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Entrepreneurs' Guide to Planning, Starting and Running a Business in Singapore
September 2005

Publisher: Information Services Division, National Library Board, Singapore
Editor: Cheang Chee Yew
Researchers: Anasuya Balamurugan and Joyce Adelaide Tuining
Design & Layout: Koh Lay Tin

Contributors: Central Provident Fund Board, Department of Statistics, Housing & Development Board,
Intellectual Property Office of Singapore, Inland Revenue Authority of Singapore, Jurong Town Corporation,
Ministry of Law, Ministry of Manpower, Accounting & Corporate Regulatory Authority (formerly Registry of
Companies and Businesses), Urban Redevelopment Authority.

For more information on government-to-business contents and e-services, please visit:
http://www.business.gov.sg For more information about the National Library Board Infoserv products and services, please contact:
Information Services Division
National Library Board
Tel: +65 6332 3255
Fax: +65 6339 0432
Email: cis@nlb.gov.sg
Copyright: This guide is intended for individual use only. The copyright on this guide will be infringed by any unauthorised copying or reproduction for mass circulation.

Disclaimer: By using this Entrepreneurs' Guide, you acknowledge that all regulatory information, advice, material and data are correct at the time of publishing. All
legal advice and professional assurance on all legal grounds for setting up businesses and companies should be consulted through lawyers.

This guide includes links to other resources and Internet Web sites, solely as a convenience to you. NLB does not control and is not responsible for any of these sites
or their content. Any concerns regarding such external links should be directed to their respective site administrators or webmasters.

This guide is updated on 13 September 2005. For updates to various contents contained in this guide, please visit http://www.business.gov.sg or e-mail your queries
to btfeedback@mti.gov.sg.

























CONTENTS PAGE Readers Testimonies i A Startup Roadmap ii 1. Planning a Business 1 1.1 The Business Environment 2 1.2 The Business Plan 6 1.3 Contacts and Information Resources 14 1.4 Useful Business Resources 15 2. Starting a Business 18 2.1 The Business Entity 19 2.2 Business Registration / Company Incorporation 22 2.3 Licences and Permits 27 2.4 Business Premises 28 2.5 Intellectual Property 33 2.6 Useful Business Resources 40 3. Running a Business 46 3.1 Employment 47 3.2 Taxation Matters 51 3.3 Finance Management 62 3.4 Dispute Management 65 3.5 Business Expansion 67 3.6 Useful Business Resources 71 Summary 76
























What some readers said about this guide 1. "Overall, I find this guide helpful." Jimmy Soh, Executive Director, Chye Choon Foods Pte Ltd
2. "Great jobwell doneAs a trainer, I was delighted to see such a comprehensive and valuable resource made freely available. It provides a basic guide
for an entrepreneur to source information in one easy to use guide. This means that trainers like me can concentrate on helping Singaporeans to develop
that necessary mindset of becoming an entrepreneur. Richard Byron Thomas, Consultant, INOVIS Consultancy Services
3. "This is definitely a good guide for those who want to know more about setting up a business/ company in Singapore. Easy to read and many references
provided to save unnecessary efforts wasted by turning to the wrong channels." Dave Sioh, Business Executive, Asia Power Corp Ltd
4. "The guide provides a good helicopter view of how to start up a business." Diana Phee, Manager, Dragonfly Business Enterprise
5. "The information is very useful and it helps me in my research for my two-year old business." Mohammed Ismail bin Abu Bakar, Al-Kauthar
6. "I am a non Singaporean citizen but a PR. Reading and using this free guide has made me very proud of Singapore. The guide led me to finding out
about SingPass, which I think is fantastic. It is so useful that I tend to read it now and then in case there is something I missed. It is a dream guide for
budding entrepreneurs like myself." Judith M Quinzon, Proprietor, Anica Q
7. "A very helpful guide especially for startups." Joe Koh, Director, Intersyst Pte Ltd
8. "Very useful. Almost like handholding budding entrepreneurs from A-Z." Elim Chew, Managing Director, 77th Street
9. "It is a great book! It's very comprehensive and informative. I would recommend it to any budding entrepreneur. Congratulations to the team for all the
efforts in compiling this reference book. Wished there were such a guide book when I was starting out."
Ms Jocelyn Chng, Managing Director, Sin Hwa Dee Foodstuff Industries Pte Ltd i A Startup Roadmap Planning a Business Starting a Business Business Registration / Company Incorporation: Register your business! Running a Business

What you need to know The Business Plan
ii

The Business Environment The Business Entity: Business or Company? Think about it!
Taxation Matters Employment



Finance Management Business
Expansion Licences and Permits: Get the relevant licences
and permits!

Dispute Management
Business Premises: Know the types of business premises! Contacts and Information Resources
Intellectual Property: Know your intellectual
property rights!
ENTREPRENEURS' GUIDE Chapter 1







Planning a Business Page 1 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business The Business Environment Key Learning Points Learn about the complex
environment affecting
businesses such as the
political, economic, social,
technological, legal and
ecological environments. No man is an island. Likewise, businesses operate in a complex environment. It is essential that you study the business environment
that you operate in as it affects the outcome of your decisions. They include the political, economic, social, technological, legal and
ecological environments. Studying these enable a businessman to get a comprehensive picture of the business environment he
operates in. Business Environmental Analysis THE BUSINESS ENVIRONMENT Legal Environment Ecological Environment Technological Environment Socio-cultural Environment Economic Environment Political Environment Page 2 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Summary Findings from
the Economic Surveys
Series 2001
Retail Trade
In 2001, the retail trade cluster
comprised some 19,400
establishments and employed a
total of 90,400 workers.
Operating receipts collected by
the cluster totalled $27 billion,
7.6 percent lower compared
with the previous year.
Operating surplus also fell by
19 percent to $1.2 billion. Retail
trade generated total value
added of $3.0 billion in 2001,
representing a decrease of 6.8
percent over 2000.

