A Guide to the IPO Landscape and Incentives in Singapore

A Guide to the IPO Landscape and Incentives in Singapore

A Guide to the IPO Landscape and Incentives in Singapore

Singapore’s capital markets offer a strategic gateway to growth for companies seeking to broaden their investor base and raise additional capital. Regulated by the Monetary Authority of Singapore (MAS) and the Singapore Exchange (SGX), the IPO (Initial Public Offering) framework provides a balanced approach that promotes accessibility while safeguarding market integrity in the country. In this guide, we will walk you through the current IPO landscape in Singapore, explore key incentives and introduce the concept of chain listings.

The IPO Landscape in Singapore

Singapore offers a well-structured, transparent environment for companies seeking to go public, anchored by its dual-board system on the SGX:

  • Mainboard: Designed for well-established companies, the Mainboard has higher entry thresholds, including minimum profitability, market capitalisation, and operating track record requirements.
  • Catalist: Tailored for high-growth enterprises, Catalist does not impose fixed quantitative criteria. Instead, companies must engage a sponsor – an authorised corporate finance advisor – who assesses the company’s suitability for listing.

The MAS provides regulatory oversight and enforces a disclosure-based regime. Rather than pre-approving every business decision, MAS focuses on ensuring that companies disclose sufficient, accurate, and timely information to empower investor decision-making. This approach fosters both transparency and strong investor protection, making Singapore one of Asia’s most reputable markets for IPOs.

IPO Landscape in Singapore

Current Trends in the IPO Market

Following a subdued period of IPO activity in recent years, Singapore’s IPO market is showing signs of recovery. Analysts forecast 4 to 10 new listings in 2025, with sectors like real estate investment trusts (REITs), healthcare, and new economy companies expected to lead the rebound.

While challenges such as lower market liquidity and compressed valuations persist, sentiment in the IPO market is improving. Recent reforms introduced by MAS aim to enhance market competitiveness by lowering listing costs and improving post-listing valuations. These regulatory improvements, alongside the expected stabilisation of global interest rates, are likely to boost investor appetite — especially for income-generating sectors like REITs.

2025 could mark the beginning of a new chapter for Singapore’s capital markets.

Key Incentives for IPOs in Singapore

Several incentives have been introduced to encourage more companies to list for an IPO and support the growth of Singapore’s equities market.

Tax Rebates for IPO Listings

Companies going public can now benefit from significant cost savings:

  • 20% corporate tax rebate for new primary listings.
  • 10% corporate tax rebate for secondary listings.

Additionally, newly listed companies can qualify for a Corporate Income Tax (CIT) rebate of up to SGD 6 million per year for the first five years after listing, depending on their market capitalisation.

These incentives substantially reduce the financial burden associated with listing, making Singapore an even more attractive venue for IPOs.

Concessionary Tax Rates for Fund Managers

Fund managers who conduct IPOs in Singapore can benefit from an enhanced concessionary tax rate of 5% under the Financial Sector Incentive-Fund Managers (FSI-FM) scheme. This incentive not only encourages greater participation from the asset management industry, but also reinforces Singapore’s standing as a regional hub for financial services.

Tax Exemptions for Fund Investments

Under specific conditions, income derived from qualifying funds that invest significantly in Singapore-listed equities is exempt from corporate tax. This promotes greater fund investment activity in locally listed companies and helps deepen market liquidity.

Support for REITs

Recognising the importance of REITs to the IPO market, the government has extended key incentives until 2030:

  • Tax transparency treatment for REITs.
  • GST remission benefits.
  • Enhancements to qualifying foreign-sourced income and operational expense deductions.

These measures ensure that Singapore remains a favoured destination for REIT listings globally.

The Equity Market Development Programme (EMDP)

The SGD 5 billion Equity Market Development Programme (EMDP) aims to drive investments in Singapore-listed stocks beyond the traditional index constituents. By boosting liquidity and broadening investor participation, this initiative further enhances the appeal of listing on the SGX.

Enhanced Corporate Structure

Exploring Chain Listings in Singapore

Another trend gaining traction is chain listings, where a parent company already listed on the SGX seeks to list one of its subsidiaries separately. Although not specifically defined under SGX rules, chain listings are recognised as a viable strategic move for companies seeking to unlock subsidiary value or raise targeted growth capital.

Benefits of Chain Listings

Some benefits of chain listings are:

Increased Corporate Visibility

A subsidiary listing on the SGX alongside its parent company enhances visibility and credibility, both for the parent and the subsidiary. This strengthens the group’s profile in global markets.

Simplified Capital Raising

For subsidiaries, listing on the SGX allows for easier access to capital and greater flexibility in financing. It also enables them to raise funds more efficiently from local and international investors.

Enhanced Corporate Structure

Chain listings streamline the corporate structure, providing a clear link between the parent and subsidiary, which can enhance strategic alignment and operational efficiency.

In Singapore, chain listings would typically follow the standard IPO process for either the Mainboard or Catalist, depending on the size and nature of the subsidiary. Here are some key considerations:

Several important factors come into play when considering a chain listing in Singapore:

  • Regulatory Framework: The subsidiary must comply fully with SGX listing rules, including financial criteria and public float requirements.
  • Financial Performance: Meeting profitability or revenue thresholds is crucial, depending on whether the subsidiary aims for the Mainboard or Catalist.
  • Market Capitalisation and Public Float: To satisfy SGX listing requirements, sufficient market capitalisation and public shareholding must be achieved.
  • Disclosure Requirements: A full prospectus must be prepared in line with the Securities and Futures Act (SFA), offering transparency into financials, operations, and risks.
  • Sponsorship: Catalist listings require an appointed sponsor to guide and oversee the process.

How Boardroom Supports Your IPO Journey

The IPO process can be complex, especially when you are balancing growth ambitions with regulatory obligations. BoardRoom is here to support you every step of the way.

As your expert share registry service provider in Singapore, BoardRoom offers comprehensive IPO advisory and support services, including scrutineering services, application support, liaison with regulators, legal advisors and sponsors, and ongoing corporate governance and corporate secretarial support post listing. Our end-to-end support and expertise helps you leverage available incentives and navigate the complexities of the IPO process with confidence.

Talk to BoardRoom today to learn how we can support your successful IPO journey – from the first steps of preparation to achieving your listing goals.

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Ultimate Guide to E-invoicing in Singapore

Ultimate Guide to E-invoicing in Singapore

Ultimate Guide to E-invoicing in Singapore

As Singapore move towards a digital economy, one of the most impactful shifts for businesses is the move toward e-invoicing While it is not yet required for all businesses, the government actively encourages adoption through InvoiceNow, a national e-invoicing system. Integrating e-invoicing helps companies streamline their financial operations, stay ahead of evolving regulations, and reduce operational costs. This guide explains what e-invoicing is, how InvoiceNow is transforming the digital invoicing process in Singapore, and why adopting e-invoicing can provide your business with a competitive edge.

What Is E-Invoicing?

E-invoicing (electronic invoicing) is the process of generating, sending and receiving invoices in a structured digital format. Unlike traditional methods of printing or emailing a PDF invoice, e-invoicing enables businesses to transmit invoice data directly from one accounting system to another through a secure network. This ensures greater accuracy, shorter processing time and helps reduce manual administrative work.

