are, or the secretary of the corporation is, not ordinarily resident in
Singapore, the Registrar may require a local manager to be appointed and the particulars of the local
manager to be stated in the form for registration.
(2) The local manager shall be required to declare his consent in such manner as the Registrar may
determine.
(3) Where a local manager appointed under paragraph (1) ceases to hold office for any reason, the
person carrying on the business shall appoint a new local manager and notify the Registrar within 14 days
of the cessation in such manner as the Registrar may require.
(4) Any person who contravenes paragraph (3) shall be guilty of an offence and shall be liable on
conviction to a fine not exceeding $1,000.

Publicity Requirements
- r. 11 BRR
Business name to be printed on business documents
11. —(1) A person who is registered under the Act shall print the registered business name and number
of the certificate of registration on every letterhead, invoice, bill or other document used for the purposes
of his business.
(2) Any person who contravenes paragraph (1) shall be guilty of an offence and shall be liable on
conviction to a fine not exceeding $1,000.

Exemptions
- s. 4 BRA
Exemptions
4. —(1) This Act shall not apply to —
(a) any individual or class of individuals carrying on any of the businesses specified in the First Schedule;
(b) any statutory authority or other body established under any written law;
(c) any institution, authority, person or fund specified in the First Schedule to the Income Tax Act (Cap.
134);
(d) any society registered under the Societies Act (Cap. 311);
(e) any society registered under the Co-operative Societies Act (Cap. 62);
(f) any mutual benefit organisation registered under the Mutual Benefit Organisations Act (Cap. 191);
(g) any person carrying on any business consisting solely of the exercise of any profession which under
the provisions of any written law can be exercised only by those who possess certain qualifications
prescribed by the written law and whose names are registered or otherwise recorded in the manner
prescribed by any written law;
(h) any charitable institution which is exempt from tax under section 13 (1) (e) of the Income Tax Act;
(i) the Public Trustee or the Official Assignee of the property of a bankrupt;
(j) any foreign company carrying on business in Singapore which is registered under the Companies Act
(Cap. 50) and carries on the business under its corporate name; and
(k) any other person or class of persons for the time being exempted by the Minister, by notification in the
Gazette, from all the provisions of this Act.
[40/99]
(2) This Act shall not apply to any company registered under the Companies Act (Cap. 50) or any
previous legislation carrying on business under its corporate name.
[40/99]
(3) This Act shall not apply to any limited liability partnership registered under the Limited Liability
Partnerships Act 2005 carrying on business under its registered name.
a. law exempts certain categories of people from registration requirements:
1. licensed hawkers
2. domestic craftsmen
3. taxi drivers
4. trishaw drivers
5. sampan men
6. farmers
7. private fish pond keepers or prawn pond keepers
b. professionals such as lawyers, accountants and doctors need not register themselves with the Registrar
of Business, they come under the purview of their respective professional bodies

51
 c. other entities such as statutory boards, societies, co-operative societies, mutual benefit organizations
and charitable institutions which are set up under separate statutes are also not required to register under
the Business Registration Act
d. business entity registered under Companies Act is not required to repeat registration under Business
Registration Act, provided it carries on business under a business name which consists of its corporate
name (s. 4(2) BRA)
- s. 4(1)(k) BRA

REGISTERING A LIMITED LIABILITY PARTNERSHIP

LLPs – (Suspect might come out for exam – read up on it! – incorp stuff fr walter woon too!)

