People usually come together and decide to start a partnership business where they will share profits depending on the capital shares that each has. Other resources are also brought together for the success of the business. One significant benefit of this business setup is that the risks are shared across the board.
If you are in Singapore, the process of setting up a partnership is pretty easy, but it requires good preparation since skipping any part may lead to problems. Luckily, this guide will help all those who are planning on setting up such a business.
Partnerships in Singapore
The Lion City has two types of partnerships: limited partnership (LP) and general partnerships (GP). Thus, people will have to decide which one they want. The most common one is the LP, which is more straightforward and easier to set up and operate. All you need is to fulfill the requirements that are discussed below and register the LP under ACRA. This is a new title in the country that has been enacted to make it simpler for entrepreneurs.
For GP, you will have to incorporate as a normal company but must have a minimum of two partners. It is an old entity in Singapore and the majority of the existing partnerships are in this category.
Preparing the Documents
Before you sit down and get into the business, all of the needed documents must be prepared. And this is where some research and consultations with an expert are needed. Common documents that you need include the following:
- Registration details of the company
- Name of the partnership, which must be approved.
- Names and other details of the managers including their addresses
- Identification documents, work permits, and passes for the managers
- Consent that managers are dedicated to working in this capacity
- The local address of the business
Once all of these and any other documents that are needed are ready, then you can start the process.
Hiring an Agent
This step can come at this point or even before you prepare the documents. However, the main purpose of getting a reputable agent like Visa Express is to help you and your partners during the process. But what else do they do? First of all, they will listen to your idea and guide you with the necessary information.
As they do this, they will also scrutinize all of the documents that you have prepared against the actual needs of the category that you are in. If there is more that you need to do, they will offer the necessary guidance.
But the real work comes in doing the applications through the online platforms. Being authorized business incorporation agents, this process is more straightforward for them. They will only consider this complete when all is set and ready. If there is a challenge, they not only negotiate but will guide their clients on what to do.
Setting up a partnership in Singapore is a delicate process as much as it is straightforward. But the secret is in using the agents to offer the necessary guidance and also availing all of the needed documents. After this is done, the partnership will be ready to operate.