In Singapore, the national e-invoicing system is known as InvoiceNow. It operates on the PEPPOL (Pan-European Public Procurement Online) network, a globally adopted infrastructure that enables businesses to exchange e-invoices and other documents securely and efficiently.

What Is E-Invoicing

Why E-invoicing Matters in Singapore

The Singapore government is actively driving digital transformation amongst businesses and e-invoicing in Singapore is a key part of the digital initiative.

With e-invoicing, companies can:

  • Ensure compliance with local accounting and tax regulations
  • Reduce manual data entry work and minimise human errors
  • Improve cash flow with quicker payment cycles
  • Lower operational costs such as printing, postage, and storage
  • Support sustainability through a paperless process

Although e-invoicing is not yet mandatory for all businesses, the Infocomm Media Development Authority (IMDA) and the Inland Revenue Authority of Singapore (IRAS) have set a roadmap for future GST InvoiceNow requirements. Adopting InvoiceNow early can help you stay ahead of the compliance curve and avoid last-minute implementation challenges.

InvoiceNow and How It Works

InvoiceNow enables invoices to be transmitted directly from seller to buyer, from one business system to another without manual intervention. Businesses can send and receive e-invoices using their current accounting or ERP systems. It runs on the PEPPOL network, using Access Points, which act like secure digital post-boxes that routes the e-invoices. These Access Points ensure your e-invoice gets to the correct recipient in the right format.

Here is a simple overview of how e-invoicing with InvoiceNow works:

  1. The seller generates an invoice using their InvoiceNow-ready accounting or ERP software.
  2. The invoice is automatically converted into a standard format used by the PEPPOL network.
  3. The invoice is sent via the PEPPOL Access Point to the buyer’s system.
  4. The buyer receives the invoice directly within their software.

This seamless process is fast, accurate, and secure, making it a superior alternative to traditional paper invoicing methods.

Requirements for Using InvoiceNow

To start using InvoiceNow in Singapore, businesses must meet the following criteria:

  • Have a valid Unique Entity Number (UEN)
  • Register for a PEPPOL ID via Corppass
  • Engage an IMDA-accredited Access Point provider
  • Ensure their accounting system can generate structured e-invoices in the PEPPOL BIS format

Most popular cloud accounting platforms today offer InvoiceNow-ready solutions. Businesses can also refer to IMDA’s list of Peppol-ready solution providers.

Key Dates You Should Know

Singapore is rolling out e-invoicing requirements in phases.

Here are the key milestones:

  • 1 May 2025: All GST-registered businesses can start transmitting e-invoices through InvoiceNow
  • 1 November 2025: Newly incorporated companies that apply for voluntary GST registration are required to start submitting invoice data to IRAS using InvoiceNow
  • 1 April 2026: All new voluntary GST registrants are required to start submitting invoice data to IRAS using InvoiceNow

The Inland Revenue Authority of Singapore (IRAS) has announced plans to progressively extend mandatory participation in e-invoicing to more businesses in future phases. Hence getting started early ensures your systems are compliant and your business operations do not get disrupted.

Benefits of E-invoicing for Businesses

Benefits of E-invoicing for Businesses

E-invoicing offers significant advantages for businesses in Singapore.

Saves Time

E-invoicing automates the entire invoicing process; no more printing, scanning, or manually typing in invoice details. E-invoicing does it all digitally and faster, freeing up staff for more value-added tasks.

Fewer Mistakes

With e-invoicing, data are sent in a standardised format from system to system. This reduces manual input and errors, such as missing line items or incorrect amounts.

Faster Payments

E-invoices are delivered instantly to your clients’ systems, speeding up processing ad approval times. This leads to quicker payments and improved cash flow.

Helps with Compliance

Using InvoiceNow helps ensure GST compliance through structured, traceable records. This simplifies audit readiness and facilitates accurate GST reporting.

Easier Global Invoicing

As PEPPOL is a global standard, e-invoicing in Singapore allows your business to seamlessly exchange e-invoices with international clients who are also on the same network, making cross-border transactions more efficient.

More Sustainable

Going digital means less paper and physical storage, aligning your company’s ESG goals and demonstrating responsibility, reducing storage costs at the same time.

Grants and Government Support

To help businesses adopt e-invoicing, the Singapore government offers support like the Productivity Solutions Grant (PSG). This helps to reduce the cost of setting up InvoiceNow.

How to Get Started with E-invoicing in Singapore

E-invoicing offers significant advantages for businesses in Singapore, streamlining operations and enhancing efficiency. Moving to e-invoicing is more straightforward than many assume.

Here are the steps:

Select a PEPPOL Access Point Provider

Engage a certified PEPPOL Access Point provider who will connect your business to the InvoiceNow network.

Check Your Software

Make sure your current accounting or ERP software supports InvoiceNow.

Train Your Team

Switching to e-invoicing may require some changes in how your finance team works. It is important toprovide training so your staff know how to create, send, and receive e-invoices effectively within the new system.

Review Your Invoice Format

Ensure your e-invoices include all the details required by IRAS, such as:

  • GST registration details (if applicable)
  • Your company’s UEN (Unique Entity Number)
  • Postal addresses
  • Itemised invoice details

Your Access Point Provider can help guide you to ensure everything is set up correctly.

Test the System

Testing the system with trial invoices will help identify any adjustments before you go fully live.

With upcoming mandates and the growing emphasis on digital transformation, now is the ideal time for businesses in Singapore to embrace e-invoicing. While the process is relatively straightforward, partnering with the right experts can make implementation smoother and ensure long-term compliance.

Need Support with your Tax and E-invoicing?

At BoardRoom Singapore, we help businesses stay compliant with tax regulations  and prepare for a smooth transition to e-invoicing. Whether you are looking to adopt InvoiceNow or need expert advice on meeting the upcoming requirements, our team is here to support you every step of the way.

Moving to e-invoicing in Singapore doesn’t have to be complicated. Contact us to get started with InvoiceNow and future-proof your accounting and tax processes.

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Chequeless Singapore by 2025: What Businesses Need to Know

Chequeless Singapore by 2025: What Businesses Need to Know

The way businesses handle corporate payments is set for a major shift. With Singapore phasing out cheque usage by the end of 2025, organisations that still rely on this method, particularly for shareholder dividends, will need to adopt digital alternatives to stay compliant and efficient.

For businesses still issuing physical cheques to shareholders holding physical scrips, this signals a timely opportunity to modernise internal processes and move away from outdated manual systems. Now is the time to explore what transitioning toward a chequeless Singapore will require from your organisation.

Transitioning to a Chequeless Payment System in Singapore

Singapore’s plan to eliminate corporate cheques by 2025 marks a significant step towards greater digitalisation across sectors. Spearheaded by the Monetary Authority of Singapore (MAS) and supported by initiatives such as PayNow and FAST, this shift aims to reduce inefficiencies, reduce costs and enhance security in financial transactions.

The move will impact a wide range of payment processes, including dividend distributions for companies with physical scrip holders, an area often overlooked in modern digital transformation initiatives. These companies typically continue issuing cheques to shareholders, many of whom may reside outside of Singapore or have limited access to local banking services.

Transitioning to a Chequeless Payment System in Singapore

Who does this impact the most?

