Opening a bank account for your business is the best way to separate personal assets from business assets. And doing this in a country that is welcoming to international business such as Singapore is more than beneficial to the business.
Singapore has one of the most ideal banking systems in the world, in addition to great transparency, and clear government regulations.
And when choosing a bank for their businesses, Singapore companies have plenty of options. Most of the banks in Singapore offer impressive features such as multi-currency accounts, credit cards, internet banking, the freedom to move funds across countries, and more. Also, having a bank account with a reputable Singapore bank can improve your company’s image a lot.
Can foreigners open a corporate bank account in Singapore?
Yes, foreigners can open a corporate bank account in Singapore, as ease of banking is one of the major reasons for Singapore’s popularity as an international business destination. But, following new regulatory rulings and recommendations, Singaporean banks have increased their rules regarding scrutinizing new foreign clients, especially around money laundering and counter-terrorism financing.
Singapore corporate account opening requirements
Generally, most Singaporean banks have the following requirements for opening a corporate bank account:
- For locally-owned companies
For companies owned by Singaporeans, the information required is very simple. If you have a SingPass, no other documents will be essential for opening a company’s bank account.
- For foreign-owned companies
Since data about foreigners is not readily available to Singapore banks from the Singapore government’s data system, banks will have to collect more detailed information from foreign customers about their identification and their proposed business venture.
Generally, the banks would require the documents listed below.
- Account opening forms
- Board of Directors resolution authorizing the opening of the account and the signatories to the account
- Certified true copy of the resolution authorizing the opening of the account and the signatories to the account
- Certified copy of Certificate of Incorporation
- Copy of the company’s business profile from the company registrar
- Copy of the company’s Memorandum and Articles of Association (MAA)
- Copies of passport and residential address proof of the directors, signatories, and ultimate beneficiary owners.
Most of the documents must be certified by the company secretary or one of the directors. Additional documents may also be required by the bank on a case-by-case basis.
How to open a corporate bank account in Singapore
- Apply online
Some banks are now offering a-day express account opening services which can be done online, which will improve convenience for business owners.
As a business owner, if you are eligible to apply online, you can simply complete the online form on the bank’s website and have your corporate account opened in a day.
You may be eligible if you are a single director or sole proprietor, and already have a personal account with that bank. The requirements for this process are a little different from conventional bank account opening. Your Damalion expert can help with this.
- Going down to the bank to apply in person
Some banks may require the presence of the director and authorized signatories at the bank to open a corporate bank account. It’s recommended to check with the bank you are opening the account with on such requirements.
Application process for corporate bank account in Singapore
The process to open a Singapore corporate account will depend on the bank and account type chosen. But it generally involves the following steps:
- Select the bank and account type (foreign currency business account, Singapore dollar account, etc.)
- Check if the account can be opened remotely or if you need to be present in Singapore (in either case, your Damalion expert can help)
- Fill out the account opening form (must be signed by authorized signatories)
- Prepare the needed documentation
- Provide proof of identification and residential address for each of the company’s shareholders, UBOs, and directors
Submit all documents along with a minimum deposit (if required by the chosen bank)
The bank will review the application. If it meets all the documentation and financial requirements, it will open the corporate account in a couple of weeks, and give you all the essential details, including the account number, etc.
Banking fees and minimum balance requirements
In Singapore, some banks offer an initial disclaimer period of bank charges, for any fundamental banking procedures such as depositing and withdrawing cash or checking on the status of the account.
But note that the monthly rates or transaction fees of such accounts may be higher. So before choosing a bank account, evaluate a practical projection of the type, size, and frequency of transactions you are inclined to make in the course of your business, thereby selecting a bank account that is most suited to and cost-effective for your company. Your Damalion expert is also available to help in this aspect.
Are you ready to open a bank account for business in Singapore?
There are a many factors to consider before choosing a bank. These include the friendly attitude toward non-resident clients, bank ‘s reputation, the business focus of the bank, ease of access to account services, online security, etc.
To get started with your bank account opening in Singapore, let’s go ahead and contact your Damalion expert now.