Registration
- s. 15 & 16 LLPA
- s. 20, 21 read with s. 15 & 16 LLPA
- s. 15 LLPA
Provisional liquidator
15. The Court may appoint the Official Receiver or an approved liquidator provisionally at any time
after the filing of a winding up application and before the making of a winding up order and the
provisional liquidator shall have and may exercise all the functions and powers of a liquidator, subject to
such limitations and restrictions as may be prescribed by the Rules or as the Court may specify in the
order appointing him.
General provisions as to liquidators
16. —(1) A liquidator appointed by the Court may resign or on cause shown be removed by the Court.
(2) A provisional liquidator, other than the Official Receiver, shall be entitled to receive such salary or
remuneration by way of percentage or otherwise as is determined by the Court.
(3) A liquidator, other than the Official Receiver, shall be entitled to receive such salary or remuneration
by way of percentage or otherwise as is determined —
(a) by agreement between the liquidator and the committee of inspection, if any;
(b) failing such agreement, or where there is no committee of inspection, by a resolution passed at a
meeting of creditors by a majority of not less than 75% in value and 50% in number of the creditors
present in person or by proxy and voting at the meeting and whose debts have been admitted for the
purpose of voting, which meeting shall be convened by the liquidator by a notice to each creditor to
which notice shall be attached a statement of all receipts and expenditure by the liquidator and the amount
of remuneration sought by him; or
(c) failing a determination in a manner referred to in sub-paragraph (a) or (b), by the Court.
(4) Where the salary or remuneration of a liquidator is determined in the manner specified in sub-
paragraph (3) (a), the Court may, on the application of any partner confirm or vary the determination.
(5) Where the salary or remuneration of a liquidator is determined in the manner specified in sub-
paragraph (3) (b), the Court may, on the application of the liquidator or the partner referred to in sub-
paragraph (4), confirm or vary the determination.
(6) Subject to any order of the Court, the Official Receiver when acting as a liquidator or provisional

liquidator of a limited liability partnership shall be entitled to receive such salary or remuneration by way

of percentage or otherwise as is prescribed.

(7) If more than one liquidator is appointed by the Court, the Court shall declare whether anything by
this Act required or authorised to be done by the liquidator is to be done by all or any one or more of the
persons appointed.
(8) Subject to the provisions of this Act, the acts of a liquidator shall be valid notwithstanding any
defects that may afterwards be discovered in his appointment or qualification.
Powers of liquidator
20. —(1) The liquidator may with the authority either of the Court or of the committee of inspection —
(a) carry on the business of the limited liability partnership so far as is necessary for the beneficial
winding up thereof, but the authority shall not be necessary to so carry on the business during the 4 weeks
next after the date of the winding up order;
(b) subject to paragraph 76 pay any class of creditors in full;
(c) make any compromise or arrangement with creditors or persons claiming to be creditors or having or