While scripless shareholders already receive electronic dividend payments via the Central Depository (CDP), physical scrip holders are often excluded in the digital transitions. These shareholders typically receive their dividends by cheque, making them a key stakeholder group in Singapore’s move towards a chequeless future. This countdown to the 2025 deadline creates an urgency for companies still managing manual, cheque-based processes.

Challenges of Cheque-Based Dividend Payments

Despite being a long-standing method, cheque issuance introduces complexities and risks that hinder progress. As Singapore accelerates its efforts to eliminate cheque usage, businesses must assess how such legacy practices may be holding them back from more secure, digital-first operations.

Manual workload and inefficiencies
Issuing dividends by cheque requires multiple administrative touchpoints, from coordinating print runs to managing mail distribution and verifying clearances. These inefficiencies inflate operational costs, and increases the administrative workload of the finance teams.
Inconvenience for global shareholders
Shareholders residing abroad often have to deal with significant delays, additional clearing charges imposed by banks and even failed cheque deliveries. This impacts their experience and also adds pressure on companies to troubleshoot payment issues. Digital payout platforms eliminate these inconveniences by offering real-time confirmation and removing geographic barriers, advantages that cheques simply cannot provide.
Compliance and security concerns
Cheque-based systems offer limited transparency and make it harder to track payment activity in real time. Transitioning to secure electronic payments reduces the likelihood of data exposure while supporting better governance standards.
How Businesses Can Prepare for a Chequeless Future

How Businesses Can Prepare for a Chequeless Future

More than replacing one payment method with another, adapting to a chequeless Singapore is about rethinking processes to drive long-term efficiency. Businesses should take practical steps now to avoid disruptions and ensure continuity for both their internal teams and shareholders.

Identify shareholders still paid by cheque

Review your shareholder records in detail to identify individuals who still hold physical scrips and receive cheque payments. This clarity will help you estimate the lead times and resources needed for a smooth transition and outreach.

Educate and communicate with stakeholders

To avoid confusion, shareholders should be informed early and clearly about the upcoming changes. Consider using multiple touchpoints — emails, mailers, or even webinars — to guide them through the new e-payment process.

Review and upgrade internal systems

Assess whether your finance and registry tools can support secure, automated payments. If not, explore solutions with integrated compliance checks and multi-currency capabilities.

Partner with an experienced share registry provider

Engaging a trusted partner like BoardRoom gives your company access to industry expertise and operational support. Our end-to-end share registry services streamline dividend distribution, ensure data accuracy, and enhance stakeholder communications.

Choose a platform designed for scrip holders

Not all digital payment platforms are built for the complexities of physical scrip holdings. BoardRoom’s Smart Investor Portal (BSIP) is tailored to support scrip-based payouts, helping your company adapt to a chequeless Singapore with minimal disruption.

How BSIP Supports the Shift to Chequeless Payments

BSIP is designed to help companies simplify shareholder payments without overhauling existing systems. For businesses with physical scrip holders, our portal offers a secure, purpose-built platform to help you confidently navigate the transition to a chequeless Singapore while improving the dividend payment experience for both issuers and shareholders.

Seamless global e-payments
Shareholders receive their payments anytime, anywhere, through fast, automated transfers. Payouts are converted into local currencies and credited directly to banks across the globe, eliminating clearance delays and currency-related issues that come with cheques.
24/7 Shareholder Portal access
BSIP offers round-the-clock access to payment records, contact information updates and personalised notifications. This readily-accessible portal enhances transparency and empowers shareholders to manage their information easily.
Faster reconciliation, lower admin burden
Automated tracking and validation allow finance teams to reconcile payments more quickly and accurately. This reduces manual effort, improves reporting accuracy, and frees up the finance teams to focus on other strategic activities.
Built-in security and compliance
With Two-Factor Authentication (2FA) and enterprise-grade encryption, BSIP safeguards sensitive shareholder data while meeting stringent compliance expectations. Companies benefit from consistent, secure processes across all digital transactions.

Getting Ready for a Chequeless Singapore

Singapore’s move to phase out cheques paves the way for smarter, more secure business operations. For companies that still handle physical scrip holders and rely on manual cheque distribution, now is the time to act, not only to comply with upcoming changes but also to strengthen internal efficiency and improve shareholder satisfaction.

By preparing early, businesses can avoid operational bottlenecks, reduce administrative risks, and ensure a smooth transition to fully digital dividend distribution. A proactive approach today will pay off in time saved and trust earned.

BoardRoom is here to support you through every step of this journey. With decades of experience and a trusted track record serving over 80% of large-cap companies listed on the Singapore Exchange (SGX), our BSIP platform is purpose-built to help your business thrive in a chequeless Singapore. If you’re ready to modernise your dividend payments, get in touch with us today.

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Corporate Service Providers Act 2024 will come into effect on 9 June 2025: Key Changes and Compliance Guide

Corporate Service Providers Act 2024 will come into effect on 9 June 2025 Key Changes and Compliance Guide

Corporate Service Providers Act 2024 will come into effect on 9 June 2025: Key Changes and Compliance Guide

The Singapore Corporate Service Providers Act 2024 (“CSP Act”), effective 9 June 2025, introduces critical compliance requirements for businesses using corporate services in Singapore. In this article, we explore the key changes and the impact of these changes on businesses that engage corporate service providers.

Key Changes Effective 9 June 2025

The CSP Act is a key regulatory development in Singapore aimed at strengthening the corporate service providers industry. Introduced to enhance corporate governance and regulatory oversight, the CSP Act promotes transparency, ensures consistent compliance standards, and aligns with international anti-money laundering and counter-terrorism and proliferation financing obligations.

The CSP Act will officially take effect on 9 June 2025. To support its implementation, the Corporate Service Providers Regulations 2025 (“CSP Regulations”), which contain more detailed rules pertaining to the requirements under the CSP Act, was published on 8 May 2025 and will also come into effect on 9 June 2025.

Below are the key changes of the legislative amendments:

Mandatory ACRA Registration

All entities offering corporate services, such as company formation, company secretary, nominee director or shareholder services, or registered office address services in or from Singapore, must register with the Accounting and Corporate Regulatory Authority (ACRA) as registered Corporate Service Providers (CSPs). The changes will enhance the regulatory regime and level the playing field for all CSPs, and importantly, enable ACRA to take enforcement action against registered CSPs that breach AML/CFT/PF obligations (as defined below).

AML/CFT/CPF Obligations

All registered Corporate Service Providers (CSPs) are required to comply not only with existing anti-money laundering (AML) and countering the financing of terrorism (CFT) obligations, but also with measures to prevent the financing of the proliferation of weapons of mass destruction (“AML/CFT/PF obligations”). To mitigate financial crime risks, CSPs must conduct customer due diligence before delivering any corporate services, and where there is a reason to suspect money laundering, terrorism financing, or proliferation financing.

Fines for Non-Compliance

Breaches of AML/CFT/CPF obligations by CSPs or their senior management may incur fines of up to S$100,000 per breach, emphasising the importance of robust compliance.

Nominee Director Regulations

Only ACRA-registered CSPs can arrange nominee director appointments, and they must assess these directors as fit and proper. Individuals cannot act as nominee directors by way of business unless appointed by a registered CSP.

