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TPCI Collaborates with Singapore’s Monetary Authority for Supporting SMEs
  • Newsletter, Singapore

TPCI Collaborates with Singapore’s Monetary Authority for Supporting SMEs

TPCI Chairman Mohit Singla mentioned, “We are ready with its digital infrastructure and are eager… for leveraging the idea of export promotion using the new-age fintech system”.  It will also help businesses in uploading their data related to demand and supply of their goods. In addition, the platform would accept a trade whenever the demand and supply match between two businesses.

Trade Promotion Council of India (TPCI) recently joined hands with Singapore’s Monetary Authority for hand-holding local SMEs for encouraging their exports. There is a plan to create a new platform to offer various services to small and medium enterprises (SMEs); for example connecting the buyers and sellers from different countries, assisting exporters in tasks like custom clearances, options of financing, and custom advisory.

“It will complete the transaction for the matched trade and includes an applications store for the recommendation and listing of applications providing generic services,” he added.

Singla also said that the platform in the pilot phase would be launched during the upcoming edition of its flagship mega show named Indusfood 2020. Earlier in 2019, the business chambers from India and Singapore started a joint venture through micro, small and medium enterprises (MSMEs) to go to the bigger Southeast Asian markets by finalising this MoU which was signed last week. The MoU inked by the Federation of Indian Chambers of Commerce and Industry (FICCI) and Singapore Indian Chamber of Commerce and Industry (SICCI) would offer training, assistance and facilitation to MSMEs of both countries, along with other businesses to aid in establishing bases and joint collaborations . This will not only promote Singapore company incorporation but entrepreneurs are expected to leverage business startup schemes and grants in Singapore. On the occasion of the MoU signing ceremony held following the India 101: Internationalisation Conference, Jawed Ashraf, India’s High Commissioner to Singapore, mentioned, “Singapore has always been a gateway for India into Southeast Asia, and just think of the opportunities that Singapore’s SMEs can have by being a bridge for Indian companies into Southeast Asia.”

Ashraf also said that India, along with the Monetary Authority of Singapore (MAS) is in the process of creating a new platform named, ‘Business Sans Borders’ that would connect Indian companies through Singapore to the ASEAN.

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How to Establish a Shipping Company in Singapore
  • Article, Singapore

How to Establish a Shipping Company in Singapore

Singapore is one of the world’s leading International Maritime Centre. Therefore, Singapore is a preferred choice of many companies across the globe for setting up shipping or maritime business operations. Singapore is an international maritime hub with more than 5,000 shipping companies that contribute to 7 percent of the country’s GDP. The country ships to more than 600 ports across 120 countries.

Small and medium-sized enterprises (SMEs) may find it difficult to set up a shipping company in Singapore. Therefore, it becomes important for them to understand what legal basics govern the shipping or maritime business in Singapore. Some of the important things to know are:

  • Operation of vessels in and out of port from Singapore
  • Hiring of crew members to work on your vessels abroad
  • Handling of dangerous cargo
  • Use of communication equipment on the ship

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Start-up grants and funding sources in Singapore
  • Article, Singapore

Start-up grants and funding sources in Singapore

Singapore is one of the most attractive places in the world for entrepreneurs to set up a business. Apart from the ease of doing business and low tax rates, what attracts entrepreneurs to Singapore is its multiplicity of financing sources for start-ups. The government in Singapore offers various attractive grants and funding schemes that assist entrepreneurs in raising capital for the early stages of their business

Enterprise Singapore is a government agency supporting the growth of Singapore enterprises. Action Community for Entrepreneurship (ACE) is responsible for driving entrepreneurship and innovation in Singapore. The organisation helps Enterprise Singapore to offer grants to start-ups

Some of the grants offered by the government agencies to start-ups in Singapore include:

