Learn how to navigate the COMPASS points system, satisfy MOM’s salary benchmarks, and choose the right work pass to run your Singapore company.
When looking into Singapore company registration for foreigners, it is vital to distinguish between company ownership and the legal right to reside in the country. Singapore maintains a clear legal separation between owning a business and being authorised to work within it.
Yes. Singapore remains one of the most open economies globally, allowing for full equity control by international entrepreneurs.
Foreigners can own 100% of the shares in a Private Limited company. There is no requirement for a local partner or silent shareholder.
Registration can be completed via a Registered Filing Agent while you are residing in your home country.
You do not need a visa to be a shareholder. However, a work pass is mandatory the moment you intend to move to Singapore to manage your business operations.
Even with 100% ownership, the Singapore Companies Act requires every firm to have at least one "ordinarily resident" director.
In 2026, the Singapore Employment Pass (EP) is the standard route for international founders to legally reside in the country while managing their own firm. Eligibility is now determined by two critical layers: the qualifying salary benchmark and the COMPASS points system.
To qualify, your fixed monthly salary must be aligned with the top one-third of local PME wages. The Ministry of Manpower (MOM) uses age-based scaling, meaning older, more experienced founders require higher salaries.
Starting benchmark for new applicants (non-financial).
Higher threshold due to sector median wages.
For those pursuing Singapore company registration for foreigners, the EP offers distinct structural advantages over the S Pass or Work Permit:
| Feature | Employment Pass (EP) | S Pass |
|---|---|---|
| Foreign Worker Quota | No quota required | Subject to company quota |
| Monthly Levy | No levy payable | Monthly levy applies |
| Dependant's Pass | Yes (at S$6,000+ salary) | Yes (at S$6,000+ salary) |
| Assessment | COMPASS Points System | Salary & Quota based |
Since late 2023, the Ministry of Manpower (MOM) has utilised the Complementarity Assessment Framework (COMPASS) to evaluate Employment Pass applications. To pass, an application must score at least 40 points across four foundational pillars.
Points are awarded based on how your salary compares to local PMET wages in your specific sector and age group.
Points depend on whether your degree is from a "top-tier" globally recognised university or a standard degree-granting institution.
MOM checks if your nationality is already over-represented in your company’s professional workforce.
Evaluation of the company’s track record in hiring Singaporean professionals compared to its industry peers.
Not every applicant needs to go through the points-based system. In 2026, exemptions generally apply to:
Singapore incentivises certain roles that fill critical talent gaps. Your application may score higher if your role involves:
If your startup has fewer than 25 professional employees (PMETs), MOM automatically grants a "neutral" score for Diversity (C3) and Local Employment (C4). This effectively makes it significantly easier for early-stage founders to hit the 40-point target without needing a massive salary or a top-tier degree.
While the Employment Pass (EP) is the most common route, it requires you to be an "employee" of your own firm with a high salary. For innovators in the early stages of a high-growth startup, the Singapore EntrePass is a specialised alternative.
In 2026, eligibility remains focused on "venture-backed" or "innovatively-driven" talent. Traditional lifestyle businesses like retail shops or cafes are explicitly ineligible.
Raised at least S$100,000 from a government-recognised VC or accredited Angel Investor.
Hold Intellectual Property (IP) registered with a national office that provides a competitive edge.
Collaborating with a Singapore-based Research Institute or Institution of Higher Learning (IHL).
You can apply before registering your firm (or if the firm is less than 12 months old).
EntrePass renewals are strictly tied to business spending (TBS) and local job creation rather than personal salary.
| Renewal Year | Total Business Spending (TBS) | Local PME Hires (Min. S$3,900) |
|---|---|---|
| 1st Renewal | No TBS Requirement | No PME Requirement |
| 2nd Renewal | S$100,000 | 1 Local PME |
| 3rd Renewal | S$200,000 | 2 Local PMEs |
| 4th Renewal | S$300,000 | 3 Local PMEs |
| 5th Renewal+ | S$400,000+ | 4+ Local PMEs |
The EP requires a S$5,600+ salary. The EntrePass allows you to reinvest capital into the business instead of high personal salaries during year one.