Disclosure Requirements

Nominee directors’ and shareholders’ status, along with their nominators’ identities, must be disclosed and filed to ACRA, enhancing transparency in corporate ownership. The nominee status will be made publicly available. However, only public authorities may access the full information of the nominators maintained by ACRA for the purposes of administration or enforcement of any written law.

Increased Fines for Registers

Companies will face higher penalties for non-compliance with maintaining accurate registers of registrable controllers, nominee directors, and nominee shareholders. This ensures proper record-keeping.

Robust compliance

What this Means for your Business

The CSP Act 2024 impacts businesses using corporate services in Singapore. These businesses may need to provide additional documentation, such as beneficial ownership or nominator details, to meet ACRA’s disclosure requirements. It is important to ensure that you are using a CSP that is ACRA-registered. The need for enhanced due diligence may also lead to additional processes with your CSP.

These measures enhance Singapore’s business environment, boosting trust for your operations.

Next Steps for Businesses using CSPs

To prepare for the CSP Act 2024, we encourage businesses to:

  • Verify your CSP’s ACRA registration from 9 June 2025.
  • Be prepared to provide any additional compliance-related information as required.
  • Stay informed through ACRA’s resources / our newsletters and webinars on compliance matters in Singapore.
  • Reach out to your specialist consultant at Boardroom for step-by-step guidance on how the CSP Act works.
How can BoardRoom Support your Business

How can BoardRoom Support your Business?

The CSP Act 2024 strengthens Singapore’s position as a premier international business hub, and BoardRoom is committed to helping your business navigate these changes. As an ACRA-registered CSP, we are fully prepared for the CSP Act 2024 effective June 9, 2025.

We are constantly updating our AML/CFT/PF processes and training our team to meet all regulatory requirements. We also offer personalised reviews of your corporate setup to ensure compliance with Singapore’s nominee director regulations and other obligations.

For guidance on CSP Act compliance, contact us today.

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Case Study –Streamlining and Standardising Accounting Processes Across Multiple Entities for a Leading Infrastructure Development Firm

Case Study –Streamlining and Standardising Accounting Processes Across Multiple Entities for a Leading Infrastructure Development Firm

Case Study –Streamlining and Standardising Accounting Processes Across Multiple Entities for a Leading Infrastructure Development Firm

Client Profile

Our client is a prominent infrastructure development company specialising in the early-stage development of infrastructure projects across South and Southeast Asia. Operating as part of a larger group, the company focuses on catalysing private sector investment in infrastructure sectors.

Background

Prior to engaging BoardRoom’s Accounting services, the client faced challenges in terms of fragmented co-ordination, managing multiple internal contacts across various finance activities, including document collation and head office reporting. The process of consolidating financial data at a Group level was complex, with each entity following their own individual accounting practices. This lack of standardisation was further compounded by the absence of standardised reporting templates across the Group.

The Solution

The Accounting Team at BoardRoom identified that the root of these challenges stemmed from the absence of standardised processes, which are crucial for effective multi-entity accounting.

To address this, BoardRoom implemented a structured approach, introducing the following group-wide standardisation measures across key accounting areas:

Document Collation: BoardRoom introduced a systematic approach to document collation and management.

This initiative ensured consistency in the type, format and quality of documents maintained across all entities, addressing the inefficiencies caused by varying collation methods and standards at different entities. The result was a more streamlined process that improved document collation and management across the group.

Uniform Accounting Transaction Recording: BoardRoom standardised the way accounting transactions were recorded across the Group.

By standardising the transaction recording process, all entities followed the same procedures for transaction entry and classification, reducing discrepancies between entities. This uniform approach also brought alignment to the financial practices of each entity, ensuring accurate and reliable financial data that could be easily consolidated and reported.

Implementation of a Unified Chart of Accounts: To enhance alignment in reporting across the Group, BoardRoom developed and introduced a single, standardised chart of accounts across all entities. This unified approach facilitated seamless consolidation of financial data and comparison of financial results across all entities within the Group.

BoardRoom also ensured localised adaptations of the accounts codes were incorporated where appropriate to meet local regulatory requirements, without compromising group-wide comparability.

Consistent Reporting Templates: BoardRoom developed and implemented standardised reporting templates for all entities.

These templates were designed to ensure that financial data was presented in a consistent format, allowing for easier comparison and analysis across the Group. The uniformity in reporting templates gave management a clearer view of the group’s financial health, enabling more accurate and timely decision-making.

The Results

Following the implementation of uniform processes and standardised reporting frameworks, our client's multi-entity accounting operations were significantly optimised.

Management gained a more holistic and accurate view of the Group financial position, enhancing their ability to make timely, informed strategic planning and decisions.

The streamlined processes also resulted in reduced reporting turnaround time, improved compliance with internal and external reporting standards, and laid a strong foundation for future scalability as the Group continued to expand its operations across the region.

About BoardRoom

850
Dedicated Team Members

BoardRoom offers leading business solutions, including corporate and advisory services, in the Asia-Pacific region. We provide accurate, prompt and reliable corporate solutions for every element of your business.

Over 50
Years of Proven Track Record

BoardRoom takes your business further, faster, at all stages, with an integrated suite of corporate solutions driven by innovation and technology.

7,300+
Clients Globally

Our team of experienced professionals has the comprehensive local knowledge and commercial experience you need to grow your business in the Asia-Pacific region.

Standardising Accounting Processes and Reporting for Enhanced Group-Wide Visibility

BoardRoom’s strategic approach to implementing multi-entity accounting processes has transformed our client’s financial operations. Through greater visibility, consistency operational efficiency, the client is now better positioned to drive business performance and make more informed, strategic decisions.

Contact us today to see how we can help streamline your accounting processes and empower your business to achieve a more strategic, data-driven growth.

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Case Study: Navigating Payroll Complexities in the Retail Sector

Case Study Navigating Payroll Complexities in the Retail Sector

Case Study: Navigating Payroll Complexities in the Retail Sector

Client Profile

Our client is a renowned Hong Kong retail brand, celebrated for its heritage-inspired designs and lifestyle products. Established in 1996, the company has evolved from a single boutique into a multifaceted international retailer, managing a network of physical stores across Hong Kong’s vibrant retail landscape, while also offering a seamless shopping experience through its online store.

Background

Operating with extended hours to serve a diverse clientele, the retailer manages a workforce of full-time and part-time employees across rotating shifts. Seasonal demand spikes further complicate payroll, requiring the hiring of temporary staff and intensifying the complexity of payroll processing.

Challenges: Managing a Dynamic and Complex Payroll Structure

Key Man Risk Triggered the Need for Change

Our client’s payroll challenges became evident when their Human Resource Manager resigned, exposing the risks of relying on a single individual to manage a critical function. However, this was just the tipping point – the underlying inefficiencies in payroll processing had been building over time.

Growing Complexity Fuels Payroll Struggles

As the company expanded, payroll calculations became increasingly complex due to:

  • Multiple store locations with different staffing needs
  • A combination of full-time, part-time, and seasonal employees
  • Rotating shift schedules requiring precise tracking of hours worked
  • Integration of wages, commissions, and bonuses in each payroll cycle

Manual payroll processing often led to delays and errors, impacting employee satisfaction and operational efficiency.