SG Founders

Start-up SG Founders scheme offers mentorship and start-up capital grant to new entrepreneurs with innovative business ideas. Enterprise Singapore provides up to S$30,000 by matching S$3 for every S$1 raised by the entrepreneur (3:1 paid-up capital). Accredited Mentorship Partner (AMP) identifies the qualifying applicants on the basis of uniqueness of business concept, strength of management team, feasibility of business model and potential market value. The grant is open to all Singaporeans/Permanent Residents who are first-time entrepreneurs. In addition, the entrepreneur would need to adhere to the following conditions at the time of application:

  • Applicant must hold or propose to hold at least 30% equity in the underlying company.
  • The company must have at least 51% of local shareholding and not be incorporated for more than six (6) months at the point of application to Enterprise Singapore.
  • The entrepreneur must not have registered or incorporated any business entity.
  • The entrepreneur must not have received any grants or funding for the proposed business idea from some other government organisation

SG Tech

Start-up SG Tech scheme offers early-stage funding to local Singapore companies for commercialisation of tech ideas. It aims to offer funds for Proof-of-Concept (POC) and Proof-of-Viability (POV) projects. POC projects can receive grants up to S$250,000 if the project is designed for testing the technical and scientific viability of a new technology. Whereas, POV projects can receive
grants up to S$500,000 if the project is designed for testing the commercial viability of a lab-proven technology.

In order to qualify for the grant, companies must fulfil certain conditions which include the following:

  • The company should be incorporated within the last 5 years.
  • The company should be operating in Singapore.
  • The local shareholding of the company should be minimum 30%.
  • Group annual sales of the company must be less than S$100 million or the group employment size must be less than 200 people.
  • Project must not have
    commenced at the time of application
  • Work should be done by
    the applicant (company), in Singapore, unless otherwise justified


Start-up SG Tech offers grants to companies in the sectors such as biomedical sciences and healthcare, advanced manufacturing and robotics, food science and technology, transport engineering, precision engineering, clean technology and information and communications technologies.


SG Equity

Start-up SG Equityfacilitates start-ups engaged in technology innovation to access funding fromprivate investors. It is a co-investment scheme where the Singapore government co-invests with private investors in start-ups that require notable capital expenditure and may require some time to be commercially viable.

Singapore government will offer 70% funding in an initial investment round of S$250k to the start-ups that are improving existing technologies. At a later stage, it will invest S$1 for every S$1 invested by private investors up to a maximum of S$2 million.

For deep tech start-ups, the government will offer 70% funding in an initial investment round of S$500k. At a later stage, it will invest S$1 for every S$1 invested by private investors up to a maximum of S$4 million.

In order to qualify for the grant, companies must fulfil certain conditions whichinclude the following:

  • The company should be Singapore based and the core operations must be carried out in Singapore.
  • The company should be incorporated as a private limited company within the last 5 years.
  • The company should have a minimum of S$50,000 paid-up capital.
  • The company should not be a subsidiary or a joint venture.
  • The company should have identified a third-party investor who is independent.
  • The company should prove substantial innovative and intellectual property.
  • The company should have the potential for high growth and show its ability to do well in the international market.

The company should not be involved in acts that are against the law or public interest.


SGD Talent

Start-up SGD Talent aims to build a conducive environment for the promising global talent to set up innovative business in the country and for start-ups to attract outside talent.Some of the schemes that are a part of SGD Talent include SME Talent Programme(STP) for Startups, EntrePass and T-Up. Under this grant, 70% subsidy is offered on the stipend paid to the Singaporean/Permanent Resident intern.

In order to qualify for the grant, the entrepreneur must fulfil certain conditions which include the following:

  • The company should have a minimum of 30% shareholding in Singapore.
  • The company should be incorporated in Singapore within the last 5 years.
  • Singapore Citizen/Permanent Resident intern must belong to approved IHL (i.e. ITE, Polytechnic and University)
  • The company must pay the minimum stipend.
  • The entrepreneur must not have more than 50% shares in other business entity.


IMC Group is an associate member of ACE. For any
help regarding availing grants, you may get in touch with us.

