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A fintech does not get a "fintech licence" in Singapore, because MAS does not issue one. You form a private limited company with ACRA, then apply to MAS for the licence your activity needs. For payments that means a standard payment institution licence (base capital S$100,000) or a major payment institution licence (S$250,000). Checked .
SingaporeCompanySetupGuide.com is an independent guide, not MAS, ACRA or a law firm. We earn a fee when a provider takes on a request that arrived through our forms.
Does a fintech need a MAS licence?
The word "fintech" covers payments, lending apps, robo-advice, crypto and plain software. Only some of that is licensed. MAS lists seven regulated payment services:
- Account issuance (for example e-wallets and stored-value cards)
- Domestic money transfer (this can include payment gateways and kiosks)
- Cross-border money transfer
- Merchant acquisition (accepting and processing payments for a merchant)
- E-money issuance
- Digital payment token service (buying, selling or exchanging crypto, transmitting it, or custody wallets)
- Money-changing (buying or selling foreign currency notes)
If your product does none of these, the payment licences do not apply. Other activities, such as dealing in securities or giving investment advice, sit under different MAS licences that this page has not covered. Check them with MAS or a lawyer before you build.
Which payment licence applies?
MAS gives three payment licences: standard payment institution (SPI), major payment institution (MPI) and money-changing.
| Item | SPI | MPI |
|---|---|---|
| Monthly volume, one service | Under S$3 million | No cap |
| Monthly volume, two or more services | Under S$6 million | No cap |
| Daily outstanding e-money | Under S$5 million | No cap |
| Minimum base capital | S$100,000 | S$250,000 |
| Security deposit | None listed | S$100,000 or S$200,000, in cash or bank guarantee |
The deposit amount depends on transaction volume. The bands are in MAS guideline PS-G01, which was last updated on . If your volume grows past the SPI limits, you need an MPI licence, so plan the capital for the second step.
How do you set up the company first?
MAS licenses a legal entity, so you need one before you apply.
- Reserve a name with ACRA for S$15.
- Register the company for S$300, so S$315 in ACRA fees in total.
- Appoint at least one locally resident director and a company secretary.
- Give the company a Singapore registered address.
Foreigners must use a corporate service provider to register. The detail is on register a company as a foreigner and company registration. A corporate service provider can also hold your filings together once the licence work starts.
What does MAS look at besides capital?
The MAS pages read for this guide list capital and volume only. The licensing guideline covers the rest of the process, so read it before you pick a launch date. In practice you should expect questions about who owns the business, who runs it, how you handle anti-money laundering checks and how customer money is held. That is our reading of the field, not a quoted MAS rule, so confirm each point against PS-G01.
This guide found no official application fee or processing time on the MAS licensing page. Anyone quoting you a fixed price and timeline should show where it comes from.
What about the sandbox?
MAS describes a FinTech Regulatory Sandbox that relaxes regulatory requirements so a firm can run live experiments. It suits an idea that does not fit the standard rules yet. The page read here gives no entry criteria, so approach MAS directly.
Can the company bank in Singapore?
A licence does not open an account for you. Banks decide on their own and ask about owners, activity and funds. See business bank account. A payments firm may also need a safeguarding account, and MAS rules on that sit in the guideline.
What happens after the company exists?
The company has the usual yearly duties whatever MAS says. It files an annual return with ACRA within 7 months after its financial year end, at S$60 (a late return can draw a penalty of up to S$600). It also files estimated chargeable income within 3 months after year end and a tax return with IRAS. Corporate tax is a flat 17% of chargeable income, with a start-up exemption in the first 3 years of assessment: 75% off the first S$100,000 and 50% off the next S$100,000. Keep accounting records for at least five years. The company pages on this site cover each filing, starting with private limited company.
Who sits on the board?
ACRA requires at least one director who is 18 or older and ordinarily resident in Singapore, and a company secretary appointed within six months of registration. The secretary must be a real person and cannot be the sole director. Directors carry legal duties even if they are "passive": ACRA lists fines up to S$5,000, up to two years in jail and a five-year ban. Be careful with a hired resident director for a licensed activity, since MAS will look at who actually runs the firm. Read nominee director before you agree to anything.
A short checklist before you apply to MAS
- List every product feature and match it to the seven services above. One feature can pull the whole product into the licence.
- Estimate monthly volume per service, to see whether SPI limits fit for the first year.
- Check that you can fund the base capital, and the MPI deposit if you expect to grow past SPI limits.
- Register the Singapore company and bank account early, because the licence application is made by the company.
- Read PS-G01 end to end. It is the MAS document with the application process.
Pick a provider or go direct?
You can file the ACRA side yourself if you are a resident. A licence application is heavier and often goes through a compliance specialist. Use the quote form on this page and we pass your request to providers who work with fintech founders. Fees and timelines are theirs to state, not ours.
Sources
- MAS, licensing for payment service providers: https://www.mas.gov.sg/regulation/payments/licensing-for-payment-service-providers (licence types, thresholds, capital, deposit)
- MAS, types of payment services: https://www.mas.gov.sg/regulation/payments/licensing-for-payment-service-providers/types-of-payment-services (seven services)
- MAS, guideline PS-G01 and sandbox mention: https://www.mas.gov.sg/regulation/guidelines/ps-g01-guidelines-on-licensing-for-payment-service-providers
- ACRA, fees: https://www.acra.gov.sg/manage/companies/service-transaction-fees/ (S$15 and S$300)
