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is it possible to convert sole proprietor to pte ltd?

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Mr Tan
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is it possible to convert sole proprietor to pte ltd?

Post by Mr Tan » Mon, 16 Apr 2012 6:42 pm

...any answers.

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sundaymorningstaple
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Post by sundaymorningstaple » Mon, 16 Apr 2012 7:59 pm

I could cut & paste or reword it to look like mine but this is easier:

http://www.guidemesingapore.com/incorpo ... ed-company
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

Mr Tan
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re

Post by Mr Tan » Mon, 16 Apr 2012 8:46 pm

my LLP is almost 7-8 years old, but it carries no transaction . is there any benefits for a company to be 8 years old or should i just start out a new company ?

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sundaymorningstaple
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Post by sundaymorningstaple » Mon, 16 Apr 2012 10:08 pm

So, if your company has never had a transaction, you have basically a shelf company, correct? Therefore, as you have never done business you don't even have any goodwill and the name is unknown in any rate. I think I'd just ditch it and start afresh.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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Post by ausinsg » Tue, 17 Apr 2012 7:31 am

The best structure will depend on the type of business you intend to operate.

If you are going to be making a profit in the first three years, then there are benefits to using a new exempt Private Limited company.

You will pay no corporate tax on the first $100k of profit, and a 50% reduction in tax on the next $200k in profit during this honeymoon period.

If you know you have a profitable contract in hand, this can be a nice sweetener.

Why not seek the advice of a lawyer/accountant before you go any further?

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sundaymorningstaple
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Post by sundaymorningstaple » Tue, 17 Apr 2012 9:12 am

Actually, it's a no brainer. A Pte Ltd is better both from a structural POV as well as from a liability POV. A sole proprietorship puts everything you own at risk while the Pte Ltd has a life of it's own and the directors, as long as they haven't done anything illegal, cannot be sued for the company's liabilities.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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Post by Mr Tan » Thu, 19 Apr 2012 12:15 am

thanks for the kind advise. i think i just ditched

sundaymorningstaple wrote:So, if your company has never had a transaction, you have basically a shelf company, correct? Therefore, as you have never done business you don't even have any goodwill and the name is unknown in any rate. I think I'd just ditch it and start afresh.

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