Introduction: Why Portuguese Entrepreneurs Are Expanding to Singapore
Portugal has seen a growing wave of entrepreneurs and small-to-medium enterprises (SMEs) looking beyond Europe to expand their reach globally. With the rapid economic growth of Asia and the shift of global trade toward the East, Singapore has become a top destination for Portuguese investors and business owners seeking to establish a foothold in Asia.
Singapore’s reputation as a stable, business-friendly, and low-tax jurisdiction makes it the perfect hub for Portuguese companies involved in trade, technology, design, food exports, and professional services. By starting a Singapore company from Portugal, entrepreneurs gain access to a gateway that connects them to ASEAN, China, and the broader Asia-Pacific region — home to some of the fastest-growing markets in the world.
This comprehensive guide explains why Singapore is attractive to Portuguese investors, how to register a company, and what benefits, taxes, and opportunities await those who take their business international.
Why Singapore Appeals to Portuguese Businesses
1. A Global Business and Trade Hub
Singapore’s strategic location in Southeast Asia makes it an ideal base for managing regional operations. From here, Portuguese exporters can easily reach Indonesia, Malaysia, Thailand, Vietnam, China, and Australia — all within a few hours’ flight.
As one of the world’s busiest ports and aviation centers, Singapore’s logistics infrastructure is unmatched. Portuguese exporters of wine, olive oil, ceramics, and other goods can benefit from efficient customs processing and access to Asia’s top logistics networks.
2. Low and Transparent Tax System
Singapore’s corporate income tax rate is capped at 17%, one of the lowest in the developed world. New companies enjoy additional startup exemptions, and there are no capital gains or dividend taxes.
Moreover, Singapore and Portugal have a Double Taxation Agreement (DTA), ensuring that businesses are not taxed twice on the same income. This gives Portuguese investors a significant tax advantage when operating across both countries.
3. Ease of Doing Business
Singapore consistently ranks in the top three globally for ease of doing business. Incorporation is simple and can be completed online in just one business day through the Accounting and Corporate Regulatory Authority (ACRA).
This efficiency makes Singapore particularly appealing to Portuguese entrepreneurs used to navigating more bureaucratic systems.
4. English as the Official Business Language
All business, legal, and governmental operations in Singapore are conducted in English, making it easy for Portuguese investors to communicate, draft contracts, and understand regulations.
5. Strong Bilateral and Economic Ties
Portugal and Singapore maintain excellent diplomatic and economic relations. The EU-Singapore Free Trade Agreement (EUSFTA), implemented in 2019, further enhances opportunities for Portuguese exporters and investors by removing tariffs, protecting intellectual property, and simplifying customs procedures.
Key Benefits of Starting a Singapore Company from Portugal
1. 100% Foreign Ownership
Singapore allows full foreign ownership of companies, giving Portuguese entrepreneurs total control over their business operations and profits.
2. Reputation and Credibility
A Singapore-registered company enjoys global recognition for its compliance and reliability. This credibility enhances trust among clients, partners, and investors in Asia.
3. Access to Asian Markets
As a member of ASEAN and a key regional hub, Singapore offers access to over 650 million consumers and trade connections with major global economies including China, Japan, India, and Australia.
4. World-Class Financial System
Singapore is home to leading international banks such as HSBC, Standard Chartered, DBS, and European institutions like BNP Paribas. Portuguese entrepreneurs can open multi-currency corporate bank accounts to manage trade and international transactions easily.
5. Startup and Innovation Support
The Singapore government encourages entrepreneurship through grants and funding schemes, including:
- Startup SG Founder Grant – seed funding for new ventures
- Enterprise Development Grant (EDG) – supports innovation and internationalization
- Market Readiness Assistance (MRA) Grant – subsidizes overseas market expansion
These programs make it easier and more cost-effective for Portuguese startups and SMEs to establish themselves in Singapore.
Step-by-Step Process: How to Incorporate a Singapore Company from Portugal
Step 1: Choose the Right Business Structure
The Private Limited Company (Pte. Ltd.) is the most suitable structure for Portuguese entrepreneurs. It offers limited liability, tax advantages, and flexibility for future growth.
Step 2: Meet the Basic Requirements
To register a Private Limited Company in Singapore, you will need:
- At least one shareholder (individual or corporate entity)
- At least one local resident director (a Singapore Citizen, Permanent Resident, or Employment Pass holder)
- One company secretary (must be a Singapore resident)
- A local registered office address (cannot be a P.O. box)
- Minimum paid-up capital of S$1
If you do not have a local director, you can hire a nominee director through a licensed corporate services provider.
Step 3: Reserve a Company Name
Submit your preferred company name through ACRA’s BizFile+ portal. The name should be unique, not infringe on trademarks, and not be obscene or misleading. Once approved, it’s reserved for 120 days.
Step 4: Prepare Incorporation Documents
Portuguese applicants will need to provide:
- Passport copies of all directors and shareholders
- Proof of residential address (utility bill or bank statement)
- Description of business activities
- Company Constitution (Articles of Association)
If the shareholder is a Portuguese company, certified copies of incorporation documents and board resolutions are also required.
