Setting up a remittance company in Singapore can be a good business venture, as Singapore is a major financial hub in Southeast Asia. However, there are a number of regulations that you need to comply with in order to set up and operate a remittance company in Singapore.
Here are the steps involved in setting up a remittance company in Singapore:
Choose a company name and register your company. You can choose any name for your company, as long as it is not already registered. You will need to register your company with the Accounting and Corporate Regulatory Authority (ACRA).
Obtain a remittance license from the Monetary Authority of Singapore (MAS). To obtain a remittance license, you will need to meet a number of requirements, such as having a minimum capital of S$100,000 and having a security deposit of S$100,000. You will also need to provide evidence of experience in the remittance business and of good character.
Set up your business premises. You will need to set up a physical office in Singapore where you can conduct your business.
Obtain the necessary permits and licenses. In addition to the remittance license, you may need to obtain other permits and licenses, such as a business registration certificate, a trade license, and a premises license.
Hire staff. You will need to hire staff to help you run your remittance business.
Market your business. You will need to market your business to potential customers. This can be done through a variety of channels, such as online marketing, print advertising, and word-of-mouth.
Once you have completed these steps, you will be able to start operating your remittance company in Singapore. However, it is important to note that the regulatory landscape in Singapore is constantly evolving, so it is important to stay up-to-date on the latest regulations.
Here are some additional tips for setting up a remittance company in Singapore:
Choose a reputable law firm and accountant to help you with the legal and financial aspects of setting up your business.
Do your research and understand the remittance market in Singapore before you launch your business.
Make sure you have a strong marketing plan to reach your target customers.
Provide excellent customer service to keep your customers coming back.
Stay up-to-date on the latest regulations and make sure you comply with all applicable laws.
The applicant for a remittance licence has to be a company with a minimum capital of S$100,000 and furnish a security deposit of S$100,000 in respect of its place of business.
Applying for a Licence
In applying for a remittance licence, please furnish:
- Latest Curriculum Vitae of directors and majority shareholder;
- Last 3 years CPF contribution statements of directors;
- Scanned-coloured copy (both front and back) of ID/passport of directors and majority shareholder;
- Scanned-coloured copy of educational certificate(s) and transcript(s) of directors (the directors should have qualifications higher than or equal to at least 4 GCE 'O' Level credit passes);
- Copy of business incorporation profile of company and each of corporate shareholders; - Last 3 years’ audited financial statements of company;
- The business plan and model of company;
Business plan: Business model, clientele, type of currencies to be transacted, target customers group, estimated remittance volume to each country, funds flow diagram, name of proposed overseas agents (nature of business and whether they are regulated for anti-money laundering and countering of financing terrorism) you intend to deal with in the countries you plan to operate in etc.
- Anti-Money Laundering and Countering the Financing of Terrorism Policy & Procedures and plans for compliance;
Besides putting in place an effective system, including the reporting of suspicious transactions, to help prevent money laundering and terrorist financing, the remittance licensees are required to maintain complete records of all their transactions and perform relevant customer due diligence measures for every remittance transaction.
- If the remittance business is to be conducted with other types of business, please describe the other types of business;
- Details of all other businesses which you have interests in; and
- Details of remittance business any of your family members (parents, siblings, spouse and children) have Interests in.
The licence and application fees are:
Application Fee - New Application $500
Licence Fee - First Place of Business $4,000
- Each Additional Place of Business $1,000
How Bestar can Help
Bestar is a leading financial services firm in Singapore that can help you set up a remittance company in Singapore. Bestar has a team of experienced professionals with a deep understanding of the remittance industry and the regulatory landscape in Singapore. Bestar can help you with all aspects of setting up your remittance company, including:
Choosing a company name and registering your company. Bestar can help you choose a company name that is available and that is appropriate for your business. Bestar can also help you register your company with ACRA.
Obtaining a remittance license from the Monetary Authority of Singapore (MAS). Bestar can help you understand the requirements for obtaining a remittance license and can help you prepare the necessary paperwork. Bestar can also represent you in your application to MAS.
Obtain the necessary permits and licenses. Bestar can help you identify the other permits and licenses that you may need to obtain, such as a business registration certificate, a trade license, and a premises license. Bestar can also help you with the application process for these permits and licenses.
Hire staff. Bestar can help you recruit and hire staff for your remittance company. Bestar can also help you with the payroll and HR administration for your staff.
Market your business. Bestar can help you develop a marketing plan for your remittance company and can help you execute the plan.
Bestar can also help you with ongoing compliance with the regulations in Singapore. Bestar can help you stay up-to-date on the latest regulations and can help you make sure that your company is always in compliance.
If you are considering setting up a remittance company in Singapore, speak to Bestar. Bestar can help you make the process as smooth and as easy as possible.
If you would like to know more about our services, please contact Bestar.