No items found.
Products
Debit

Aspire Business Account

One account for all your business financial needs

Cards

Aspire Visa Card

The smartest corporate card for digital SMEs and Startups

Credit

Aspire Line of Credit

A line of credit for your working capital needs - up to S$300k

Resources

Corporate Services

Browse our services marketplace for your incorporation, accounting, and business advisory needs

Member Rewards

Gain access to over S$50,000 worth of exclusive benefits

Card Cashback

Earn 1% cashback on your digital card spend

Partner with us

If you serve businesses - then we've got common ground

PricingAbout us
+65 3165 1500
LoginOpen Account
Blog
Product Updates
Case Studies
Corporate Card
Business Accounts
Incorporation
SME Loan
Cash Management
Marketing Tips
News & Press
Business Guides

The Complete Guide to Start a Small Business in Singapore [2021]

November 27, 2019
January 12, 2021
7 mins read
The Complete Guide to Start a Small Business in Singapore [2021]

Being the boss of your own business is the dream of many. That is also probably the answer to why entrepreneurship arises. However, starting a small business in Singapore involves big risks.

‍

One thing you can do to overcome inevitable risks is by planning and preparing ahead to minimize them. We, Aspire, started as a small business ourselves, and we want to share our experience with developing a startup.

‍

Here are the 10 steps to start a small business in Singapore:

‍

1. Ascertain your business idea

‍

First of all, you are here because you have a business idea, that's great! However, have you examined your ideas thoroughly? This early stage is the best timing to be critical over the viability of your business idea.

‍

  • How specific have you gone with your ideas?
  • How would you measure your progress and success?
  • Have you set milestones and are they achievable?
  • Are you providing a solution to customers' needs?
  • What differentiates you from your competitors?

‍

If you have an answer to these questions, then you're ready to move to the second step!

‍

Ascertain your business idea | How to start a small business in Singapore

‍

2. Create a business plan

‍

You don't have to write a business plan with hundreds of pages. A business plan should not be complicated, especially if you know by heart how you want your business to be. Basically, it should cover these important parts:

  • About your business (background, vision, and mission)
  • Your business products/services
  • Market analysis (customer profile and competitors)
  • Operational plan
  • Financials
  • Sales Forecast

‍

As your business has not begun to operate, your business plan does not have to be 100% accurate. Providing an estimation will help you get closer to achieving your goals.

‍

Create a business plan | How to start a small business in Singapore

‍

3. Work out the financials

‍

Whether or not you are comfortable managing numbers and budgets, this is an important aspect to keep your business running. How will you have access to funds? What are the costs that you will run into?

‍

To start with, there are two kinds of costs that you need to prepare: Capital Cost and Fixed Cost.

‍

Capital costs are the one-time amounts that you need to launch your small business, including your materials, any cost to register your business or a website.

‍

Fixed costs, on the other hand, are the expenses that you will need to pay whether or not you are earning.It is also important to know how you would deal with emergency and unexpected expenses.

‍

Workout the financials | How to start a small business in Singapore

‍

4. Conceptualise the branding

‍

Here comes the fun part! First, pick a name for your business. Come up with a unique and memorable name that is easier for your future customers to remember. Usually, it is better if the name relates to the business itself.Keep in mind that the Accounting and Corporate Regulatory Authority (ACRA) does not allow offensive business names.

‍

Moreover, check to a corporate service provider, or manually through Bizfile, whether the chosen business name is available for you to use. So, it's good to have at least two backup names for your business just in case the first choice is taken or unavailable.

‍

Conceptualize the branding | How to start a small business in Singapore

‍

5. Create a website for your business

To be frank, if you want to open a business in Singapore, it will be highly advantageous if you have an online presence. As mentioned in our previous article:

‍

Singapore is known to have one of the fastest internet connection speed in Asia Pacific countries. Everyone is connected to the internet almost every time throughout the day. In fact, 7 out of 10 Singaporeans are active social media users.

‍

Hence, once you have confirmed that your business name is available with ACRA, it is advised to continue with registering a domain name for your business. Your business name might be available with ACRA, but may be taken by someone else as a domain name.

