Analysis of Failed Singapore Self-Employed EP Application Case (Local's Sneaky Operations)

In recent years, more and more people hope to enter Singapore for development through Self-Employed EP (Employment Pass). However, many applicants do not thoroughly understand the EP review logic, leading to application rejections. The following is a typical failure case, hoping to provide reference for those interested in applying for Self-Employed EP.

Case Review: Wrong Company Structure Leads to EP Application Rejection

A client once consulted us about handling Singapore Self-Employed EP, but after inquiring around, he thought the process was not complicated, so he decided to find a friend in Singapore to help with the application. However, soon after, the client sought our help because his EP application was rejected.

After in-depth understanding, we found that they adopted a wrong company structure, which led to the application failure. The specific operations were as follows:

1. Mistakenly believed local shareholding would increase approval chances
   The applicant believed that if the company was held by Singapore locals, it could increase trust and improve the possibility of EP approval. Therefore, he let his Singapore friend hold 100% of the shares and applied for EP in the name of that company.
2. Lack of company operation proof
   Since the company was a newly registered company with no actual business operations, after submitting the EP application, Singapore's Ministry of Manpower (MOM) requested the company to provide business proof materials, such as:
   • Bank statements
   • Business contracts
   • Invoices and other financial documents
     But since the company had no actual operations, it could not provide these materials at all, and ultimately the EP application was rejected.
   • (New companies can successfully apply for EP, it's just that their handling of many details did not conform to logic.)
3. Illegal operations, suspected of breaking the law
   The applicant's original plan was to transfer the shares back to himself after EP approval. However, this operation carries significant legal risks, suspected of using false structures to obtain EP, which may be considered as deceiving the Singapore government, violating relevant regulations. Once discovered, it will affect future EP or PR applications.

Root Cause of Failure

Although the client met EP application standards in terms of age, education, and personal background, the company's structure did not conform to reasonable business logic, ultimately leading to application failure. EP approval is a comprehensive assessment of "personal background + company situation". Not only must personal qualifications meet requirements, but the company must also meet the following basic conditions:

1. Company business matches applicant's resume
   The applicant must have relevant industry experience, and the company's business scope should match the applicant's professional background. Otherwise, even if personal qualifications are excellent, the application may be rejected due to mismatch between company business and applicant.
2. Company operations must conform to business logic
   MOM usually requires EP application companies to have actual business operations, such as:
   • Real business transactions
   • Good corporate financial status
   • Employee recruitment situation, etc.
     Companies that are merely registered without substantial operations, unless they are new companies with the foundation for business capabilities.
3. Company capital matches operational capabilities
   Newly registered companies need to have certain registered capital to demonstrate their operational capabilities. If the registered capital is too low, the company may be considered to lack operational capabilities and insufficient to support EP applications.

Summary

EP applications involve dual considerations of personal qualifications and company operations, and cannot rely solely on shareholding structure to attempt to increase approval rates. Reasonable company structure, genuine business operations, and matching personal resume are the keys to successful applications. We hope this case can provide valuable reference for friends interested in applying for Singapore Self-Employed EP.