The Singaporean government is working around the clock to make the state have better regulations that govern companies. In the same way that they are concerned about the sellers, they are also concerned about the buyers. Thus, they have put forward regulations to protect customers as they buy goods and services from companies in Singapore. Entrepreneurs should clearly understand these regulations to work in harmony with clients and avoid losing business.
Incorporating Your Business
Singapore requires the customers to buy from incorporated businesses to enjoy protection from counterfeit goods and transaction fraud. Therefore, all businesses should be incorporated by the registrar of business in Singapore if they fulfill all of the requirements. They are given a certificate of incorporation and the clients have the right to ask for a copy of it before doing business with you.
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Know Your Customer (KYC)
As an extra precaution to protect customers in Singapore, all companies are required to obtain a KYC certificate. Its main purpose is to protect both customers and companies from losing money through fraud. It also covers other protections. Before obtaining this certificate, here are the requirements that you will need.
Directors’ full names, nationalities, and the proof of these. The experts at one-visa.com will guide you on how to go about using legal documents as they assist you in migrating to Singapore.
- One copy of the certificate of incorporation acquired when registering your business.
- A business profile drawn and approved by the directors.
- A business resolution drawn and approved by the directors.
- Company’s M and AA copies.
Benefits of the KYA Regulations
One thing to know is that Singapore is striving to meet international standards. Therefore, this regulation is in line with the FATF (Financial Action Task Force), which oversees international financial action in different sectors. They combat money laundering by putting forward regulations and enforcing them on companies in the interest of both the seller and buyer.
With this in mind, Singapore companies that obtain KYC certificates feel safe and clients feel confident using their services. It does not matter where the customers are coming from since it is an international standard that must be enforced at all times.
The good thing is that the same task force ensures that the regulations are followed to the letter and companies that do not comply face consequences. This may include being locked from servicing certain customers and not enjoying various money protection benefits.
Who Are the Beneficiaries?
These regulations cover various categories of businesses in Singapore that are prone to money laundering. Here are all those who get to enjoy the benefits of the regulations:
- Corporate businesses
- International companies
- All clients of the covered businesses
Doing business in Singapore is becoming better by the day. As seen from the above insights, both sellers and buyers of both services and goods now feel confident that their transactions and monetary activities are being protected in the right way. What is better is that this is an international task force that makes Singapore open for cross-border business.