Singapore is a jurisdiction that offers a broad spectrum of business opportunities. Should you opt to incorporate a company in Singapore and acquire an electronic money license therein, you will necessitate the establishment of a payment system or electronic money institution.
An EMI license in Singapore allows for a wide range of solutions.
There are 2 types of electronic money license in Singapore called Stored Value Facilities (SVF):
- Single-purpose SVF can be utilized for conducting payments within the provider's ecosystem. For instance, users can deposit funds without the ability to withdraw them for service payments.
- Multi-purpose SVF can be employed as a payment system where clients deposit funds and subsequently utilize these funds to settle bills or transfer funds within the system. In this scenario, there is no predefined limit, but it requires coordination with the local regulator.
Obtaining an electronic money license in Singapore isn't a straightforward process. It typically requires approximately 1-1.5 months, the presence of a local company, a visit to Singapore, and adherence to international legal norms. Crucially, the local company must have Singaporean residents holding positions as directors and shareholders.
In order to register a company in Singapore under your name, it is imperative to possess a residency permit. Completion of this process will necessitate a visit to Singapore for finalization.
Securing residency in Singapore is a strategic move that empowers individuals to autonomously manage their company affairs and seamlessly establish a corporate account in a Singaporean bank. Acquiring a payment system license in Singapore demands the formulation of a robust operational plan to comply with the Anti-Money Laundering (AML) laws. Each licensed Singaporean entity must designate an AML officer, responsible for ensuring adherence to AML regulations. Residency is not a prerequisite for this role, allowing competent individuals of any nationality or residency to undertake it. The AML officer collaborates directly with the company's leadership to uphold regulatory standards.
In Singaporean legislation, there are no stringent requirements for applicants seeking licenses. Therefore, local financial regulatory personnel apply international standards in their decision-making processes.
Typically, a company's operations are scrutinized to ensure compliance with international standards and the adoption of global practices. If a company claims to adhere to alternative practices, such a response may contribute to a decision unfavorable to the company. In such instances, the license may be withheld or not renewed.
Assertions and adherence to elevated standards that align with international requirements are the cornerstone of successfully obtaining and operating with an EMI license in Singapore.
Please note that one of the crucial documents when applying for an EMI license in Singapore is the business plan. This document must comprehensively present to the financial regulator information about the company's plans, affirm that the company will adhere to anti-money laundering laws, and demonstrate the company's operations as transparent.
The proficient staff at TKDeal company offer consultancy and support services to entrepreneurs intending to register a company in Singapore and acquire an electronic money license therein.
TKDeal offers assistance in opening accounts in Singapore and other jurisdictions. You can reach out to our specialists by completing the designated form below.
