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Setting up a "small" business under EP ? Am I stuck ?

Discuss your views about Singapore business & economy, current policies & issues, starting a business in Singapore.
beneuji
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Setting up a "small" business under EP ? Am I stuc

Postby beneuji » Sun, 14 Sep 2014 4:28 pm

Hi all !

I have been crawling through the threads, trying to understand my situation and my current options.
Thanks for all the advices btw, that really helped me a lot to understand the different legal entities in Singapore.

I am working fulltime and living in Singapore. I have an EP and I want to do some online business on the side(selling digital goods that i produce and certainly not leaving my current job).
I am on budget. I won't sell much, I just want a legal structure so i got no problem with taxes for receiving payments.
Even for small earnings, the reason I want a business structure is to create a business bank account and maintain a very clear vision for accountancy and for what I have to declare for taxes. I don't want to use my personal account for that.

After reading and getting in touch with different companies, here's what I understand.

Setting up a PteLtd requirements :
- 1 shareholder > me
- 1 director > I will have to "hire" a nominee director since I'm under EP with a job already
- 1 secretary + business address > incorporation company provides
My issue here is that for the scale of my business, it's way too expensive, local directors are 150-200 SGD per month.

Setting up a Sole-proprietorship requirements :
- 1 owner > me
- business address > my homeplace
- 1 manager > I know that owner and manager can be the same person, but can I be the manager even if I already have a fulltime job ?

Partnerships : could this be an option ?

As I already am working for company under EP, can I own/manage a proprietorship at the same time ?

What would my options be, realistically to run a small online business on the side that wouldn't cost me hundreds of dollars per month to maintain ? I'm lost :(

Does any of you have a similar experience ?

Thanks !
ben

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sundaymorningstaple
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Postby sundaymorningstaple » Sun, 14 Sep 2014 4:51 pm

You are out of luck on all points if you are on an EP. Full Stop.

beneuji
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Postby beneuji » Sun, 14 Sep 2014 5:08 pm

Hey sundaymorningstaple !

Thanks a bunch for confirming what I was starting to guess.

Btw, I will get married soon and if my wife gets a DP, my understanding is the following :

- as a person living in SG, she could be the nominee manager of a Soleproprietorship

- also, as a person living in SG, she could be the nominee director of a PteLtd

But if she was to find a job here, she wouldn't be able to be nominee manager/director anymore as, like for me, she wouldn't be allowed to cumulate 2 jobs under the same EP.

is that correct ?

Thanks !
ben

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sundaymorningstaple
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Postby sundaymorningstaple » Sun, 14 Sep 2014 5:23 pm

You got it. Additionally, regardless of who is managing the company, if what you are selling is "YOUR" IP then you would be working illegally for the SP if you are still on the EP.

There are a number of very good threads by Strong Eagle on here that you should avail yourself to for more details. One of which is very current and ongoing.

beneuji
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Postby beneuji » Sun, 14 Sep 2014 8:06 pm

Yes, I've been reading Strong Eagle posts a lot :)
and thanks for the advice, I'll keep that in mind !


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