Types of Business Structure

Recommended For

Registration Requirements

Cost of ongoing maintenance

Tax Treatments & Benefits

Limitation of Liability

Continuation of Business upon death of member

Business with low risk or individuals who has no prior experience to running business

• Age 18 and above

• Singapore citizens / Singapore Permanent Residents / EntrePass holder

• Owners residing in overseas must appoint an authorized representative who is resident in Singapore

Low

Individual owners or partners are taxed at applicable personal rates (resident rates up to 24%). A corporate partner is taxed at the applicable corporate rate.

Unlimited

No

Professionals such as accountants, lawyers and engineers etc.

At least two eligible partners (individuals aged 18 or above, or eligible entities). At least one eligible manager aged 18 or above who is ordinarily resident in Singapore.

Medium

Partners are taxed on their allocated share at the applicable personal or corporate rate, depending on the partner. Individual resident rates are progressive, up to 24%.

*Limited
(However, Partners can be personally liable for debts and losses resulting from own wrongful actions but not from other partners)

Yes — an LLP continues despite changes in its partners.

Business with higher risk or projected growth and requires additional capital for expansion.

At least one shareholder and one eligible director ordinarily resident in Singapore (aged 18 or above and not disqualified). A foreign person’s residency and work-pass position must be assessed separately; holding or applying for EntrePass does not automatically establish eligibility.

High

Headline corporate income tax rate: 17%.

For qualifying new start-ups, the first three consecutive Years of Assessment may receive 75% exemption on the first S$100,000 of normal chargeable income and 50% on the next S$100,000. Eligibility conditions apply; exemptions and rebates are not automatic for every company.

Limited

Yes