- Most consultants register a Pte Ltd; a sole proprietorship suits testing an idea
- ACRA charges S$300 to register a company, plus a S$15 name application fee
- Most consulting needs no licence; recruitment and financial advice are regulated
- GST is compulsory above S$1m taxable turnover; voluntary means regular returns
How to start a consulting business in Singapore takes six steps: choose a structure (usually a Pte Ltd), appoint a resident director and company secretary, register with ACRA (S$300), check whether you need a licence, open a business account, and set up bookkeeping, tax and GST. Most consulting needs no licence; recruitment and financial advice are the main exceptions.
This guide is for founders who want to start a consultancy in Singapore, whether you are already freelancing and need to formalise, or you are about to begin. You can incorporate your consultancy online, but it helps to understand each step first so you register correctly and stay compliant.
What counts as a consulting business in Singapore?
A consulting business sells expert advice, rather than products, to other organisations or individuals.
- Management, strategy and operations advice, such as business planning and process improvement
- HR, IT and marketing consulting for companies that lack in-house expertise
- Finance, sustainability and specialist technical advice for a particular industry
Most of these need no special approval, but a few advice areas are regulated, as the licensing step below explains.
Sole proprietorship or Pte Ltd for consultants: which should you choose?
Most consultants choose a Pte Ltd because it is a separate legal entity, but a sole proprietorship is a reasonable way to test an idea. The table compares the two. For a deeper look, read our guide to sole proprietorship vs Pte Ltd.
| Sole proprietorship | Pte Ltd | |
|---|---|---|
| Best for | Testing an idea with low overhead | Building a lasting consultancy |
| Liability | You and the business are legally the same, so you are personally liable | The company is a separate legal entity from you |
| Tax | Profit is taxed as your personal income | Company profit is taxed at 17%, with exemptions for new companies |
| Credibility with corporate clients | Some clients prefer to contract with a company | Clients contract with a registered company |
| Ongoing compliance | Lighter, with fewer filings | Annual filings, a company secretary and accounts |
A sole proprietorship is cheap and quick to run, so it works for a first few projects while you test demand. Once you sign larger contracts or take on clients who expect a company, a Pte Ltd is usually the safer base.
The company tax rate is on the IRAS corporate tax rate page, and the director and secretary rules are on ACRA’s director and secretary page.
How do you start a consulting business in Singapore?
1. Choose your structure
The choice of sole proprietorship or Pte Ltd for consultants mostly comes down to liability, and liability matters more for advice-based businesses than for most. If a client claims your advice cost them money, the claim stays with the company in a Pte Ltd, rather than reaching your personal assets. A sole proprietorship offers no such separation.
Many consultants add professional indemnity insurance as another layer of protection against client claims.
If you are not sure yet, you can start as a sole proprietor and move to a company later, but you will then need to set up the new entity and move your contracts over.
2. Appoint directors, shareholders and a company secretary
ACRA requires at least one director who meets local residency rules. A company secretary must be appointed within six months of registration, and cannot be the sole director. If you are an overseas founder, a nominee director can meet the residency requirement.
The company secretary keeps your statutory records and helps you meet filing deadlines, so choose someone reliable. Many founders use a corporate secretary provider for this.
3. Register with ACRA
You register through Bizfile. ACRA’s registration fee is S$300 to register a company, and you reserve the company name first. Our walkthrough on how to register a company with ACRA covers each screen.
Before you apply, have these ready: the company name you want, the identity details and addresses of each director and shareholder, a Singapore registered address, and a description of what your consultancy does.
4. Check whether you need a licence
Most consulting needs no licence, so there is no consulting business licence in Singapore to apply for in the usual case. Two exceptions come up often: recruitment and placement work needs an employment agency licence from MOM, and financial advice is regulated by MAS. Legal advice is also regulated.
- Recruitment or placement: read starting a recruitment agency.
- Financial advice: read about the licensing of financial institutions.
- Anything else: use our guide to licences and permits and check GoBusiness Licensing before you start.
5. Open a business account
Keep client money separate from personal money from day one. It makes your books cleaner and your tax filing easier, and it keeps client payments clearly traceable. You can open a business account online once the company is registered.
Choose a business account that fits how you are paid. Consultants often invoice in more than one currency, so check the fees for receiving and converting foreign payments before you commit.
6. Set up bookkeeping, tax and GST
Companies pay corporate tax at 17%, on the IRAS corporate tax rate page. New companies may also qualify for the start-up tax exemption in their first three years of assessment, which exempts 75% of the first S$100,000 and 50% of the next S$100,000 of chargeable income, subject to conditions.
