Why New Zealand Business Owners Should Consider Setting Up a Company in Singapore

Koh Management
Aug 13
5 min read

In today’s competitive global marketplace, business owners are constantly seeking opportunities to expand internationally, optimise tax efficiency, and access new markets. For New Zealand entrepreneurs, Singapore has emerged as one of the most attractive destinations for establishing a company. Known for its stable political environment, business-friendly regulations, and strategic position in Asia, Singapore offers unique advantages that align perfectly with the growth ambitions of New Zealand businesses.

This article explores the reasons why New Zealand business owners should seriously consider setting up a company in Singapore, covering strategic, financial, and operational benefits.

1. Strategic Location and Gateway to Asia

One of Singapore’s greatest strengths is its strategic location at the crossroads of major shipping and air routes. Situated in the heart of Southeast Asia, it serves as a natural gateway to the 10-member ASEAN region—home to over 650 million people.

For New Zealand companies, this translates into:

Proximity to Emerging Markets – Singapore provides easy access to high-growth economies like Indonesia, Malaysia, Vietnam, and Thailand.
Efficient Logistics – Changi Airport is consistently ranked among the world’s best for passenger and cargo services, while the Port of Singapore is one of the busiest in global trade.
Time Zone Advantage – Singapore’s time zone allows New Zealand businesses to overlap work hours with Asia, Australia, and even parts of Europe.

By setting up in Singapore, New Zealand businesses can operate closer to suppliers, distributors, and customers in the region.

2. Strong New Zealand–Singapore Economic Ties

New Zealand and Singapore enjoy a strong economic relationship, reinforced by multiple trade agreements:

New Zealand–Singapore Closer Economic Partnership (NZSCEP) – Reduces trade barriers and promotes bilateral investment.
Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) – Both countries are members, enhancing market access across the Asia-Pacific region.
Regional Comprehensive Economic Partnership (RCEP) – Creates the world’s largest trade bloc, with Singapore as a central hub.

These agreements make it easier for New Zealand companies in Singapore to trade within Asia, benefiting from lower tariffs and simplified customs processes.

3. Attractive and Competitive Tax Regime

Singapore’s tax system is a major draw for foreign entrepreneurs:

Low Corporate Tax Rate – A flat 17% corporate tax rate, compared to New Zealand’s 28%.
Tax Exemptions for Start-Ups – Eligible new companies enjoy partial or full exemptions on the first SGD 200,000 of chargeable income for the first three years.
No Capital Gains Tax – Profits from the sale of assets or shares are not taxed.
No Withholding Tax on Dividends – Profits can be repatriated to shareholders without additional taxes in Singapore.
Territorial Tax System – Foreign-sourced income not remitted into Singapore is generally tax-free.

This competitive tax framework allows New Zealand businesses to reinvest more profits into growth.

4. Ease of Doing Business

Singapore consistently ranks among the top countries for ease of doing business. Factors contributing to this reputation include:

Quick Incorporation – A company can be registered within 1–2 working days.
Minimal Bureaucracy – Clear regulations and efficient government agencies reduce administrative delays.
Transparent Legal Framework – Based on English common law, making it familiar to New Zealand business owners.

This efficiency means New Zealand entrepreneurs can focus more on running their business rather than navigating complex regulatory processes.

5. Skilled and Multilingual Workforce

Singapore’s workforce is highly educated, skilled, and diverse:

Multilingual Talent – English is the main language for business, but many Singaporeans are also fluent in Mandarin, Malay, or Tamil, offering an edge in regional dealings.
Sector Expertise – Strong talent pools exist in finance, technology, logistics, healthcare, and professional services.
Immigration Policies for Skilled Talent – Work pass schemes make it easier to bring in foreign talent where necessary.

For New Zealand companies, this means having access to the right people to drive growth in the Asian market.

6. Strong Intellectual Property (IP) Protection

Singapore is a recognised leader in IP protection in Asia:

Efficient Registration – Faster processing for trademarks, patents, and copyrights.
International Treaties – Membership in treaties like the Madrid Protocol and Patent Cooperation Treaty facilitates multi-country IP protection.
Pro-Business IP Laws – Robust enforcement against infringement, offering confidence to innovators and creators.

New Zealand companies in technology, creative industries, and R&D can be assured their innovations are safeguarded.

7. Access to Funding and Investment

Singapore’s financial ecosystem is one of the most advanced in the world:

Venture Capital & Private Equity – Numerous funds operate in Singapore, seeking promising companies to invest in.
Government Grants and Incentives – Schemes like the Enterprise Development Grant (EDG) and Market Readiness Assistance (MRA) Grant support business growth and overseas expansion.
Strong Banking Infrastructure – World-class banking services simplify international transactions and financing.

New Zealand companies in Singapore can tap into a diverse pool of funding sources for regional expansion.

8. Political Stability and Pro-Business Governance

Singapore’s stability is one of its most attractive features:

Consistent Economic Policies – Long-term planning ensures a predictable business environment.
Low Corruption – Ranked among the least corrupt countries globally.
Efficient Public Services – Fast processing for permits, licences, and approvals.

For New Zealand companies seeking a secure base for Asian operations, Singapore offers reliability and certainty.

9. Industry-Specific Opportunities

Certain sectors offer particularly strong opportunities for New Zealand companies:

Food & Beverage (F&B) – Demand for high-quality New Zealand produce, wine, and dairy is strong.
Education & Training – Singapore values international education providers and training services.
Technology & Innovation – Opportunities in fintech, AI, cybersecurity, and green tech are expanding.
Healthcare & Wellness – Growing demand for medical technologies and health products.

By aligning with Singapore’s industry priorities, New Zealand companies can find fast-growing niches.

10. Singapore as a Regional Headquarters

Many multinational companies choose Singapore as their Asia-Pacific headquarters for good reason:

Centralised Management – Singapore offers a strategic location for overseeing regional operations.
Regional Talent Hub – Ability to recruit staff from across Asia.
Connectivity – Direct flights to major Asian, Australian, and New Zealand cities.

For New Zealand companies, setting up in Singapore can serve as a stepping stone into other ASEAN markets.

11. Pathway to ASEAN Expansion

Singapore’s network of free trade agreements and proximity to key markets make it an ideal launchpad for ASEAN expansion:

Reduced Tariffs – Through ASEAN Free Trade Agreements.
Simplified Market Entry – Singapore-incorporated businesses often enjoy better market access in Asia than foreign entities operating directly from New Zealand.
Regional Branding – Being based in Singapore enhances credibility with Asian partners and customers.

12. Practical Considerations for Incorporating in Singapore

While incorporation is straightforward, New Zealand business owners should be aware of certain requirements:

Appoint at least one local director – A Singapore resident or permanent resident.
Register with ACRA – The Accounting and Corporate Regulatory Authority handles all company registrations.
Have a registered Singapore office address – A physical office address is mandatory.
Appoint a company secretary – Within six months of incorporation.
Meet compliance obligations – Such as annual returns and corporate tax filings.

Partnering with a local corporate service provider can simplify this process and ensure compliance.

Conclusion

For New Zealand business owners, Singapore offers a unique combination of tax efficiency, market access, political stability, skilled talent, and funding opportunities. Its position as a global business hub makes it an ideal choice for those seeking to expand into Asia and beyond.

By leveraging the country’s pro-business policies, strong trade ties with New Zealand, and world-class infrastructure, Kiwi entrepreneurs can set themselves up for long-term success in the region.

With careful planning, a clear market entry strategy, and the right local partnerships, setting up a company in Singapore could be one of the most profitable and strategic decisions a New Zealand business can make.