Services Sector
In 2001, the overall Services
Sector comprised some
123,700 establishments and
employed a total of 930,500
workers. Operating receipts
collected by the sector totalled
$569 billion, representing a fall
of 5.9 percent over the previous
year. Operating surplus also
declined by 15 percent to $42
billion. The Services Sector
generated total value-added of
$71 billion in 2001, a marginal
drop of 0.8 percent over 2000. Singapore Business Environment Political Environment Businesses are affected by the political structure of the country within which they operate. It is the political regime that enacts laws,
decides priorities and sets regulations. Singapores parliamentary democracy system has resulted in a stable and orderly government.
The governments emphasis on efficiency and excellence in the public service ensures that businessman can efficiently conduct
business without red tape and bureaucratic delays. The government has created a pro-business environment by enacting favourable tax laws and offering funding for business ventures. Singapore has been consistently ranked as one of the most competitive nations and best places for business in the world. In addition, Singapore has several initiatives supportive of business start-ups. SME 21 is a 10-year strategic plan to build up Small and Medium- sized Enterprises (SMEs) capabilities, with the goal of enhancing their contributions to Singapores competitiveness and economic
growth. Other initiatives include Technopreneurship 21 and Franchise 21 . Economic Environment Businesses are directly influenced by the economies that they operate in. Studying economic trends can assist entrepreneurs in
forecasting possible future movement of the economies. Economic indicators relevant to businesses are: potential customers spending power
potential suppliers pricing
interest rate consumer price index retail sales index wholesale and manufacturing indices
inflation rate exchange rate Other economic indicators such as national income, labour market, productivity, industrial production index, investment commitment
and external trade are available at Statistics Singapore website. The Summary Findings from the Economic Surveys Series for various industries are highlighted in the side bar. More Summary Findings can be accessed here under statistics and data. Page 3 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Social Environment Business enterprises operate within social communities. Factors such as the education level of people, working patterns, leisure
activities, and the role of women in the workforce affect the viability of a business entity. For example, how people react to a product or
service will depend on their lifestyles. Singapores national past time has been described as eating and shopping. Hence, people are
apt to welcome new restaurants and retail outlets. A fast food culture has ensured that fast food restaurants are always in demand.
Parents anxious about good grades for their school-going children often send them for tuition, resulting in a demand for tuition centres,
while a high percentage of working mothers in Singapore has led to a demand for childcare centres. Generally, the high spending
power of Singaporeans translates into a demand for certain types of goods and services. Various statistics on Singapores social environment is available from the Department of Statistics. Technological Environment Technological advances have led to the invention of new products and influenced the manner in which business is conducted. For
example, cell phone technology has resulted in a high demand for cell phones and accessories. Similarly, the advent of the Internet
has led to home shopping and e-commerce. Technology also means that goods are delivered fast and more conveniently. Online
stores have transformed the way retailers operate. Credit cards and emails ensure quick transaction and easy service. Marketing
techniques using new technology ensure a better product reach. Innovations in production technology have led to the creation of new
products at competitive prices. Singapore, described as a plug and play nation, is ranked as the third most wired nation in the world, and the most wired in Asia. Within Singapore, a broadband network reaches 99 percent of the population. The World Economic Forum has ranked Singapore
among the top 10 in the world for network readiness in 2002. The Infocomm Development Authority (IDA) oversees the IT infrastructure in Singapore. For example, One-North , which is at the heart of scientific enquiry in Singapore, has research institutes and high-tech companies located next to each other. Such an environment can assist entrepreneurs to tap on the technological
infrastructure in starting up their businesses. Summary Findings from
the Economic Surveys
Series 2001 (continued)
Wholesale Trade
In 2001, there were some
33,300 establishments in
wholesale trade, engaging a
total of 201,900 workers.
Operating receipts totalled
$406 billion, 7.2 percent lower
compared with the previous
year. Operating surplus also fell
by 13 percent to $7.3 billion.
Wholesale trade generated
total value added of $16.7
billion in 2001, representing a
decrease of 3.6 percent over
2000.
Accommodation Services
There were 236 establishments
in the accommodation services
industry in 2001, employing a
total of 26,370 workers. Total
operating receipts collected by
the industry declined marginally
by 2.2 percent, from $2,329
million in 2000 to $2,277 million
in 2001. Total operating surplus
and total value added also fell
by 13 percent and 4.3 percent
respectively during the same
period. Planning a Business Page 4 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Summary Findings from
the Economic Surveys
Series 2001 (continued)
Food and Beverage Services
In 2001, the food & beverage
(F&B) services cluster
comprised some 4,400
establishments and employed a
total of 58,900 workers.
Operating receipts collected by
the cluster totalled $3,939
million, 6.6 percent higher
compared with the previous
year. Operating surplus,
however, fell by 15 percent to
$306 million. F&B services
generated total value-added of
$1,306 million in 2001,
representing an increase of 4.4
percent over 2000.

