Incorporation Issues: Company Secretary And Fees
April 21, 2009 by Gwendolyn Regina T
If you’re looking to hire a Company Secretary for company secretarial services, you should be aware of these services entail and how they are different and separate from incorporation fees.
A Company Secretary is in charge of ensuring that your firm complies with all the requirements in the Companies Act (Act 50). (S)he will update your minute book, company register and ensure that your Extraordinary General Meeting (EGM) and Annual General Meeting (AGM) are held in accordance with your Memorandum and Articles of Association.
Even if you’re an Exempt Private Company and have no requirement to hire a professionally qualified Company Secretary, you still might want to consider doing so if there is no person on your team able to fulfill its duties. Find out what an Exempt Private Company is and how it differs from just a Pte Ltd.
Company Secretary Fees
Hiring a Company Secretary is possible and there are many firms out there who can provide a nominee name as your Company Secretary in ACRA’s records.
This service usually costs upwards of $600 but usually have some sort of discount if you have used them to incorporate your company or sign up for a multi-year package.
Incorporation fees typically include company name registration ($15), registering the company ($300), company seal ($60-$100), Memorandum and Articles of Association and share certificates. In total, you should be expecting to pay upwards of $500.
When incorporating using BizFile, ACRA provides a standard Memorandum and Articles of Association that is good enough for use but if you’re using a professional firm, they will probably have a ‘more comprehensive’ one.
Incorporation Vs Company Secretary Fees
Check carefully when you engage a professional firm to incorporate your company for you. Incorporation and Company Secretary fees are usually separate as they are for two distinct purposes.
Do not assume that just because you go to a firm to help you incorporate, a nominee Company Secretary is assume to be provided.
But sometimes the firm will include both incorporation and company secretary fees into an “Incorporation Package”. This might be a more cost-effective option.
Additional Documentation And Updates
One of the biggest hidden costs is in the updates you need to make to the company over the year. A bank resolution, increase of paid-up capital, issue of new shares and correspondingly new share certificates, updating of minutes etc. – all require separate charges.
These changes and updates are not included in a typical company secretary fee.
*This does not constitute as professional advice. Please contact a qualified person or firm. If you need a recommendation, drop us a message.
Image courtesy of Marcin Wichary.
Find out more about SGE’s research arm: SGE Insights, providing customized in-depth research reports to help you navigate the business of technology in Asia.
About The Author
Gwendolyn Regina T - Co-Founder and Editor-in-Chief
Gwen is the co-founder and editor-in-chief of SGE. Previously, she was a partner of early stage technology investment firm, Thymos Capital and she has had two exits, one of which is iHipo. She is also an investor in Padlet, a Y-Combinator startup. Gwen also sits on the Board of Advisors for the Singapore Innovation & Productivity Institute, Steering Commmittee for the Singapore Infocomm Technology Federation Awards 2013, and Board of Advisors for Social Media Week 2013. A frequent public speaker, mentor and judge at various startup bootcamps, events and competitions, Gwen loves meeting founders, developers, designers and scientists across all ages. An alumnus of the National University of Singapore and its University Scholars Programme, Gwen also spent some time in Silicon Valley and is a graduate of the NUS-Stanford University overseas college programme. She is also a mentor at Polish tech startup incubator Gamma Rebels, the Singapore curator for US-headquartered StartupDigest and the Singapore Ambassador for the Sandbox Network - the leading global network of innovators under 30. Gwen has also been a Worldwide Judge for Imagine Cup - the premier student technology competition helmed by Microsoft. She has also spoken in Hong Kong at one of its largest youth conferences, MaD Asia, and was recently in Austria to help envision the future of the country's economy in 2032 on invitation from an Austrian governmental organization. Gwen speaks 3.25 languages, loves physics, travelling, dance and adventure sports. She can be found on LinkedIn and Twitter.Read other posts by Gwendolyn Regina T