Starting a trading business in Singapore opens the door to one of the world’s most dynamic and trade-driven economies. Positioned at the heart of Asia, Singapore is a global logistics and financial hub with robust infrastructure, stable governance, and a strong pro-business framework.
Whether you aim to import goods, export products, or engage in commodity trading, the process of setting up a trading company is clear and well-structured — as long as you follow the right steps.
Before registering, decide on the structure that best fits your business goals and risk profile.
| Structure | Description | Advantages | Considerations |
|---|---|---|---|
| Private Limited Company (Pte. Ltd.) | A separate legal entity with limited liability. | Credibility, limited liability, access to grants, tax benefits. | Requires annual filing and corporate compliance. |
| Sole Proprietorship | Owned and run by one individual. | Simple setup, full control. | Unlimited liability; not ideal for large trading operations. |
| Partnership | Owned by two or more partners. | Shared responsibilities and resources. | Joint liability among partners. |
Most Singapore small businesses in trading register as Private Limited Companies (Pte. Ltd.). This structure offers limited liability, higher credibility with banks and clients, and eligibility for government support schemes.
All trading companies must be registered with the Accounting and Corporate Regulatory Authority (ACRA). Registration is done online through the BizFile+ portal.
Reserve Your Business Name
Prepare Incorporation Documents
You’ll need:
Appoint Key Personnel
Receive Certificate of Incorporation
Foreign entrepreneurs must appoint a local registered filing agent or corporate service provider to complete the registration process.
✅ Our expert team streamlines your business journey, from company incorporation to tax filing. We offer transparent pricing, dedicated support, and industry expertise for your peace of mind. Discover our all-inclusive incorporation packages here.
Depending on your trading activities, additional licences or permits may be required before operations can begin.
| Activity | Licence/Permit | Regulatory Body |
|---|---|---|
| Importing or exporting goods | Customs Account registration | Singapore Customs |
| Commodity or futures trading | Licence under the Commodity Trading Act | Enterprise Singapore |
| Food, beverages, or agricultural products | Import/export permit | Singapore Food Agency (SFA) |
| Pharmaceuticals, cosmetics, or health products | Product and dealer licences | Health Sciences Authority (HSA) |
| Chemicals, electronics, or machinery | Trade or environmental permits | Ministry of Trade and Industry (MTI) / National Environment Agency (NEA) |
Failure to secure relevant licences before trading may result in delays, fines, or business suspension — so it’s crucial to check your licensing requirements based on your product category.
Once incorporated and licensed, the next step is establishing your operational foundation.
Open a Corporate Bank Account
Keeps personal and business finances separate and builds trust with suppliers and clients.
Implement Accounting and Inventory Systems
Trading businesses deal with high transaction volumes — automation tools help track stock, manage payables, and simplify tax filing.
Set Up Supply Chain and Logistics
Partner with reliable freight forwarders or warehousing providers for efficient goods handling.
Recruit Staff (if needed)
Ensure compliance with Singapore’s Employment Act and maintain proper employment contracts.
Singapore’s tax regime is one of the most competitive globally, but businesses must comply with all tax obligations.
Corporate Income Tax – The standard rate is 17%, but new start-ups enjoy partial exemptions on their first SGD 200,000 of chargeable income.
Goods and Services Tax (GST) – Mandatory if your annual turnover exceeds SGD 1 million. Once registered, you must charge and remit 9% GST on taxable supplies.
Import Duties and Customs Taxes – Certain goods attract duties depending on type and origin.
Maintaining proper accounting records is crucial. You’ll need to file annual returns with ACRA and submit tax filings to the Inland Revenue Authority of Singapore (IRAS).
Singapore’s regulatory framework is designed for transparency and accountability. After incorporation, your company must:
Maintain accounting records for at least five years.
Hold an Annual General Meeting (AGM) within six months of the financial year-end.
Submit Annual Returns to ACRA and tax filings to IRAS on time.
Renew licences and permits before expiry.
Ensure GST and corporate tax compliance through proper recordkeeping and reporting.
Non-compliance can result in fines or disqualification of directors, so it’s best to maintain organised, up-to-date records.
Singapore offers multiple schemes to help trading companies innovate and expand.
Enterprise Singapore supports businesses through funding and advisory programmes, while SkillsFuture Singapore (SSG) provides training and upskilling incentives for employees.
Eligible small businesses can access:
Enterprise Development Grant (EDG) – For process improvement, digitalisation, or internationalisation.
Market Readiness Assistance (MRA) – For overseas market expansion.
Productivity Solutions Grant (PSG) – For adopting digital tools and accounting software.
These grants reduce operational costs and enhance competitiveness, particularly for small trading companies aiming to expand regionally.
| Step | Key Actions | Responsible Agency |
|---|---|---|
| 1 | Choose business structure (Pte. Ltd. recommended) | ACRA |
| 2 | Register business name and incorporate | ACRA via BizFile+ |
| 3 | Apply for relevant licences | Enterprise Singapore / Singapore Customs |
| 4 | Open corporate bank account | Commercial Bank |
| 5 | Register for taxes (GST, Corporate Tax) | IRAS |
| 6 | Maintain annual compliance | ACRA / IRAS |
| 7 | Apply for grants and support | Enterprise Singapore |
At Counto, we make running your trading business simpler. We provide end-to-end accounting services in Singapore — from incorporation and bookkeeping to GST filing and annual tax compliance.
Here’s how we can help your business stay ahead:
Company Incorporation & Setup: Register your business with ACRA efficiently and correctly.
Tax & GST Management: Ensure accurate filings with IRAS and compliance with Singapore’s tax laws.
Automated Accounting Tools: Track invoices, expenses, and cash flow in real time.
Expert Advisory Support: Get personalised guidance on compliance, reporting, and business growth.
With Counto, you gain a reliable accounting partner that combines automation with professional expertise — so you can focus on expanding your trading operations while we take care of your books.
Starting a trading business in Singapore is a structured yet efficient process. From registering your company with ACRA to obtaining import/export licences and meeting tax obligations, every step is clearly regulated to encourage business growth and compliance. By setting up the right structure, managing finances diligently, and leveraging government support, you can build a sustainable trading business that thrives locally and internationally.
Singapore’s transparent regulations and strong trade infrastructure make it one of the best places in the world to launch a trading company — provided your operations are well-organised and compliant.
Setting up a company in Singapore can be challenging, but with professional support, it can be simple, Counto’s mission is to support your new business, take away the complexities of compliance, and save you time and money throughout the year. Speak to us directly on our chatbot, email [email protected], or use our  contact form to get started.
Here are some articles you might find helpful:
Returns and Refunds Accounting for Singapore Online Sellers
Inventory and COGS Management for Singapore Online Sellers
Double Taxation DTAs vs UTCs Singapore Businesses
Double Taxation Agreements (DTAs) for Singapore Businesses Abroad
Cross-Border Taxation for Singapore SMEs
Whatsapp 
Call