Step 5: File for Incorporation
Your corporate services provider will file the incorporation documents with ACRA online. Once approved, you will receive an official Certificate of Incorporation and company registration number (UEN).
Step 6: Open a Corporate Bank Account
After incorporation, open a corporate bank account with a local or international bank. Most banks support remote onboarding and multi-currency accounts, allowing you to manage both EUR and SGD transactions conveniently.
Step 7: Apply for Work Visa (if relocating)
If you intend to move to Singapore to run your business, apply for an Employment Pass (EP) or EntrePass. These passes allow you to live and work in Singapore while managing your company.
Post-Incorporation Compliance
Once incorporated, your Singapore company must maintain statutory compliance:
- Appoint a company secretary within 6 months
- Hold an Annual General Meeting (AGM)
- File annual returns to ACRA
- Maintain accounting records and financial statements
- Register for Goods and Services Tax (GST) if annual turnover exceeds S$1 million
Engaging a professional corporate service provider ensures all legal and regulatory obligations are met efficiently.
Tax Benefits for Portuguese Entrepreneurs
Singapore’s tax system is designed to encourage business growth and investment. Key highlights include:
- 17% corporate tax rate
- 75% tax exemption on the first S$100,000 of income for the first 3 years
- 50% tax exemption on the next S$100,000 of income
- No capital gains or dividend taxes
- No withholding tax on foreign shareholders
Under the Singapore–Portugal DTA, businesses enjoy protection from double taxation, and cross-border income is taxed only once. This makes Singapore one of the most tax-efficient jurisdictions in the world for Portuguese entrepreneurs.
Popular Business Sectors for Portuguese Companies in Singapore
- Wine and Food Export – Portuguese wines, olive oils, and gourmet foods are popular in Singapore’s premium dining market.
- Technology and Innovation – Singapore’s thriving tech ecosystem supports startups from Europe looking to enter Asia.
- Design and Architecture – Portuguese creativity and craftsmanship fit well with Singapore’s growing design and property sectors.
- Renewable Energy and Green Tech – Both nations share commitments to sustainability, opening opportunities for clean energy collaboration.
- Professional Services – Portuguese consultants, accountants, and educators can expand into Singapore’s competitive service industry.
- Tourism and Hospitality – With Singapore as a global travel hub, tourism businesses benefit from regional access and high international traffic.
The Singapore–EU Free Trade Agreement (EUSFTA)
As part of the European Union, Portugal benefits from the EUSFTA, a landmark agreement that eliminates tariffs and promotes stronger economic cooperation between Singapore and EU countries.
Key advantages include:
- Tariff elimination for most EU exports to Singapore
- Improved market access for services, procurement, and investments
- Enhanced IP protection for European brands and products
- Simplified trade processes and customs procedures
This agreement gives Portuguese exporters a competitive edge in reaching Asian markets through a Singapore-based entity.
Cultural Synergy Between Portugal and Singapore
While geographically distant, Portugal and Singapore share similar values when it comes to respect for tradition, innovation, and global connectivity. Portuguese entrepreneurs will find Singapore’s multicultural and internationally minded environment easy to adapt to.
Both countries value strong relationships and professionalism in business dealings. Singapore’s open society and European influence make it welcoming to foreign investors from Portugal.
Practical Tips for Portuguese Entrepreneurs
- Engage a Corporate Services Provider – They can manage your incorporation, nominee directorship, and compliance obligations efficiently.
- Leverage the DTA and EUSFTA – Take advantage of tax benefits and reduced tariffs for EU-based exporters.
- Open a Multi-Currency Bank Account – Simplifies trading between Europe and Asia.
- Apply for Government Grants – Programs like MRA and EDG can support your expansion plans.
- Network with Business Chambers – Join the Portuguese Business Council Singapore (PBCS) or EuroCham Singapore to build valuable connections.
Challenges and How to Overcome Them
Although Singapore offers an extremely business-friendly environment, Portuguese entrepreneurs should be aware of:
- Banking compliance requirements (KYC) for international clients
- Local employment laws and regulations
- Relatively high operating costs compared to other ASEAN countries
Working with a reliable corporate consultancy ensures smooth navigation of all legal, financial, and administrative requirements.
Why Singapore Is the Perfect Destination for Portuguese Entrepreneurs
Singapore provides a rare combination of Asian opportunity and European efficiency. With its business-friendly environment, strong rule of law, tax advantages, and global connectivity, it is the perfect springboard for Portuguese entrepreneurs seeking international expansion.
By starting a Singapore company from Portugal, business owners can establish a presence in Asia’s most dynamic region, benefit from strong EU–Singapore trade relations, and enjoy a transparent, low-tax environment ideal for long-term success.
If you are a Portuguese entrepreneur ready to expand your business into Singapore, reach out to a professional corporate services provider today for help with incorporation, accounting, and compliance — and take your first step toward growing your business across Asia.