Objectives

To overcome these challenges, our client sought to:

  • Automate payroll processing: Reduce manual workload and minimise errors through automation.
  • Streamline onboarding of temporary staff: Simplify and accelerate the onboarding process, especially during peak retail seasons like Christmas and New Year, when additional staff are required.
  • Ensure accurate and timely salary payments: Manage the complexities of payroll for employees on rotating shifts and commission-based structures, ensuring precision and compliance.
  • Mitigate key person risk: Reduce dependency on a single HR manager by implementing a scalable and sustainable payroll solution.

Solution: Automating Payroll for Accuracy and Efficiency

Our Payroll Team collaborated closely with the retailer to develop a tailored payroll solution which involved:

Custom Payroll Template: A structured template was designed to capture the complex work arrangements of full-time, part-time, and seasonal employees across multiple locations.

Automated Payroll System: The template was integrated into our payroll system, which automatically calculated wages, commissions, and bonuses based on pre-set parameters.

Seamless Processing & Payment: Upon our client’s approval, payroll processing was activated, and salaries were paid directly into employees' bank accounts.

Digital Transformation: The shift from manual calculations to a fully digital system reduced administrative workload, increased accuracy and improved payroll efficiency.

Key Outcomes

Our Payroll Team worked closely with the retailer to implement a tailored payroll solution that delivered these improvements:

Automated Payroll Processing: Reduced payroll processing time, freeing up HR resources for strategic initiatives.

Error-Free Salary Payments: Eliminated payroll errors, ensuring employees received accurate and timely payments.

Streamlined Seasonal Staff Onboarding: Enabled quick and seamless workforce expansion during peak retail periods.

Enhanced Compliance & Security: Strengthened payroll governance, mitigating risks associated with manual processing.

About BoardRoom

850
Dedicated Team Members

BoardRoom offers leading business solutions, including corporate and advisory services, in the Asia-Pacific region. We provide accurate, prompt and reliable corporate solutions for every element of your business.

Over 50
Years of Proven Track Record

BoardRoom takes your business further, faster, at all stages, with an integrated suite of corporate solutions driven by innovation and technology.

7,300+
Clients Globally

Our team of experienced professionals has the comprehensive local knowledge and commercial experience you need to grow your business in the Asia-Pacific region.

Transforming Payroll with BoardRoom’s Payroll Solution

With a fully automated payroll system in place, our client now operates with enhanced efficiency and reliability. Employees receive timely and accurate salaries, and HR no longer faces the burden of manual payroll calculations. The company has successfully mitigated key man risk and positioned itself for sustainable growth in the fast-paced retail industry.

Looking to optimise your payroll operations? Contact us to find out how our payroll solutions can help your business achieve accuracy and efficiency today.

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Case Study – How BoardRoom’s ESG Access Elevated ESG Data Management for a Private Equity Firm in Singapore

Case Study – How BoardRoom’s ESG Access Elevated ESG Data Management for a Private Equity Firm in Singapore

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Case Study: Streamlining Cross-border Payroll Solutions for Malaysia’s Manufacturing Sector

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Case Study – How BoardRoom’s ESG Access Elevated ESG Data Management for a Private Equity Firm in Singapore

Case Study – How BoardRoom’s ESG Access Elevated ESG Data Management for a Private Equity Firm in Singapore

Case Study – How BoardRoom’s ESG Access Elevated ESG Data Management for a Private Equity Firm in Singapore

Client Profile

Founded in 2016, our client is a Singapore-based private equity firm managing multi-strategy assets. Their investment approach integrates global expertise with a deep understanding of Asian markets. They primarily focus on mid-market businesses with strong growth potential, fostering long-term partnerships grounded in trust. Their portfolio includes investments in private credit, mezzanine financing, and structured equity opportunities.

Background: The Need for Enhanced ESG Data Management

With growing investor scrutiny and regulatory expectations surrounding Environmental, Social, and Governance (ESG) disclosures, our client recognised the need to enhance its ESG data management capabilities. In particular, stakeholders sought greater transparency in Environmental Data and Carbon Impact (EDCI) metrics, requiring a more structured and reliable approach to ESG reporting.

Challenges with the Existing Process

Our client initially relied on spreadsheets and manual data entry to track ESG metrics, which posed several challenges:

  • Time-Intensive Workflows: Collecting and consolidating ESG data from multiple sources required significant time and effort, diverting attention from strategic investment decisions.
  • Data Inconsistencies: Manually gathered data was prone to errors, impacting the accuracy and credibility of ESG reporting.
  • Limited Accessibility: ESG insights were not easily accessible across teams, leading to inefficiencies in decision-making.
  • Regulatory Compliance Risks: As ESG reporting expectations evolved, they struggled to keep up with timely and accurate disclosures.

Objectives

To address these challenges, our client aimed to:

  • Automate ESG Data Collection: Reduce manual effort and improve data accuracy.
  • Enhance Data Quality: Implement validation protocols to ensure consistent and reliable ESG reporting.
  • Improve Accessibility: Enable seamless access to ESG data for investment teams and compliance officers.
  • Streamline ESG Reporting: Generate structured reports aligned with regulatory standards and investor expectations.
  • Foster Collaboration and Transparency: Strengthen cross-departmental collaboration in ESG data management to ensure alignment and improve data-sharing efficiency.

Implementing BoardRoom’s ESG Access Solution

Our client partnered with BoardRoom to implement ESG Access, a specialised platform designed to streamline ESG data management. The rollout involved:

Data Gathering: ESG Access was deployed to gather data for a single quarter. The collected data was thoroughly reviewed to evaluate the software's performance and accuracy. The insights from this assessment guided improvements to the reporting process.

Pilot Deployment: A three-month test phase to evaluate data collection efficiency and reporting accuracy.

Customisation for Firm Needs: Tailored ESG data templates were developed to align with specific reporting metrics.

User Training & Support: Comprehensive workshops and online training ensured seamless adoption of the new system.

Ongoing Review and Refinement: Regular feedback sessions helped fine-tune the platform to meet evolving ESG data requirements.

Key Outcomes

The adoption of ESG Access delivered measurable improvements:

Enhanced Data Accuracy: Automated validation checks reduced human errors, enhancing ESG data reliability.

Significant Time Savings: Automation cut down manual workload, allowing investment teams to focus on strategic analysis.

Efficient Reporting: Standardised ESG reports were generated with ease, ensuring timely disclosures to investors and regulators.

Improved Decision-Making: Real-time dashboards provided actionable insights, enabling data-driven investment strategies.

About BoardRoom

850
Dedicated Team Members

BoardRoom offers leading business solutions, including corporate and advisory services, in the Asia-Pacific region. We provide accurate, prompt and reliable corporate solutions for every element of your business.

Over 50
Years of Proven Track Record

BoardRoom takes your business further, faster, at all stages, with an integrated suite of corporate solutions driven by innovation and technology.

7,300+
Clients Globally

Our team of experienced professionals has the comprehensive local knowledge and commercial experience you need to grow your business in the Asia-Pacific region.

Driving ESG Excellence with BoardRoom

By leveraging BoardRoom’s ESG Access solution, our client transformed its ESG data management approach. With improved efficiency, accuracy, and accessibility, they strengthened investor confidence and positioned themselves as a leader in sustainable investing.

Looking to enhance your ESG reporting capabilities? Discover how BoardRoom’s ESG Access solution can support your firm’s ESG journey today.