GST registration is compulsory once taxable turnover is above S$1 million, either for a calendar year or when you expect it in the next 12 months, per the IRAS GST registration thresholds. Below that level, consultant GST registration in Singapore is optional, so weigh it carefully using our guide to voluntary GST registration.
Keep your invoices, contracts and receipts organised from the first month. IRAS record-keeping requirements require you to keep business records for at least five years, so a simple filing system now saves time at tax season.
A Pte Ltd also has yearly obligations to ACRA. You must hold an AGM and file annual returns, with the AGM due within six months of your financial year end. A private company can skip the AGM if it sends its financial statements to all members within five months of year end, but the annual return is still due. Your company secretary normally tracks these deadlines and prepares the filings, which is why choosing a reliable provider matters.
Need help setting up your consulting company?
Sleek’s business setup services cover the whole setup in one flow:
- Company incorporation with ACRA
- Corporate secretary and registered address
- A business account for your consultancy
- Accounting and GST support after you register
Overseas founders can read about incorporation for foreigners.
What is the cost to start a consulting business in Singapore?
The cost to start a consulting business in Singapore has a few fixed government fees and some costs that vary by provider. The table shows each component, with sources where the fee is set by a regulator.
| Cost item | Amount | Source or note |
|---|---|---|
| ACRA company registration | S$300 | ACRA registration fee |
| Company name application | S$15 | ACRA service and transaction fees |
| Company secretary, registered address and accounting | Varies by provider | Compare quotes line by line |
| Professional indemnity insurance | Varies by cover | Depends on your risk and client contracts |
The S$15 name application fee is listed on ACRA’s fees page. For the full breakdown, including secretary and address costs, see our guide to company registration cost. We do not add these up into one total, because the variable items depend on the provider you choose.
How long does it take to register a consulting company in Singapore?
Most registrations are approved soon after payment, according to ACRA’s processing times. Complex applications can take up to 15 working days, and applications that need approval from a referral authority can take 14 to 60 days.
A clean application with a simple business activity is the fastest route. Plan for the longer timelines if your activity needs sign-off from another authority, and register before you promise clients a start date.
What mistakes should you avoid when setting up your consultancy?
- Choosing a sole proprietorship when you need liability protection. A client claim then reaches your personal assets.
- Mixing personal and business finances. It muddies your books and makes tax filing harder.
- A Pte Ltd must file annual returns with ACRA every year, even with no revenue, and late filing can lead to penalties for the company and its directors.
- Registering for GST without weighing the admin. Voluntary registration commits you to regular returns, so be sure the benefit is worth the extra work.
- Skipping your website and lead generation plan. A registered company with no pipeline will not pay its own costs.
How do you get your first consulting clients?
Registration is only the start. Early clients usually come from people who already know your work, so make it easy for them to find, trust and refer you.
- Create a simple one-pager covering your services, who you help and how to reach you.
- Polish your LinkedIn profile so your title matches your services, and share useful tips.
- Offer a free discovery call or audit to lower the barrier for new leads.
- Ask for testimonials early, even from pilot or unpaid clients.
- Join platforms and communities such as Clutch, Upwork and local business groups.
As you start a consultancy in Singapore and the leads arrive, learn how to price your consulting fees. For more guides, browse Sleek resources.
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FAQs on how to start a consulting business in singapore
Do I need a licence to start a consulting business in Singapore?
Most consulting work, such as management, HR, marketing or strategy advice, needs no licence, and there is no separate consulting business licence in Singapore to apply for. Recruitment or placement needs an employment agency licence from MOM, and financial advice is regulated by MAS. Check GoBusiness Licensing if you are unsure about your service.
Can a foreigner start a consulting business in Singapore?
Yes, a foreigner can start a consultancy in Singapore, but the company needs at least one director who meets ACRA’s local residency rules, and foreign pass holders should check with MOM or ICA before accepting a directorship. Many overseas founders appoint a nominee director. If you plan to move to Singapore to run the company, you will also need a work pass.
What documents do I need to register a consulting company in Singapore?
You need identity details and addresses for each director and shareholder, the approved company name, a Singapore registered address and your main business activity. ACRA also requires the consent of each person appointed, including the company secretary. Your provider can prepare these for you.
Is consultant GST registration in Singapore compulsory?
No, unless your taxable turnover is above S$1 million. Below that level you can register voluntarily, but you then file regular GST returns. Register only if the benefits outweigh the extra admin for your clients and cash flow.
Do I need a company secretary for my consulting company?
Yes. A Pte Ltd must appoint a company secretary within six months of registration, according to ACRA. The secretary must be a real person who meets local residency rules and cannot be the sole director.