52
 alleging themselves to have any claim present or future, certain or contingent, ascertained or sounding
only in damages against the limited liability partnership, or whereby the limited liability partnership may
be rendered liable;
(d) compromise any calls and liabilities to calls, debts and liabilities capable of resulting in debts and any
claims present or future, certain or contingent, ascertained or sounding only in damages subsisting, or
supposed to subsist, between the limited liability partnership and a partner or other debtor or person
apprehending liability to the limited liability partnership, and all questions in any way relating to or
affecting the assets or the winding up of the limited liability partnership, on such terms as are agreed, and
take any security for the discharge of any such call, debt, liability or claim, and give a complete discharge
in respect thereof; and
(e) appoint a solicitor to assist him in his duties.
(2) The liquidator may —
(a) bring or defend any action or other legal proceeding in the name and on behalf of the limited liability
partnership;
(b) compromise any debt due to the limited liability partnership, other than calls and liabilities for calls
and other than a debt where the amount claimed by the limited liability partnership to be due to it exceeds
$1,500;
(c) sell the immovable and movable property and things in action of the limited liability partnership by
public auction, public tender or private contract with power to transfer the whole thereof to any person or
limited liability partnership or to sell the same in parcels;
(d) do all acts and execute in the name and on behalf of the limited liability partnership all deeds, receipts
and other documents and for that purpose use when necessary the limited liability partnership’s seal;
(e) prove, rank and claim in the bankruptcy of any partner or debtor for any balance against his estate, and
receive dividends in the bankruptcy in respect of that balance as a separate debt due from the bankrupt,
and rateably with the other separate creditors;
(f) draw, accept, make and indorse any bill of exchange or promissory note in the name and on behalf of
the limited liability partnership with the same effect with respect to the liability of the limited liability
partnership as if the bill or note had been drawn, accepted, made or indorsed by or on behalf of the
limited liability partnership in the course of its business;
(g) raise on the security of the assets of the limited liability partnership any money required;
(h) take out letters of administration of the estate of any deceased partner or debtor, and do any other act
necessary for obtaining payment of any money due from a partner or debtor or his estate which cannot be
conveniently done in the name of the limited liability partnership, and in all such cases the money due
shall for the purposes of enabling the liquidator to take out the letters of administration or recover the
money be deemed due to the liquidator himself;
(i) appoint an agent to do any business which the liquidator is unable to do himself; and
(j) do all such other things as are necessary for winding up the affairs of the limited liability partnership
and distributing its assets.
(3) The exercise by the liquidator of the powers conferred by this paragraph shall be subject to the
control of the Court, and any creditor or partner may apply to the Court with respect to any exercise or
proposed exercise of any of those powers.
Exercise and control of liquidator’s powers
21. —(1) Subject to this Schedule, the liquidator shall in the administration of the assets of the limited
liability partnership and in the distribution thereof among its creditors have regard to any directions given
by resolution of the creditors or partners at any general meeting or by the committee of inspection, and
any directions so given by the creditors or partners shall, in case of conflict, override any directions given
by the committee of inspection.
(2) The liquidator may summon general meetings of the creditors or partners for the purpose of
ascertaining their wishes, and he shall summon meetings at such times as the creditors or partners by
resolution direct or whenever requested in writing to do so by not less than 10% in value of the creditors
or 10% of the total number of partners.
(3) The liquidator may apply to the Court for directions in relation to any particular matter arising under
the winding up.
(4) Subject to this Schedule, the liquidator shall use his own discretion in the management of the affairs
and property of the limited liability partnership and the distribution of its assets.

Conversion
- s. 20 and 2nd Schedule LLPA

53
 - s. 21 and 3rd Schedule LLPA

Names
- s. 19 LLPA
- LLP (Identical Names) Rules
Report by liquidator
19. —(1) The liquidator shall as soon as practicable after receipt of the statement of affairs submit a
preliminary report to the Court or if the liquidator is not the Official Receiver, to the Official Receiver —
(a) as to the amount of capital paid up and the estimated amount of assets and liabilities;
(b) if the limited liability partnership has failed, as to the causes of the failure; and
(c) whether, in his opinion, further inquiry is desirable as to any matter relating to the formation or failure
of the limited liability partnership or the conduct of the business thereof.
(2) The liquidator may also, if he thinks fit, make further reports to the Court or if the liquidator is not
the Official Receiver, to the Official Receiver stating the manner in which the limited liability partnership
was formed and whether in his opinion any fraud has been committed or any material fact has been
concealed by any person in its formation or by any officer in relation to the limited liability partnership
since its formation, and whether any officer of the limited liability partnership has contravened any of the
provisions of this Act, and specifying any other matter which in his opinion it is desirable to bring to the
notice of the Court.

Manager
- s. 2 LLPA
- LLP must have at least one manager who is ordinarily resident in Singapore, and also a natural person
of full age and capacity
- s. 33, 34, 35 & 36 LLPA
Interpretation
2. —(1) In this Act, unless the context otherwise requires —
"Authority" means the Accounting and Corporate Regulatory Authority established under the Accounting
and Corporate Regulatory Authority Act 2004 (Act 3 of 2004);
"company" has the same meaning as in section 4 (1) of the Companies Act (Cap. 50);
"corporation" means any body corporate formed or incorporated or existing in Singapore or outside
Singapore and includes —
(a) any limited liability partnership registered under this Act; and
(b) any foreign company,
but does not include —
(i) any corporation sole;
(ii) any co-operative society; or
(iii) any registered trade union;
"firm" has the same meaning as in section 2 (1) of the Business Registration Act (Cap. 32);
"foreign company" has the same meaning as in section 4 (1) of the Companies Act;
"limited liability partnership" has the meaning given to it by section 4 (1);
"limited liability partnership agreement" , in relation to a limited liability partnership, means any