E-mail           : [email protected]
Contact        : +65-91269927
Website        : https://intuitconsultancy.com/sg

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Expansion of Family Offices in Singapore
  • Newsletter, Singapore

Expansion of Family Offices in Singapore

The last decade has been good for Asia as wealth has been created at a remarkable pace. This has resulted in the expansion and spurt of family offices in Singapore and Asia which are basically set up to assist the ultra-high net worth (UHNW) families to handle their wealth and also to help organise for the handover of wealth to the next generation.

The Monetary Authority of Singapore (MAS) hinted that between the years 2015 and 2017, the total number of family offices based in Singapore had multiplied four times. Though there is lack of official data which confirms the real number of family offices established in Singapore, the industry has seen a constant and stable growth in the years 2018 and 2019.

Singapore has been one of the preferred private banking and wealth management hubs for families in Asia, and it is thus a natural choice for setting up family offices.

Singapore is also a top choice because of its political stability, its highly educated, professional and efficient work force and a robust financial sector. It is surely advantageous that a good percentage of its proficient workforce has fluency in more than one language. This is because Singapore is a multi-cultural society and the education system there has always laid a lot of stress on its bilingual educational policy. Various UHNW families in this region usually feel more at home and comfortable in Singapore because of its culturally sensitive and global-minded workforce helping them with investment management and also on sensitive subjects like property planning needs.

Though most of the family offices based in Singapore are set up by Asian families, but there are many European and American families also who are opening their family offices in Singapore because they want to use Singapore as a doorway for their investments in Asia.

Service range provided

The main services offered by family offices based in Singapore are usually investment management or financial advisory. Since the growing Asian wealth reaches the inflexion point for inter-generational wealth evolution, many a times family office mandates also involve supporting with consolidating family governance and doing required arrangements to enable a smoother transition.

As the investments range across multiple countries or family members who dwell in various parts of the world, there is a rising consciousness of cross-border tax, legal, and regulatory challenges and for family offices to help the families to have a thorough plan for these matters.

In case where hiring a full-time in-house adviser is not possible or appropriate, then there are many international advisers based in Singapore who can help and guide family officers. Nowadays, family offices also invest a lot of time in arranging data and gathering information for families to comply with the dynamic regulatory and filing requirements internationally.

With regards to the range of investments, certain family offices have a primary task to handle the financial portfolio investments conservatively so as to stabilise the higher risks that they are exposed to in their domestic jurisdiction. However, some other family offices are operated like investment banks and also act as advisers to the chief family members. They assist in giving professional advice on a variety of matters such as how to handle the strategic listed stake in the founding business, find apt business opportunities which could be complementary to the existing businesses or otherwise, and assist in creating joint ventures or other club deals with various strategic partners. Though the family offices are based in Singapore, the several deals and investments they deliberate and do could be anywhere around the globe.

Singapore is an attractive destination to these family offices as it is a conducive place where one can actually expand and grow their business operations. It is reasonably simple to do business in this country, and there is a variety of liberal tax incentives that are available for sectors which the Government is wanting to foster. Proper structuring can usually be done efficiently, gaining from multiple tax and investment treaty networks which Singapore has to offer.

Family offices can also participate in offering a philanthropy advisory service and assisting in developing more well-thought-out and strategic policies for various families and their foundations. Asian families are gradually giving more meaningful amounts to several international philanthropic causes. Family offices enable in bringing a more professional attitude to the philanthropic projects and endeavours of the family. They could also offer administrative support to the family foundations or handle the funds that are donated to the foundations. It is important to note that not all family foundations handled by the family offices based in Singapore have to be registered as a Singapore charity; however, they may be designed to be eligible for such registration if it is advantageous to get registered. Income and profits of a registered charity in Singapore gets a tax exemption and some specific donations can eligible for a very substantial tax deduction of 250 percent for the donor.

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Why Establishing Your Company Office in Singapore Makes Sense for Business in ASEAN
  • Newsletter, Singapore

Why Establishing Your Company Office in Singapore Makes Sense for Business in ASEAN?

