For globally oriented firms and investors, selecting a low-tax, business-friendly jurisdiction like Singapore to invest in has taken precedence. Singapore has become one of the world’s most business-friendly cities due to its open economy, financial stability, tax breaks and favourable loans for foreign investors. Its economic activities primarily concentrate on obtaining foreign direct investments (FDIs) and establishing an attractive international trade environment.
The Singapore government is eager to entice investment from neighbouring countries with thriving economies like Thailand. Foreign entrepreneurs and investors can benefit from the various incentives Singapore offers.
If you are a Thai investor looking to start a business or invest in Singapore, Bolder Group can provide you comprehensive investment and corporate solutions.
What are the benefits for Thai investors in Singapore?
Singapore allows shareholders to deposit any amount they consider as share capital to open a company as long as it is sufficient to operate. Meanwhile, in Thailand, even if no minimum amount is required, the shareholder must deposit 25 per cent of the total amount at the company’s incorporation. In addition, the Commercial Register must first approve the company’s statutory documents before they may submit them for registration in Thailand. However, this step is not a requirement in Singapore.
It is also important to note that the Thai Business Act does not allow the appointment of nominee shareholders, whereas the Singapore Commercial Code does. Moreover, the Singapore government has made many initiatives supporting the growth of start-up businesses, as well as several investment plans that encourage foreign investment. Although Thailand also assists foreign investors in establishing businesses, the Thai government imposes some restrictions.
Singapore and Thailand’s economic relationship
At the sixth Singapore-Thailand Enhanced Economic Relationship (STEER) ministerial meeting, which took place in Bangkok in October 2022, several agreements between Thailand and Singapore have been made to strengthen their trade and investment ties. The agreements address various economic issues, including intellectual property, tourism and sustainability.
Due to their robust economies, Singapore and Thailand’s bilateral relations are increasing. As Southeast Asia’s leading financial hub, Singapore is an attractive location to set up business offices. On the other hand, Thailand is a significant export manufacturing country with one of the largest economies in ASEAN.
The two countries’ significant economic ties encourage Thai investors to invest in Singapore for a greater investment opportunity to stand out to ASEAN and foreign investors. Thai investors can expand their investment horizons by investing in Singapore and take advantage of the ASEAN region’s economic growth potential.
Partner with Bolder Singapore
Despite the unstable state of the global economy, Singapore continues to draw in investments. With its vast network of double tax treaties, being strategically situated in the middle of all developing markets, economic stability and progressive business environment, the jurisdiction provides extensive investment and business opportunities to the Southeast Asian region and even the global economy.
If you’re a foreign investor, it’s critical to know how to navigate the local economic landscape of a new market. With a qualified corporate service provider like Bolder Group, you have nothing to worry about. We offer comprehensive corporate, funds, compliance and governance services to meet the needs of investors planning for entry or expansion in Singapore.
You can also join us on 19 October 2023 at the Hotel Muse Bangkok in Thailand for a panel discussion on Singapore’s thriving financial services industry. Gain valuable insights from our speakers and connect with industry peers during the networking session.
Contact us today for more information about this event, or register through this page: https://resources.boldergroup.com/singapore-asia-fund-hub-bkk-event