Is self-employed immigration in Singapore a scam? Or have you been deceived?
I’ve heard complaints from customers more than once. After using a certain agency for self-employed immigration and obtaining an Employment Pass (EP), they faced rejection during the renewal process. Some have even come to believe that self-employed immigration in Singapore is just a scam! Having been in the industry for so many years, it’s truly disheartening because there are always a few “bad apples” who, for short-term gains, disrupt the rules of the game, making the market murky.
Why is it that the first application for the Employment Pass (EP) is approved, but subsequent renewals are consistently rejected? Ultimately, it boils down to a lack of awareness or consciousness regarding future planning. In other words, those intermediaries may not have the intention or capability to provide you with a comprehensive plan for the future.
Although self-employed immigration is a very flexible and relatively free way for applicants to navigate the Employment Pass (EP), it demands an extremely high level of professionalism from intermediaries. This is because the actual operation involves considerable difficulty and requires precise control.
➡ For example, the subsequent transition and implementation of a local director, as well as the screening and implementation of a statutory secretary, are some of the challenges involved.
If you take a closer look at platforms like Xiaohongshu or follow friends who keep up with Singaporean news, you will notice that many companies involved in self-employed immigration may casually appoint local directors (Singapore citizens or PR). The consequence is that if any of these companies encounter issues, it could impact your company as well. The local director’s qualifications might be revoked by authorities, leading to an immediate need for replacement, and in severe cases, an investigation might be implicated. This is not something favorable for your company’s records.
The same situation applies to the legal secretary. If the choice is not made with sufficient caution, the consequences can be challenging to resolve. It can lead to delays and complications, at the very least, and may result in adverse records on file.
➡ Ensure that there are no issues with financial and tax matters and maintain ongoing and proper tax planning.
In Singapore, it is necessary to file taxes with the Inland Revenue Authority of Singapore (IRAS). Various documents such as accounts receivable, revenue, sales contracts, wages, rent, corporate income tax, personal income tax, etc., need to be submitted in full. During the renewal process, it is crucial to ensure that the financial audit is without any issues.
➡ Addressing local employment issues.
Furthermore, engaging in shell company practices such as not actually hiring local employees (contributing to CPF, equivalent to China’s five social insurance and one housing fund), lacking a physical office space, and having no records of business activities will naturally result in the inability to secure a renewal. Typically, these actions need to be addressed starting a year before the renewal process, demonstrating to authorities that you are actively managing a legitimate company.
➡ Residency Requirements
Since you have obtained the Employment Pass (EP), you need to meet the residency requirement — staying for at least half of the time. If you fail to meet the scoring requirements for each criterion, it can indeed be challenging. This is something you need to ensure on your own, and of course, a responsible intermediary should inform you of this in advance.
Of course, the choice after obtaining EP as a self-employed immigrant varies from person to person. Some people prefer to directly apply for Permanent Residency (PR), while others still wish to continue holding the EP. Regardless of the choice, there are rules to adhere to. Therefore, choosing a reliable and responsible intermediary is truly essential; it can save you a lot of trouble.