Singapore has been a preferred centre for establishing regional headquarters for carrying out business opportunities throughout Asia and ASEAN. The country got the status of a favoured investment hub and business destination in Asia mainly because of its simplified legal and tax procedures and because it’s one the most investor and business-friendly places in the world. Also, its financial system is very integrated with global financial markets, which acts as a bonus for company formation in Singapore.

This business setting has helped global investors to take benefit of Singapore’s approach to some of the biggest combined free trade sectors through ASEAN, including ASEAN-Hong Kong, ASEAN-China, and ASEAN-India free trade agreements (FTAs).

However, there are several other factors that help in making Singapore one of the best places for firms that want to start their business operations in the region.

Easy and well-organised set up process

If you are wondering on how to start a business in Singapore, you must know that the business processes and legal regulations in the country are quite easy and transparent, which means that most of the information that any business might require is usually available online. Hence, it becomes easier for global decision-makers to know more about the domestic market when they decide to enter it.

Businesses who have decided to set up their office here can use Bizfile, which is an electronic filing system combining all the tax and business needs in a single form, thus lessening the need to spend extra time and effort at various service centres. Bizfile is handled by the Accounting and Corporate Regulatory Authority (ACRA), which is the statutory body accountable for the supervising new companies getting formed in Singapore.

Another benefit is that the effort, cost and time spent in setting up in Singapore is comparatively lesser. Foreign entrepreneurs can pay US$254 (S$300) to register a company through Bizfile and it costs about US$10 (S$15) for registering the company’s name. The good part is that usually the applications are processed on the same business day; but, the process can also take anywhere between 14 days to two months if they are to be reviewed by any government agencies.

The well-organised and cost-effective nature of corporate set up in Singapore has amounted to over 37,000 global companies and almost 7,000 multinationals working in the country. This is also one of the reasons why the city-state is always positioned among the top three economies world-wide and in the Ease of Doing Business report.

Favourable tax environment

Singapore’s positive tax regime is globally recognized for permitting entrepreneurs and businesses to enjoy low tax rates and various types of tax relief – via incentives, exemptions from specific incomes and comprehensive tax treaty networks.

Singapore’s corporate tax regime is supposedly one of the most attractive and best in Asia. Entrepreneurs can take benefit of the flat 17 percent corporate income tax rate for any profits they make over S$300,000 (US$217,000) and it is 8.5 percent for profits that go up to S$300,000 (US$217,000).

Additionally, as the Singaporean tax system functions on a territorial basis, businesses are not taxed on most of the globally-sourced incomes (like incomes from dividends or from branch profits) that are sent into Singapore; as long as they are paying tax in the source country at a rate of minimum 15 percent. Another benefit is that there is no capital gains tax in the country.

Robust DTA and FTA networks

One of the major advantages of setting up a holding company in Singapore is the country’s network of 24 FTAs and 85 double taxation agreements (DTAs).

There are mainly two types of DTAs operational in Singapore – comprehensive and limited. Comprehensive DTAs include all income types and permit exchanging of tax information; however, restricted DTAs cover income which is derived from shipping and air transport.

These DTAs also comprise treaties done with ASEAN’s 10 member states, which are, Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam; thus offering companies with a better competitive edge while entering this market.

Besides, this country also boasts of exclusive access to the biggest combined free trade sectors due to its multiple agreements with ASEAN and its FTAs with countries such as China, India, Hong Kong, and the EU. Singapore is also in the process of negotiating new FTAs in collaboration with the Eurasian Economic Union (EAEU) and Pacific Alliance-Singapore.

Singapore – an easy entry into ASEAN

Singapore is well-positioned to assist the investors to steer through the challenges and newer opportunities offered by ASEAN markets. For example, its effective setup processes, integrated supply chains and competitive tax environment have enabled Singapore to move ahead of conventional holding locations in the region, like Malaysia, and give competition to well-established international investment centres such as Hong Kong.

