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How to determine a holding company type

By default, the holding company type is pre-determined as a Pte Ltd (Private company limited by shares).

In Singapore we have 2 types of Pte Ltd, namely;

Exempt private company limited by shares
- Most common company type in Singapore
- Name ends with “Pte Ltd”
- Can have a maximum of 20 shareholders
- No shareholder is a corporation
- Has a share capital
- No requirement to audit unless it has over SGD 5mil in revenue and/or assets
- Easy financial reporting, no requirement to upload financial statements when filing annual return
Private company limited by shares
- Second most common company type in Singapore
- Name ends with “Pte Ltd”
- Can have a maximum of 50 shareholders
- Shareholders can be individuals or corporations
- Has a share capital
- No requirement to audit unless it has over SGD 5mil in revenue and/or assets

Therefore, since your holding company is a Pte Ltd, it is a legal body corporate. That means it can only be sued under its own name (Pte Ltd name), and not individually (directors or shareholders), unless there is a fraud or criminal investigation. It is the safest form of ownership since liabilities are limited.

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