On – Line booking system and Travel Agent License

[Alex_vod]

Dear All!
I really need your advice.
I have a company in Singapore. Business subjects: Business consulting and E – Commerce applications.
We plan to create a website (on - line booking system) in the style same as existing websites and registered companies in Singapore (example agoda (dot) com). We planning scheme as Client - > Web Site ->Hotel. I mean, client on our website can book a hotel, client on our website can pay for a hotel (important payment from the customer must come to our company bank acc; we will pay for services of hotel - minus our commission).
Questions:
What are the conditions we must keep that we would not have to be required for travel agent license (TAL)?
Maybe you know another way to avoid not really necessary for us now TAL?
For us now is not really best time to have additional expenses for licensing ... maybe in the future.
I hope for your help us with advice.
Thanks!

[sundaymorningstaple]

Surely you are not asking this astute forum for ways to circumvent the laws of Singapore are you? We don't do that here.

moderator

[Alex_vod]

I'm sorry if I made you think wrong about my question. I ask for advice to find out a legal way only. One way I know. Maybe someone has experience in this area?

[Strong Eagle]

You want to be a travel agent? Then you need to follow travel agent rules. Doesn't matter if you are online or in person. If your are booking hotels, flights, cars, you are a travel agent.

Far too many people have been ripped off by travel agents... the gahmen doesn't want you to be one more... get some capital and do it right.

[Alex_vod]

Thanks.
It looks like I have only one right way.
But maybe someone can tell me? Agoda (dot) com is a travel agency?

[DavidChoy]

They are not. More like a search aggregator

[ecureilx]

They are not. More like a search aggregator

Not so fast

Agoda.. from what I know, has the required presence in specific countries to handle clearance, so they can do the equivalent of airline BSP

There are other booking engines who to search aggregation and use the respective CRS to circumvent local restrictions

[cnpanda]

Hotels do not work on the same BSP system like airlines.

OP are you planning to run an agency or merchant model? Regarding Strong eagles comment - he is correct that customers would be at risk in a merchant model, but it may be possible to run an agency model without TAL and also without putting customers at risk.

Also, do you have a company registered outside Singapore?

[Alex_vod]

Hi everyone and thanks for so many posts.
I'm sorry but I try to do all clear. For this reason, a simple scheme below regarding money flows.
1) Client --- a company in Singapore - - Hotel. This merchant model. What we want and what is Agoda have.
2) Client --- --- Hotel ---- company in Singapore. This agency model. Example Booking com.

Looking at figure 1, I ask myself - why I can’t find on the list Agoda Company as TA on TRUST page?
The answers may be few:
- There is another sister company (registered in Singapore) through which the money flows go and the company have TAL
- There is another sister company (not registered in Singapore but somewhere) in through which money flows go.

Why I want to have the first model?
- It is safe for me, because hotels often do not pay commission. I know, I'm work before with Booking com =(
- It is safe for customers, payment and banks systems more safer in Singapore than in other countries. This is the reason why we opened a company in Singapore.

Why I do not want to open the TA right now?
Now at this stage to spend 100K and increase costs ...? A bit difficult for us.

But as I wrote above, we are not looking for a way around, only legal solution we want.

PS. Sorry for my English.
PSS. Yes, we have a company in another country.

[richadjohnson22]

You are right Strong Eagle, we need to follow travel agent rules. Doesn't matter if we are online or in person.

[ecureilx]

You are right Strong Eagle, we need to follow travel agent rules. Doesn't matter if we are online or in person.

IATA rules. If you will issue tickets. Not required if you don't want to block your $ for IATA. You can be sub agent.