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Query on How to become self employed foreigner

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xhanwilliam
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Query on How to become self employed foreigner

Postby xhanwilliam » Sun, 02 Jun 2013 12:34 am

Hi Guys,

I would like to check your opinions and suggestion regarding my possible employment. I am EP holder working as Engineer. My wife and my 3 kids are also staying here with me in SG under Dependents Pass. One of the company in Netherlands want to hire me as Application Engineer to be base here in Asia Pacific. They are unable to issue me a EP here in Singapore since they don't have Branch Office here in Asia or SG. They want me to be on self employed status and they will pay me based on the contract agreement. I cannot just register my business or to become self employed here as it requires big capital investment amount. The job most of the time is outside Singapore. My problem is this: I still want to stay here in Singapore since all my 3 kids are studying here (option for my 3 kids is to apply for students pass), my wife is also working here using her dependent pass. Her employer can issue her an S-pass incase i surrender/cancel my EP if I resign to my current employer here. What would be the options that I have to stay in Singapore since my principal employer has no branch office here in SG?

Thanks in Advance to those who will reply for my query.

Regards,
Edcel

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Postby Strong Eagle » Sun, 02 Jun 2013 1:11 am

Search for EP starting business or PEP starting business. There are quite a few threads on the subject, most recently this one.

ftopic95345.html.

You don't need the Entrepass.

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Postby xhanwilliam » Sun, 02 Jun 2013 2:08 am

Strong Eagle wrote:Search for EP starting business or PEP starting business. There are quite a few threads on the subject, most recently this one.

ftopic95345.html.

You don't need the Entrepass.


Hi SE,

Thanks. Is there any thread showing a procedure and requirement to apply for EP and self emloyment. I will be like a 1 man team this case.

Regards,
Edcel

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Postby Strong Eagle » Sun, 02 Jun 2013 4:34 am

Read this thread: ftopic93619.html

Although you are not applying for an Entrepass, you will want to meet many of the same goals for documentation in order to convince the authorities you have a viable business.

Remember, scams abound. People who would not otherwise be able to enter the country attempt to create a company and then get the company to file for the EP. Similarly, people on PEP who have lost their jobs are trying to do the same thing, with the idea of trying to get into or stay in the country. In both cases there usually aren't any clients or any revenues.

MOM is thoroughly wise to these scams, and therefore, it is incumbent upon you to convince MOM that yours is a legitimate business; hence the need to provide adequate documentation.

The steps:

a) Get a CPA who can provide you with a nominee director. Your CPA should be able to provide you with the necessary letters of appointment, resignation, etc so that you can dump a bad nominee director.

b) Set up a company with you as the shareholder, your nominee director as locally resident director, and your CPA as the secretary. Your CPA can file all this with ACRA electronically, as could your director but the CPA will also ensure that all the proper documents are prepared.

c) Have the nominee director file the application for EP with MOM on your behalf. If there are any issues or questions, you should be prepared to be in Singapore to address them directly... certainly the others will not be qualified to do so. Make sure you can back up your claims.

d) Move to Singapore, pick up your EP, have your CPA prepare the paperwork to make you a managing director and to dump your nominee director.

e) Etc - Open a bank account once the company is created. Nominee director submits the directors resolution to the bank making you the sole signatory... you need to be here to sign the signature cards in front of a bank employee. CPA prepares the docs. Include this information, the name of your CPA, and anything or anyone else that lends credibility to your business effort in your application to MOM.

I can offer you up the CPA I use if you wish. Others on this board have followed this process with success.

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Postby Max Headroom » Sun, 02 Jun 2013 7:57 am

Alternatively, OP's Dutch parent company could buy an existing Pte Ltd here. Obviously, the Pte Ltd would need to be viable and would have to have a track record, rather than just be a dormant shell. But I reckon it would improve your chances, as, technically, you'd be meeting all criteria in one fell swoop.