EntrePass approval can be secured before ACRA registration. Once approved, you have 30 days to complete your company registration.
Choosing between the Employment Pass (EP) and the EntrePass is not just about eligibility; it is a financial and operational strategy. While both grant residency, they place the "cost of compliance" in different parts of your balance sheet.
This is the most important "hidden" difference for a founder's cash flow:
(High Personal Cost): To maintain an EP in 2026, you must pay yourself at least S$5,600 (rising to S$6,000 in January 2027). This money is subject to Personal Income Tax. However, MOM does not care how much your company spends on office rent or marketing.
(High Business Cost): There is no fixed salary floor for the founder. You can live on a modest budget. However, to renew the pass, the company must meet "Total Business Spending" (TBS) targets—starting at S$100,000 by your second renewal.
A common mistake is applying for the wrong pass for your business model:
Many tech founders use a "bridging" strategy that isn't widely publicised:
Year 1-2: Enter on an EntrePass. This allows you to conserve cash by not paying yourself a high salary while you focus on R&D.
Year 3+: Once the startup is profitable and has raised significant capital, the founder "switches" to an Employment Pass. This removes the strict EntrePass spending and hiring quotas, giving the founder more flexibility as the company matures.
| Scenario | Recommended Pass |
|---|---|
| You are a solo consultant or agency owner | Employment Pass |
| You want to move before incorporating | EntrePass |
| You have S$100k+ in VC funding/IP | EntrePass |
| You want the simplest renewal process | Employment Pass |
| You want to avoid high personal income tax early on | EntrePass |
To be eligible for an EP in 2026, your salary must be benchmarked against the top one-third of local PME earnings. As you gain experience and age, the amount you must pay yourself increases significantly to satisfy MOM requirements.
MOM’s benchmarks reflect the reality that professionals earn more as they progress. For a founder, the older you are, the higher the "cost of residency."
| Age | General Sector Benchmark | Financial Services Benchmark | The "Finance Premium" |
|---|---|---|---|
| 23 or below | S$5,600 | S$6,200 | +S$600 |
| 35 | S$8,382 | S$9,255 | +S$873 |
| 45+ | S$10,700 | S$11,800 | +S$1,100 |
MOM is very strict about what can be included in your declared salary to meet the qualifying threshold:
Meeting the minimum benchmark is required, but MOM also applies a Sustainability Test. If a founder declares a S$10,700 salary, but the company's financial capacity cannot support that payout for two years, the application may be questioned.
In 2026, obtaining an Employment Pass (EP) is a holistic evaluation. While your personal profile is assessed via COMPASS, the Ministry of Manpower (MOM) also evaluates the business substance of the sponsoring company to ensure it is a "going concern."
While there is no official minimum capital, having sufficient paid-up capital to cover several months of operations strengthens your case.
For new firms, MOM may request Singapore bank statements to verify that capital has been injected and liquidity is available.
To demonstrate Singapore business substance, you should be prepared to show:
Signed contracts with local clients, service agreements, or active invoices.
Documented collaborations with local Singaporean vendors or distributors.
MOM cross-references data with ACRA and IRAS. Compliance issues that can weaken your application include:
To maximise your chances, treat the company’s profile as seriously as your own. Before submitting the MOM EP application, ensure the company has injected its capital, secured a physical operating site, and cleared any outstanding regulatory filings.
In 2026, the Singapore EP document checklist has shifted toward mandatory third-party verification. Uploading a simple PDF of your degree is no longer sufficient; any qualification used for COMPASS points must be pre-verified by an approved background check agency.
A copy of your business profile from the ACRA registration portal, dated within the last 30 days.
A signed letter of offer matching the salary and title declared in the MOM portal exactly.
A 2–3 page summary of your model, funding, and local hiring roadmap (highly recommended for new startups).
Corporate bank statements showing paid-up capital has been successfully injected.
If documents are not in English, you must provide a copy in the native language plus a certified English translation from a professional service, High Commission, or public notary. Self-translations are not accepted.
If relocating with family (minimum salary S$6,000/month):
Always digitise documents in high resolution (300+ DPI). Low-quality scans often trigger a "manual review" flag in MOM’s automated system, which can delay processing from the standard 3-week timeline to an 8-week extended review bracket.
