Ask ten founders what a company secretary actually does and eight of them will tell you something about paperwork, which is vague. That is not a bad answer but as full a one as to call a chef a handler of food. The Companies Act in Singapore provides that a corporate secretary should be appointed in every incorporated company, and the time frame is six months following incorporation. No extension, no grace in case you just forgot. This is implemented by ACRA, and their punishments come without much understanding of time constraints. To stay compliant with ACRA regulations, view details of company secretary service singapore packages.
The area of work is beyond what most individuals plan on at a mental level. Registers must be kept up to date – directors, members, share allotments, charges. They are filed with ACRA on a regular cycle every year. Board resolutions must be well drafted and documented. AGMs require preparation and correct minutes. Background tracking of a variety of regulatory requirements is on-going. Missing one, and you are face to face with late filing fines that increase with time delay. All this is monitored by an effective corporate secretary in order that you do not have to put it in your head as you attempt to manage a business.
The quality of providers differs drastically, and price is not all that will inform you of what type of provider you are hiring. Budget services include regular filings and no further. Change anything that is not common place, which can be a change of director, a share transfer, a request to a regulatory agency and all of a sudden you find yourself paying more or taking more time than the context permits. The upper-level providers are more of an advisor. They bring problems into the fore before the problems become issues. Hey, by your proposed share restructure, here’s some additional information that you will need to consider before you can go ahead with it, you see in there is some real money tied up even though it never appears on a line of an invoice.
The average annual charges of corporate secretarial services in Singapore are about S$300 to S1500. The size of the company, the amount of business you are transacting, and the extent to which your situation is hand-holding all drive the figure within that range. Other providers bundle secretarial with accounting and tax compliance, and that makes the administration much easier. When comparing quotes, do not focus on the headline figure, but inquire what is really included when something out of ordinary arises.
The following is where it is seldom said bluntly the corporate secretary is usually the first one to realise that something structural is quietly going astray. A share structure that causes problems with raising funds in the future. A provision in the constitution that does not represent the way the company operates any more. A missed duty that has been evading the eye in two years. Good ones pick these things up early and say something. That is what makes the difference between a service provider and someone who actually is back of you – and in the compliance environment of Singapore, the difference makes a difference than most founders may think before it actually costs them.