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Setting up a Freight Forwarding Company


Setting up a Freight Forwarding Company | Bestar
| Bestar


Freight Forwarding


Freight forwarding is the process of arranging the transportation of goods from one location to another. Freight forwarders act as intermediaries between shippers and carriers, and they take care of all the details involved in shipping, such as documentation, customs clearance, and insurance.


There are many different types of freight forwarding services available, and the specific services that a freight forwarder offers will vary depending on the needs of the shipper. Some of the most common freight forwarding services include:

  • Ocean freight forwarding: This involves the transportation of goods by sea.

  • Air freight forwarding: This involves the transportation of goods by air.

  • Rail freight forwarding: This involves the transportation of goods by rail.

  • Road freight forwarding: This involves the transportation of goods by road.

  • Multimodal freight forwarding: This involves the transportation of goods by multiple modes of transportation.

Freight forwarders can offer a wide range of additional services, such as:

  • Warehousing: Freight forwarders can store goods in their warehouses until they are ready to be shipped.

  • Consolidation: Freight forwarders can consolidate multiple shipments into one larger shipment, which can save the shipper money.

  • Demurrage and detention: Freight forwarders can handle demurrage and detention charges, which are fees charged by carriers for delays in loading or unloading goods.

  • Customs clearance: Freight forwarders can handle customs clearance, which is the process of getting goods through customs.

  • Insurance: Freight forwarders can arrange for insurance for goods in transit.

The cost of freight forwarding will vary depending on the specific services that are required, the distance that the goods are being shipped, and the weight and volume of the goods.


Here are some of the benefits of using a freight forwarder:

  • Convenience: Freight forwarders can take care of all the details involved in shipping, so shippers can focus on their core business activities.

  • Expertise: Freight forwarders have the expertise and experience to ensure that goods are shipped safely and efficiently.

  • Cost savings: Freight forwarders can often negotiate better rates with carriers than shippers can on their own.

  • Peace of mind: Freight forwarders can provide shippers with peace of mind knowing that their goods are in good hands.

If you are considering shipping goods internationally, it is a good idea to consult with a freight forwarder to get a quote and discuss your specific needs.


Here are some of the things to consider when choosing a freight forwarder:

  • Experience: Make sure the freight forwarder has experience shipping goods to the destination you need.

  • Reputation: Check the freight forwarder's reputation with other shippers.

  • Rates: Get quotes from several freight forwarders before making a decision.

  • Services: Make sure the freight forwarder offers the services you need.

  • Communication: Make sure the freight forwarder is easy to communicate with and responsive to your questions.

By following these tips, you can choose a freight forwarder that will meet your needs and help you ship your goods safely and efficiently.


Why Set up a Freight Forwarding Company in Singapore


There are many reasons why you might want to set up a freight forwarding company in Singapore. Here are a few of the most important ones:

  • Strategic location. Singapore is a major global shipping hub, with connections to over 600 ports in more than 120 countries. This makes it an ideal location for a freight forwarding company that wants to serve a global market.

  • Favorable business environment. Singapore has a very favorable business environment, with low taxes, a skilled workforce, and a well-developed infrastructure. This makes it an attractive place to set up a business of any kind, including a freight forwarding company.

  • Government support. The Singapore government is supportive of the freight forwarding industry and offers a number of incentives to businesses in this sector. These incentives can help to reduce the cost of setting up and running a freight forwarding company in Singapore.

  • Competitive costs. The cost of doing business in Singapore is relatively low, compared to other developed countries. This can help to keep your operating costs down and make your freight forwarding company more profitable.

  • High-quality infrastructure. Singapore has a world-class infrastructure, including a modern port, efficient transportation system, and reliable telecommunications network. This can help your freight forwarding company to operate efficiently and deliver its services on time.

If you are considering setting up a freight forwarding company, Singapore is a great place to do it. The country has a number of advantages that can make it a successful business location.


Here are some additional factors to consider when deciding whether to set up a freight forwarding company in Singapore:

  • Your target market: Who are you trying to reach with your freight forwarding services? If you are targeting businesses in the Asia-Pacific region, then Singapore is a good choice.

  • Your budget: How much money do you have to invest in setting up your business? Singapore can be a relatively expensive place to do business, but there are ways to save money.

  • Your experience: Do you have experience in the freight forwarding industry? If not, you may want to consider partnering with an experienced freight forwarder or getting some training before you start your own business.

Ultimately, the decision of whether or not to set up a freight forwarding company in Singapore is a personal one. However, if you are considering it, do your research and make sure that it is the right decision for you.


Setting up a Freight Forwarding Company


Setting up a freight forwarding company can be a daunting task, but it can also be a very rewarding one. Here are the steps involved in setting up a freight forwarding company in Singapore:

  1. Do your research. Before you do anything else, it's important to do your research and understand the freight forwarding industry. This includes understanding the different types of freight forwarding services, the different modes of transportation, and the different regulations that apply.