But there are many softer factors that place Singapore as one of the best and ideal places for companies that want their regional headquarters to grow and expand into ASEAN and Asia.

People of this country share multiple cultural and linguistic connections along with ASEAN members, while English is their main working language. Its highly-skilled and professional workforce is armed to act as an intermediary for investments coming in Asia while communicating to the best of their ability with global investors.

Singapore’s significance as a management hub for getting into the ASEAN markets is now growing in importance, more than ever.

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7 Tips for Women Who Wish to Start A Business
  • Article, Bahrain, India, Oman, Saudi Arabia, Singapore, U.A.E

7 Tips for Women Who Wish to Start A Business

These days, women have loads of opportunities and the required abilities to start a business – be it full-time or part-time. Social media has also helped in changing the perception and women these days are taking the risks and becoming entrepreneurs.  There are many women who are also quitting their full-time jobs and starting their own ventures. So if you’re also thinking of starting your own enterprise but confused about how to go about starting it, then read on. We have collated seven tips for you, which would help you to kick-start your business.

1. Prepare an impressive pitch:

The first step before you start talking to your network or looking for investors, you must prepare a good pitch. You should know which product you are selling and why a customer should spend their money on it? So do you know what an elevator pitch is? Your pitch should be such that it is impressive yet not long. It should be crisp and something that grabs your attention quickly. It should also be something that enables people to understand your product or service and how the customers would be benefitted using it. Think of how your product is filling the gap in the market and giving what has been lacking.


2.  Study your market in detail:

After the sales pitch, do a detailed study on the customer base, that is, who will buy your product or service. What’s the size of your customer base? Are you targeting a niche customer base or generic one? Find answers to these questions first and then decide to present your idea to your potential investors.


3. Upskill yourself on financial aspects and knowledge:

Before making a sales pitch to investors, you must be confident with numbers, financials and data. Managing a business is not possible without mastering the financials of your venture; in fact your data and numbers should be on your fingertips. In case you’re not so confident about the financial aspects, you must upskill yourself and learn this from someone experienced and good at it. You should have answers to questions such as “What are the capital requirements of your business over time?”; “What are your gross margins?”; “What’s the time frame you are looking at for a break-even?” etc.


4. Don’t think twice and ask for help if needed:

You should not hesitate to look for help and advice in case you are have any doubts in how to set up your business. In this, networking is a very critical skill that should have so as to flourish in the entrepreneurial world. You must confidently tap into your network of acquaintances and friends, which is crucial to run your own business.


5. Have a useful board of advisers:

Having a board of advisers in an early stage in your company could really benefit your company’s image. While deciding the board members, make sure that you pick experienced people who can act as trusted advisers in your venture. These investors can advise you in all decision-making process and could even take you to your initial customers. So to start with, check and invite individuals from your own network who might have relevant experience. After deciding the board members, you could plan in-person or even virtual meetings on a periodic basis for discussing important issues.


6. Create a hiring roadmap:

Make a list of people you will require in your company in the coming 1 year or so and then start finding and hiring them. These people could be working with you full or part time or could be working for equity till the time you get some funding.


7. Work harder and faster than others!

Last but not the least, get ready to work harder than your competitors, or what you have done earlier. Do you know that most of the small business owners or entrepreneurs put in over 60 hours every week? Also, be ready for the inevitable failures or setbacks. It’s all part of the game. You must also not ponder too much and delay making the decisions, as others might launch the same product or service before you.

So, starting your own venture might have multiple challenges but if you keep these tips in mind, you’re surely off to a great start!

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Singapore Is Ranked as World’s Most Competitive Economy
  • Article, Singapore

Singapore Is Ranked as World’s Most Competitive Economy

While the world’s economy is facing downtrend and going through a bumpy ride, Singapore has been ranked as the world’s most competitive economy. As per an updated global league table, Singapore has beaten the top economies across the globe to become the most competitive economy. The Global Competitiveness Report series provides an annual assessment of long term economic growth and drivers of productivity.

