Singapore Subsidiary Registration Setting up a subsidiary company is one of the recommended options for foreign companies looking to establish their presence in Singapore. Singapore’s business legislation is favorable for foreign investors and they are also allowed to have 100% foreign ownership of companies they have set up. Taxes are low and there are no restrictions on repatriation of earnings and capital. This liberal regime attracts many foreign companies each year to set up their office in Singapore. A Singapore subsidiary is a private limited company incorporated in Singapore and the majority shareholder is a corporate entity. The shareholding entity can be a local or a foreign company. A Singapore subsidiary is the most preferred form of business registration for small to medium size foreign companies who wants to establish their presence here. A Singapore subsidiary can be wholly owned by a foreign company and is considered a separate legal entity from the parent company. The parent company’s liability is limited only to the share capital it has subscribed and its own assets are safely curtailed from the debts and liabilities of the subsidiary company. Also, a Singapore subsidiary is generally treated as a local resident company and therefore is entitled to tax incentives available to local companies.