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What is Global Payroll? A Guide to Cross-Border Payroll Management

What is Global Payroll A Guide to Cross-Border Payroll Management

What is Global Payroll? A Guide to Cross-Border Payroll Management

Expanding into international markets presents exciting growth opportunities for businesses. However, one of the most overlooked yet critical aspects of global expansion is payroll management. Payroll isn’t just about paying employees, rather, it’s about ensuring compliance and financial accuracy, fostering employee trust and supporting long-term business growth.

Ken Wong, Managing Director Asia, Payroll at BoardRoom Group, highlights that payroll is not simply an administrative function but a critical pillar of business expansion. “When companies expand, they’re not just entering one new market, but multiple. Businesses need a structured global payroll strategy to support that growth. A well-thought-out payroll management system ensures that processes are in place, compliance is met, salaries are paid accurately and on time, and most importantly, employees have confidence that their company is operating smoothly in new regions.”

Without a structured global payroll strategy, companies risk compliance failures, payroll errors and employee dissatisfaction, which can slow expansion and damage business operations. In this guide, we’ll explore how a strong global payroll strategy can support business expansion and ensure smooth cross-border operations.

The Challenges of Cross-Border Payroll

Managing payroll in a single country is complex enough, but scaling that across multiple regions presents even greater challenges. Companies must juggle a patchwork of local tax laws, payroll regulations and financial processes.

“Many businesses underestimate the complexity of payroll,” explains Nie Ying, Regional Operations Director at BoardRoom Group. “For example, statutory pension contributions might seem straightforward, but in some countries, businesses can only process payments through specific local banks. Others impose restrictions on foreign currency transactions, making payroll disbursement more complicated.”

So, what makes payroll so complicated across borders? It starts with country-specific regulations.

Navigating Country-Specific Regulations

Each country has distinct tax laws, statutory contributions, and employment regulations that govern how payroll must be processed. Even neighbouring countries, like Singapore and Malaysia, have different payroll requirements. Variations mean businesses must continuously track regulatory updates, integrate local payroll requirements and ensure that their payroll provider understands regional nuances.

Beyond compliance, companies must also consider regional differences in remuneration structures. For example, year-end bonuses are common in Asia, while Australia relies more on employee share ownership plans. Statutory contributions such as Singapore’s Central Provident Fund (CPF) and Hong Kong’s Mandatory Provident Fund (MPF) System also have different filing dates, adding complexity. Failure to align with local compensation practices can impact employee satisfaction and retention, as well as the ability to attract the right talent to your company.

Lack of Experience and Local Knowledge

Some businesses attempt to centralise payroll operations from a single headquarters that services multiple countries from one location. While this may seem efficient, doing so can lead to costly errors due to a lack of deep expertise in local payroll regulations, tax laws and reporting requirements. Without the right expertise, payroll can quickly become a source of compliance risk. Nie Ying highlights why local experience and knowledge matter.

“Payroll takes effort, attention to detail, time and a good understanding of different conditions,” Nie Ying says. “It’s very easy to get wrong. Payroll managers at the company headquarters need to understand how different countries operate rather than applying a one-size-fits-all approach. It takes a lot of local experience and knowledge to ensure compliance and accuracy.”

However, managing payroll on a global scale requires more than just local knowledge. It also demands expertise in handling multi-country payroll complexities. A local payroll provider may be well-versed in domestic regulations but often lacks the breadth of experience needed to manage payroll across multiple jurisdictions. When selecting a global payroll provider, businesses should prioritise those with proven expertise in regional and global payroll management to mitigate compliance risks and ensure operational efficiency.

Complex Local Practices and Compliance Risks

Even with the right knowledge, navigating country-specific payroll regulations can be challenging. Local banking restrictions, pension schemes and compliance requirements vary widely, and failure to adhere to them can lead to financial penalties and operational disruptions. Some countries only allow payroll transactions through specific banks or banking systems, while others have strict currency controls that require special handling.

Nie Ying highlights the importance of understanding these nuances and partnering with the right payroll service provider. “It’s the small things that companies will need to be aware of,” says Nie Ying. “Questions such as: ‘Can we open foreign accounts?’ and ‘Do we need to bank with a specific institution?’ must be asked. There are a lot of things that need to be verified at a local level.”

Companies must navigate varying requirements for regulatory filings, tax obligations and statutory contributions to avoid non-compliance, financial penalties and reputational damage.

Currency Fluctuations, Payment Processing and Payroll Accuracy

For companies with employees across different regions, currency fluctuations, exchange rate restrictions and inconsistent payment processing timelines can create financial instability and impact payroll accuracy. A slight miscalculation in foreign exchange rates can lead to payroll shortfalls, delays or additional costs and can significantly erode employee trust.

To mitigate these risks, businesses must ensure their payroll provider has the infrastructure to handle multi-currency payroll efficiently, with reliable payment processing and compliance mechanisms in place. Partnering with a provider that understands regional banking systems, foreign exchange regulations, and cross-border payroll requirements can help businesses maintain payroll consistency and financial stability.

Data Security and Compliance

Payroll systems handle sensitive employee data, making compliance with data protection laws in different jurisdictions, such as Singapore’s Personal Data Protection Act (PDPA), essential. Mishandling payroll data not only results in fines but also erodes employee trust and exposes companies to reputational risks.

Beyond security, data governance must be a C-suite priority. Companies should ensure their payroll provider has built-in cross-border data transfer compliance, robust encryption, and strict access controls to prevent unauthorised breaches.

Investing in secure global payroll systems not only protects employee data but also enhances payroll accuracy and transparency across global operations.

The Challenges of Cross-Border Payroll

Why a Multi-Country Payroll System Matters

A multi-country payroll system is the foundation for scaling business operations across borders while ensuring compliance, efficiency and employee satisfaction. It allows businesses to reduce administrative burdens, minimise errors and enhance workforce confidence – critical factors for successful international expansion.

Ensuring Compliance With Local Regulations

A robust payroll system automates compliance checks, ensuring that payroll calculations adhere to local tax laws and employment regulations. For example, managing payroll in Australia involves navigating award rates and superannuation requirements, whereas India has complex tax structures and mandatory provident fund contributions. Without an automated system, companies risk compliance issues and financial penalties when managing payroll across multiple jurisdictions.

Streamlining Operations and Reducing Complexity

Managing payroll separately in each country can create inefficiencies and inconsistencies, as well as a lack of visibility across regions. A unified payroll platform simplifies processes by consolidating payroll data and eliminating the need for multiple systems.

As Nie Ying explains, “Businesses that expand country by country without a consolidated payroll system often find themselves repeatedly redoing processes,” she says. “Each time a new country is added, companies must integrate payroll operations properly to avoid duplicated efforts and unnecessary complexity.”

Scalability for Growth

A scalable payroll system can simplify processes and future-proof expansion efforts. As companies enter new markets, a payroll solution that adapts without requiring system overhauls or complex integrations is critical.

“Without a platform that supports multiple countries from the start, businesses end up adopting different payroll systems for each market, leading to vast inefficiencies and compliance risks,” says Nie Ying.

Strategic payroll planning means selecting a provider that can support regional growth, local compliance and evolving workforce structures.

