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Wysłany: Wto 8:35, 15 Mar 2011
Temat postu: mbt shoes on sales 3656
Incorporate A Singapore Company: Is It Feasible?
If you're considering incorporating your business, but you're unsure as to whether or not the right path to take, this article should provide you with the key points you need to consider.
If your company is incorporated, this means that you are legally separating it from yourself and officially giving it a separate legal identity.
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After becoming incorporated, you will only be personally liable for amounts owed by the business up to the amount you have invested in the business.
Beyond your invested capital, you will have no further personal liability for the settlement of debts owed to your business's creditors, unless of course, you have signed separate personal guarantees for any specific loans or debts.
Personal guarantees may be necessary where your business has little trading history, or where your balance sheet is not robust enough to provide sufficient guarantees to lenders.
There is also one great thing about incorporation. Another point to consider is that following incorporation,
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, your business is protected from your own personal debts and cannot be damaged by your own problems. Also take note that if for some reasons your company stop trading then all the creditors and liabilities will be paid before being able to get your invested capital. Basically, in times of trouble, shareholders are always the last in line for repayment.
If you always think that you need to expand your business then you should make sure that your company is incorporated. Capital for expansion of their business is not an issue for the companies who are fully incorporated.
Assistance on the future problems of the financial aspect of the business and long term business operation are the result of making your business incorporated.
Becoming incorporated also allows you to transfer ownership of your business easily. Separation of the business's assets and liabilities from your personal assets makes it easier to value your business. Retirement and insurance issues will easily be handled if your business is already incorporated.
Once incorporated,
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Lastly, business tax rates are considered much lesser than the personal tax. Be noted that there are still some double taxation that should be considered. In the process of company incorporation, you will be paying some additional amounts for the legal and administration issues even if there are still tax benefits.Topics related articles:
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