Singapore beats the United States of America to emerge at the top spot in the ranking of 141 economies. The last time the country took the top spot in the rankings was in the year 1999. Singapore scored 84.8 out of 100 and secured the top spot. The US scored 83.7 in comparison to last year’s score of 85.6. The US lost the top spot due to uncertainties and effects of trade war

Current Year Ranking

EconomyLast Year Ranking
1Singapore2
2United States Of America1
3Hong Kong7
4Netherland6
5Switzerland4
6Japan5
7Germany3
8Sweden9
9United Kingdom8
10Denmark–


As per the report, the performance of Hong Kong improved and it rose four spots to claim the third place. This report is prepared on the basis of responses received in the first quarter of the year i.e. before the political turmoil began in the country. The report appreciated Hong Kong’s macroeconomic stability and financial system. The Netherlands jumped two spots to fourth place and Switzerland fell by one place.

According to the statement from the World Economic Forum, “Singapore improves from an already high base. The country is ranked first for infrastructure – one of the index’s 12 assessment pillars.” The country is also ranked number one for two other index pillars; labour markets and citizen’s healthy life expectancy years.

The Minister for Trade and Industry Chan Chun Sing said that the top rankings of the country reflect the strong fundamentals of Singapore’s economy which keeps it ahead of its competitors. He also added that even after topping the rankings charts, the success shall not be taken for granted. He said that the country must persevere to remain ahead in the world that is full of economic uncertainties and equip the country’s workers with right set of skills to remain competitive.

According to the report, Singapore ranks third when it comes to skillsets for the current workforce and 28th when it comes to skills of the future workforce. When it comes to market efficiency, financial stability and financial system, the country scores really well. The report further stated that Singapore is behind only Finland when it comes to the quality of public institutions. The report said that the country lacks commitment to sustainability and ranks 124th on the Freedom of the Press Index.

The report highlighted that if Singapore aims to become a global innovation hub it needs to promote entrepreneurship. The country ranks 93rd when it comes to hiring foreign labour and it needs to be improved.

CIMB Private Banking economist Song Seng Wun gave a statement that the number one ranking in terms of world’s most competitive economy showcases the will power of the policymakers in Singapore who aim to make the country the most preferred place to do business. However, he further added that Singapore needs to learn to work with the constraints that surround it.

Mr. Song gave the example that a small population of 5.6 million in Singapore has attracted top technology companies like LinkedIn, Facebook, Google, etc. to set up their offices in the country. But the local talent of the country may not provide them enough expertise which they require. This is the gap that needs to be filled between the current and future workforce through learning.

Lawrence Loh, National University of Singapore Business School’s Associate Professor said that Singapore is a global investment hub and it helped the economy get the top rank.

Another reason for the rise of Singapore as the most competitive economy is the slide in the performance of US. The report stated that “even after the weaker performance by US this year, it is still the most competitive economy of the world. US is still the top place for business dynamism and second in terms of innovation capability pillar”.

There is absolutely no doubt that Singapore is the top country to set up the business. If you are looking for company formation in Singapore, you can contact IMC Group. We provide expert assistance in setting up various types of companies in Singapore. In addition, we assist every registered company by providing them accounting services in Singapore. For more information, you can get in touch with IMC Group.

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What are the Essentials for Incorporating a Company in Singapore
  • Newsletter, Singapore

What are the Essentials for Incorporating a Company in Singapore?

Singapore is a thriving market to set up a new business in; however you should ensure that you are aware of all the obstacles you might face in this process and know minute details of how to start a business in Singapore.

For companies who are wanting to expand their operations in the Asia Pacific region, Singapore happens to be an attractive and top choice. It is known for the ease of doing any business, attractive tax rates and related incentives, availability of skilled workforce, country’s stability and steady economic growth. So, if you are thinking of setting up your company there, the first step should be to get the incorporation process right from the start, thus, avoiding any delays that could cost a lot.

The key steps to incorporate a company in Singapore

There are three key steps for company formation in Singapore.