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Postby Strong Eagle » Sun, 02 Jun 2013 8:52 pm

Max Headroom wrote:Alternatively, OP's Dutch parent company could buy an existing Pte Ltd here. Obviously, the Pte Ltd would need to be viable and would have to have a track record, rather than just be a dormant shell. But I reckon it would improve your chances, as, technically, you'd be meeting all criteria in one fell swoop.


OP's company could simply start their own Pte Ltd as a wholly owned subsidiary. It would be necessary to employ a CPA to do it. It doesn't need to have a "track record" but as with the individual, the paperwork should be in place so that the Singapore authorities can measure the girth of the company. For example, I suspect having an annual turnover of more than a million would make the creation of a local pte ltd a simple matter.

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Postby xhanwilliam » Mon, 03 Jun 2013 12:57 pm

Strong Eagle wrote:
Max Headroom wrote:Alternatively, OP's Dutch parent company could buy an existing Pte Ltd here. Obviously, the Pte Ltd would need to be viable and would have to have a track record, rather than just be a dormant shell. But I reckon it would improve your chances, as, technically, you'd be meeting all criteria in one fell swoop.


OP's company could simply start their own Pte Ltd as a wholly owned subsidiary. It would be necessary to employ a CPA to do it. It doesn't need to have a "track record" but as with the individual, the paperwork should be in place so that the Singapore authorities can measure the girth of the company. For example, I suspect having an annual turnover of more than a million would make the creation of a local pte ltd a simple matter.


Hi Guys,

The problem is that, the Dutch company doesn't want to put up yet a Branch office in Asia. Basically, they are engaging on a third party partners for their business here. But the thing is I am also foreigner here in Singapore. What are the options to settle the business partner deal in sg?

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Postby Max Headroom » Mon, 03 Jun 2013 2:05 pm

I'm not sure what you mean by "they are engaging on a third party partners for their business here". Meaning they outsource to local companies?

Incidentally, starting (or buying) a company here doesn't necessarily mean your company is officially opening a Branch office in Asia. The incorporated could remain low profile to tide you over, especially when incorporated (or bought) by you.

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Postby xhanwilliam » Mon, 03 Jun 2013 9:39 pm

Max Headroom wrote:I'm not sure what you mean by "they are engaging on a third party partners for their business here". Meaning they outsource to local companies?

Incidentally, starting (or buying) a company here doesn't necessarily mean your company is officially opening a Branch office in Asia. The incorporated could remain low profile to tide you over, especially when incorporated (or bought) by you.


Hi Max,
Yes, They are outsourcing to local companies. Currently, they are trying to avoid to have any branch office in Asia. So, there is no way they can issue me an EP in Singapore as their employee based in here/Asia. Alternately, they will engage me in contract to be their employee, me under self employed. That's why I am looking for a way how to become legally self employed here in Singapore considering I am foreigner. Most of the time, my job assignments are outside Singapore.

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Postby Strong Eagle » Mon, 03 Jun 2013 10:10 pm

xhanwilliam wrote:
Strong Eagle wrote:
Max Headroom wrote:Alternatively, OP's Dutch parent company could buy an existing Pte Ltd here. Obviously, the Pte Ltd would need to be viable and would have to have a track record, rather than just be a dormant shell. But I reckon it would improve your chances, as, technically, you'd be meeting all criteria in one fell swoop.


OP's company could simply start their own Pte Ltd as a wholly owned subsidiary. It would be necessary to employ a CPA to do it. It doesn't need to have a "track record" but as with the individual, the paperwork should be in place so that the Singapore authorities can measure the girth of the company. For example, I suspect having an annual turnover of more than a million would make the creation of a local pte ltd a simple matter.


Hi Guys,

The problem is that, the Dutch company doesn't want to put up yet a Branch office in Asia. Basically, they are engaging on a third party partners for their business here. But the thing is I am also foreigner here in Singapore. What are the options to settle the business partner deal in sg?


I just showed you, above, what YOU need to do to start your own company in order to be a contractor.


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