Singapore Expats Forum

Sole Proprietorship on Singapore DP vs Sole Proprietorship abroad

Discuss your views about Singapore business & economy, current policies & issues, starting a business in Singapore.
User avatar
Strong Eagle
Moderator
Moderator
Posts: 10413
Joined: Sat, 10 Jul 2004
Location: Off The Red Dot
Contact:

Re: Sole Proprietorship on Singapore DP vs Sole Proprietorship abroad

Postby Strong Eagle » Wed, 20 May 2015 10:47 pm

_anabanana wrote:I thought it wasn't possible for a SP to employ people? Isn't that the whole point of a Sole Proprietorship?
However I do plan on outsourcing quite a lot of the work and I will have to buy materials plus use local post offices for delivery, so that's a profit for Singapore which I can include in the application.


Not correct... it's just the type of business organization. In a SP, you report your business earnings/loss as part of your personal income tax return. Your personal assets are also at risk should the business be sued. The SP is not a separate legal entity from you.

A private limited, LLC, or LLP is a separate legal entity. It files a separate tax return. Your personal assets cannot be attached, should the company be sued.

All in all, this is part of the reason that I recommend that people form a pte ltd when trying to get any kind of a work pass from MOM. It shows you are more serious and professional, I believe, and gives 'gravitas' to your application. I also believe, but do not know, that different people will work with pte ltd's than with SP's. My guess is not very many SP's ask for work permits, while the bulk of requests for S-Passes, EP's and LOC's come from pte ltd's.

User avatar
JR8
Immortal
Immortal
Posts: 16514
Joined: Wed, 24 Mar 2010
Location: K. Puki Manis

Re: Sole Proprietorship on Singapore DP vs Sole Proprietorship abroad

Postby JR8 » Wed, 22 Jul 2015 12:21 am

Does us a favour Ravi ('''Jaslyn''' on your 3rd shift perhaps) and put a sock in it will ya,
you're going to be history in a few hours anyway.

[Yawn]
'Do it or do not do it: You will regret both' - Kierkegaard


  • Similar Topics
    Replies
    Views
    Last post

Return to “Business in Singapore”

Who is online

Users browsing this forum: No registered users and 4 guests