A Comprehensive Guide to Registering an LLP in Singapore: Step-by-Step Process

Are you looking to form an LLP (Limited Liability Partnership) in Singapore? Well, it is completely possible if you follow some essential steps. Whether you are a resident of this country or a foreigner, it is possible for all to launch such kind of venture. But before that, you need to acquire a clear and overall idea about such kind of venture. Then you must step forward for the next things.

As your presence in this blog clears that you are willing to know about an LLP and to help you out we have gathered a few essential elements. In our today's discussion, we are going to discuss the step-wise process to register llp in Singapore and its advantages. So, stay with us to curb all your queries.

The Advantages of Forming an LLP:-

What an LLP refers to? It is a venture that is run by partners, which offers superb flexibility to the owners to run the venture in a partnership form. The good news is, it is considered a separate legal entity.

Whether the line up in partnership may change but there will be no effect can be seen on the LLP’s existence or rights. If you think this is enough for you, then wait. It has more benefits than you think, let’s see -

Offers Limited Liability - As it sounds, all the partners who are involved in such kind of venture have to contribute in a limited way. For this reason, all of them have to bear a particular liability. This means, if there are losses then no one alone is responsible for that. If they are in debt, then the assets of the venture can be used to clear the debt. No personal asset is going to be harmed.

Minimal Registration Fees - In comparison to public or private limited firms, the LLP business registration in Singapore is quite lower. Therefore, an entrepreneur or a group of partners can enjoy paying a little and get full advantages like a separate legal venture.

Audit is Not Compulsory - Whether it is private or public; all companies that share capital and earn a massive annual turnover must get audited of their accounts. But there is no audit mandatory in LLP. Only they have to clear the tax audit.

No Limit On Owners - One needs to tie up with at least one to form such kind of entity. There is a minimum requirement of two partners to operate this kind of business and it may have more than 100 members. There are so limits to running an LLP.

LLP Registration in Singapore: Step-By-Step Process :-

Want to know about the process of registering a limited liability partnership venture in Singapore? Then you must follow some mandatory steps. These are as follows:

Must Reserve a Name

Once you and your fellow partners are agreed to launch an LLP, then the next step is to properly register llp in Singapore. To make this happen, the partners have to reserve a particular name for their venture. For this, they have to pay a specific amount. After that, the process will start. After application, the reserved name should be confirmed within four months. There will be no extension that can be given.

Registration of the Venture

After reserving and registering for the LLP name, now you have to proceed with registering the venture. It could not be done if you will not perform LLP business registration in Singapore with ACRA. This is the prime authority that regulates the formation and norms in the entire business field in Singapore. After paying a specific business registration fee the application will proceed within four working days.

Once the registration is successfully done, you will get a valid and authorized license. You can now perform business-related tasks once ACRA registration is fulfilled.

Get the Business Profile

Without getting an authorized business profile, the registration process is not fully completed. After getting the authorized business license, now owners have to download the free business profile, which has been sent through an email. This is a digitalized version of the business report. Apart from that, the entity will get a unique number (UEN- Unique Entity Number) that holds the identification of the venture. This will have to be present when the business may proceed with any kind of transaction.

Compliance Requirement

This process is way simpler in comparison to the public or privately operated firms and costs very nominal. Owners need to fulfill the requirement of compliance and keep all the records up to date. There is no compulsory requirement for LLP to get audited.

Creating a Bank Account

It is mandatory to open a corporate bank account if you wish to run any kind of venture in Singapore. Without having this, no transaction can be fulfilled. Most importantly the LLP entity will not apply for any kind of corporate loan for business. Therefore opening a bank account for business purposes is essential and mandatory.

Few Closing Remarks

We have come to the end segment of our today’s discussion. We are pretty hopeful that if you carefully go through our above-discussed segments on LLP in Singapore, you will definitely get benefitted from it. Forming such kind of venture will give flexibility to all the partners while enjoying a completely separate legal entity. So, before making a final decision, one must go through the topic and make steps cautiously.