Preparing Dividend Vouchers for Your Singapore Business

For every Singapore small business, issuing dividend vouchers for your Singapore business is an essential part of corporate compliance and record-keeping. Properly prepared dividend vouchers not only serve as official proof of dividend payments but also help your company meet legal requirements efficiently.

Understanding how to prepare these vouchers correctly ensures your business stays compliant with Singapore’s corporate governance standards and benefits from smooth corpsec services.

1. What Are Dividend Vouchers for Your Singapore Business?

Dividend vouchers for your Singapore business are formal receipts given to shareholders whenever dividends are declared and paid. They document important payment details and support clear communication, helping your company stay compliant with regulatory standards.

2. Essential Information to Include in Dividend Vouchers

When preparing dividend vouchers, make sure to include:

• Company’s registered name and Unique Entity Number (UEN)

• Registered business address

• Date of issue

• Shareholder’s full name and address

• Class of shares (e.g., ordinary, preference)

• Type of dividend (interim or final)

• Number of shares held by the shareholder

• Dividend rate per share

• Total dividend amount paid

• Signature of an authorised officer, such as a director or company secretary

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3. Step-by-Step Guide to Preparing Dividend Vouchers for Your Singapore Business

Follow this process to prepare accurate dividend vouchers:

• Confirm Dividend Declaration: Ensure your company’s board has formally approved the dividend, and there are sufficient distributable profits.

• Collect Shareholder Details: Retrieve updated shareholder information from the company’s register of members.

• Calculate Dividend Amount: Multiply the dividend rate per share by the number of shares held by each shareholder.

• Draft the Voucher: Use a standardised template including all required details.

• Obtain Authorised Signature: Have the voucher signed by a director or company secretary.

• Distribute to Shareholders: Send the dividend voucher by post or electronically.

• Keep Records: Retain copies of vouchers as part of your company’s statutory records for audits and compliance.

4. Why Dividend Vouchers Matter for Singapore Small Businesses

• They serve as official proof of dividend payments to shareholders.

• Support compliance with Singapore corporate governance and legal requirements.

• Provide documentation useful for tax reporting, even though dividends are generally tax-exempt under Singapore’s one-tier corporate tax system.

• Help maintain transparency and trust between the company and its shareholders.

5. How Corpsec Services Assist

For many Singapore small businesses, engaging professional corpsec services helps streamline the preparation and management of dividend vouchers and other statutory compliance documents. This reduces administrative burden and ensures all documentation is accurate and compliant with Singapore regulations.

Summary

Properly preparing dividend vouchers for your Singapore business is key to maintaining good corporate governance and transparent shareholder relations. By including all necessary information and following a clear process, your small business can stay compliant and audit-ready. Leveraging corporate secretary expertise can make managing dividend vouchers and compliance simpler and more efficient.

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Running a company in Singapore can be challenging, but with professional support, it can be simple. Counto’s goal is to take away the complexities of compliance, and save you time and money throughout the year. To learn more, speak to us directly on our chatbot, email [email protected], or use our  contact form to get started.