A ‘Sole Proprietorship’ may be described as a business that is carried on by an individual on his or her own without the use of a separate and distinct business form.
The sole proprietorship is the simplest form of business organisation. The law does not regard the sole proprietorship business as a different entity from its proprietor (or owner). As such, all rights that the business has are rights that belong to the proprietor. Similarly, all liabilities or debts that are incurred by the business are in law the liabilities or debts of the proprietor. The assets and profits that the business generates are owned by the proprietor who is personally liable to pay whatever tax payable in respect of these assets and profits. Should the proprietor die, the business will cease to exist.
Registration and Compliance
When a person wishes to carry on business in Singapore as a sole proprietor, he or she must first apply to register the business in accordance with the provisions of the Business Registration Act (Cap 32). This may be done by completing and submitting the relevant forms electronically using ACRA’s e-filing portal, Bizfile. The documents may be filed personally online or at ACRA or with the help of a professional firm of lawyers, accountants, chartered secretaries or service bureau. Subsequently, the proprietor must comply with all the requirements set out under the Business Registration Act such as the filling of changes in particulars of the business and its owner.
Under regulations made pursuant to the Business Registration Act, the Registrar may require a business owner who is not ordinarily resident in Singapore to appoint a local manager to be appointed.
Cessation of Sole-Proprietorship Business
A sole-proprietorship business will cease when the proprietor either dies or otherwise ceases to carry on business. The Business Registration Act requires any person registered under it who has ceased to carry on business to notify the Registrar of this. Failing to do so is an offence and may result in the imposition of a fine.
All information in this article is only for the purpose of information sharing, instead of professional suggestion. Kaizen will not assume any responsibility for loss or damage.
Pursuant to the Animal & Veterinary Service (AVS), a division of the National Parks Board (NParks), which announced the finalized Cat Management Framework on 11 May 2024, all pet owners must apply for a new cat licence from AVS and implanted with a microchip. Microchips provide the best form of permanent identification for your pet, utilizing a tiny transponder the size of a grain of rice
Online veterinary dispensaries (e-vet dispensaries) refer to any electronic means of providing dispensary services for health products intended for use in animals, which include, but are not limited to, the following: Allowing consumers to purchase or submit purchase orders for health products intended for use in animals;
Choosing the right company name is important. The name of your company will define its image, and will also be what your customers identify your business and company with. Marketing considerations aside, you also have to ensure that your chosen company name will be approved for registration by the Accounting and Corporate Regulatory Authority of Singapore (“ACRA”) in the first place.
A company may apply to the Accounting and Corporate Regulatory Authority (ACRA) to strike its name off the Companies Register if it is no longer carrying on business. This process is known as "striking off" a company. Please do not close the company's bank accounts until all outstanding matters are settled. Once the company's bank account is closed and there is a tax credit owing to the company