Starting a Singapore Company from Spain

Introduction: Why Spanish Entrepreneurs Are Expanding to Singapore

In the last decade, Singapore has become a top destination for global entrepreneurs looking to expand into Asia — and Spanish businesses are no exception. With its thriving economy, low taxes, efficient government, and excellent connectivity, Singapore is now seen as the gateway to Southeast Asia and beyond.

For Spanish entrepreneurs and companies looking to explore Asian markets, starting a company in Singapore provides access to a strategic business hub that offers both stability and opportunity. Whether you are a startup owner, exporter, or corporate executive, establishing a Singapore entity can help you tap into regional growth, benefit from favorable tax policies, and position your business for global success.

This article provides a complete guide for Spanish entrepreneurs on why and how to set up a company in Singapore — from understanding the benefits to step-by-step registration and post-incorporation compliance.

Why Singapore Is Ideal for Spanish Businesses

1. Gateway to Asia’s Fastest-Growing Markets

Singapore’s location at the heart of Southeast Asia gives Spanish companies access to ASEAN’s 650 million consumers. It is also a springboard to India, China, and Australia. For Spanish exporters, manufacturers, or service providers, this central position is invaluable for regional distribution and operations.

2. Business-Friendly Policies

Singapore ranks consistently among the top nations for ease of doing business. Incorporation is fast, straightforward, and managed entirely online through the Accounting and Corporate Regulatory Authority (ACRA). Most companies can be registered within one working day.

3. Attractive and Transparent Tax Regime

With a corporate tax rate of 17%, no capital gains tax, and no tax on dividends, Singapore offers one of the most competitive tax systems globally.

Furthermore, the Singapore–Spain Double Taxation Agreement (DTA) ensures Spanish companies are not taxed twice on the same income, helping investors operate more efficiently.

4. Political and Economic Stability

Singapore’s long-standing political stability, low corruption, and rule of law make it one of the safest and most predictable places to do business in Asia — a key concern for international investors.

5. English as the Business Language

Singapore’s official business language is English, which removes communication barriers for Spanish entrepreneurs working with international partners, suppliers, and clients.

6. Strong Bilateral Relations

Spain and Singapore share strong diplomatic and economic ties. The Spanish-Singaporean Chamber of Commerce and the Singapore Business Federation regularly facilitate trade missions, business networking events, and investment opportunities between the two nations.

Key Advantages of Setting Up a Singapore Company from Spain

1. 100% Foreign Ownership

Spanish investors can fully own their Singapore-incorporated company. There are no restrictions on foreign shareholding, allowing you to maintain complete control over your business.

2. Fast Incorporation Process

The incorporation process in Singapore is remarkably efficient. With proper documentation, your company can be registered within one business day.

3. Global Reputation and Credibility

A Singapore-registered company carries international prestige. It signals trustworthiness, compliance, and professionalism — key attributes when negotiating with Asian or global partners.

4. Access to International Banking

Singapore is Asia’s financial hub, hosting major international banks such as Santander, BBVA, HSBC, and Standard Chartered. These institutions offer multi-currency corporate accounts that make it easy to handle EUR, SGD, and USD transactions.

5. Access to Government Grants and Incentives

Foreign entrepreneurs can benefit from Singapore’s pro-business government schemes such as the Enterprise Development Grant (EDG), Startup SG Founder Grant, and Market Readiness Assistance (MRA) Grant — ideal for Spanish companies entering new markets.

Step-by-Step Guide: How to Register a Singapore Company from Spain

Step 1: Choose the Right Business Structure

The most suitable structure for most Spanish investors is the Private Limited Company (Pte. Ltd.), which offers:

Limited liability protection
Lower tax rates
Separate legal identity
Access to government incentives

Step 2: Understand Incorporation Requirements

To register a Private Limited Company in Singapore, you need:

At least one shareholder (can be an individual or company)
At least one local resident director (Singapore citizen, permanent resident, or Employment Pass holder)
A company secretary (must be a Singapore resident)
A local registered address (cannot be a P.O. box)
Paid-up capital of at least S$1

If you do not have a local director, you can appoint a nominee director through a licensed corporate services provider.

Step 3: Reserve a Company Name

Choose and submit your desired company name to ACRA for approval via the BizFile+ portal. The name should be unique and not infringe on any existing trademarks. Once approved, it’s reserved for 120 days.

Step 4: Prepare Required Documents

For Spanish applicants, you’ll 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 Spanish company, certified corporate documents such as the Certificate of Incorporation and board resolutions must also be provided.

Step 5: File for Incorporation

Once all documents are in order, your appointed service provider will file your company registration through ACRA. Most approvals are completed within one business day.