  2. Get the necessary licenses and permits. The specific licenses and permits required will vary depending on the location of your business. In Singapore, you will need to obtain a business license from the Accounting and Corporate Regulatory Authority (ACRA), as well as any other licenses or permits that may be required by the Singapore Customs, Inland Revenue Authority of Singapore (IRAS), Maritime and Port Authority of Singapore (MPA), and other relevant authorities.

  3. Create a business plan. A business plan is a roadmap for your business. It should outline your business goals, strategies, and financial projections.

  4. Secure funding. Starting a freight forwarding company requires capital. You will need to secure funding to cover your start-up costs, such as office rent, equipment, and staff salaries.

  5. Hire employees. You will need to hire a team of qualified employees to help you run your business. This may include freight forwarders, customer service representatives, and administrative staff.

  6. Build relationships with shippers and carriers. To be successful, you need to build relationships with shippers and carriers. This will allow you to secure freight shipments and negotiate favorable rates.

  7. Market your business. You need to let potential customers know about your business. This can be done through online marketing, print advertising, and networking.

  8. Provide excellent customer service. Customer service is essential for any business, but it is especially important in the freight forwarding industry. You need to go above and beyond to meet the needs of your customers.

Here are some additional tips for setting up a freight forwarding company:

  • Choose a niche. There are many different types of freight forwarding services. Choose a niche that you are passionate about and that you have expertise in.

  • Get certified. There are a number of certifications available for freight forwarders. Getting certified can help you build credibility and trust with your customers.

  • Stay up-to-date on regulations. The regulations governing the freight forwarding industry are constantly changing. It is important to stay up-to-date on these regulations so that you can comply with them.

  • Use technology to your advantage. There are a number of software solutions available that can help you streamline your operations and improve efficiency.

Starting a freight forwarding company can be a challenging but rewarding experience. By following these steps, you can increase your chances of success.




Activating a Customs Account


To activate a Customs Account in Singapore, you will need to follow these steps:

1. Go to the TradeNet portal and select Activation of Customs Account and/or Application of Declaring Agent Account under Registration Information For Trading Community. 2. Log in with Singpass.


2. Enter the following information:

  • Your entity's Unique Entity Number (UEN)

  • The NRIC/FIN/Work Pass of the Primary Contact Person

  • The email address of the Primary Contact Person

  • The mobile number of the Primary Contact Person

3. Click Submit.


Singapore Customs will review your application and will notify you of the approval or rejection of your application within 4 working hours if supporting documents are not required. The standard processing time of an application is 3 working days upon receipt of complete supporting documents.

If your application is approved, you will be able to log in to your Customs Account and start transacting with Singapore Customs.


How Bestar can Help


Bestar is a corporate secretarial services provider that can help you set up a freight forwarding company in Singapore. We have a team of experienced professionals who can help you with all aspects of setting up and managing your freight forwarding company, including:

  • Company registration: Bestar can help you register your freight forwarding company with the Accounting and Corporate Regulatory Authority (ACRA).

  • Business licensing: Bestar can help you obtain the necessary business licenses and permits from the Singapore government.

  • Accounting and taxation: Bestar can help you set up your accounting and taxation system for your freight forwarding company.

  • Human resources: Bestar can help you hire and manage the staff for your freight forwarding company.

  • Customs clearance: Bestar can help you with customs clearance for your freight forwarding company.

  • Insurance: Bestar can help you obtain insurance for your freight forwarding company.

In addition to these services, Bestar can also provide you with guidance and advice on the freight forwarding industry in Singapore. We can help you understand the regulations and requirements that apply to freight forwarding companies.


If you are considering setting up a freight forwarding company in Singapore, contact Bestar to discuss your needs. We can help you get started on the right foot and ensure that your business is successful.


Here are some of the specific services that Bestar can provide to help you set up a freight forwarding company in Singapore:

  • Company registration: Bestar can help you register your freight forwarding company with ACRA and obtain the necessary business licenses and permits.

  • Accounting and taxation: Bestar can help you set up your accounting and taxation system for your freight forwarding company and ensure that you are compliant with all applicable laws and regulations.

  • Human resources: Bestar can help you hire and manage the staff for your freight forwarding company, including finding and recruiting qualified candidates, onboarding new employees, and managing payroll and benefits.

  • Insurance: Bestar can help you obtain insurance for your freight forwarding company, including cargo insurance, liability insurance, and employee insurance.

Bestar is a trusted partner for businesses of all sizes. We have a proven track record of success in helping businesses set up and grow in Singapore. If you are considering setting up a freight forwarding company in Singapore, contact Bestar.


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