IT and Related Services
In 2001, the IT services cluster
comprised some 2,700
establishments and employed a
total of 24,200 workers.
Operating receipts collected by
the cluster totalled $4.8 billion,
3.7 percent higher than the
previous year. Operating
surplus, however, fell by 61
percent to $0.1 billion. IT
services generated total value-
added of $1.8 billion in 2001,
representing an increase of 3.1
percent over 2000. Legal Environment Businesses have to take into consideration government statutes pertaining to commerce, manpower and other business-related areas as these will have an impact on their companies. They have to abide by government laws on working hours, minimum wages,
industrial production and taxation. These include the Employment Act, Taxation Act and the Central Provident Fund (CPF) Act. The
various taxes paid by businesses such as sole proprietorship, companies and GST have a direct impact on firms, while the law on
childcare leave affects women in the workforce. In addition, you should note that there exist organisations for the settlement of disputes in Singapore. The Industrial Arbitration Court (IAC) seeks to maintain industrial peace through the certification of collective agreements, regulation of industrial relations practices and arbitration of industrial disputes. The Singapore Mediation Centre (SMC) is dedicated to the promotion of amicable and efficient settlement of disputes in Singapore, while the Consumers Association of Singapore (CASE) promotes the rights of consumers, and businessmen ought to be mindful of them. Ecological Environment Ecological concerns have begun to generate much public feeling. Peoples views on issues such as pollution, radiation and depletion
of the environment affect the business entity. Are target customers environment-friendly? Are they aware of environmental issues such
as recycling and pollution? If there is a recycling culture in the community, businessmen can explore ways to use packaging that can
be recycled. This will put the business in favourable light before target customers. For more on ecological concerns in Singapore, you
can consult the National Environment Agency (NEA), which is the primary governmental body responsible for implementing
environmental policies in Singapore. Page 5 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business The Business Plan Once you have decided to start a business, the next step is to draw up a plan. Business planning is about translating your dream into
reality. It involves taking an idea for a commercial endeavour and working systematically through all the factors that will have an impact
on the successful startup, operation and management of the business. The plan involves several steps and procedures, culminating in
a written document called the business plan, which forms the blueprint for your business. As potential investors, banks and suppliers
are interested in the details of your business plan, it is crucial to have a well-crafted one to showcase your business strategy and the
means of achieving the objectives. Key Learning Points Offers a guide to a business
plan. Topics covered are:
what type of business to start;
products/services; market
analysis; target market;
promotional mix, competitive
analysis, management team;
operational issues; financial
concerns; and the writing of a
business plan. What Type of Business Entity? Sole Proprietorship, Partnership or Company? You have to decide on the type of business entity you are going to start. It can be a sole-proprietorship, a partnership or a company.
Sole proprietorship is the form favoured by small businesses as it requires only a single owner, making it the simplest type of business
to set up. Partnership, on the other hand, involves two or more business owners who share management responsibilities, profits and
all liability. Alternatively, you can incorporate a company if you want to limit the liabilities faced. More on the characteristics and
implications of these business entities will be covered in a later section - The Business Entity.
Start a New Business, Join a Franchise or Buy an Existing Business? The next question potential entrepreneurs need to answer is whether they want to start a brand new business, join a franchise or buy
over an existing business.
Starting a new business Starting a brand new business means you begin with no customers, new products and an unproven formula for success. Hence it
would be wise for you to start on a small scale with minimum capital and expand the business slowly as profits grow. You need to
establish a sole proprietorship, partnership or company to start a new business.
Joining a franchise Alternatively, you can start a business via franchising. This allows you to leverage on the marketing strength of the parent company
and receive appropriate training. Besides, the initial cost for starting the business will be considerably lower as the parent company has
a well-established brand name. However, remember to find out more about the parent companys business is it doing well or not?
Further, you should talk to the existing franchisees to better understand the franchisors reputation, credibility and the franchises mode
of operation. You should enter a franchise only if it suits you and can earn money. As the franchisor will have a legal agreement with
the franchisee, you should also consult a lawyer on the interpretation of this legal agreement as well as the business entity you should
establish for joining the franchise. Page 6 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Buying over a business Acquiring an existing business enables you to buy over an established operation with a proven business formula and customers who
are familiar with your product, a choice that will minimise uncertainty and risk. However, be sure to find out more about why the owner
is selling the business. You need to know whether the owner is selling you a successful business because he or she is retiring or the
business is giving the owner endless nightmares. If you were to buy an existing business, do so with your eyes wide open! You may
also want to consult a lawyer on the terms and conditions of acquiring the business, especially the portion on the new owners
liabilities, before committing to the transfer of business ownership.
Products / Services Several issues on the type, quality, production, price, consumer benefits and other related areas will have to be identified and
addressed before you plunge into business. Questions you may ask include: What kind of product or service are you going to sell?







What makes your product different from the ones already existing in the market?
What materials and equipment do you need to produce the product?
What are the perceived benefits to customers?
Is the product easy to produce or obtain from suppliers?
Can the product be sold easily?
What is the profit margin of the product?
What are the unique features of the product that is not easily substitutable?
Is there anything special about your product such as its quality, taste, preparation, freshness or hygiene factors? Answering these questions can help a business to decide on the kind of product or service that it wishes to sell on the market. You will
also need to set the suitable price for your product or service. Such a pricing structure will depend on the various costs of running the
business; the product image; your competitors price and the discounts and offers you may want to give your customers. Market Analysis For businesses, a market can be defined as the aggregate number of people who will buy or are likely to buy your product.
Entrepreneur needs to examine the business environment to determine the consumers who will buy his product. Examining the
environment involves determining the existing sales of such a product and the number of companies selling similar products. You can
gather market information by reading relevant newspaper articles, trade magazines, market research reports and government
statistics. Generally, you can analyse the information by grouping them into opportunities and threats for the potential business. Then
you can assess your potential business strengths and weaknesses in the face of these opportunities and threats. Always relate your
business to the market to examine how you can turn your endeavour into a thriving business.
Page 7 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business
Target Market Any business planning should clearly identify the current and prospective buyers of your product or service. Properly identifying your
potential customer base helps to drive marketing and sales strategies. It is important to determine the size of the target market.
Demographics such as the income, occupation, age group, gender, education level and lifestyle of the people in the target market
ought to be studied to build up your customer profile. The way you position your product in the market will depend on how customers
perceive your product in terms of its benefits and values. Other aspects that should be considered are the geographical location of
your customers and also their motivations for buying your product. Promotional Mix Even if you have a very good product or service, it will be redundant if you fail to sell it. Hence, any business must ensure that the
intended message regarding its product or service is delivered to its target customers to facilitate sales. The image of your business
and the unique characteristics of your product should be communicated to the buyer.

Basically, you will need to determine the promotional mix to reach the customers. You may want to place advertisements promoting
your product or service in newspapers, magazines or on television. Alternatively, you may try direct selling or direct mailing to your
target customers. You may also promote your product by distributing samples and offering discounts. So how should you promote your
product or service use one of the above approaches or a mix of them? You need to estimate how much you can sell through a
planned promotional mix. Then, relate this estimated sales figure to the estimated cost you would incur. Working out the sums
carefully helps you to determine your promotional mix.
Competitive Analysis Part of your business planning should incorporate competitive analysis. This involves: identifying your direct and indirect competitors; what and how much they sell in units and sales dollars; the number of years they have been in business; and their specific market niche.
Direct competitors sell the same things as you do, while indirect competitors sell alternative products that serve the same need. An
example of alternative products serving the same need would be pizza verses sandwiches in appeasing hunger. It is useful to outline
the strengths and weaknesses of each of your competitors in an unbiased manner. When you evaluate your competitors, you must
examine the size of the competition and how well their products or services are a substitute to yours. Page 8 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business
Branding The market is saturated with many different products and services. You are competing with hundreds or even thousands of other
companies striving to capture the customers attention. If you can successfully broadcast the good qualities of your product or service,
you will stand out from the crowd; if you fail, you become one among thousands. To capture attention, you must build a distinct
branding for your products or services.

Building a distinct brand requires a communication strategy. It is not a simple matter of designing the product package and logo. This
strategy must be designed to convey the brand in such a way that customers associate your products or services with certain positive
attributes, benefits and values. The best brands even acquire a personality of their own look around you and you will be able to spot
well known brands. Successful branding creates market recognition and customer loyalty that translates into brand equity. This equity
can be sold. For instance, a certain brand of mobile phone is worth some US$35 billion. In summary, effective branding requires
careful planning and implementation to project a consistent business image of fine workmanship and quality service to customers.
Management Team The composition of the management team is an integral part of the process of business planning. You should decide at the outset the
members of your management team. It is a good idea to limit the management team to three to five people and only to those who are
involved in the daily decision-making of the business. Everyone else should be considered an employee.