Step 6: Open a Corporate Bank Account

After incorporation, open a corporate bank account in Singapore. Local banks (DBS, OCBC, UOB) and international banks (HSBC, Citi, Santander) cater to international entrepreneurs. Some banks may allow remote onboarding for overseas directors.

Step 7: Apply for Work Pass (If Relocating)

If you plan to move to Singapore to manage your company, apply for an Employment Pass (EP) or EntrePass. These visas allow you to legally reside and work in Singapore.

Post-Incorporation Compliance

After successfully incorporating, all Singapore companies must follow compliance requirements, including:

Appointing a company secretary within 6 months
Holding an Annual General Meeting (AGM)
Filing annual returns with ACRA
Preparing financial statements (audited or unaudited, depending on size)
Registering for Goods and Services Tax (GST) if annual turnover exceeds S$1 million

Many Spanish entrepreneurs engage a corporate service provider to handle these tasks and ensure ongoing compliance.

Tax Advantages for Spanish Entrepreneurs

Singapore’s pro-business tax system includes:

Corporate tax rate of 17% (one of the lowest globally)
Startup tax exemptions for the first three years:
- 75% exemption on the first S$100,000 of chargeable income
- 50% exemption on the next S$100,000
No tax on dividends or capital gains
No withholding tax on foreign shareholders

Thanks to the Singapore–Spain DTA, Spanish entrepreneurs can avoid double taxation and enjoy reduced withholding tax rates on cross-border payments.

Popular Business Sectors for Spanish Companies in Singapore

Technology & Innovation – Spanish startups in fintech, renewable energy, and AI can thrive in Singapore’s digital economy.
Food & Beverage (F&B) – Singapore’s vibrant dining culture welcomes authentic Spanish cuisine, wines, and specialty food products.
Luxury Goods & Design – Spanish brands in fashion, jewelry, and home decor can access affluent Asian consumers.
Engineering & Manufacturing – With Singapore’s advanced logistics and port infrastructure, Spanish engineering firms can expand regionally.
Tourism & Travel Services – Singapore’s role as a regional travel hub supports Spanish travel agencies, hospitality chains, and experience providers.
Renewable Energy & Sustainability – Both countries share a commitment to clean energy, making Singapore ideal for Spanish green tech companies.

Spain–Singapore Economic Relationship

The relationship between Spain and Singapore is strong and continually growing. The Singapore–EU Free Trade Agreement (EUSFTA), which came into effect in 2019, provides extensive benefits for Spanish companies, including:

Elimination of tariffs on most Spanish goods exported to Singapore
Simplified customs procedures
Stronger intellectual property (IP) protections
Easier access to government procurement contracts

Furthermore, organizations such as the Spanish-Singaporean Chamber of Commerce and the Economic and Commercial Office of Spain in Singapore actively assist Spanish businesses in entering and expanding within the Singapore market.

Cultural Insights: Spain and Singapore

While Spain and Singapore differ culturally, they share many values in business — professionalism, long-term partnerships, and a focus on quality.

In Singapore, punctuality and efficiency are key, while personal relationships also play an important role. Spanish entrepreneurs who combine their passion and creativity with Singapore’s structured business style often find great success.

The multicultural nature of Singapore also makes it easy for foreigners to integrate socially and professionally.

Practical Tips for Spanish Entrepreneurs

Hire a Professional Corporate Services Provider – They can manage incorporation, nominee directorship, accounting, and compliance.
Leverage Free Trade Agreements – Use EUSFTA benefits to optimize trade and reduce tariffs.
Apply for Government Grants – Use the MRA and EDG grants to support business setup and expansion.
Open Multi-Currency Bank Accounts – Handle payments in EUR, SGD, and USD seamlessly.
Network Within the Spanish Business Community – Join the Spanish-Singaporean Chamber of Commerce to build connections and access local insights.

Challenges and How to Overcome Them

While Singapore is highly business-friendly, Spanish entrepreneurs may face challenges such as:

Understanding regulatory requirements for compliance
Navigating local banking procedures for corporate account setup
Adapting to cultural differences in communication styles

These can be easily managed by engaging local consultants or business advisors experienced in working with European entrepreneurs.

Why Singapore Is the Perfect Choice for Spanish Entrepreneurs

Singapore combines the efficiency and predictability of a global financial hub with access to Asia’s dynamic growth markets. For Spanish companies — whether in food, fashion, engineering, or technology — it offers a foundation for scaling globally while enjoying low taxes, a strong legal system, and an innovative business ecosystem.

By starting a Singapore company from Spain, entrepreneurs gain more than a regional office — they gain a powerful base to expand their presence throughout Asia and build a globally competitive business.

If you are a Spanish entrepreneur ready to set up your company in Singapore, reach out to a professional corporate services provider for expert guidance on incorporation, accounting, and compliance — and take your business to new heights in Asia’s premier business hub.