agreement expressed or implied between the partners of the limited liability partnership or between the

limited liability partnership and its partners which determines the mutual rights and duties of the partners

and their rights and duties in relation to the limited liability partnership;

"liquidator" includes the Official Receiver when acting as the liquidator of a corporation;
"manager" , in relation to a limited liability partnership, means any person (whether or not a partner of the
limited liability partnership) who is concerned in or takes part in the management of the limited liability
partnership (whether or not his particulars or consent to act are lodged with the Registrar as required
under section 23 (2));
"officer" , in relation to a limited liability partnership, means —
(a) any manager of the limited liability partnership;
(b) a receiver and manager of any part of the undertaking of the limited liability partnership appointed
under a power contained in any instrument; and

54
(c) any liquidator of the limited liability partnership appointed in a voluntary winding up,
but does not include —
(i) any receiver who is not also a manager;
(ii) any receiver and manager appointed by the High Court; or
(iii) any liquidator appointed by the High Court or by the creditors;
"Official Receiver" means the Official Assignee appointed under the Bankruptcy Act (Cap. 20) and
includes the deputy of any such Official Assignee and any person appointed as Assistant Official
Assignee;
"partner" , in relation to a limited liability partnership, means any person who has been admitted as a
partner in the limited liability partnership in accordance with the limited liability partnership agreement;
"prescribed person" means a person, or a person within a class of persons, prescribed by the Minister;
"private company" has the same meaning as in section 4 (1) of the Companies Act (Cap. 50);
"register" means any register kept and maintained under this Act;
"Registrar" means the Registrar of Limited Liability Partnerships appointed under section 3 (2) (a) and
includes any Deputy Registrar or Assistant Registrar appointed under section 3 (2) (b).
(2) Where a limited liability partnership has more than one manager —
(a) anything that the manager is required by this Act to do may be done by any one of the managers; and
(b) anything which constitutes an offence by the manager under this Act constitutes an offence by each of
the managers.
(3) A reference in this Act to the managers of a limited liability partnership shall, in the case of a limited
liability partnership which has only one manager, be construed as a reference to that manager.
(4) A reference in this Act to the doing of any act by 2 or more managers of a limited liability
partnership shall, in the case of a limited liability partnership which has only one manager, be construed
as the doing of that act by that manager.
Power to arrest absconding partner, manager or former manager
33. The Court, at any time before or after making a winding up order, on proof of probable cause for
believing that a partner, manager or former manager of the limited liability partnership is about to leave
Singapore or otherwise to abscond or to remove or conceal any of his property for the purpose of evading
the discharge of any liability arising under this Schedule or of avoiding examination respecting the affairs
of the limited liability partnership, may cause the partner, manager or former manager to be arrested and
his books and papers and movable personal property to be seized and safely kept until such time as the
Court orders.
Delegation to liquidator of certain powers of Court
34. Provision may be made by rules enabling or requiring all or any of the powers and duties conferred
and imposed on the Court by this Schedule in respect of —
(a) the holding and conducting of meetings to ascertain the wishes of creditors and partners;
(b) the settling of lists of partners, the rectifying of the register of partners where required, and the
collecting and applying of the assets;
(c) the paying, delivery, conveyance, surrender or transfer of money, property, books or papers to the
liquidator;
(d) the making of calls and the adjusting of the rights of partners; and
(e) the fixing of a time within which debts and claims must be proved,
to be exercised or performed by the liquidator as an officer of the Court and subject to the control of the
Court, but the liquidator shall not, without the special leave of the Court, rectify the register of partners
and shall not make any call without either the special leave of the Court or the sanction of the committee
of inspection.
Powers of Court cumulative
35. —(1) Any powers by this Act conferred on the Court shall be in addition to, and not in derogation of,
any existing powers of instituting proceedings against any partner or debtor of the limited liability
partnership or the estate of any partner or debtor for the recovery of any call or other sums.
(2) Subject to the Rules of Court, an appeal from any order or decision made or given in the winding up
of a limited liability partnership shall lie in the same manner and subject to the same conditions as an
appeal from any order or decision of the Court in cases within its ordinary jurisdiction.
Circumstances in which limited liability partnership may be wound up voluntarily
36. —(1) A limited liability partnership may be wound up voluntarily if the partners so resolve.
(2) A limited liability partnership shall —
(a) within 7 days after the passing of a resolution for voluntary winding up, lodge a copy of the resolution
with the Registrar; and
(b) within 10 days after the passing of the resolution, give notice of the resolution in one or more

