• [En]
  • [Fr]
  • [Es]
  • [It]
  • [Tr]
  • [Ru]
  • [Pl]
  • [De]
  • [Cn]
  • [Jp]
  • [My]
  • [Kr]
  • [Vn]
  • [Ph]

  (+44)203-287 0408

  office(at)lawyers-singapore.com

(+44)203-287 0408
office(at)lawyers-singapore.com
Company Formation Singapore

CHECK COMPANY
NAME AVAILABILITY (Step 1)



Articles

Start a Franchise Business in Singapore

Updated on Thursday 18th January 2018

Rate this article
5 5 1
based on 2 reviews


Start-a-franchise-business-in-SingaporeForeign investors who want to open a company in Singapore have several options. Even if most of them set up new companies because of the financial assistance granted by the state, there are also other forms of doing business in Singapore, such as taking over an existing idea and building around it. This is called franchising and is widely spread all over the world.

Singapore does not have a specific legislation governing franchises, however, the Contract Law provides for the main elements when establishing this type of venture in the city-state and what the franchising contract must contain.

Our Singapore company formation consultants can assist enterprisers who want to start franchise businesses here.

We also invite you to watch our video on how to set up a franchise in Singapore:

Elements of the franchise in Singapore

There are 3 main elements which determine the structure of a franchise in Singapore:

  • -          the company selling the rights for the franchise, also known as the franchisor;
  • -          the entrepreneurs buying the rights for the franchise, also known as the franchisee;
  • -          the above-mentioned franchise agreement which is a contract signed by the franchisor and the franchisee.

It should be noted that starting a franchise business implies company registration in Singapore. The most employed structure is the limited liability company, however for smaller businesses, the sole proprietorship is also an option.

Our company formation experts in Singapore can assist with the incorporation of the chosen form.

Rights and obligations of the franchisor and franchisee in Singapore

The role of the franchise agreement is to establish the rights and obligations of the parties involved in the Singapore franchise company.

The franchisor has the following obligations and rights:

  • -          the obligation to provide the franchisee all the know-how related to the business;
  • -          the obligation of ensuring the franchisee and his or her staff have access to training;
  • -          the right to be compensated for granting the franchisee to use the rights over the business.

The compensation can take the form of royalties or a compensation paid upon certain terms.

The franchisee, in return, has the following obligations:

  • -          to respect the content of the franchise agreement;
  • -          to use the technology put at his or her disposal just as required by the franchisor;
  • -          to come with the location for the franchise;
  • -          to pay the royalties or other compensations as prescribed in the agreement.

The holder of a franchise license in Singapore also has the right of using the trademark of the franchise and is entitled to profits from this use.

Starting a franchise business in the Lion City has many benefits which can be explained by our company formation representatives in Singapore, so do not hesitate to contact us.

 

Comments

There are no comments

Comments & Requests


Please note that client queries should NOT be posted here but sent through our Contact page.

Why choose us?

As our client, you will benefit from the joint expertise of local lawyers and consultants for opening an offshore company in Singapore.Company-formation-Singapore-agents.png

Company-formation-Singapore-cost.png

Company-formation-Singapore-24.png

Company-formation-Singapore-1000.png







Call us now at (+44)203-287 0408 to set up an appointment with our consultants in Singapore

 
Contact

Online Incorporation

tax-calculator-singapore

Tax Calculator

tax-calculator-singapore

Testimonials

Francesco-Dagnino.jpg

The experts at OpenCompanySingapore.com helped my clients establish a company in Singapore fast and easy. I would definitely recommend them to any foreign investor interested in forming a company in this Asian jurisdiction.

Francesco Dagnino, Partner of
Lexia Avvocati
www.LawyersItaly.eu

Read more testimonials

We Recommend ClientPedia

This website is marketed by ClientPedia

Banner-Promoting ClientPedia-244px.jpg

We accept online payments

paypal-logo.png