Integration with HR and Finance Systems

Payroll is not an isolated function. To support overall business efficiency, it needs to integrate seamlessly with HR management systems (HRMS) and finance software. Payroll data should automatically sync with financial reports, and new hires should be registered in the payroll system without manual intervention.

Nie Ying explains that proper and seamless integration removes redundant administrative work. She says, “A payroll system linked to HR and finance systems ensures salary adjustments, tax filings, and workforce data updates happen automatically, reducing the chance of errors and missed payments.”

Improving Employee Satisfaction

A reliable payroll system can also improve the employee experience by ensuring that salaries are processed accurately and on time. Features like mobile access to payslips, transparent overtime calculations and clear query resolution processes contribute to a more engaged and satisfied workforce.

After implementing a mobile-friendly payroll system for 11,000 employees, one of BoardRoom’s key clients saw significant improvements. “Accessibility was a key priority for our client,” says Nie Ying. “By adopting a mobile-friendly platform, employees gained a more convenient way to track overtime, submit leave requests, and resolve payroll queries, significantly improving user experience and reducing administrative friction.”

Building an Effective Global Payroll Strategy

For a global payroll system to be effective, businesses must ensure their payroll aligns with their overall expansion strategy.

“Many companies only think about payroll after they’ve expanded,” says Ken. “But a proactive payroll strategy ensures a smooth transition, whether entering a new market or integrating employees after a merger and acquisition.”

Here are the critical elements that will help you build a robust global payroll strategy.

Work with Payroll Specialists

Given the complexities of multi-country payroll, companies benefit from partnering with specialists who understand regional compliance requirements and local payroll nuances.

Establish Standardised Payroll Workflows

A clear payroll workflow ensures efficiency and accuracy. Companies must document payroll processes, including approval hierarchies, tax filings and salary disbursements.

Centralise Payroll Payments

Managing payroll payments through a centralised team can streamline operations, but success depends on local expertise to navigate local banking regulations, currency restrictions and compliance requirements.

Align Payroll Teams by Geography

Regional payroll teams help mitigate time zone differences and ensure localised support for employees in different markets.

Prioritise Employee Experience

Payroll is not just about compliance – it can directly impact employee trust and retention. Companies should ensure:

  • accurate and timely payroll processing;
  • mobile accessibility for payslips and salary details;
  • transparent overtime and tax calculations.

Plan for scalability and system integration

As businesses grow, integrated payroll systems that connect HR, finance and compliance functions are essential. Nie Ying highlights that a “single, unified system is the best approach, as opposed to relying on fragmented interfaces that introduce inefficiencies.”

How BoardRoom Stands Out as a Global Payroll Leader

How BoardRoom Stands Out as a Global Payroll Leader

Managing multi-country payroll is complex, but BoardRoom simplifies the process with expertise, seamless technology and a commitment to compliance. As a trusted leader in global payroll, we help businesses navigate regional regulations, integrate payroll with HR systems and scale operations efficiently.

With extensive cross-functional expertise in payroll, accounting and tax, and corporate secretarial across a number of industries, BoardRoom provides tailored solutions that support business expansion and operational efficiency. Our integrated approach ensures compliance, minimises administrative burdens and allows companies to focus on growth.

Partner with BoardRoom by contacting us today to streamline your global payroll and business expansion.

Contact BoardRoom for more information:

Ken Wong

Managing Director for Payroll for Asia

E: [email protected]

T: +65 6536 5355

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What do the new Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill mean for your business?

What do the new Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill mean for your business

What do the new Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill mean for your business?

The Corporate Service Provider (CSP) Bill and the Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill represent significant advancements in the regulatory regime governing the corporate service provider industry in Singapore. Passed on 2 July 2024 and slated to become law sometime later this year, they aim to ensure consistency in governance and transparency and to combat financial crimes such as money laundering and terrorism financing.

While these new regulations primarily target corporate service providers, they indirectly impact businesses that engage corporate service providers for such services. Companies must adapt as their corporate service providers implement higher standards to meet the new regulatory requirements.

In this article, we’ll explore the purposes of these Bills, what they mean for businesses, the important role of corporate service providers and why choosing a corporate service provider has now become even more critical.

Understanding the Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill

The CSP Bill and CLLPMA Bill are legislative responses by the regulators to the increasing need for enhanced regulation of corporate service providers and raised corporate governance and compliance standards of companies.

In this article, we explore what these Bills set out to achieve.

Key Objectives of the Corporate Service Provider Bill include:

Mandatory licensing
All corporate service providers must register with the Accounting and Corporate Regulatory Authority (ACRA) as registered CSPs to operate legally. This will empower ACRA to take enforcement action against registered CSPs for breach of certain requirements.
Enhanced compliance standards
CSPs must adhere to stringent anti-money laundering (AML) and Know Your Customer (KYC) protocols and obligations.
Transparency and accountability
Disclosure requirements for nominee directors and nominee shareholders to ACRA, including assessments by registered CSPs, ensure companies uphold higher levels of transparency and regulatory compliance.

Non-compliance with the mandatory licensing requirements, KYC and CDD protocols, or disclosure obligations under these Bills may result in significant penalties. Violations may result in fines of up to S$100,000, loss of licences and potential criminal liability. These measures underscore the commitment of the regulators to raise compliance standards, accountability, and imposing a more stringent regulatory framework for CSPs.

How the CLLPMA Bill complements the CSP Bill:

The CLLPMA Bill mandates companies and limited liability partnerships (LLPs) to maintain a register of registrable controllers, a register of nominee directors and a register of nominee shareholders. in a bid to improve regulatory oversight to promote corporate transparency and deter illicit financial activities.

Both Bills represent significant strides in fortifying corporate service provider regulations and governance standards, aligning Singapore with global best practices.

How the CLLPMA Bill complements the CSP Bill

How will the Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill impact your company?

The CSP Bill applies to corporate service providers, and businesses that depend on these providers for compliance and administrative support may feel its impact. Some of the implications may include:

Stricter Compliance Requirements

Corporate service providers now operate under stricter regulatory scrutiny, particularly regarding Know Your Customer (KYC) and Customer Due Diligence (CDD) protocols. CSPs are already required to verify their clients’ identities at the outset and maintain ongoing monitoring to detect any irregularities or risks. This amendment further ensures consistencies with the Financial Action Task Force (FATF) recommendations and requires registered CSPs comply with the requirements of the United Nations Act 2001.

Ngiam May Ling, Associate Director of Corporate Secretarial at BoardRoom Group, highlights the significance of these changes, noting that: “Corporate service providers now have to implement far more stringent KYC and CDD measures. It’s not just about checking boxes at the beginning of a client relationship anymore – we’re required to continually monitor clients to ensure compliance with changing regulations and never let our guard down.”

This enhanced vigilance is necessary for combating financial crimes like money laundering and ensuring that corporate service providers maintain the integrity of their services. For businesses working with CSPs, this means a need for greater transparency and accountability. It also underscores the importance of partnering with a corporate service provider with the expertise and systems to meet these evolving demands.