The specific duties and responsibilities of each member in the management team must be clearly conveyed to them. When choosing
the management team, an entrepreneur should consider the previous industry and the related experience of the persons, who they
have worked for, what they were doing and how long did they do it. Operational Issues Operational matters are an important component in business planning as they deal specifically with the internal operations, equipment
and resources necessary to produce your product or service. They include: Location What type of space do you need? Is it an office, warehouse or factory?

How big a space do you need?
Does it need to be located in a high human traffic area as in the case of a food business or can be located in a less busy area as
in the case of a musical instrument store? Page 9 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Equipment What is the equipment needed to produce your product?












What is the cost of the equipment, how much can it produce and how much of maintenance do you need?
Will you purchase or lease the equipment? Labour How many employees will you need?
Are they going to be full-time or part-time?
What are the skills needed for each employee?
How much are you going to pay them?
How will you locate and hire quality employees? Production and Service Process What are the steps needed from raw material through finished product?
Who will be your suppliers?
What is the purchasing process?
How will the finished good be distributed?
How long does the entire process take?
How will quality be measured, controlled and improved?
What are the technology requirements for the manufacturing process? Other Operational Issues How to keep track of inventory?
What type of insurance does your company need? Hence, you can see that these are nitty-gritty operational issues that have to be dealt with by entrepreneurs for their business to take-
off. Page 10 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business
Financial Concerns Finding Money to Start the Business Next, you have to deal with the most important issue for a business startup: where to look for the money to start your business. You
can use your personal savings; borrow money from family, relatives or friends; interest investors to put money into your business in
return for shares; or borrow money from banks and financial institutions. However, before you withdraw money from your bank
account, look for investors and visit the loan department of banks, you should do some mathematics and convince yourself that your
business will be viable first. Otherwise, please do not take out your hard-earned savings for this business. Furthermore, you need not
waste time with investors or banks. They are likely to ignore you. Projected Profit Businesses are set up solely for profits. The business will be considered profitable if the revenue for each year exceeds the total
expenses. Profit is very important to fund your operations and provides the basis for investors to put money into your business and for
banks to offer you loans. To determine the projected profit, a business needs to deduct the estimated total expenses from its projected
revenue. It can check if its profit is healthy by comparing its projected profit with the industry average. Very often it will take some time
before a new business starts to generate a profit. Hence, you should be as realistic as possible when generating your projected profit. Projected Cash Flow Entrepreneurs must project the monthly cash flow for the next six to 12 months into the business. They should convince themselves
that they have enough money to pay for their business operations, suppliers and bank interests every month. Projected cash flow also
helps businesses to set a benchmark for their in-coming and out-going funds. For new businesses, it is useful to have a projected cash
flow statement for 12 months. During the building up stage, a business startup may incur losses but it must have enough cash to meet
its monthly obligations. Otherwise, the business becomes insolvent.

It is good practice for an entrepreneur to prepare projected profit and cash flow for at least two business scenarios the best and worst
cases. The best case scenario shows projected profit and cash flow in the most ideal business situation. For instance, customers
make the maximum number of purchases from you, suppliers do not increases their prices and there are no cheaper new substitutes
which force you to lower your products price. The worst case scenario shows the opposite. If you can still generate a healthy cash flow
even in the worst case scenario, then your business is likely to survive better in the early years. Investors and banks will also be more
comfortable in putting their money into such a business. Page 11 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Financial Ratios Besides the above, there are some key financial ratios that entrepreneurs should be familiar with when starting a business. You should
know that the:
Return on Equity (ROE) is the percentage derived by dividing profit by equity. ROE tells investors if they can make a decent profit when investing in your company and whether banks are willing to lend you more money. A high ROE relative to your competitors is
preferred.
Profit margin is the percentage derived by dividing profit by sales. This indicator tells the banks about your ability to repay your loans as well as the risk profile of their loans to your firm. Investors will use this indicator as a gauge their probability of recovering their
investments and perhaps even receiving dividends. A higher profit margin compared to your business rivals is something
entrepreneurs must aim for.
Debt-equity ratio is used to measure the companys debts relative to the shareholders capital. This ratio, which should ideally be kept low, helps banks to decide on whether they should lend you more money.
Inventory turnover ratio is derived through dividing sales for the year by the inventory. This indicator is particularly useful in manufacturing management. A high inventory turnover ratio suggests that there is strong demand for your product and that little stock
is available in your inventory. Writing the Business Plan Having learnt various considerations when you plan your business, it is time to put your plan into writing. You should note that a good
business plan allows you to: state clearly your business objectives; be better placed to look for potential funding; seek out new
opportunities; better organise and manage your business; and preempt potential problems. Always plan your business before starting
it! A suggested business plan should include the following sections:
Executive Summary Table of Contents Type of Business Products/Services Market Analysis Target Market Page 12 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Promotional Mix Competitive Analysis Branding Strategy Management Team Operational Issues Financial Projections Appendices
























Page 13 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Contacts & Information Resources See networking for more information on how to boost
your business network. Embarking on a journey on starting a business is one of the most exciting challenges that an individual or a group of people can ever
face, one that can be highly satisfying and rewarding in many respects. But before plunging straight in, you should acquaint yourself
with the basics of business. Potential entrepreneurs should undertake a self-assessment, both on the personal and business levels, to
determine whether you are suitable for the business world. You can refer to Action Community for Entrepreneurships First Steps . You can also tap on the vast array of print and non-print information on setting up businesses as well as contact the relevant associations
to help you decide whether to fulfil your entrepreneurial dreams. Associations Potential entrepreneurs can benefit from the guidance and assistance provided by trade and professional business associations. They
offer budding entrepreneurs the opportunity to acquire business knowledge and skills through interaction with these associations and
enhance their networking circle. In this connection, you can contact local and foreign business groups in Singapore and tap into other information and resources comprising enterprise networks (consisting of chambers and federations as well as entrepreneurial outreach groups), professional assistance and business information and mentorship programmes. Some of the organisations that entrepreneurs can contact include the Action Community for Entrepreneurship (ACE), Association of Small & Medium Enterprises (ASME), Singapore Business Federation (SBF) and the Franchising and Licensing Association (Singapore) .

