Accounting for Corporate Secretarial Services Businesses in Singapore 2025

Introduction

Corporate secretarial services play a crucial role in Singapore’s business landscape, ensuring that companies remain compliant with the Accounting and Corporate Regulatory Authority (ACRA) and other statutory requirements. Corporate secretarial firms help businesses with company incorporation, annual filings, corporate governance, and regulatory compliance.

While these firms manage compliance for their clients, they must also handle their own financial management efficiently. This article explores the key accounting considerations for corporate secretarial services businesses in Singapore in 2025, including bookkeeping, tax compliance, revenue tracking, payroll processing, and financial planning.

---

1. Understanding Revenue and Cost Structures in Corporate Secretarial Firms

Corporate secretarial firms generate revenue through various service offerings. Managing income and operational costs effectively ensures financial sustainability.

Revenue Sources

• Company incorporation services – Setting up companies, registering business names, and filing with ACRA.
• Annual return filing and compliance – Submitting annual reports and maintaining statutory registers.
• Registered office address services – Providing business address services for clients without physical offices.
• Corporate governance advisory – Assisting with regulatory compliance, AGM preparation, and director duties.
• Shareholder and directorship services – Issuing shares, maintaining shareholder records, and acting as nominee directors.
• Other compliance-related services – Assistance with licenses, business renewals, and corporate restructuring.

Key Cost Components

• Employee salaries – The largest expense, covering corporate secretaries, legal advisors, and administrative staff.
• Software and regulatory tools – Subscription fees for ACRA BizFile+, Xero, QuickBooks, or MyCorp.
• Office rental and utilities – Costs associated with maintaining a professional workspace.
• Marketing and business development – Website management, digital advertising, and client acquisition.
• Regulatory compliance costs – Licenses, professional memberships, and industry accreditations.

Managing these costs efficiently allows corporate secretarial firms to maintain profitability and offer competitive pricing.

---

2. Importance of Proper Bookkeeping for Corporate Secretarial Firms

Bookkeeping ensures accurate financial records, helping businesses track revenue, manage expenses, and stay compliant with Singapore’s financial regulations.

Daily and Weekly Record-Keeping

• Document invoices issued for corporate secretarial services.
• Track payments received from clients and reconcile with bank statements.
• Record operational expenses such as software subscriptions and legal fees.

Managing Accounts Payable and Accounts Receivable

• Ensure clients pay invoices promptly to avoid cash flow issues.
• Implement automated reminders for unpaid invoices to reduce overdue accounts.
• Use accounting software to generate invoices and track financial transactions.

Utilizing Cloud-Based Accounting Software

Many corporate secretarial firms use Xero, QuickBooks, or MYOB to automate bookkeeping and financial reporting, ensuring accurate and timely record-keeping.

---

3. GST and Tax Compliance for Corporate Secretarial Firms in Singapore

Understanding GST for Corporate Secretarial Services

• Firms with annual revenue exceeding SGD 1 million must register for Goods and Services Tax (GST).
• GST-registered firms must charge 9% GST (effective 2024) on their services.
• Quarterly GST returns must be submitted to IRAS (Inland Revenue Authority of Singapore).

Corporate Tax Considerations

• Singapore’s corporate tax rate is 17%, but tax exemptions may apply for newly incorporated firms under the Start-Up Tax Exemption (SUTE) Scheme.
• Tax deductions are available for business expenses such as employee salaries, rental, software subscriptions, and marketing costs.
• Compliance with Singapore Financial Reporting Standards (SFRS) ensures proper tax filing and reporting.

A tax professional can help corporate secretarial firms maximize tax efficiency and ensure compliance.

---

4. Managing Payroll and Employee-Related Expenses

Corporate secretarial firms rely on a skilled workforce, making payroll and HR cost management a key consideration.

CPF Contributions and Employee Benefits

• Employers must contribute to the Central Provident Fund (CPF) for Singaporean and PR employees.
• Foreign employees require valid Employment Passes (EP) or S Passes, and firms must comply with Ministry of Manpower (MOM) regulations.

Managing Payroll for Employees

• Salaries for corporate secretaries vary based on experience and professional certifications.
• Additional expenses include employee training, bonuses, and insurance.
• Payroll software such as Talenox, Payboy, or HReasily can automate salary payments, CPF contributions, and tax filings.

Proper payroll management ensures compliance with Singapore’s Employment Act and improves employee satisfaction.

---

5. Financial Planning and Budgeting for Corporate Secretarial Firms

A solid financial plan ensures long-term stability and business growth. Key financial strategies include:

Cash Flow Management

• Maintain a reserve fund to cover 3-6 months of operating expenses.
• Optimize payment terms to prevent cash flow disruptions caused by late-paying clients.

Break-Even Analysis

• Calculate the break-even point to determine how many clients are needed to cover operating costs.
• Monitor profit margins on different service offerings to optimize pricing.

Financial Reporting for Decision-Making

• Monthly profit and loss (P&L) statements help track financial health.
• Regular internal audits ensure compliance with ACRA and IRAS regulations.

---

6. Common Accounting Mistakes to Avoid in Corporate Secretarial Firms

1. Delayed Invoicing and Payment Collection

• Late invoices can lead to cash flow issues. Firms should automate invoicing to avoid revenue delays.

2. Poor Cost Management

• Excessive spending on office space and unnecessary software subscriptions can reduce profitability.

3. Failing to Plan for Tax Obligations

• Not setting aside GST and corporate tax reserves can lead to financial stress during tax seasons.

4. Ignoring Financial Reporting

• Lack of proper P&L statements and cash flow forecasts can result in poor business decisions.

Avoiding these mistakes ensures better financial control and long-term sustainability.

---

7. Leveraging Accounting Software and Automation

Cloud-Based Accounting Solutions

• Xero – Best for automation and integration with secretarial software.
• QuickBooks – Ideal for tracking payments and revenue.
• Sage – Useful for larger firms managing multiple client accounts.

Time-Tracking and Billing Software

• Toggl or Harvest – Helps track billable hours for advisory services.

Payroll and Compliance Automation

• Talenox, Payboy, or HReasily – Automates payroll processing, CPF calculations, and employee tax filings.

Automation enhances efficiency, reduces errors, and streamlines accounting operations.

---

8. Why Engage a Professional Accountant for Corporate Secretarial Firms?

Corporate secretarial firms can benefit from professional accountants in the following ways:

• Tax Planning and GST Compliance – Ensures proper filing and deduction optimization.
• Financial Forecasting and Budgeting – Helps firms prepare for economic fluctuations and expansion.
• Regulatory Compliance Support – Keeps firms aligned with ACRA, IRAS, and MOM regulations.

A professional accountant helps corporate secretarial firms stay financially stable, compliant, and scalable.

---

Conclusion

Accounting for corporate secretarial firms in Singapore in 2025 involves proper bookkeeping, tax compliance, payroll management, and financial planning. These businesses must maintain accurate financial records, optimize cost structures, and ensure compliance with IRAS and ACRA regulations.

By leveraging accounting software, automation tools, and professional accounting services, corporate secretarial firms can enhance operational efficiency, improve profitability, and ensure long-term business success.