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Pte. Ltd.Import / Export & Trading

Private Limited Company (Pte. Ltd.) in Singapore — Import / Export & Trading Formation Guide

Choose a jurisdiction with strong logistics infrastructure, favorable customs agreements, and access to major trade blocs (like the EU or US). Consider VAT deferral schemes and free trade zones.

Last verified: June 13, 2026

Corporate Tax

17.0%

State Tax

0.0%

Formation Cost

$235

Annual Fee

$45

Forming a Private Limited Company (Pte. Ltd.) in Singapore as a Import / Export & Trading means a total tax burden of 17.0% and an official formation cost of $235. The minimum capital requirement is 1 SGD. Standard formation takes 1-2 business days, or Same day expedited. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$2,335

Ongoing (per year)

$2,145

Detailed cost calculator →

Why Private Limited Company (Pte. Ltd.) for Import / Export & Trading?

A business model focused on sourcing goods from one country and selling them in another. Success relies heavily on supply chain efficiency, customs compliance, and navigating international trade tariffs.

Ideal for

  • Physical product brands
  • Wholesalers and distributors
  • Dropshippers scaling to bulk inventory
  • Cross-border B2B traders

Challenges to watch

  • Complex customs and import duties
  • High shipping and logistics costs
  • Cash flow management due to inventory delays
  • Regulatory compliance across multiple jurisdictions

Key decision criteria

  • Proximity to major ports or logistics hubs
  • Availability of Free Trade Zones (FTZs)
  • VAT and sales tax registration requirements (e.g., EORI in the EU)
  • Double taxation treaties between sourcing and selling countries

Private Limited Company (Pte. Ltd.) formation requirements

Minimum capital

1 SGD

Standard timeline

1-2 business days

Expedited timeline

Same day

Local director

Required

Registered office

Virtual office allowed

Notarization

Not required

Foreigners must appoint at least one resident nominee director (Singapore Citizen, PR, or valid pass holder) if they do not relocate.

See the full guide for all documents and requirements →

Estimated breakdown (based on avg. $1,000,000 revenue)

Gross Revenue$1,000,000
Corporate Tax-$170,000
Formation Cost-$235
Annual Fee-$45
Net Profit$829,720

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 9%. Registration threshold: 1,000,000 SGD. Overseas vendors must register for GST under the Overseas Vendor Registration (OVR) regime if their global turnover exceeds S$1 million and B2C digital services to Singapore exceed S$100,000.

Banking & payments for Import / Export & Trading

Opening a traditional bank account in Singapore is notoriously difficult for non-residents due to strict AML/KYC regulations, often requiring an in-person interview. However, fintechs like Aspire and Wise offer a much smoother, fully remote alternative for modern startups.

Supported payment gateways

StripePayPalHitPayAdyen2Checkout

Remote-friendly accounts

  • Aspire

    A popular fintech platform in Southeast Asia offering multi-currency accounts, corporate cards, and fast remote onboarding for startups.

  • Wise Business

    Excellent for holding multiple currencies and making low-cost international transfers. Fully remote account opening.

Singapore incentives & advantages

Start-Up Tax Exemption (SUTE)

75% exemption on the first S$100,000 of normal chargeable income; 50% exemption on the next S$100,000.

Enterprise Innovation Scheme (EIS)

400% tax deduction on qualifying innovation and AI expenditures (capped at S$50,000 for AI in YA2027/2028, up to S$400,000 for other R&D).

Corporate Income Tax (CIT) Rebate 2026

50% CIT rebate capped at S$40,000, with a minimum S$2,000 cash grant for active companies employing at least one local worker.

Private Limited Company (Pte. Ltd.) formation steps

1

Choose a company name and submit it to ACRA via the BizFile+ portal for approval (S$15 fee, usually approved within an hour).

2

Determine your share capital (minimum S$1) and shareholder structure (100% foreign ownership is allowed).

3

Appoint at least one local resident director (Citizen, PR, or valid pass holder) and secure a registered local office address (P.O. boxes are not allowed).

4

Prepare the Company Constitution and gather KYC documents (passports, proof of address) for all directors, shareholders, and ultimate beneficial owners.

5

Submit the incorporation application to ACRA and pay the S$300 registration fee. Approval is typically instant if no special licenses are needed.

6

Appoint a qualified Corporate Secretary within 6 months of incorporation to handle statutory compliance and maintain the company registers.

7

Open a corporate bank account with a local or international bank (e.g., DBS, OCBC, Aspire) and deposit the initial share capital.

Import / Export & Trading FAQ

Do I need a company in the country I am importing to?

Not always. You can often act as a Non-Resident Importer (NRI), but having a local entity can simplify customs, VAT registration, and local banking.

What is an EORI number and do I need one?

An Economic Operators Registration and Identification (EORI) number is required for businesses importing or exporting goods into or out of the European Union.

Should I incorporate in a Free Trade Zone (FTZ)?

FTZs offer tax exemptions and simplified customs procedures, making them ideal if you plan to re-export goods without them entering the local domestic market.

Ready to form your Private Limited Company (Pte. Ltd.)?

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