Page 14 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Useful Business Resources
The Business Environment Books 1. 2. 3. 4. Baron, David P. Business and its Environment. Upper Saddle River, N.J. : Prentice Hall, 2003.
Call No.: R BUS 658.408 BAR Brooks, Ian & Jamie Weatherston. The Business Environment : Challenges and Changes. Harlow, England : Financial
Times/Prentice Hall, 2000.
Call No.: R BUS 658 BRO Campbell, David J. Organisations and the Business Environment. Oxford ; Boston : Butterworth-Heinemann, 1997.
Call No.: R BUS 338.7 CAM Cartwright, Roger I. Mastering the Business Environment. Basingstoke : Palgrave, 2001.
Call No.: RBUS 658 CAR Websites 1. PEST Analysis 2. Strategy: Introduction to PEST Analysis 3. What is PEST Analysis?






Page 15 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business The Business Plan Books 1. Blackwell, Edward. How to Prepare a Business Plan. London: Kogan Page, 2002. Call No.: BUS 658.4012 BLA 2. Bullis, Douglas. Write a Winning Business Plan. Singapore: Times Books International, 1996. Call No.: BUS 658.4012 BUL 3. Business Plans That Work: For Your Small Business. Chicago, Ill.: CCH Incorporated, 1998. Call No.: BUS 658.4012 BUS 4. Lwin, May, Adam Khoo & Jim Aitchison. Clueless in Starting a Business. Singapore: Pearson Prentice Hall, 2003. Call No.: SING 658.11 LWI 5. Sim, H.C. Matthew & Wee Keng Neo, Lynda. Budding Ideas at Work: A Practical Handbook to Get Entrepreneurs Started. Singapore: Prentice Hall, 2002.
Call No.: SING 658.041 SIM
Websites 1. BizPlanIt's Virtual Business Plan 2. Business Plan Basics 3. Creating an Effective Business Plan 4. Enterprise at NUS: The Business Plan 5. Sample Business Plans






Page 16 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Planning a Business Success Stories It is worthwhile reading about and learning from the success stories of Singapore entrepreneurs. These local entrepreneurs who have
succeeded often talk about the hard work needed as well as opportunities and obstacles they face in their efforts. Their success stories
serve as an inspiration for potential entrepreneurs in Singapore, ranging from budding entrepreneurs to large corporations . Books 1. Chan Pak Chuen. Success With Small Business: Practical Advice For Starting A Successful Business. Singapore: Rank Books, 2002. Call No.: SING 658.022095957 CHA 2. Leong, Michael. "Be an Entrepreneur!" Singapore: Raditech, 2002. Call No.: SING 338.04 LEO 3. Lim, Claudine and Yao, Katheleen. Entrepreneur's Blueprint: Strategies And Lessons For Success. Singapore: SNP Editions, 2003. Call No.: SING 338.04095957 LIM. 4. Long, Susan. Grit Success II: The Guts Behind Singapore's Top Entrepreneurs. Singapore: Prentice Hall, 2003. Call No.: SING 338.0409225957 LON 5. Long, Susan. Grit Success: Stories Of Millionaires In Our Neighbourhood. Singapore: Prentice Hall, 1999. Call No.: SING 338.09225957 LON 6. Miller, Russell R. Singapore's Homegrown Entrepreneurs Tell You How To Do It. Singapore: Landmark Books, 2003. Call No.: SING 338.04095957 MIL 7. Ramachandra, Rameshwari. The Big Jump Into Entrepreneurship. Singapore: Horizon Books in collaboration with 3R Holdings, 2003. Call No.: SING 338.04 RAM. 8. S-Files: The Story Behind Their Success: 20 True Life Stories To Inspire, Challenge And Guide You To Greater Success. Singapore: Success Resources, 1997.
Call No.: SING 338.04095957 SFI 9. Singapore Savvy: 50 Entrepreneurs of Tomorrow. Singapore: PHP, 2000. Call No.: SING 338.04095957 SIN 10. Tan, Ju Kuang. Dare To Dream: Successful Entrepreneurs Made In Singapore. Singapore: Prentice Hall: Young Entrepreneurs' Organization, 2001.
Call No.: SING 338.0409225957 TAN Website 1. Spirit of Enterprise


Page 17 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Chapter 2







Starting a Business Page 18 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business The Business Entity Key Learning Points Describes the different types of
business entities: sole
proprietorship, partnership,
limited liability partnership and
company. Talks about issues
relating to each entity and how
they will affect them in areas
like organisation structure and i Armed with a business plan, you can proceed with the legal formation of your business with the Accounting & Corporate Regulatory
Authority (ACRA) (formerly the Registry of Companies and Businesses (RCB)). Businesses can be registered with ACRA either as a
sole proprietorship, a partnership; limited liability partnership or you may incorporate a company. Category Ownership Description Implications Sole
proprietorship 1 owner Absolute say in running of
business Owner holds personal liability for debts and losses, which means the
owner cannot insulate his assets from the consequences of business
failure. Therefore his personal assets (e.g. house, car or any
personal assets) can be taken in satisfaction of business debts. Profits are taxed at personal tax rate. Proper records are required for tax purposes, however, audited
accounts are not needed. Must renew business registrations annually. Not a legal entity. Partnership 2-20 partners Shared risks, costs, and
responsibilities of being in
business Owners personally liable for business debts. Profits are taxed at personal tax rate. Annual accounts not needed. Must renew business registrations annually. Not a legal entity. Company Over 20 partners Legal entity with rights to
own properties, sue or be
sued Shareholders of business hold limited liability for debts and losses,
which mean the shareholders can shield themselves from the
consequences of business failure. Hence, their personal assets such
as house or car will not be taken for the payment of the debts
incurred by the company. Page 19 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Category Ownership Description Implications Profits are taxed at corporate tax rates. Must submit annual returns. Limited
Liability
Partnership 2 or more
partners Give the owners the
flexibility of operating as a
partnership whilst giving
them limited liability. An LLP is capable of: Suing and being sued in its name; Acquiring and holding property in its name; Having a common seal in its name; and Doing such other acts and things in its name, as bodies
corporate may lawfully do and suffer. More information on Limited Liability Partnership.
There are two types of local companies in Singapore, either private or public. Ownership of private firms is limited by shares, while that of
public companies is limited by shares or guarantee. Category Ownership Description Implications Private
Company 50 or less shareholders Capital must be raised privately from
shareholders and the banks. Cannot raise capital by inviting public to
deposit money, be it shareholder or
debenture holder. Public
Company Over 50 shareholders Can invite public to deposit money
with it, subscribe to its shares or
debentures. The shares of a company
subject to approval from MAS and the Singapore Exchange, may be
transferable and tradable. A public limited company is one where the
liability of the shareholders is limited to the
number of shares held by them. Page 20 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Starting a Business Begin with the End in Mind By the end, we do not mean you should think about closing your business or company before even starting it. Rather, you should
understand issues about succession and reorganisation. For example, you need to ask yourself questions like how easy is it for you to
transfer your business to another person, if you decide to sell it off and move on to another business? How will the company be
liquidated so that all shareholders are happy when they decide to split and strike out on their own. Generally, it is far more complicated
to wind up a company than close a business as liquidation of assets is involved. However, starting a business has its own set of
implications as described at the beginning of this chapter.

