Further to recent posts about my desire to set up and run a Pte Ltd in Singapore, I have received some professional advice that suggested an easier option to setting up a company and applying for an EP through that company would be for me to convert from my P1 EP to a PEP and then set up a company.
The advantages would be as follows:
No large paid-up capital required. Company could be set up with $1k or so
No local Director required - I would be the local Director.
However, the MOM website says the following:
* The following groups of foreigners are not eligible for the PEP:
(i) foreigners who are issued with an Employment Pass under the Sponsorship scheme. Under this scheme, their direct employers are overseas companies which do not have a Singapore-registered office/business entity;
(ii) foreigners who are working or intending to work on a free-lance basis without any direct employers in Singapore;
(iii) foreigners who are listed as Sole Proprietors, Partners or Directors in a business/company registered with ACRA and are shareholders of that business/company.
(iv) foreigners working as journalists, editors, sub-editors and producers.
The same website also says: Note: The PEP holder is not allowed to start his/her own business or engage in any entrepreneurial activities. The holder must apply for an EntrePass if he/she intends to do so.
However, the advice I have received states that, provided I do not have a 100% shareholding in the company I set up, then I will not be classed as engaging in entrepreneurial activities.
Can anyone comment please? Thanks