55
 newspapers circulating in Singapore.
(3) If the limited liability partnership contravenes sub-paragraph (2), the limited liability partnership and
every officer of the limited liability partnership who is in default shall be guilty of an offence and shall be
liable on conviction to a fine not exceeding $1,000.

Partners
- s. 7 LLPA
Power to stay or restrain proceedings against limited liability partnership
7. At any time after the filing of a winding up application and before a winding up order has been made,
the limited liability partnership or any creditor or partner may, where any action or proceeding against the
limited liability partnership is pending, apply to the Court to stay or restrain further proceedings in the
action or proceeding, and the Court may stay or restrain the proceedings accordingly on such terms as it
thinks fit.

Publicity Requirements
- s. 27 LLPA
- 2nd & 3rd Schedule LLPA
Collection and application of assets
27. —(1) As soon as possible after making a winding up order, the Court may rectify the register of
partners in all cases where rectification is required in pursuance of this Schedule and shall cause the
assets of the limited liability partnership to be collected and applied in discharge of its liabilities.
(2) The Court may order any person from whom money is due to the limited liability partnership to pay
the amount due into some bank, named in such order, to the account of the liquidator instead of to the
liquidator, and any such order may be enforced in the same manner as if it had directed payment to the
liquidator.
(3) All moneys and securities paid or delivered into any bank pursuant to this Schedule shall be subject
in all respects to orders of the Court.

Characteristics
- Flexi of partnership and also company
- Still certain safeguards in place
- new business structure – effect in april 2005
- partnership
- unlike UK model – after US model
- hybrid bet eng statute and American model

see features
- sue and be sued
- partners not personally liable for business debts but personally liable for proff neg

LLP –
- owner of business firm
- shr in comp
- partner in another LLP

creation:
- Regis of new LLP
- Or - CONVERSION IMPT!!!!!!!!!!!!!!!!!!!!
o can convert from business to LLP – all partners must be partners if LLP
o Convert fr company to LLP – all hrs must be partners of LLP, and no outstanding charges
o Submit online tranaction to convert
o Conversion fee – 100 – if change name, pay additional 15
o Impt to read 2nd and 3rd schedule of LLP act – prov comprehensive provn in law allwing a lot of
contract agreements and asset liab to pass over by virtue of legis that has been crafted. Such that
LLP inherits this fr entity tht is converting. Some reqt also imposed that must display whole name
etc plus Regis number.
o Must read both carefully to get full implications!!!!!!!

56
 o New Regis number issued
- But only a one way process
- Conversion process is optional
- See procedure – online and one step process

Pple involved in LLP

- Must be manager –
o anyone concerned in or takes part in management
o Can be partner
o Resp for filing certain online transactions
o At least 1
- Partner
o At least 2
o Assume unmlimited liab after 2 yrs if no 2 partners

Some medisave contributions

- CPF reqt
- For partners only – etc

57