1.Name reservation: This can be done in just an hour or so, if you have an approved name reserved for four months starting from the application date (please note that no extension to this time period is allowed). To avoid any chance of rejection, it’s best to check the Accounting and Corporate Regulatory Authority’s (ACRA) database first to avoid identical names to any existing companies. In case your company is a part of some group, then a letter of appeal has to be submitted for using a similar naming to the other group companies, though the appeals process can end in a delay of up to two months. Same kind of delays could be incurred in case the name has certain words like ‘bank’, ‘law’, ‘finance’, ‘school’ and ‘media’ as other government authorities would be required to approve the use of the term. You would then need to submit all the details of the directors and shareholders when you apply for a name, so you should have already decided this.

 

2.Appointment of a minimum of one resident director:The director should be at least 18 years of age, of full legal capacity and must be a permanent resident, a Singapore citizen, and an Employment Pass holder (EP) or Entry pass holder, though an EP has to first get a letter of consent from the Ministry of Manpower prior to becoming a company director. This individual should also not have been disqualified anytime previously from acting as a director.

Company registration process: The application can be submitted through the ACRA online filing system. After submission of your registration documents, an instant approval from ACRA would be given to you through an email and the incorporation procedure would usually be effective on the same date. In some exceptional cases, ACRA might perform random background checks specifically on the information submitted during company registration process, which could further delay the registration by around two months. A company might opt for a preferred registration number out of a list of reserved registration numbers, which comes for a fee. This can be done during the company’s incorporation or registration. ACRA would offer a complimentary business profile after they incorporate the company.

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Things You Must Know About Accounting and Bookkeeping Services
  • Article, Singapore

Things You Must Know About Accounting and Bookkeeping Services

Often people use the term bookkeeping services and accounting services interchangeably. But in reality, they both are different altogether. In fact, both these services have different scopes and implications. In this article, we will explain the difference between these two terms which will help you better understand these services.

Let us first learn the meaning of bookkeeping services.

Meaning of Bookkeeping Services

Bookkeeping services is the activity of maintaining and recording financial transactions in an accurate and systematic manner. The focus of bookkeeping services is to maintain the financial records of the company and report them for further accounting services. Bookkeeping services involve making journals and ledgers.

Let us now learn the meaning of accounting services.

Meaning of Accounting Services

Accounting services have a much wider scope than bookkeeping services. The accounting services involve recording and reporting of the financial affairs of the company for a particular time period. It involves preparation of balance sheet, profit and loss statement and cash flow statement. With these services, a business can know the financial position of the company. This service can be outsourced to a reputed firm who has the required experience and expertise. IMC Group is one such organisation that leads the market in providing outsourcing finance and accounting services.

Let us now learn the major differences between a bookkeeper and an accountant.

Differences between a Bookkeeper and an Accountant

An accountant is a person who has the expertise and knowledge of the accounting process. The job of an accountant is very complex in nature and requires special analytical skills. The accountant must hold at least a bachelor’s degree. An accountant becomes a Certified Public Accountant if he has passed a higher level examination of CPA. On the other hand, a bookkeeper is one who has the basic knowledge of accounting and has taken several accounting courses. The basic responsibilities of the bookkeeper include collecting financial statements, balancing the accounts, reconciling the figures, etc. Bookkeeper’s job is mechanical in nature and it does not require any special skills.

The accountant verifies the data collected by the bookkeeper and analyses the performance of the company. Even though the job of bookkeeping and accounting are totally different yet there are some similarities between the two. In this section of the article, we will learn about the similarities between accounting and bookkeeping.

Importance of Bookkeeping in Accounting

The bookkeeper collects and records all the data of a financial transaction. The duties of the bookkeeper make the job of an accountant easier and simpler. The accountant gets the financial transactions in an organised manner and the work of accounting can be done with ease. The bookkeeper collects data from all the departments of the company and the accountant verifies the data. The major decisions of the company are taken after the outcome of verification and analysis of the bookkeeping data by the accountant. Therefore, the job of bookkeeping is very important for any business to be successful in the long run.