Insolvency is not the only reason for businesses and companies to wind up. Some restaurants close, re-invent themselves and start as
a new entity to inject fresh interest among target customers. Similarly, some fashion shops wind up, and introduce a new fashion trend
as another fashion shop. Others close their companies to reposition their products and services as a group of allied companies. Some
common business exit options .
When closing a business, the term termination refers to closing the business before the expiry date of the registration whilst cessation
of business is a decision by the owners not to continue with the business after the registration expires. Therefore the date of cessation
must always be the date of expiry.
Closing a Business The owner may close a business by filing a notice of termination or a notice of cessation with ACRA (formerly RCB) online. The owner
will have to logon into Bizfile using his ID No and Singpass to file the notification of termination or cessation. See also Closing a Business and FAQs on Closing a Business .
Winding Up a Company Liquidation or winding up is a process where the assets of a company are seized and realised. The companys business is closed
down, its assets are sold off, the creditors are paid, and the balance of the assets is distributed to the members. In winding up a
company, you have to consider issues like insolvency and company liquation . You can also look at ACRAs Guidelines on Application for Striking Off and Ending a Company.



Page 21 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Key Learning Points Provides a guide to register
your business or company,
including the filing application,
the processing of application
and the registration
requirements. Business Registration / Company Incorporation Sole proprietors and partnerships who wish to start a business must register under the Business Registration Act , while incorporated companies and foreign companies must so do under the Companies Act . These two Acts are administered by the Accounting & Corporate Regulatory Authority (formerly the Registry of Companies and Businesses), which regulates companies, businesses and public accountants in Singapore. Business Take Note! Before registering your business
or company, you need to
determine the nature of your
business activity. You can
search for the appropriate
Singapore Standard Industrial
Classification (SSIC) code for
your business activity online at SSIC Search free of charge. If however, you are unable to
find a code, which aptly
describes your business of
company activity, logon to Bizfile and click on the relevant function. Enter the code "00000"
and enter the description of the
specific activity in the
description column. This is
applicable when registering a
business or incorporating a
company or when filing an
online notification of change of
business or company activities. How to Register a Business Via Bizfile , ACRAs electronic filing and information retrieval system. See FAQs on Bizfile . Filing Application Logon into www.bizfile.gov.sg to submit an online transaction to register the new business OR Engage a professional firm or service bureau to assist in submitting the online application to incorporate local
company via BizFile . Fees will be charged by such entities for their services. Professional firms are company secretarial firms, law firms, accounting firms registered with ACRA who can e-file applications on behalf of their
clients. A service bureau is a privately owned entity set up with the consent of the ACRA to file BizFile transactions on behalf of walk-in members of public. You can contact professional firms or service bureaus at Singapore Phone Book or Internet Yellow Pages .
OR Call at ACRA in person to submit the online transaction via BizFile at the Self-Help Kiosks.

