How to set up a family office in Singapore

Step 1 — Choose the structure (1–2 weeks)

Singapore family offices fall into four broad shapes. Choose first; the regulatory path follows from the choice.

• Single Family Office (SFO) — operates under MAS class-licence exemption. Serves only one family. Typically the cleanest setup for a UHNW family with concentrated assets.
• Multi-Family Office (MFO) — requires a Capital Markets Services Licence (CMSL) for Fund Management. Serves multiple families; economies of scale; commercial entity.
• VCC-based family office — uses the Variable Capital Company (VCC) structure for the fund vehicle. Common for 13O/13U applicants requiring sub-fund flexibility.
• FO under existing fund manager — the family acts as a separately-managed account of an existing LFMC. Lowest setup cost, lowest control. Pre-MFO scaffold.

Step 2 — Pick the tax-incentive scheme (concurrent)

Three options. Pick based on AUM and structure flexibility.

13O is the default starting point for most SG-incorporating families. 13U is for offshore structures and larger AUM. Choosing "no incentive" forfeits Singapore's main attraction — only fits families with non-investment-income use cases.

Step 3 — Incorporate (2–4 weeks)

Two entities are typically required:

1. The fund vehicle — Singapore-incorporated Pte. Ltd. (or a VCC for sub-fund flexibility). Holds the investable assets. Beneficially owned by the family.
2. The fund management company (FMC) — separately incorporated. Holds the MAS Capital Markets Services Licence. Employs the investment professionals. Manages the fund vehicle under contract.

For Single Family Offices the FMC may be exempt from holding a CMSL under MAS class exemption — but the structural separation between fund and FMC is still standard.

Both entities require: at least one Singapore-resident director, a registered office address, a company secretary, an auditor (for fund vehicles above SGD 10M revenue).

Step 4 — MAS application (8–12 weeks for MFO + tax incentive)

Three concurrent applications, typically managed by a Big-4 firm or specialist law firm:

• CMSL application (MFOs only) — MAS reviews the fund management company's business plan, key personnel, compliance framework. Typical timeline 12–16 weeks.
• 13O or 13U scheme application — joint MAS + IRAS approval of the fund vehicle's eligibility. Typical timeline 8–12 weeks. Application must demonstrate the fund will meet the minimum AUM, local-spend and investment-professional thresholds within 12 months.
• Single Family Office exemption notification (SFOs only) — notification to MAS that the FMC qualifies for class exemption. Faster than a full CMSL application.

Step 5 — Operational setup (4–6 weeks, can run concurrent with Step 4)

• Custodian bank account — open with one of Singapore's private banks (UBS, DBS, Bank of Singapore, HSBC, Julius Baer, Pictet, etc.). KYC + source-of-wealth documentation; typical timeline 4–8 weeks per bank.
• Investment professionals — hire and onboard the required 2 (13O) or 3 (13U) investment pros. Each needs MAS Representative Notification Framework (RNF) registration. Employment passes required for non-residents (typical salary threshold S$8K–S$15K/month + qualifications).
• Compliance + admin — engage a compliance consultant (typical SGD 50K–150K/year), fund administrator, auditor. Many CMSL holders also engage an outsourced MLRO (Money Laundering Reporting Officer).
• Physical office — small footprint (1–3 desks) is sufficient for most SFOs. CBD-area co-working space (eg WeWork at Raffles Place / Marina Bay) commonly chosen. Required for local-spend qualifying as scheme-eligible.

Step 6 — Ongoing compliance (annual)

• Annual reporting to MAS — fund vehicle and FMC each file annual returns. The fund must demonstrate continued compliance with the 13O/13U thresholds (AUM, local spend, investment pros).
• Audited financial statements — by Singapore-registered auditor. Filed with ACRA.
• Tax filings — corporate tax return (typically nil under 13O/13U), GST registration if applicable, transfer-pricing documentation for cross-border family-office service fees.
• Local-spend tracking — separate ledger demonstrating S$200K (13O) or S$500K (13U) in qualifying SG expenditure annually. Common qualifying spend: investment-pro salaries, office rent, custodian-bank fees, compliance/audit/legal fees.

Total cost summary

Realistic timeline

End-to-end for a 13O Single Family Office: 14–22 weeks from engagement to operational. End-to-end for an MFO with 13U: 20–32 weeks. Add 4–8 weeks if seeking accelerated MAS approval (rare).

Who to engage

A typical setup engages 4 service providers:

1. A Big-4 firm or Big-4-trained boutique (KPMG, EY, PwC, Deloitte; or smaller specialists) — drives the 13O/13U application and tax structuring.
2. A SG law firm — handles incorporation, MAS submission, employment-pass support. Rajah & Tann, Allen & Gledhill, Drew & Napier all have active family-office practices.
3. A corporate services provider — registered office, company secretary, ACRA filings. Tricor, Vistra, Hawksford are common.
4. A custodian bank — see private banking in Singapore for comparison of minimums, services and fees.