What are remote transactions under ACRA’s Corporate Service Provider (CSP) requirements?
Remote transactions refer to transactions where the customer is not physically present before the Corporate Service Provider (CSP). These include company incorporation, transfer of management ownership, or the sale and transfer of shelf companies conducted remotely.
Is a live video call mandatory for remote company incorporation in Singapore?
Yes. Where the customer is not physically present, ACRA requires Corporate Service Providers (CSPs) to conduct a live video call as part of the customer due diligence (CDD) process before proceeding with certain transactions.
Which transactions require a live video call?
A live video call is generally required for remote transactions involving:
- Incorporation of a new company;
- Transfer of management ownership;
- Sale or transfer of a shelf company,
where the customer is not physically present.
Why does ACRA require a live video call?
The live video call enables the CSP to verify the customer’s identity, assess the authenticity of the customer, reduce impersonation risks, and comply with Singapore’s Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) requirements.
Who must attend the live video call?
The live video call must be conducted with any one of the following:
- At least one proposed director (other than a nominee director);
- At least one proposed member (shareholder) holding at least 50% of the voting rights of the proposed company; or
- An authorised representative of such proposed member where the proposed member is a legal entity and the authorised representative is an individual.
Can a nominee director attend the live video call?
No.
A nominee director alone does not satisfy ACRA’s live video call requirement. The call must involve a proposed director who is not acting as a nominee director, unless another qualifying individual attends.
Can a shareholder attend instead of the director?
Yes.
A proposed member (shareholder) may attend the live video call if he or she holds at least 50% of the voting rights in the proposed company.
Can a corporate shareholder attend the live video call?
A company cannot attend a video call.
Where the proposed shareholder is a corporate entity, an authorised representative of that company may attend the live video call on its behalf.
Who qualifies as an authorised representative?
An authorised representative is an individual authorised to represent the proposed corporate shareholder during the customer due diligence process.
Can the live video call be replaced by notarised documents?
No.
Submitting notarised identity documents does not replace ACRA’s mandatory live video call requirement for applicable remote transactions.
Can an electronic identity verification platform replace the live video call?
No.
ACRA specifically requires a live video call where applicable. Third-party verification platforms alone do not substitute this requirement.
Can the live video call be conducted after company incorporation?
No.
The live video call should be completed before the Corporate Service Provider proceeds with the applicable transaction.
Does every company incorporation require a live video call?
No.
The requirement generally applies when the transaction is conducted remotely and the customer is not physically present before the Corporate Service Provider.
Is a live video call required if the customer visits the CSP’s office?
Generally, where the customer is physically present and identity verification is completed face-to-face, the remote transaction requirement may not apply.
Does the live video call apply to foreign clients?
Yes.
Foreign customers incorporating companies remotely in Singapore are also subject to the live video call requirement where applicable.
Can the live video call be conducted from overseas?
Yes.
The participant may join the live video call from any country, provided the Corporate Service Provider can satisfactorily verify the participant’s identity and comply with ACRA’s customer due diligence requirements.
What documents should be prepared before the live video call?
Depending on the transaction, the participant should generally have:
- Passport or NRIC;
- Proof of residential address (if required);
- Corporate authorisation documents (where applicable);
- Supporting incorporation documents requested by the CSP.
How long does the live video call usually take?
The duration depends on the complexity of the transaction but is generally completed within a few minutes once all required documents have been prepared.
Can the Corporate Service Provider record the live video call?
Yes.
Corporate Service Providers may retain records of the customer due diligence process, including the live video call, in accordance with ACRA’s regulatory requirements and their internal compliance policies.
What happens if the customer refuses to attend the live video call?
The Corporate Service Provider may be unable to proceed with the incorporation or other applicable transaction, as it would not be able to fulfil its regulatory customer due diligence obligations.
Why are Corporate Service Providers subject to these requirements?
Corporate Service Providers play an important role in preventing money laundering, terrorist financing, sanctions evasion, and misuse of Singapore companies for illegal activities.
Can ACHIBIZ assist with remote company incorporation?
Yes.
ACHI Biz Services Pte. Ltd. assists local and overseas clients with remote company incorporation, shelf company transfers, and other corporate services while ensuring full compliance with ACRA’s customer due diligence and live video call requirements.
What should I do if I am incorporating a Singapore company remotely?
Before proceeding, ensure that:
- You have a stable internet connection.
- Your identification documents are ready.
- The required director, shareholder, or authorised representative is available for the live video call.
- All requested incorporation documents have been prepared.
This helps avoid unnecessary delays in the incorporation process.
How can I contact ACHIBIZ for assistance with remote company incorporation?
If you require assistance with remote company incorporation, shelf company transfers, or ACRA compliance requirements, contact ACHI Biz Services Pte. Ltd.