Create a website | How to start a small business in Singapore

‍

6. Decide the business structure

‍

You will need to consider the requirements as well in setting up your chosen business entity, along with the advantages and disadvantages.

‍

Choose a business structure that is most suitable for you:

  • Sole proprietorship: Owned by one person
  • Partnership: Owned by 2 to 20 partners
  • Limited liability partnership: Owned by at least 2 partners, one general partner, and one limited partner, with no maximum limit in the number of partners
  • Limited partnership private: Owned by at least 2 partners with no maximum limit in the number of partners
  • Company: Broken-down even further to exempt private company, private company or public company.

‍

To find out the complete comparison of business entities in Singapore, click here!

‍

Decide the structure | How to start a small business in Singapore

‍

7. Understand tax obligation matters

‍

It is good to educate yourself about Singapore's tax obligations for your small business to prevent any legal problems in the future. Where to start? Begin with the basics of Singapore corporate income tax, how to file estimated chargeable income and the important dates you should be aware of.If you are not confident in handling it by yourself, it is good to ask for assistance from tax experts.

‍

Understand tax obligation matters | How to start a small business in Singapore

‍

8. Register your office address

‍

Registering an office address is one of the requirements to register your company in Singapore. If your business is a small-scale business and you do your business from home, don't worry! This does not mean you have to operate your business in an official working space or office building. You may register your private residential property or HDB.

‍

Register Office Address | How to start a small business in Singapore

‍

9. Register your business

‍

It's coming to an end! By now, you should be even more confident for your business to take off. Registering your business with ACRA can be done by yourself or by the help of a professional service provider. The process of company incorporation should not take too long. If your application does not need additional investigation, it may be approved within a day.For more information on how to register your business with ACRA, click here!

‍

10. Set up a digital presence

‍

This is more of additional advice for you to start a small business in Singapore. Having a strong digital presence would be ideal. It is a more cost-effective alternative compared to traditional marketing practices.This is specifically useful for small businesses that are constantly challenged to compete with a more established brand. For example, creating, maintaining and observing the progress of social media. If you are still deciding which social media platform to use, we have an article on the best social media platform to advertise your business in Singapore. Go check it out!

‍

Set up digital presence | How to start a small business in Singapore

‍

Ready to register your business?

Aspire and Osome partners to offer the first same-day online incorporation and business account opening in Singapore from anywhere in the world.

‍

Furthering their vision to digitise the corporate management and banking industry, the partnership will bring more convenience, ease and speed for directors who want to open a business in Singapore. This new service is 16% cheaper than doing both processes separately on your own.

Find out more

Want more expert tips on managing your business better?

Subscribe for our newsletter and stay in the know
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Related posts

January 6, 2021
•
4 mins read

What are The Common Types of Business Structures in Singapore?

January 6, 2021
•
5 mins read

How to Simply Register a Private Limited Company in Singapore 2021

Incorporation

OFFICIAL PARTNERS

Business banking doesn't have to be hard. At Aspire, we've made it easy, fast, and transparent. So you can focus on what matters — growing your business.

STAY IN THE KNOW

Thank you! Your submission has been received!
Oops! Something went wrong, please try again.

Products

Business AccountCorporate CardFX International TransferCredit Line

Resources

ServicesRewardsCashbackPartner with us

Platform

PricingFAQsBusiness accounts comparisonTerms and conditionsComplaints policyPrivacy policy

Company

About usContact usBlogCareersNews & press

Other links

Google Pay integration
Consumer advisory - Aspire FT Pte. Ltd. is currently exempted from holding a licence to provide payment services under the Payment Services Act (No. 2 of 2019). You can find the list of exempted entities here. Credit lines to businesses are issued by Aspire Financial Technologies Pte. Ltd, which is an exempted moneylender under the Moneylenders Act (Cap. 188). Visa cards are issued and powered by NIUM Pte Ltd. Consumers and cardholders are advised to read all terms and conditions which can be found here.
If you wish to discuss data protection matters, please contact our Data Protection Officer at singapore-dpo@aspireapp.com