The MOM work pass application in 2026 is a streamlined digital process. For a founder, the journey is divided into the Approval Phase (conducted while abroad) and the Issuance Phase (conducted once you arrive in Singapore).
Before submission, the role must usually be advertised on MyCareersFuture for 14 days. You are exempt if your company has fewer than 10 employees or the salary is S$22,500 or higher.
The application is submitted via corporate Singpass or a Registered Filing Agent. A non-refundable admin fee of S$105 is paid at this stage.
Review takes 3–8 weeks. For new firms, MOM may issue an RFI for bank statements or hiring roadmaps to verify business substance.
If approved, you receive an IPA letter. This serves as a "pre-entry permit," allowing you to enter Singapore without a separate entry visa for most nationalities.
After landing, your agent issues the pass via the portal. A S$225 fee is paid, and you receive a Notification Letter allowing you to legally work immediately.
Within 7 days of pass issuance, you must attend a biometrics session for photo and fingerprints at the Employment Pass Services Centre (EPSC).
Your physical EP card is delivered to your registered office address within 4 to 5 working days after your biometrics appointment.
Employment Pass (EP) holders must attend biometrics at the Employment Pass Services Centre (EPSC) at The Riverwalk (20 Upper Circular Road). Do not go to the MOM Services Centre at Bendemeer Road, as that office is strictly for Work Permit and S Pass holders.
| Phase | Estimated Duration |
|---|---|
| Preparation (Verification & Ads) | 2 Weeks |
| MOM Processing | 3–8 Weeks (if RFI issued) |
| Entry & Card Issuance | 1 Week after arrival |
| Total Window | 2.5 to 3 Months |
For many international founders, relocating to Singapore is a family decision. Under the 2026 MOM framework, Employment Pass (EP) holders have the right to sponsor family members, provided they meet specific salary and relationship criteria.
To bring family members to Singapore, your fixed monthly salary as the EP holder must meet these mandatory minimums:
Covers a legal spouse and unmarried children under 21.
Required to sponsor parents for relocation.
| Pass Type | Who it is for | Key Documents |
|---|---|---|
| Dependant’s Pass (DP) | Legal Spouse; Unmarried children under 21. | Marriage Cert; Birth Certs. |
| Long Term Visit Pass (LTVP) | Common-law spouse; Step-children; Parents. | Statutory Declaration; Relationship proof. |
In 2026, vaccination requirements are a primary cause for delay. For all foreign-born children aged 12 and below, records for Diphtheria and Measles must be verified by the Communicable Diseases Agency (CDA).
If relocating with a family of four, your company must pay you at least S$6,000 monthly. If you plan to bring parents, moving into the S$12,000 bracket will trigger higher personal income tax and require your company to demonstrate greater "business substance" to justify the payout to MOM.
Once your Employment Pass (EP) is issued and you have secured a local residential address, you officially satisfy the "ordinarily resident" requirement under the Singapore Companies Act. At this stage, most founders transition from using a Nominee Director service to becoming the Resident Director themselves.
You must hold a valid Employment Pass (EP), EntrePass, or Personalised Employment Pass (PEP).
You must have a physical residential address in Singapore, updated on your EP card and Singpass profile.
To avoid a "compliance gap," this legal handover must be timed perfectly:
A Board Resolution is passed to appoint you, followed by a digital "Consent to Act" declaration on the ACRA BizFile+ portal.
Your Corporate Secretary updates the BizFile within 14 days. Failure to meet this deadline results in penalties up to S$5,000.
The Nominee Director formally resigns only after your appointment is live, ensuring the firm always has a local director.
The company's internal Register of Directors (RoD) is updated to reflect your new statutory status.
Becoming the Resident Director moves all fiduciary and legal exposure from the service provider to the founder personally:
Ensure your residential address is updated in the Singpass system before the ACRA filing. Transitioning away from a nominee service typically saves the company between S$2,000 and S$5,000 per year in service fees and security deposits.
To conclude this guide, we have compiled the most common questions international founders ask when navigating the Singapore immigration landscape in 2026.
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