OR You can go to Online Business Registrations and Licenses to start a new business. Processing of Upon submission, the system will decide if the application needs to be referred to another authority for approval or Page 22 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business How to Register a Business Take Note! Application comments. A referred application may take the Referral Authorities 14 days to 2 months to process. To find out why a referral is required for certain application, see the Referral Authorities Table . If no referral is required and the business is a sole-proprietorship, the applicant may proceed to pay the fee of $65
for registering new business (registration fee of $50 and name approval fee of $15). For other fees, see Business Fee Schedule . Other Registration
Requirements All owners must make up-to-date Medisave payments before submitting application. See Medisave for the Self- Employed for details. An individual who is at least 21 years old may register a business. Any foreigner who is not a Singapore Permanent Resident (PR) and wants to be actively involved in daily running
of the business is required to apply for Employment Pass . This applies to a case where no local manager has been appointed. See also Appointment of Business Manager . Logon to www.bizfile.gov.sg to submit any changes in the registered business firm within 14 days from the date of change. No general statutory requirement for accounts to be audited. A business that intends to own a domain name, an email address & a website using a .sg domain name, needs to
register with the Singapore Network Information Centre . See also FAQs for Business Registration . After registering your business, you are ready to launch and sell your new products or services. You should
consider protecting your goods and services against replication by competitors. This is when intellectual property
comes in. Click here to find out more. To save time in registration, you
should check online at the Directory of Business and
Company Names whether your business or company name is
already being used. A proposed
business name will not be
approved if it is identical to the
name of another company,
foreign company or business.
Undesirable names, including
vulgar names will also not be
approved, and names which the
Minister has directed the
Registrar not to accept for
registration will also not be
approved.
Page 23 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business
Company How to Incorporate a Company Via Bizfile , ACRAs electronic filing and information retrieval system See FAQs on Bizfile Filing Application Engage a professional firm or service bureau to assist in submitting the online application to incorporate local company via BizFile . Fees will be charged by such entities for their services. Professional firms are company secretarial firms, law firms, accounting firms registered with ACRA who can e-file applications on behalf of their
clients. A service bureau is a privately owned entity set up with the consent of the ACRA to file BizFile transactions on behalf of walk-in members of public. You can contact professional firms or service bureaus at Singapore Phone Book or Internet Yellow Pages . OR A company can be incorporated by the directors themselves (self-incorporation). See How to Self Incorporate Private Limited Company . OR You can go to Online Business Registrations and Licenses to start a new business. Processing of
Application First, apply for a new company name. Use the Step-by Step Guide . The processing time for applying for a new company name is under 2 hours. But if a referral to the Referral Authorities is required, it may take another 14 working days. If a name appeal application is submitted, the processing may take another 5 working days. According to the Companies Act , a company name must be approved before it can be registered. More about this at How to Apply for New Company Name . A S$15 fee is levied for each approved company name, which will be reserved for 60 days from the date of application. An extension for another 60 days can be submitted online upon payment of an application fee of S$10 for each Page 24 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE How to Incorporate a Company approved name. Withdrawal is also allowed. After a company name has been approved, the company can be incorporated online using Step-by Step Guide . See sample of the standard Memorandum and Article of Association. The processing time for this application is generally under 2 hours. Registration fee is S$300 for a company limited by shares regardless of the amount of its authorised share capital.
For a public company limited by guarantee, the registration fee is S$600. See also: FAQs for Company Registration Other Registration
Requirements For self-incorporation of company, the proposed directors, secretary and subscribers of the company (see side
bar for definitions) must all be Singapore NRIC holders. They will need to endorse their consent online via Bizfile within 3 days of submitting the application for incorporation. For business converted into a company, the business owner will have to cease the business within 3 months from
the date of incorporation of a new company, if he/she wishes to retain the same business name for the company.
The law does not permit identical names. Conditions to meet for incorporating a local company: Anyone above the age of 21. There must be at least 1 director who must be 'ordinary resident' in Singapore A foreigner who wishes to act as a local director of a company can apply for an Employment Pass or Approval-In-Principle letter from the Employment Pass Department. Page 25 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Starting a Business How to Incorporate a Company There must be at least 1 subscriber. Companies limited by guarantee may have certain restrictions on their memorandum or articles. Please refer to the Companies Act or consult a professional adviser. The Registrar must be notified of any changes made to register the particulars. See Changes to Local Company . Every company must hold its Annual General Meeting (AGM) within eighteen months of its incorporation to present
its audited accounts to its shareholders. These audited accounts should not be older than six months from the date
of the AGM. The company's Annual Return together with the audited accounts must be filed with the Registrar not later than
one month from the date of the AGM. A company must appoint a company secretary within 6 months of incorporation. Other than exempt private
company (ie a private company with not more than 20 individual shareholders) with less than $2.5 million turnover
(for financial year starting on or after 15 May 2003) or less than $5 million turnover (for financial year starting on or
after 1 Jun 2004) and dormant company, accounts of company must be audited by approved company auditors . These auditors must be appointed within 3 months of incorporation. Approved company auditors are certified
public accountants approved under the Companies Act . See also: Powers And Duties Of Auditors As To Reports On Accounts of the Companies Act. Company that intends to own a domain name, an email address and a website using a .sg domain name, need to
register with the Singapore Network Information Centre . After registering your company, you are ready to launch and sell your new products or services. You should
consider protecting your goods and services against replication by competitors. This is when intellectual property
comes in. Click here to find out more.
Page 26 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Licences and Permits Key Learning Points Offers brief pointers on licenses
and permits. Some Pointers on Regulations Before a business firm or company starts operation, it has to get the necessary licences and approvals from relevant government
agencies, especially for certain business activities. Such controls exist as the government has to safeguard public interests in
Singapore, particularly if the business activities impinge on areas such as health, environment, security or morality. Startup Licenses Startup licences are those that are necessary before an entrepreneur can run the business or company. For example, consider a
businessman who wants to set up an amusement centre, he needs to apply for a Public Entertainment Licence. This Licence is a legal
requirement under the Public Entertainments and Meetings Act for running an amusement centre. Then, before the entrepreneur can import new game machines for this amusement centre, he needs the proper import permit from Singapore Customs. A useful listing of
startup licences that may be applicable to different business activities is found at the Online Business Licensing Service website. Occupational Licenses Occupational Licences are those necessary for undertaking certain certifiable professional services. An example would be Contact
Lens Practitioners Registration. A person wishing to fit and sell contact lens in Singapore needs to comply with the Contact Lens Practitioners Act (Cap. 53A) by submitting an application for Registration as a Contact Lens Practitioner to the Health Science Authority (HSA) before he can commence his business. Very often, an entrepreneur may not be the person providing certain certifiable professional services. However, if the entrepreneurs products or services entail such professional services, he or she should be sure
that either himself or herself or the professional has obtained the necessary occupational licences. Complying with Regulations It is impossible for this Guide to advise comprehensively about the different licences that you should apply for before you start your
business. There are just too many permutations to the way business activities are conducted! As a rule of thumb, you can use the Online Business Licensing Service website as a guide to the licences needed. Then, you should consult a lawyer for professional assurance that you have not missed out other legalities for starting your business or company.


Page 27 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Business Premises One of the most important considerations for business startups is the type of business premises they need office, showroom, retail
space, warehouse or factory as well as its location. There are various criteria the businessman must bear in mind when selecting an
ideal business premises. He must be aware of the different types of premises available for rent, purchase or lease by government
authorities and private developers. He must also be familiar with the government regulations pertaining to the acquisitions of business
premises. Key Learning Points Learn about the selection of a
suitable business premise; the
difference between government
and privately-owned premises;
HDB commercial premises;
HDB and JTC industrial
premises; home-offices; and
regulations on the use of
premises.
Selecting a Business Premises Rental Rate The ideal business premises will depend on your financial resources, expected revenues and projected profit margin of your product.
The amount of money that you pay for the business premises is critical to the survival of your business. Too high a rental rate and your
business may not be profitable and you may struggle to make ends meet. Hence, the guiding principle is to choose the lowest possible
rental rate for the type of premises that is needed for operating your business. Type of Business The premises you choose will be directly related to your business activity. For example, if you are: an eatery, your outlet should be located in a heavy human traffic area such as housing estates or shopping malls or near office
crowds. Your business premises must be located in an area that covers as many of your target customers as possible. a convenience store, you should be located in a housing estate with residents who will come to your shop because it is near and
convenient to them. selling specialised products like musical instruments, it is likely that your customer will be willing to travel a distance to come to
your shop. So you can locate in a building with less human traffic. an IT consulting firm or a media consultant firm, you will have corporate clients who are willing to travel quite a distance to use
your service. While distance may not be an issue, the physical image of your business is important. The main office where you
will receive your customer should be suitably renovated. a very small business, you can explore doing it from your home home or rent an office cubicle.

