International trade structure

The international trade structure is a commonly used trade company model.

This model means that an individual or institution, in the form of a sole proprietorship or joint venture, establishes a company in Singapore. They then cooperate with manufacturing countries and companies importing countries, in order to achieve global free trade, international settlement, tax optimization and other purposes.

Characteristics:

• Can enjoy preferential policies from both manufacturing and importing countries
• Utilize Singapore’s financial platform
• Limited liability system, shareholders only bear limited liability for their own investment
• The company is an independent legal entity
• Accounts can be opened and operated offshore
• Ease of managing the company
• Enjoy Singapore’s tax policy
• Shareholder dividends are not taxed twice
• Exemption from audit if at least two conditions are met
  • The annual turnover of the company is less than S$10 million
  • The total assets of the company are less than S$10 million
  • The number of employees in the company is less than 50

For:

• Cross-border trade
• International settlement
• Regional Trade Management
• Internationalization of the enterprise

Please consult FOZL for more information.