The signing of the free trade agreement between the UK and Singapore in December 2020 has opened new avenues for businesses in the two countries to rapidly expand their global presence.
The new agreement is an excellent opportunity for UK entrepreneurs to expand into the Singapore and Asian markets. Here is a closer look at the benefits that you can anticipate under the UK-Singapore FTA.
Enhanced market access and tariff elimination
Now that the effects of Brexit are becoming clearer, entrepreneurs are casting their nets wider to access a larger market. The UK-Singapore FTA has opened one of the crucial avenues for business because UK investors can now more easily access the larger Asian market.
The moment an investor opens a business in Singapore, the enterprise will not just be able to access the local and UK markets under the FTA, it will also be a good way to take advantage of more than 24 trade agreements signed between Singapore and other countries across the globe. This is why UK entrepreneurs consider Singapore as the gateway to South East Asia.
Investment protection through intellectual property rights
The process of product development can be complex. It can take years before a definitive product is released into the market. To ensure that your efforts yield the anticipated results, the FTA provides a comprehensive Intellectual Property Rights Chapter that covers things such as copyright and enforcement.
Whether you have a firm in manufacturing or digital services, Singapore provides a strong foundation for their development.
When you incorporate your company in Singapore, to optimize returns from all associated inventions, the city will not only protect your intellectual property rights but will also provide opportunities to use them for business growth in Asia and across the Globe.
Opportunities for government procurement
In Singapore, the government puts a lot of effort into ensuring all companies get a level playing field for growth. This sets it apart from other countries in the region that only allow foreign companies to venture into selected industries. Once you register a company in Singapore, it gets equal opportunities for government procurement. Any company can participate in the tendering process to supply different government departments in Singapore with products or services that they require.
Other benefits of taking your company to Singapore
In addition to the benefits that come from the free trade agreements between the UK and Singapore, you will also enjoy the following:
Highly developed infrastructure
One of the most distinguishing attributes of Singapore is its world-class infrastructure. For more than two decades, the country has invested heavily in infrastructural development to spur economic growth. With its well-developed road and rail networks, transporting raw materials and finished products to the market is easy, cheap, and convenient. The airports, seaports, and internet access in the county are also excellent.
An educated workforce
Whether your business is in the manufacturing sector, import-export niche, services, technology, auto-industry, or other areas, it is important to have an educated workforce. Singapore has one of the most highly educated workforces in the region. Besides, importing expert staff to Singapore is also easy—about 20% of the workforce in Singapore is foreign.
Easy company registration
As a foreign investor, you are required to start by registering your company in Singapore to take advantage of its market. The passing of the UK-Singapore free trade agreement comes at an opportune time when Brexit has started changing the UK market. The trade agreement allows UK investors to see the Singapore market differently and take advantage of it. Registering your company in Singapore comes with more benefits besides, such as easy expansion into the fast-emerging Asian markets. There is a lot more to anticipate from incorporating your company in Singapore.
Looking to leverage on the Singapore UK FTA and incorporate in Singapore? Hawksford can help. With clients from 115 countries and an award-winning team recognised by peers and industry bodies, Hawksford offers you structured solutions to your corporate needs. Contact them here.