Page 28 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE
Accessibility of Site Another consideration in selecting a business premises is its accessibility to customers. The location of the premises should be easily
reached from main roads and is accessible to public transport such as buses and MRT. For example, if you are running a restaurant, it
should have ample parking space available. If you are renting a retail space in a shopping mall, your outlet should be located near the
entrance or near escalators where it is easily visible to shoppers. Surrounding Businesses and Competitors Ideally, it is preferable to avoid choosing a business premises that is surrounded by your direct competitors. Yours should be the only
business in the vicinity providing a unique type of product or service. However, if you are operating a small and unknown product or
service, it is sometimes wise to operate near a well-established competitor. Although your more accomplished competitor will draw
away your potential customers, there are some who may try your product or service because you happen to be next door.
Other Considerations Some businesses need to be located near their suppliers of raw materials. This may be due to the difficulty of transporting the raw
materials to your business premises for production. Similarly, the nature of some businesses, say freight forwarding companies, meant
that the premises should be located near airports or the harbour to facilitate their business operations.
Government-Owned Premises or Private-Owned Premises After selecting the type of business premises based on the criteria mentioned above, you will need to look at the various types of
premises available in the market, be it government-owned or private-owned space. For government-owned business premises, you
can rent or lease them from the Housing and Development Board (HDB) or the Jurong Town Corporation (JTC) . These two government agencies offer a wide range of industrial and commercial premises based on your business needs. You can also obtain
private-owned premises for rent in shopping malls and office buildings. For example, shop space for a retail fashion store in Tampines
Mall would be considered a private-owned premises. Many small businesses also start off in sublet offices usually small one-room
cubicles within a bigger office unit. Some companies will even rent you desk space or act as a mail drop.



Page 29 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business
HDB Commercial Premises You can rent or lease a HDB commercial property for your business. The three most common types of businesses that rent or lease
premises from HDB are shops, eating houses and businesses that need office space.

Any non-bankrupt Singapore or Non-Singapore Citizen who is 21 years old and above is eligible to bid for HDB's commercial premises.
You can find the commercial premises for bidding in place2lease . You can also find information pertaining to the other e-applications for HDB commercial properties and lease/tenancy matters here .
Certain types of businesses need the approval of other government agencies when applying to rent or lease HDB commercial
properties. For example, eating places and food factories must obtain permission from the National Environment Agency (NEA) and/or the Agri-Food and Veterinary Authority (AVA), while commercial schools need approval from the Ministry of Education (MOE). Useful Links Commercial Properties Contact HDB Commercial
Properties National Environment Agency
(NEA) Agri-Food and Veterinary
Authority of Singapore (AVA) Ministry of Education (MOE) Get an industrial unit Place2Lease Contact Hbiz







Application forms for these business
premises are available in the JTC
website by clicking on the relevant facilities that you required. Useful Link: JTC Contact Centre For more information on bidding for HDB commercial property, please contact HDB Commercial Properties . HDB and JTC Industrial Premises Business startups can obtain industrial premises for their operations from HDB and JTC. HDB The Industrial Properties Department (IPD) manages HDBs industrial premises. It offers a wide range of premises for lease or rent. The department currently manages about 12,000 industrial tenanted properties as well as about 600 industrial lease land premises. It
offers flatted factories, warehouses, terrace workshops, ramp-up developments and prototype factories. These facilities are located in
its industrial estates island-wide. You can get an industrial unit via live bidding at www.place2lease.com , an online bidding website which allows you to bid in real-time for HDB factories as well as commercial premises. You can participate in the Quick Bid mode of
bidding to get a unit in just 10 minutes.
JTC JTC offers a wide array of industrial facilities to suit your business needs. Ready-built facilities such as low-rise, high-rise or stack-up factories are available for quick start-up operations. Technopreneur centres like the Phase Z.Ro come ready for business with power and telephone connections and a broadband ready environment. These serve as ready-made incubators for start-ups. One-North offers an innovative environment where scientists, researchers and technopreneurs converge. Industrial parks offer manufacturing companies with suitable business premises. Business parks are dedicated to technology and knowledge-based activities. Page 30 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business Industry clusters cater to the chemicals, wafer fabrication, biomedical, logistics and food industries. Home Offices If your business operation is small, you may explore working from home. The Home Office Scheme allows private and HDB homeowners to conduct small-scale businesses within their homes, as long as their business activities do not fall under the schemes
negative list. An example of business activities not allowed in HDB residential premises (i.e. under negative list) would be food
catering. Home Office can be premises used by its occupants primarily for residential purposes with part or parts of the premises
being used by the occupants as an office. It also includes those premises in which not more than two persons, who are not residents
in those premises, are engaged in the operation of the office.

For HDB residential premises, you can submit an application online via the Online Business Licensing Service. For other residential premises not sold or leased by HDB, you can apply under this Services Urban Redevelopment Authority (URA) Home Office Scheme .
Temporary Office If you are running your office from home or a small sublet cubicle, it may be unsuitable for meeting clients due to its small size or
perhaps because your client will form a poor impression of you. In this case, you may want to rent an office or meeting room from
virtual or serviced office companies. The Singapore Yellow Pages: Commercial/Industrial Guide has a list of such offices under the
heading Offices-Serviced. Regulations on the Use of Premises Contact URA Contact FSSB An entrepreneur may change the use of industrial or commercial premises to some new business activities when he or she acquires
those premises.
URAs Change of Use Approval The Urban Redevelopment Authority (URA) has some regulations on this change of use for industrial or commercial premises. You need URAs Change of Use approval if the use of your premises falls under another Use Class when compared to the premises
existing Use Class.

For example, when you change the use of a premises from a tuition centre to a retail shop, you will need to get approval from URA.
However for certain classifications of businesses, you do not need URAs approval when changing the use of premises. In the case of
a change of use from an approved shop to a medical clinic, you do not have to seek planning permission from URA. More information
on this subject as well as online application can be found in Online Business Licensing Services Change of Use Approval. You should confirm with the URA whether you need its Change of Use approval for the premises you intend to use before using the premises. Page 31 of 76 This publication is part of Business.gov.sg, a property of the Ministry of Trade and Industry. ENTREPRENEURS' GUIDE Starting a Business HDBs Change of Trade Notification If you are renting commercial premises from Housing & Development Board (HDB) , you need to apply for approval whenever there is a change of trade from the premises previous use.

HDB allows shop lessees and tenants to change trades to non-retail uses such as offices, office-related trades, showroom, sale of
take-away food and single-operator family restaurant. However, change of trades to uses that will cause disturbances to the residents,
such as eating houses and industrial trades, are not allowed. HDB shop tenants who wish to change trades need to notify HDB
through the Online Business Licensing Services Change of Trade Approval