Let us now learn about the responsibility of the bookkeeper and accountant.

Responsibility of Bookkeeper and Accountant

The main job of the bookkeeper is to maintain and record the financial transactions on the basis of single entry, double entry and virtual bookkeeping system. On the other hand, the responsibility of an accountant is diverse. An accountant has a wider job scope that involves not just financial accounting but also management accounting, cost accounting, responsibility accounting and HR accounting.

Looking for Accounting and Bookkeeping Services?

IMC Group is one of the leaders in providing accounting and bookkeeping services in Singapore. Every company that is registered in Singapore has to comply with the Singapore Companies Act and maintain financial records accordingly. We at IMC Group, fulfil all your needs by maintaining proper books of accounts and meeting all the compliances on time. By hiring us for accounting and bookkeeping services you not only save your money but also get an expert opinion on various financial matters. Our services assist you in focusing on the core competencies of the business and you can work with increased efficiencies. To avail our services, you can contact us via email and know our quotation. We will be glad to serve you.

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Singapore to Ink free trade agreement with Eurasian Economic Union
  • Article, Singapore

Singapore to Ink free trade agreement with Eurasian Economic Union

Singapore, one of the leading Asian economies is all set to sign a free trade agreement with the Eurasian Economic Union (EAEU) in October 2019. The news is confirmed by Veronika Nikishina, Minister of Trade of the EAEU at the Far Eastern Economic Forum. With this move, Singapore will become the second ASEAN (Association of Southeast Asian Nations) after Vietnam to sign such a deal.

The EAEU is the international organization for regional economic integration. It is a free trade area. Many other countries like Armenia, Belarus, Kyrgyzstan, Kazakhstan and Russia also enjoy free trade with the EAEU. The combined gross domestic product (GDP) of EAEU is approximately US $ 5 trillion. Moreover, the EAEU countries represent a market of around 183 million people which works in its advantage.

The EAEU is strategically located between the European Union and China facilitating easy transport of goods between the two countries i.e. China and Europe. Last year China inked the free trade agreement with the EAEU; however, it was a non-preferential agreement. The negotiations are in line between China and EAEU over tariffs on goods. Once the deal is crystallised, there will be a considerable expansion of trade between China and Russia and goods transport between China and Europe. With this news, Moscow and Beijing have expressed their desire to increase their current bilateral trade volume to US $ 200 billion in the coming four years.

The free trade agreement between Vietnam and EAEU has also seen a boost in bilateral trade with Russia from nil to approximately US $ 250 million per annum within a period of two years. According to the Deputy Prime Minister of Vietnam, the free trade agreement is expected to liberalise next year with additional categories in textiles and agriculture.

Singapore being a hub of financial services in Asia and ASEAN, it is expected that the free trade agreement will include the provisions for financial and related items.

Many other countries including Egypt, Turkey and Serbia are also negotiating with the EAEU to sign the free trade agreement. This further pushes Russia closer to the Asian markets of China and Southeast Asia. The Asian market is likely to see an increase in Russian investment.

For Russian businesses who are eyeing to develop throughout ASEAN and the emerging markets of Indonesia, Philippines, Malaysia, Vietnam and Thailand, Singapore acts as an excellent regional base. Moreover, the ASEAN economies are showing positive GDP growth which further attracts investments into the region.

As per the latest communication from the Russian trade office in Singapore, no official statement has been given on the date of signing of the free trade agreement. But as per the media reports, the free trade agreement between Singapore and EAEU will be signed on October 1.

In the initial phase, the free trade agreement is anticipated to deal with trade in goods and commodities and will not accommodate financial services.

About Us

IMC Group is a leading cross-border advisory firm focusing on AMEA (Asia, Middle East and Africa) markets. If you are looking for company formation in Singapore, you may get in touch with us. Along with Singapore company incorporation, we also offer accounting and business consulting services across the globe.

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