There are two types of shareholders resolutions. Ordinary Resolution Special Resolution An ordinary resolution is a resolution whereby the votes that are cast in support of the resolution exceeds the votes that are cast against it. In short, the resolution needs more than 50 per cent of the votes to be passed. If there are [...]
Profit and Loss Statements, also commonly known as P&L or income statements, shows you the profitability of your business over a given period of time. The Profit and Loss Statements are usually prepared monthly, quarterly and yearly. The Importance Of Profit and Loss Statements First and foremost, companies are required by law to complete [...]
According to Section 26(1) of the Companies Act, "Unless otherwise provided in this Act, the constitution of a company may be altered or added to by special resolution." Usually, companies will adopt the model constitution as provided in the Companies Act upon incorporation. As a company progresses, it may decide to make changes to the [...]
From 31st March 2017, it is compulsory for all companies, unless exempted, to have a Register of Controllers and a Register of Nominee Directors. The Accounting and Corporate Regulatory Authority (ACRA) or relevant government bodies like the police can compel a company to hand over these registers for inspection. If these registers are found not to [...]
The common question we get when clients look for us to incorporate a Singapore company is regarding paid-up capital. In a nutshell, paid-up capital is the amount of money that the company has received in exchange for its shares. Shares can be paid-up or not paid-up. A company is a separate entity from the shareholders. [...]
A subsidiary company is a company whereby 51 per cent or more of the shareholding is owned by another company. Due to the controlling stake of 51 per cent or more of voting rights, the parent company (sometimes also referred to as the controlling company) has the power to determine who sits on the board [...]
A director of a Singapore company can be disqualified when: The director becomes bankrupt. The director is convicted of an offence involving fraud or dishonesty that is punishable with an imprisonment term of 3 months or more. The director has been convicted for 3 or more filing offences under the Companies Act within a period [...]
A Balance Sheet, taken along with the Profit & Loss Statement and Cashflow Statement gives you a clear indication of your business's financial health. You can think of the Balance Sheet as a scorecard that tells you about the financial health of your business at any given point in time. On it, it will have [...]
For certain reasons, a company may wish to remove a director. Some of the reasons may be: Poor performance Breach of duties to the company Negative limelight on the individual In a private company According to the Companies Act, the removal of a company director is through an ordinary shareholder's resolution. This is provided if [...]
As an entrepreneur, it is very important for you to keep track of your money inflow and outflow. You need to be able to analyze your business's financial health from different aspects. Your analysis is only as good as the quality of your data input. It is critical to get started with the right accounting [...]