Increased scrutiny on Nominee Directors and Nominee Shareholders

Under the new Bills, nominee directors and nominee shareholders are subject to stricter oversight. Both roles must disclose their nominee status and the identities of their nominators to ACRA, if any. Corporate service providers are required to conduct thorough KYC checks on both nominee directors and nominee shareholders. Additionally, nominee directors must be registered with CSPs, who are responsible for assessing them to be ‘fit and proper’ and failure to do so will result in a hefty fine for CSPs. These key measures aim to enhance accountability and prevent the misuse of the nominee director and nominee shareholder roles for illicit activities.

Josephine Toh, Associate Director of Corporate Secretarial at BoardRoom Group explains the added responsibility, “The onus is now on us as corporate service providers to rigorously assess and verify that nominee directors meet the fit and proper criteria as set out in subsidiary legislation. This isn’t just a procedural step – it’s about ensuring that individuals in these roles are trustworthy, capable and fully compliant with the new regulations.”

These standards reinforce the requirement for corporate service providers to assess and ensure the nominee director’s professional background, integrity and suitability for the role.

Operational adjustments for companies

Businesses must streamline their internal processes to align with new compliance requirements. This includes maintaining accurate director and shareholder records, ensuring timely reporting and collaborating closely with corporate service providers on regulatory filings. By proactively adapting workflows and systems, companies can ensure seamless compliance and reduce the risk of delays or regulatory penalties.

Risk reduction

Partnering with a fully compliant corporate service provider helps businesses mitigate the risks related to regulatory scrutiny, financial penalties and reputational damage. Additionally, CSPs that maintain high transparency standards, such as proper disclosure of registrable controllers, nominee directors and nominee shareholders, help businesses reduce potential legal and regulatory issues and potentially avoid them altogether.

Enhanced stakeholder confidence

Stricter corporate service provider regulations drive increased accountability and transparency, which can help foster trust among investors, partners and other stakeholders. By ensuring higher governance standards, businesses can strengthen their reputation and build long-term confidence in their operations.

Why Corporate Secretaries Play an Integral Role

The role of corporate secretaries has shifted significantly in recent years, and the new Corporate Service Provider Bill further heightens their critical importance as well as elevate their professional standing. Traditionally seen as administrators, corporate secretaries are now poised to serve as key players in governance, compliance and risk management.

Critical corporate secretary functions include:

Maintaining registers
Corporate secretaries must manage the register of registrable controllers, register of nominee directors and register of nominee shareholders accurately and timeously.
Compliance support
Keeping companies informed about changing corporate service provider regulations and compliance obligations.
Corporate governance advisory
Providing expert guidance on governance frameworks to ensure compliance and adoption of best practices.

Even businesses with strong governance frameworks will need to adapt to meet the new standards. As May Ling explains, “At BoardRoom, we have always upheld exceptionally high standards when it comes to compliance and operations. We welcome the new Bills as they ensure all corporate service providers operate at the same level, creating a more consistent and trusted industry standard which will ultimately benefit everyone.”

At BoardRoom, corporate secretaries go beyond routine administration. With our professional human expertise and advanced technological systems, we ensure businesses remain compliant while navigating evolving corporate service provider standards.

Choosing a Corporate Service Provider that is right for your business

Choosing a Corporate Service Provider that is right for your business

The introduction of mandatory licensing and stricter compliance requirements makes choosing a corporate service provider a crucial decision for businesses. Companies must carefully assess their CSP to ensure regulatory compliance and operational efficiency.

Key criteria for choosing a corporate service provider include:

  1. Licensing and accreditation: Ensure the CSP is licensed by ACRA and meets all regulatory standards. May Ling advises, “The CSP should of course have a licence and companies should call for the licence to ensure that it is valid,” she adds.
  2. Proven track record: Partner with CSPs which have experience serving companies similar in size and industry. BoardRoom’s extensive history demonstrates reliability and expertise across sectors.
  3. Anti-money laundering and Know Your Customer processes: Choose a CSP with robust KYC and CDD processes in place to ensure compliance with regulatory standards and reduce the risk of penalties. A CSP with strong safeguards in these areas helps businesses avoid legal and financial risks.
  4. Compliance systems and technology: A modern CSP should leverage advanced systems to streamline compliance. Josephine notes, “At Boardroom, because we are backed by the latest technology, we have the ability to fulfil these requirements in a very efficient manner”.
  5. Professional expertise: Look for CSPs with experienced teams capable of guiding businesses through regulatory complexities.

BoardRoom stands out as a trusted choice, combining decades of experience, robust compliance systems and a highly skilled team to meet and exceed industry standards.

How can BoardRoom help you navigate the Bills?

The Corporate Service Provider Bill and Companies and Limited Liability Partnerships (Miscellaneous Amendments) Bill signal a new era for compliance and governance in Singapore. Businesses must adapt by partnering with reliable and well-equipped CSPs to meet these new standards.

With our proven expertise, advanced technology and professional team, BoardRoom is uniquely positioned to support businesses through this transition. From maintaining complex regulatory registers to providing corporate governance advisory services, BoardRoom can deliver tailored solutions that ensure compliance and enhance governance frameworks for long-term success.

Contact us today to discover how we can help your business understand the new corporate service provider regulations and their potential impact.

Contact BoardRoom for more information:

Ngiam May Ling

Ngiam May Ling

Associate Director of Corporate Secretarial

E: [email protected]

T: +65 6536 5355

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Singapore Budget 2025: Insights and commentary

Singapore Budget 2025 (SG60 Budget) Onward Together For A Better Future Tomorrow

Singapore Budget 2025: Insights and commentary

We are pleased to share our insights on Singapore Budget 2025, unveiled by Prime Minister and Minister for Finance, Lawrence Wong, on 18 February 2025. Under the theme “Onward Together for a Better Future Tomorrow,” this Budget 2025 underscores the Forward Singapore agenda, fostering collaboration among businesses, individuals and the Singapore Government to bolster the nation’s resilience and competitiveness.

The tax measures and reliefs introduced aim to drive sustainable economic growth and shared future, addressing current challenges while laying the groundwork for a stronger, more inclusive future. These include:

Tax Measures for Corporate Taxpayers and Businesses:

  • Primary and Secondary Listings in Singapore: To promote Singapore’s equities market, the Singapore Government has introduced certain tax incentives, including a Corporate Income Tax (CIT) rebate for new corporate listings and enhanced Concessionary Tax Rates (CTR) for fund manager listings.
  • Business Tax Measures: Targeted business tax initiatives include tax deductions for payments under approved cost-sharing agreements for innovative activities, along with extensions of the CIT rebate and cash grants, aiming to stimulate business growth and innovation.
  • Tax Concessions for Specific Taxpayers and Industries: New CTR tiers under the Financial Sector Incentive (FSI) Scheme and the introduction of the Approved Shipping Financing Arrangement (ASFA) Award are designed to attract and retain key industry players.
  • Exemption of Withholding Tax and Remission of Indirect Tax: Extensions of withholding tax exemptions for ship and container lease payments to non-resident lessors, along with GST remissions for Real Estate Investment Trusts (REITs) and Singapore-Listed Registered Business Trusts (RBTs), aim to enhance Singapore’s attractiveness as an investment hub.

Tax Measures and Reliefs for Individual Taxpayers:

  • The Budget introduces enhancements to the Personal Income Tax Rebate as part of the SG60 package.

 

Download our commentary now to understand the implications of these updates or email our tax team at [email protected] if you need help on how to maximise your tax position with these latest announcements.

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